PUBLISHER: KBV Research | PRODUCT CODE: 1649316
PUBLISHER: KBV Research | PRODUCT CODE: 1649316
The Asia Pacific Advanced Packaging Market would witness market growth of 9.5% CAGR during the forecast period (2024-2031).
The China market dominated the Asia Pacific Advanced Packaging Market by Country in 2023, and would continue to be a dominant market till 2031; thereby, achieving a market value of $10,123.3 million by 2031. The Japan market is expected to witness a CAGR of 8.9% during (2024 - 2031). Additionally, The India market would register a CAGR of 10.4% during (2024 - 2031).
Thermal management is of paramount importance in the design of advanced packaging solutions, given that contemporary semiconductors produce substantial heat during their operation. Effective heat dissipation is essential for ensuring the reliability and longevity of devices, particularly in high-performance applications. Advanced materials and innovative packaging designs have been developed to address this challenge, enabling manufacturers to maintain optimal thermal performance while improving overall efficiency. These innovations are particularly important in applications such as data centers, 5G infrastructure, and industrial automation, where semiconductors operate under demanding conditions.
The demand for high-performance computing (HPC) in data centers, supercomputers, and edge computing systems has driven the adoption of advanced packaging technologies. These systems require exceptional processing power and efficient heat management to handle complex workloads such as AI, climate modeling, and financial simulations. Advanced solutions like Through-Silicon Vias and 3D Integrated Circuits stack chips vertically for higher density and faster data transfer, enabling compact and efficient designs. Companies like NVIDIA and AMD leverage these technologies in GPUs and processors to enhance performance and energy efficiency. Additionally, advanced cooling methods, such as liquid cooling embedded in the packaging, ensure optimal thermal management, as seen in high-performance systems like Japan's Fugaku supercomputer.
Southeast Asia, particularly Malaysia, is strengthening its advanced packaging production capacity. While front-end fabrication remains concentrated in South Korea and Taiwan, Malaysia focuses on expanding back-end assembly operations. The country's five-year plan aims to increase the semiconductor industry's contribution to GDP by 8%, promoting investments in high-value goods and innovation in design and development. These initiatives drive demand for advanced packaging, especially in the smartphone and consumer appliance sectors, where multilayer packaging is essential for the high-quality assembly of complex architectures. Malaysia's growing packaging capabilities contribute to the Asia-Pacific region's overall strength in the advanced packaging market. Therefore, as the Asia-Pacific region continues to lead in semiconductor and electronics manufacturing, the demand for advanced packaging solutions is expected to increase significantly.
Based on Type, the market is segmented into Flip-Chip Ball Grid Array, Fan-out WLP, Flip chip CSP, Wafer level CSP, 2.5D/3D, and Other Type. Based on End User, the market is segmented into Consumer Electronics, Automotive, Industrial, Healthcare, Aerospace & Defense, and Other End User. Based on countries, the market is segmented into China, Japan, India, South Korea, Singapore, Malaysia, and Rest of Asia Pacific.
List of Key Companies Profiled
Asia Pacific Advanced Packaging Market Report Segmentation
By Type
By End User
By Country