In recent years, due to the continuous development of downstream industries like communications, consumer electronics, new energy vehicles, and industrial control security and surveillance, China's connector market demand has maintained stable growth. The overall market size is on an upward trend, highlighting vast potential within the industry.
Presently, the global connector market generally is experiencing steady growth. Chinese connector industry market size continues to grow, and China has emerged as a large connector production base worldwide. The Report on Analysis and Development Forecast of China's Connector Industry (2024 - 2029) by AskCI Consulting Co., Ltd.[11] shows that China's connector market size in 2022 is RMB 193.9 billion, with a compound annual growth rate of 6.11% in recent five years. Projections from analysts at AskCI Consulting Co., Ltd. anticipate that China's annual connector market size will reach RMB 205.7 billion in 2023 and RMB 218.3 billion in 2024.
Strong demand in downstream segments
Features of connectors include ease of maintenance and upgradability, and improving design flexibility. Connectors are widely utilized in aerospace, communication and data transmission, new energy vehicles, rail transit, consumer electronics, energy, healthcare, and other sectors. As the manufacturing industry advances in informatization and intelligence, connectors are expected to see increased applications in automobiles, national defense and military industry, and high-end equipment manufacturing. The future market space for connectors will continue to expand. In terms of the military products business, the demand for mechanization and information construction in the armed forces is propelling the upgrading of weaponry and military supplies. Consequently, the high-end military connector market is growing rapidly, with the growth rate potentially continuing to be higher than the average growth rate of the military industry. In terms of the civilian goods business, the popularity of 5G communication for commercial use, the rapid growth of the new energy vehicle market, the Internet of Things development, and the robust downstream demand of the industry will drive continuous expansion in the future connector market size.
Favorable policies for industry development
In recent years, China's connector industry has been highly valued and supported, and many policies have been successively introduced to encourage the development and innovation of the connector industry. The 14th Five-Year Plan for the Development of China's Electronic Components Industry by the China Electronic Components Association outlines that attention will be paid to the application needs in high-end fields such as 5G communication equipment, big data centers, new energy vehicles and charging piles to promote the development of China's optoelectronic connector industry towards miniaturization, lightweight, high reliability, intelligence, high frequency and high speed and accelerate the transformation and upgrading of the optoelectronic connector industry, thereby fostering advancements of electronic components such as connectors.
Domestic products are displacing imports to foster the industry's growth
As the global manufacturing industry's focus shifts to China's mainland, the global connector production hub is simultaneously shifted to China's mainland. Consequently, China has become a larger connector production base worldwide. Due to the expanded overall level and market size of China's connector manufacturing year by year, China has become a global connector market with more potential for development and rapid growth. In the field of NEV high-voltage connectors, domestic manufacturers have stood on par with overseas giants. Though overseas manufacturers of high-frequency and high-speed connectors hold slight advantages, top domestic enterprises are swiftly closing the gap through accelerated efforts. The localization rate of automotive connectors is continuously increasing, accelerating the development of the industry.
* Photo/Text Source丨Qianshutang[12]
electronica China will be held at the Shanghai New International Expo Centre from July 8 to 10, 2024. At electronica China, a themed exhibition area for connectors will be built to radiate and attract high-quality connector enterprises worldwide to display industrial technology applications, discuss industry development, and provide a bridge for relevant exhibitors and visitors in need. To follow the development of the industry, the International Connector Innovation Forum will also be held during electronica China, and a group of industry experts will be invited for in-depth analysis and discussion to strengthen scientific and technological innovation.
