Electronic components industry dynamics in May 2025: Technological innovation and global market trends
At a time when science and technology are developing rapidly, the electronic components industry, as the foundation of modern industry, is undergoing profound changes. In May 2025, many technological breakthroughs and market dynamics emerged worldwide, injecting new momentum into the future development of the industry.
1. Technological innovation: the core driving force for the advancement of the industry
Acceleration of commercialization in the robotics industry
This month, STMicroelectronics reached a cooperation with Fibocom and Yunshen Technology to provide customized positioning modules for the new generation of quadruped robots, accelerating the commercialization process of the robotics industry. At the same time, companies such as SmartSens, Quintiles Core, and Jiangxin Chuang have made significant progress in the field of robot perception systems, launching high-performance image sensors, intelligent magnetic sensors, and domestic closed-loop processor solutions to improve the robot's environmental perception and control accuracy.
Breakthrough in third-generation semiconductor materials
Jingsheng Electromechanical successfully developed a 12-inch conductive silicon carbide (SiC) crystal, marking an important breakthrough in my country's third-generation semiconductor materials. SiC materials are becoming core materials in new energy vehicles, 5G communications and other fields due to their excellent performance in high temperature and high pressure environments, promoting industrial technology upgrades.
Growth of AI and data center infrastructure
With the gradual implementation of generative AI on the end side, the demand for data center infrastructure such as AI servers, switches, and optical modules has surged. NVIDIA's H200 series AI chip shipments are expected to reach 6.5-7 million units, and the scale of the related supply chain exceeds US$180 billion, demonstrating the strong pull of AI technology on the electronic components market.
2. Global market trends: emerging applications and demand growth
New energy vehicles and intelligent connected vehicles
The penetration rate of electric vehicles exceeds 45%, and the demand for high-performance power semiconductor devices (such as IGBT and SiC MOSFET) continues to grow. BYD Semiconductor, Star Semiconductor and other companies have entered the top ten global market shares, driving the rapid development of the automotive electronics market.
Deep integration of 5G and the Internet of Things
The number of 5G base stations worldwide is expected to reach 10 million in 2025, driving the demand for high-performance components such as RF devices and optical communication devices. The expansion of the application of the Internet of Things in smart homes, smart wearables and other fields has further driven the growth of the smart sensor market.
Upgrading of the consumer electronics market
AI technology is deeply integrated with consumer electronics. The shipments of AI mobile phones and AI PCs are expected to reach 405 million and 100 million units respectively in 2025, which will promote the upgrade of components such as processors and storage. Huawei Mate 70 series domestic components account for more than 85%, demonstrating the strength of the local supply chain.
3. International trade and policy trends: tariff adjustments and export controls
The impact of China-US tariff adjustments
In May, China and the United States announced the cancellation of some additional tariffs, which may ease the cost pressure of importing and exporting electronic components. Previous tariff fluctuations have caused some companies to adjust their supply chain strategies, such as temporarily storing products in bonded warehouses to avoid risks.
Calls for relaxation of US AI chip export controls
US technology giants called for relaxation of AI chip export controls at a congressional hearing to maintain technological leadership over China. Nvidia is developing new AI chips that meet export regulations, trying to retain the Chinese market under the premise of compliance.
Strategic upgrade of EU Chip Act 2.0
The EU passed Chip Act 2.0 and plans to invest heavily to increase chip production capacity and reduce dependence on Asia. The bill may reshape the global semiconductor competition landscape and have a profound impact on the trade flow of electronic components.
4. Supply chain and capacity layout: diversification strategy and global layout
Risks and response strategies of the global supply chain
Risks such as trade conflicts and natural disasters have prompted companies to adopt diversified supply chain strategies. For example, some companies have locked in TSMC and SMIC's production capacity in advance through the "dual supply chain" model to ensure stable supply.
Adjustment of the global layout of semiconductor wafer fabs
China, South Korea, Japan and other countries are accelerating the expansion of semiconductor production capacity. SMIC's 14nm process yield reached 90%, but the technology below 7nm still faces challenges. The global wafer fab layout shows a regional trend to cope with geopolitical risks.
Conclusion
In May 2025, driven by multiple factors such as technological innovation, market demand, and trade policies, the electronic components industry showed vigorous development vitality. From the acceleration of commercial use of robots to breakthroughs in third-generation semiconductors, from the implementation of AI technology to the reconstruction of the global supply chain, the industry is facing unprecedented opportunities for change. In the future, with the deepening of technology integration and market expansion, electronic components will continue to provide core support for global scientific and technological progress and industrial upgrading.
Need Help?
