The “Verdict’s Not in Yet” Mixed Results on Ceramics Parts Revenue as Technology Development Pushes Forward
San Diego, CA, July 31, 2025: TECHCET — the electronic materials advisory firm providing semiconductor materials supply chain information— announces the ceramics market is experiencing mixed results to date. Many are experiencing growth, while other areas are still awaiting the upturn. Geopolitics and tariffs are driving increased interest in localized supply, affording opportunity for small local suppliers to compete with MNEs. In China, the market environment is largely positive with domestic chip fabricators motivated to buy from local suppliers. China’s parts fabricators are “having a great year,” regaining traction through local demand, while global OEMs and end-users alike are investing in regional sourcing and second-source strategies.
TECHCET currently forecasts a 4.9% increase in WW semiconductor ceramic parts revenues for 2025, bringing the total market to US $2.7 billion. As detailed in their newly released TECHCET’s Critical Materials Report™ on Ceramics, the ceramics market is led by a 7% increase in CVD-SiC, followed by 5% growth in AlN, 4.8% in Al₂O₃, and other ceramics.
Looking ahead, applications for advanced device chip manufacturing, especially advanced packaging, are driving demand for Silicon Carbide (SiC) consumption. Bulk SiC use is increasing for thermal processes like laser spike anneal and wafer temperature control. Its higher wear resistance and dimensional stability make SiC a great heat extraction pedestal (more favorable than AlN).
Bulk SiC is also used in advanced packaging chip bonding tools enabling multilayering needed for AI chip packaging. Contamination and particle levels requirements are extremely low making SiC a necessary component material. TECHCET sees continued growth in specialty coatings, like Yttria, that may dampen overall growth in replacement parts in the next 3-5 years. High-purity and plasma-resistant materials such as CVD-SiC, high-purity AlN, and yttria-based coatings are seeing greater usage to meet the requirements of advanced logic, 3D NAND, and other next-generation devices.
For more details on the Ceramics market outlook and supplier landscape, including information on CoorsTek, Ferrotec, Corning, and others, visit: https://techcet.com/product/ceramics/
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ABOUT: TECHCET CA LLC is an advisory services firm expert in market and supply chain analysis of electronic markets and supply chains for the semiconductor, display, solar, and LED markets. TECHCET offers custom consulting, subscription data service, and the Critical Materials Council and DSS memberships. For additional information, please email us, call +1-480-382-8336, or go to www.techcet.com