Transparent Ceramics Market Size

Transparent Ceramics Market Size

Transparent Ceramics Market size was estimated over USD 300 million in 2018 and the industry will grow by a CAGR of more than 20% up to 2025.

Developments in the global optoelectronics industry will be the chief driver for the global transparent ceramics market growth over the study period. The sale of optoelectronics, sensor, and discrete (O-S-D) components by leading vendors in 2017 was approximately USD 75 billion, which crossed USD 82 billion in 2018. Such rising demand in the optoelectronics market will spur the demand for transparent ceramics products as they are widely used for manufacturing optical switches, laser systems, lenses, infrared night vision devices, etc. The global optoelectronics industry will witness a high growth with double figure growth rate across the forecast span, with the U.S. dominating the industry. Hence, North America will be a significant consumer of transparent ceramics products, and will play a major role in the market growth. Fast growth trends in the Asia Pacific countries such as China, South Korea, Japan, and India in the field of optoelectronics will also signify the product market over the coming years.

U.S. is also a major player in the transparent ceramics market due to its growing military and defense expenditure. The U.S. military spending increased by 4.6% since 2010 and crossed USD 640 billion in 2018. It is the largest military spender in the world, with China in the second place accounting for less than half of the U.S expenses. The major factors behind this rise was the increased terrorist activities, geopolitical uncertainties, and government initiatives like implementation of new arms procurement plan by the Trump administration in 2017. Such increasing trend in the defense sector in the U.S. will augment the demand in the market over the coming years owing to its excessive usage in this sector. The product finds various applications in the defense sector such as transparent armors, infrared guided missile domes, night vision devices, etc.

The market may face hindrances due to its high price and significant degree of technological knowhow required for product development. The market players are trying to develop stronger and more efficient products with better transparency in order to expand their market presence. The high R&D requirement in the market may pose growth challenges over the next few years.