Report Overview

The global conductive silver paste market is projected to witness substantial growth in the near future due to the rising automotive production, growing emphasis on consumption of renewable energy sources and implementation of Industry 4.0. Growing government initiatives to promote solar energy also contribute to the market's growth.

The global conductive silver paste market was worth USD 7.1 billion in 2020. The market is further projected to accumulate USD 13.3billion by 2027 at a CAGR of 9.9% during the forecast period (2021-2027).The global market for conductive silver paste is expected to grow owing to the chemical properties of the component present in the paste and its application to solar PV cells that offer better yields and higher outputs. The conductive silver paste acts as adhesion. The product provides higher solderability, which ensures more easiness in applying the product on a substrate. The global conductive silver paste market is also growing due to the increasing popularity of smartphones, the increasing production of automobiles, and the increasing use of renewable energy.

Source: BlueWeave Consulting

Global Conductive Silver Paste Market Overview

The silver conductive paste is a highly conductible substance in nature. Also known as conductive paint across varied industries, the substance is commonly used in research and industries.The paste is made from a combination of various compounds developed to further create electrically conductive glue. This substance is used for converting a nonconductive surface into a conductive one. It is denoted by the molecular formula of silver, which is Ag. The silver concentration in the conductive paste is over 75%, whereas the purity of the silver paint is around 99.98%. Silver paste has a high adhesion or bond to any surface, which allows it to adhere to any surface. It catalyzes the production of printable silver conductive ink, which is utilized in the production of printed circuit boards (PCBs).

Global Conductive Silver PasteMarket Trend

Growth Drivers

Increasing growth of renewable energy sources (Solar Energy)

According to the latest estimates released from the Government of India, India has been able to increase its solar power capacity by over five times during the last five years from 6.7 GW to 40 GW in March 2021. Due to India's outstanding performance in the renewable energy country attractiveness index, demand for solar panels in India has been boosted, increasing the prospects for the market. Conductive silver paste (Ag paste) materials provide higher yields and outputs for solar PV cell manufacturers, which is augmenting the demand for such pastes. Additionally, the compositions of the paste consist of a series of screen printable silver conductors for multi-crystalline and monocrystalline solar cells, which helps achieve higher power generation. It is thus contributing to the growth of the global silver conductive paste market.

Increasing demand for conductive adhesives in electronics

The developing, as well as the developed nations, has been witnessing an increase in consumption of various electronic devices. As such devices depend on Integrated Chipsets (IC) to coordinate and assist machines, the raw material plays a crucial role in preserving that efficiency.Silver is one of the best electrical conductivity materials, and its properties have been demonstrated in the production of printed circuit boards, switches, and television screens, among other things. The conductive silver paste comes equipped with easier solderability, which helps in holding the substrates in their place. Moreover, conductive silver paste is used to remove heat from electronics. Technological advancements have led to the increase in heat dissipation requirements, supporting the growth of the global market for conductive silver paste.

Restraints

Price fluctuation & high cost

The conductive silver paste may have various advantages when it comes to its thermal and conductivity properties. However, the rising prices of the product are impeding the growth of the global conductive silver paste market. The rising silver trading prices are expected to stay put for the upcoming years, thereby hampering the growth of the market. Moreover, renewable energy is still too expensive for some of the developing countries, which makes it an expensive affair. It thus renders the use of the conductive silver paste to be less-useful in those areas. Additionally, the rising demand for substitutes, like aluminum paste, is holding the market back.The Aluminum paste is also subject to price fluctuations, but it is available at a reasonable cost compared to silver paste. Thus, the high product price limits the product's application to some particular areas.These factors are expected to hamper the growth of conductive silver paste during the forecast period.

Impact of COVID-19

The global economy took a toll when the pandemic hit the world. As a result, the governments of different countrieshad to impose nationwide lockdowns to prevent the virus from spreading. Thus, in order to put an end to the spread of the virus, factories and manufacturers had to shut down their operations.Because of the shutdown, the supply chain was disrupted, which ultimately led to a decline in industries that used silver paste as a raw material.Further, the companies had to contend with a reduced supply of conductive silver paste, which further hindered growth.Nevertheless, vaccine rollouts are encouraging some consumers to boost their spending on electronics, which may boost the production capacities of manufacturers. It is thus expected to increase the production of conductive silver paste globally. 

Global Conductive Silver PasteMarket: By Type

Based on types, the global conductive silver paste market is bisected into polymer type and sintering type. The sintering type segment accounted for the largest share in the global conductive silver paste market. Sintered conductive silver paste is used in the production of solar cells, printing circuit boards, capacitors, conductive adhesive, and others. The paste is also used across high-metal-loading materials and is designed in such a way that it can be dispersed without altering the deposition.Pastes have to be sintered in order to form strong joints on Leadframes, IPM pads, and DBCs.As opposed to polymer types, this process aids in the formation of bonds and enhances solderability, besides driving the growth of the global conductive silver paste market.

Source: BlueWeave Consulting

Global Conductive Silver Paste Market: By Application

Based on applications, the global conductive silver paste market is grouped into Solar panels, integrated Circuits, Automobile Glass, Printed circuit board Tracks, Membrane Switched, Electronic devices, others. The growing demand for conductive silver paste for solar panels application is expected to witness impressive growth during the forecast period. As a result of climate change, many governments around the world are pouring funds into renewable energy in order to decrease energy consumption.Solar panels have paved their way into the market as the best renewable energy source in the world. Since manufacturers leverage silver paste for photovoltaic cells, the growth in the solar panel industry is augmenting the development of conductive silver paste, which in turn is enhancing the growth of the global conductive silver paste market.

Global Conductive Silver PasteMarket: Regional Insights

Based on region, the global conductive silver paste market is segmented into North America, Europe, Asia Pacific, Latin America, and the Middle East and Africa. Among these regions, North America presently holds the biggest share in the conductive silver paste market.

North Americahas some of the highest smartphone penetration rates in the world. According to World Bank estimates, the United States has over 134 mobile cellular subscriptions per 100 people, demonstrating that the region is a great market for electronic devices.Also, the advent of the IoT in the automotive industry will enhance requirements for the ICs used in vehicles.Silver paste is used as a heating sink in ICs, which is favoring the growth of the global conductive silver paste market. 

Source: BlueWeave Consulting

Competitive Landscape

The global conductive silver paste market is fragmented in nature due to the presence of various companies involved in the manufacturing of silver pastes globally. Some of the key players in the global conductive silver paste market include Toyo Ink Co Ltd., Nordson Corporation,Henkel AG & Co. KGaA, Nippon Kokuen Group, Asahi Chemical Research Laboratory Co., Ltd, Taiwan Ostor Corporation, Heraeus Holding, DK Electronic Materials,Daikin Chemical Co. Ltd., Kaken Tech Co. Ltd., American Elements, Fujifilm Holdings Corporation, DuPont de Nemours, Inc., and other prominent players. Many small and medium-sized players are showcasing considerable improvements in the manufacturing process of the conductive silver paste and are looking forward to entering the market with competitive prices to gain market share.

Recent Developments

• In July 2020, DuPont de Nemours, Inc. announced an improvement to its Solamet PV silver paste.The upgrade is expected to enhance solar power capacity by more than 30%.

Scope of the Report

By Type

• Polymer Type
• Sintering Type

By Application

• Solar panels
• Integrated Circuits
• Automobile Glass
• Printed Circuit Board Tracks
• Membrane Switches
• Electronic devices
• Others

By Region

• North America
• Europe
• Asia Pacific
• Latin America
• The Middle East and Africa