What is the Electronics Manufacturing Market?

Electronics Manufacturing


The computer and electronic product manufacturing industry produces computers, computer-related products, including printers, communications equipment, and home electronic equipment, as well as a wide range of goods used for both commercial and military purposes. In addition, many electronics products or components are incorporated into other industries’ products, such as cars, toys, and appliances.

How Big is the Electronics Manufacturing Market?

The worldwide electronics manufacturing services (EMS) market is a determining force in production of electronics products and now accounts for almost 40 percent of all assembly. While the rate of growth for outsourcing is slowing, it still represents the most desired manufacturing model for the assembly of electronics products available to OEM companies.


Forecasts of the worldwide electronics assembly market are stated in terms of cost of goods sold, thus providing a baseline for the manufacturing value of electronics product assemblies. NVR estimates that total electronics assembly value was $1.3 trillion in 2013 and will grow to approximately $1.8 trillion in 2018 – a 5.9 percent compounded annual growth rate. Fueled by the demand for EMS services, NVR believes that the EMS industry will grow from $440 billion in 2013 to $639 billion in 2018 – approximately at a 7.7 percent CAGR.

How is the Electronics Manufacturing Market Segmented?

The electronics manufacturing market is segmented in several ways:


  • By revenue – Tier 1 > $800M, Tier 2 $250M – $800M, Tier 3 < $250
  • By manufacturing model
    • High Mix Low Volume (HMLV)
    • High Volume Low Mix (HVLM)
  • By services offered, including design services used in conceptual product development and mechanical, electrical and software design assistance. Testing services perform in-circuit, functional, environmental, agency compliance, and analytical laboratory testing.