EU's Electronic Chip Market Set for Steady Growth by 2035
Berlin, Tuesday, 9 September 2025.
The EU electronic chip market is forecasted to reach 102 billion units and $90.5 billion in value by 2035, with Spain and Germany leading in consumption and market value, respectively.
Growth Dynamics and Market Leaders
The European Union’s electronic chip market is on track to reach 102 billion units and $90.5 billion in value by 2035, marking a steady growth trajectory. This expansion is supported by a compound annual growth rate (CAGR) of 1.6% in unit sales and 2.9% in monetary value, reflecting a strong demand for advanced electronics across the region. Spain leads the EU in consumption volume, while Germany dominates in terms of market value, underscoring its position as a key player in the electronics sector [1].
Production and Trade Trends
In 2024, the EU saw a 23% increase in electronic chip consumption, reaching 86 billion units, a significant rebound from a three-year decline. This growth was driven by technological advancements and increased consumer demand. Germany, Italy, and the Czech Republic emerged as leading producers, collectively manufacturing 36 billion units in 2024. Meanwhile, imports surged to 91 billion units, with Spain as the largest importer and Germany and the Netherlands leading in import value [1]. The export market also expanded, with 41 billion units exported, highlighting the EU’s growing role in global electronic chip trade [1].
Price Dynamics and Market Shifts
The EU electronic chip market has experienced a notable shift towards higher-volume, lower-unit-price trade flows. In 2024, both import and export prices per unit saw drastic declines, with the import price dropping by 41.6% to $712 per thousand units. This trend signifies a focus on volume over unit price, driven by competitive pressures and consumer demand for affordable technology. Notably, multichip integrated circuits, particularly memories, fetched the highest prices, with Spain offering the lowest prices per thousand units [1].
Implications for the European Electronics Sector
The steady growth of the EU electronic chip market presents significant opportunities for the European electronics sector. As the market evolves, companies must adapt to changing trade dynamics and consumer preferences. Decision-makers are advised to focus on strategic investments in production capabilities and supply chain resilience to capitalize on the anticipated growth. The upcoming IPC Day EMS Europe event in Paris, scheduled for September 18, 2025, offers a platform for industry leaders to discuss these trends and explore collaborative opportunities [2].