【World Express】Fuji Keizai Research Institute Announced the Global Power Semiconductor Market Forecast in 2025

      It is expected that by 2035, the global power semiconductor market size will reach 3886 billion yuan, which is about 2.3 times that of 2024. The advancement of automotive electrification will drive significant growth in the next generation of power semiconductors.

      Integrated marketing firm Fuji Keizai Group Co., Ltd. (President and CEO: Hiroyuki Kikuchi, based in Nihonbashi, Chuo Ku, Tokyo) has surveyed the global power semiconductor market and expects inventory levels of mainly consumer electronics and industrial equipment to decrease in the second half of 2025 due to the economic situation in China, followed by substantial growth from 2026 onwards. In the long run, demand is also expected to increase due to factors such as the electrification of vehicles.

Summary of Findings

      Power semiconductors in 2024 were affected by inventory adjustments and slowing demand for electric vehicles, as well as falling investment in factory automation and a recession in China, leading to a backlog of inventory. Demand was recovered from the second half of 2024 and inventory is expected to return to normal in the second half of 2025, so the market size is expected to reach about 176.3 billion yuan in 2025.

      Silicon power semiconductors are expected to see only a small increase in 2025 due to inventory adjustments. However, growth is expected from 2026 as inventory levels begin to normalize from the second half of 2025.

      Among the next generation power semiconductors, SiC power semiconductors, which have a larger market size, still have some demand, but saw a slight increase in 2024 due to concerns about stagnating demand for electric vehicles and power regulators for solar power generation. In addition, GaN power semiconductors also achieved strong growth due to their replacement of silicon semiconductors in AC-DC adapters, as well as their strong demand in consumer electronics and information and communication equipment. SiC power semiconductors and GaN power semiconductors are expected to continue to grow together with next-generation power semiconductors in 2025. Going forward, the electrification of vehicles, including electric vehicles, will drive wider application of next-generation power semiconductors. In addition, compared with silicon, SiC and GaN, Gallium Oxide power semiconductors that can handle higher voltages and large currents will be put into practical application from around 2026. Field-effect transistors for high-voltage applications are expected to begin production around 2030. The market size is expected to reach about 740 million yuan by 2035.