Electronic Manufacturing Services Market By Service Type (PCB Assembly, Box-Building and Final Assembly, Original Design Manufacturing (ODM), Electronics Design and Engineering), By Technology (Surface Mount Technology (SMT), Through-Hole Technology, Chip-on-Board (COB), 3D Printing and Additive Manufacturing), By End-User Industry (Automotive, Consumer Electronics, Industrial Equipment, Healthcare Devices, Telecommunications, Aerospace and Defense), and By Region; Global Insights & Forecast (2024 – 2030)

As per Intent Market Research, the Electronic Manufacturing Services Market was valued at USD 593.1 billion in 2023 and will surpass USD 861.5 billion by 2030; growing at a CAGR of 5.5% during 2024 - 2030.

The electronic manufacturing services (EMS) market is a critical segment within the broader electronics industry, offering a wide range of services that help businesses in various sectors design, produce, and assemble electronic products. EMS providers specialize in services like PCB assembly, box-building, and final assembly, with a focus on optimizing production processes and ensuring product quality. The growing reliance on electronics across industries such as automotive, healthcare, telecommunications, and consumer electronics has led to significant demand for EMS solutions. With the increasing complexity of electronic devices and the need for specialized manufacturing, EMS companies are playing a pivotal role in bringing innovative products to market while minimizing production costs.

As industries continue to adopt advanced technologies like the Internet of Things (IoT), automation, and artificial intelligence (AI), the role of EMS providers becomes even more important. They support the integration of complex systems and help meet the demand for higher-quality, cost-effective solutions. Additionally, advancements in manufacturing technologies such as surface mount technology (SMT), 3D printing, and additive manufacturing are enabling EMS companies to deliver highly customized, efficient, and scalable solutions to meet the ever-growing needs of their clients.

PCB Assembly is the Largest Service Type Owing to Its Widespread Application Across Industries

PCB assembly is the largest service type in the EMS market, driven by its widespread application across various industries, including consumer electronics, automotive, telecommunications, and healthcare. Printed circuit boards (PCBs) are fundamental components in nearly all electronic devices, serving as the backbone that connects and supports different electronic components. As the complexity of electronic devices increases, the demand for high-quality, precision PCB assembly services continues to grow. EMS providers specializing in PCB assembly offer advanced manufacturing techniques, ensuring that the assemblies meet stringent standards for performance and reliability.

The automotive sector, in particular, has significantly contributed to the growth of PCB assembly services, as vehicles become increasingly reliant on electronics for functions like infotainment systems, autonomous driving, and electric powertrains. Similarly, consumer electronics companies, which include smartphones, wearables, and home appliances, rely on EMS providers for high-volume, high-quality PCB assembly. The demand for PCBs in these sectors has driven continuous innovation in assembly techniques, ensuring that the EMS market remains the largest segment in the electronic manufacturing services industry.

Original Design Manufacturing (ODM) is the Fastest Growing Service Type Due to Rising Demand for Custom Solutions

Original Design Manufacturing (ODM) is the fastest-growing service type in the EMS market, driven by the increasing need for customized and innovative solutions across a variety of industries. ODM services involve the design and manufacturing of products based on the specifications provided by the client, allowing businesses to create unique products without having to invest heavily in design and development. This service is particularly attractive to companies looking to launch new products quickly, reduce time-to-market, and lower production costs.

Industries like consumer electronics, automotive, and healthcare are increasingly relying on ODM services to bring customized solutions to market. In the consumer electronics sector, for example, companies often seek ODM services to develop innovative devices, such as smart home appliances and wearables, without the need for in-house design teams. Additionally, the automotive industry is leveraging ODM services to develop specialized components and systems, particularly for electric vehicles (EVs) and autonomous driving technologies. As businesses increasingly seek to differentiate themselves in a competitive market, the demand for ODM services is expected to continue growing, making it the fastest-growing segment within the EMS market.

Automotive Sector is the Largest End-User of EMS Solutions

The automotive industry is the largest end-user of electronic manufacturing services, largely due to the rapid integration of advanced electronics in vehicles. Modern automobiles require a wide range of electronic components, such as sensors, control units, infotainment systems, and electric powertrains. The shift towards electric vehicles (EVs) and autonomous driving technologies has significantly increased the demand for high-precision, high-quality electronic components, which are supplied by EMS providers.

In addition to EVs, automotive manufacturers rely on EMS companies for the production of components for traditional vehicles, including advanced driver-assistance systems (ADAS), entertainment systems, and safety technologies. As the automotive industry continues to evolve, the reliance on EMS providers to deliver cutting-edge, reliable, and cost-effective solutions is expected to remain strong, making the automotive sector the largest end-user of EMS solutions.

Asia Pacific is the Largest Region Driven by Manufacturing Hub and Strong Demand for Electronics

Asia Pacific is the largest region in the electronic manufacturing services market, owing to its position as the global manufacturing hub for electronics. The region hosts some of the world's largest EMS providers and benefits from an established supply chain, skilled labor, and advanced manufacturing capabilities. Countries like China, Taiwan, Japan, and South Korea are leading the charge in electronics production, with a large concentration of EMS companies catering to industries such as consumer electronics, automotive, telecommunications, and industrial equipment.

Asia Pacific's dominance is also fueled by strong demand for electronics, especially in countries like China and India, which have become major consumers of electronic products. The region's extensive infrastructure for mass production and assembly makes it an attractive destination for businesses seeking cost-effective solutions. Moreover, the rise of technology-driven industries like electric vehicles, renewable energy, and IoT in Asia Pacific is further driving the growth of the EMS market. The region is expected to maintain its leadership position in the EMS market, with continued investments in manufacturing technologies and infrastructure.

Competitive Landscape and Leading Companies

The electronic manufacturing services market is highly competitive, with several large global players providing a range of services across industries. Leading companies in this market include Foxconn, Jabil, Pegatron, Flex, and Celestica, which offer services ranging from PCB assembly and ODM to complex design and engineering solutions. These companies serve a wide array of end-users, from consumer electronics giants like Apple and Samsung to automotive manufacturers like Tesla and BMW.

The competitive landscape is marked by increasing consolidation and partnerships between EMS providers and original equipment manufacturers (OEMs) to secure long-term contracts and expand service offerings. Many companies are also focusing on enhancing their technological capabilities by adopting advanced manufacturing technologies like 3D printing, additive manufacturing, and AI-driven automation to stay ahead of the competition. As the demand for customized, high-quality electronic components continues to rise, EMS providers are increasingly differentiating themselves through innovation, customer service, and the ability to scale production to meet the evolving needs of the market.

Recent Developments:

• In December 2024, Flex Ltd. announced the launch of a new manufacturing facility in North America to support the growing demand for electric vehicle components.
• In November 2024, Foxconn Technology Group secured a major contract with a leading telecommunications company to manufacture 5G infrastructure equipment.
• In October 2024, Jabil Inc. expanded its operations in Asia to cater to the increasing demand for consumer electronics production.
• In September 2024, Sanmina Corporation introduced a new PCB assembly line equipped with AI-driven inspection systems for high-precision manufacturing.
• In August 2024, Pegatron Corporation announced a strategic partnership with an automotive manufacturer to produce advanced electronics for electric vehicles.

List of Leading Companies:

• Foxconn Technology Group
• Pegatron Corporation
• Wistron Corporation
• Jabil Inc.
• Flex Ltd.
• Sanmina Corporation
• Celestica Inc.
• Quanta Computer Inc.
• Benchmark Electronics
• Vexos Inc.
• Keytronic Corporation
• Hon Hai Precision Industry Co. Ltd.
• Sierra Circuits Inc.
• New Kinpo Group
• Lite-On Technology Corporation

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