Silicon Carbide Market Size, Share & Trends Analysis Report By Product (Black, Green), By Application (Steel, Automotive, Aerospace & Aviation, Military & Defense, Electronics, Healthcare), By Region, And Segment Forecasts, 2025 - 2030

Silicon Carbide Market Summary

Silicon carbide is used as a raw material for refractory on account of its high-temperature resistance. The refractory products are widely used in the linings of kilns, furnaces, and reactors in various industries, such as cast iron, steel, aluminum, and metal. The production growth in the aforementioned ferrous and non-ferrous industries is expected to drive the market for refractory materials.

The silicon carbide (SiC) market is experiencing significant growth, driven by its superior properties such as high thermal conductivity, voltage resistance, and efficiency in power electronics. These attributes make SiC an ideal material for applications in electric vehicles (EVs), renewable energy systems, and high-performance industrial equipment. The global shift towards electrification and decarbonization, supported by government initiatives like the U.S. Department of Energy's $544 million loan to expand SiC wafer production in Michigan and the European Union's approval of Italian state aid for a $5.4 billion STMicroelectronics SiC chip plant in Sicily, underscores the strategic importance of SiC in achieving energy efficiency and sustainability goals.

Despite its advantages, the SiC market faces challenges that could impede its growth. The high cost of SiC devices, attributed to complex manufacturing processes and the need for specialized equipment, remains a significant barrier. In addition, the brittleness of SiC materials complicates fabrication, requiring advanced techniques and skilled labor. Supply chain constraints, including limited availability of high-quality SiC substrates and geopolitical factors affecting raw material sourcing, further exacerbate these issues. Addressing these challenges is crucial for the widespread adoption of SiC technologies across various industries

Drivers, Opportunities & Restraints

The silicon carbide (SiC) market is driven by the increasing demand for energy-efficient semiconductor devices, particularly in the electric vehicle (EV) and renewable energy sectors. Governments worldwide are promoting the adoption of EVs and sustainable energy solutions, leading to the growth of SiC applications in power electronics and charging infrastructure. For instance, the U.S. Department of Energy's initiatives to expand SiC production and the European Union’s funding for advanced semiconductor facilities highlight the strategic push toward reducing carbon emissions and enhancing energy efficiency. In addition, the high thermal conductivity and power handling capabilities of SiC make it crucial in high-performance industrial applications, driving market adoption.

The SiC market presents significant opportunities in the expanding EV ecosystem, where SiC-based power modules enable faster charging, higher power density, and improved performance. The automotive industry's shift towards SiC technology for inverters and onboard chargers is gaining traction due to its efficiency. In addition, increasing investments in smart grid infrastructure and high-voltage applications are paving the way for SiC’s integration into energy distribution systems. Collaborations between government bodies and private manufacturers to localize production and reduce supply chain vulnerabilities further bolster opportunities for market players.

Despite its promising applications, the SiC market faces challenges primarily related to high manufacturing costs and limited raw material availability. The complexity of SiC crystal growth and the need for advanced processing techniques make the production expensive compared to conventional silicon-based materials. Moreover, the brittle nature of SiC complicates machining and device fabrication, requiring specialized expertise. Geopolitical tensions affecting the supply of raw materials, especially from countries with significant SiC reserves, also pose a risk to the steady growth of the market. Addressing these technical and supply chain hurdles is crucial for broader adoption across industries.

Product Insights

Black silicon carbide segment held the revenue share of 54.8% in 2024. Black silicon carbide is made available in various forms including block, grain, and powder. The grain form of the product is widely popular, especially in the iron and steel manufacturing processes through electric arc furnaces. The rising consensus towards the adoption of electric arc furnaces to promote reduced usage of natural raw materials is likely to aid the segment growth during the forecast period.

The green SiC product segment is anticipated to register the fastest CAGR during the forecast period. The product is defined among the hardest man-made minerals, which possess high strength at extreme temperatures. On account of its resistivity against high temperatures, the product is widely utilized in the development of special kinds of ceramics. The growing usage of specialty ceramics to produce metal-matrix composites, wear-resistant seals, nozzles, and others is likely to positively influence the growth of the green SiC segment during the forecast period.

Application Insights

Electronics segment held the revenue share of 27% in 2024. Silicon carbide plays a pivotal role in steel manufacturing due to its exceptional thermal conductivity, high melting point, and chemical inertness. These properties make SiC an ideal material for refractory linings in furnaces, crucibles, and other high-temperature processing equipment. Its ability to withstand extreme temperatures and corrosive environments enhances the efficiency and longevity of steel production facilities.

Furthermore, SiC is utilized as a deoxidizing agent in steelmaking processes. By effectively removing oxygen from molten steel, it helps in producing cleaner steel with improved mechanical properties. The incorporation of SiC in steel production not only improves product quality but also contributes to energy savings and reduced emissions, aligning with global sustainability goals.

In the military and defense sector, silicon carbide's unique combination of strength, lightweight, and thermal stability makes it invaluable. SiC ceramics are extensively used in the manufacturing of ballistic armor for personnel and vehicles, providing enhanced protection against high-velocity projectiles while maintaining maneuverability due to their reduced weight.

Moreover, SiC's superior electronic properties are harnessed in advanced radar and communication systems. Its high thermal conductivity and ability to operate at elevated temperatures enable the development of compact, high-power electronic devices essential for modern defense applications. The U.S. Department of Defense has recognized the strategic importance of SiC, investing in domestic production capabilities to ensure a reliable supply for critical defense technologies.

Silicon carbide is emerging as a transformative material in the healthcare industry, particularly in the development of medical implants and devices. Its biocompatibility, chemical inertness, and mechanical strength make it suitable for long-term implantation in the human body. SiC is being explored for use in orthopedic implants, dental prosthetics, and cardiovascular devices, where durability and compatibility with biological tissues are paramount.

Regional Insights

North America silicon carbide market is bolstered by the growing emphasis on energy-efficient solutions and the electrification of transportation. U.S. in particular, is witnessing increased adoption of SiC in EVs, driven by stricter emissions regulations and the push for sustainable mobility. SiC's superior thermal conductivity and voltage resistance make it ideal for high-performance power electronics in automotive and industrial applications. Furthermore, government initiatives and investments are supporting the domestic production of SiC to strengthen the supply chain and reduce reliance on imports.

U.S. Silicon Carbide Market Trends

In the U.S., the SiC market is experiencing significant growth due to federal support for advanced manufacturing and clean energy technologies. Companies are expanding their SiC production capacities to meet the rising demand from the EV sector and renewable energy projects. The government's focus on enhancing domestic semiconductor manufacturing capabilities is also contributing to the development of SiC technologies. In addition, collaborations between industry players and research institutions are fostering innovation in SiC applications across various sectors.

Asia Pacific Silicon Carbide Market Trends

Asia Pacific held over 59% revenue share of the global silicon carbide market in 2024. The Asia Pacific region is a significant hub for SiC adoption, driven by the rapid growth of electric vehicles (EVs), renewable energy, and telecommunications. Countries such as China, Japan, and South Korea are investing heavily in SiC technologies to enhance power electronics and energy efficiency. The region's focus on reducing carbon emissions and improving energy infrastructure has led to increased demand for SiC-based components in solar inverters, wind turbines, and EV powertrains. In addition, the expansion of 5G networks and data centers is propelling the use of SiC in high-frequency and high-power applications.

China silicon carbide market is a dominant player in the global market, with substantial investments in EVs, renewable energy, and semiconductor manufacturing. The government's policies promoting clean energy and technological self-reliance are accelerating the development and adoption of SiC technologies. Chinese companies are expanding their SiC production capacities to meet domestic demand and reduce dependence on foreign suppliers. In addition, China's focus on 5G deployment and smart grid infrastructure is creating new avenues for SiC applications.

SiC market in India is emerging, supported by the government's initiatives to promote electric mobility and renewable energy. The country's push for indigenization in semiconductor manufacturing is encouraging investments in SiC production and research. SiC's potential to enhance the efficiency of power electronics is being explored in applications ranging from EVs to solar inverters. Furthermore, collaborations between academia and industry are fostering innovation in SiC technologies tailored to India's unique energy and transportation needs.

Europe Silicon Carbide Market Trends

Europe's SiC market is driven by the region's commitment to sustainability and the transition to green energy. The automotive industry, particularly in countries like Germany and France, is increasingly integrating SiC components to improve the efficiency and performance of EVs. Moreover, Europe's investments in renewable energy infrastructure, such as wind and solar power, are creating opportunities for SiC in power conversion and grid applications. The region's focus on reducing carbon emissions and enhancing energy security is further propelling the adoption of SiC technologies.

Germany SiC market is expected to grow due to its strong automotive and industrial sectors. German manufacturers are leveraging SiC to develop high-efficiency power electronics for EVs, aiming to extend driving range and reduce charging times. The country's emphasis on Industry 4.0 and smart manufacturing is also driving the use of SiC in automation and control systems. Furthermore, Germany's commitment to renewable energy is fostering the integration of SiC in energy storage and distribution solutions.

Latin America Silicon Carbide Market Trends

In Latin America, the SiC market is gradually gaining traction, primarily driven by the region's focus on renewable energy and industrial modernization. Countries like Brazil and Mexico are investing in wind and solar power projects, where SiC's efficiency in power conversion is beneficial. The automotive sector's interest in EVs is also opening up opportunities for SiC in powertrain and charging infrastructure applications. While the market is still in its nascent stages, supportive policies and international collaborations are expected to accelerate SiC adoption in the region.

Key Silicon Carbide Company Insights

Some of the key players operating in the market include AGSCO Corporation, Carborundum Universal Limited and Washington Mills.

• Carborundum Universal Limited (CUMI), established in 1954, is a leading Indian materials science company headquartered in Chennai and is part of the Murugappa Group. CUMI specializes in manufacturing a diverse range of products, including abrasives, ceramics, refractories, and electro minerals, serving industries such as engineering, automotive, and energy.

• Founded in 1868, Washington Mills is one of the world's largest producers of abrasive grains and fused mineral products, headquartered in North Grafton, Massachusetts. As a family-owned enterprise, it manufactures a wide array of materials, including silicon carbide, aluminum oxide, and boron carbide, catering to industries such as aerospace, automotive, and electronics.

Recent Developments

• In February 2025, Infineon Technologies AG announced the release of its first products based on advanced 200 mm silicon carbide technology, marking a significant milestone in the company's efforts to enhance SiC device performance and production capacity.

• In January 2025, China's Silan Microelectronics and STMicroelectronics advanced their 8-inch SiC production lines, with STMicroelectronics' facility in Chongqing expected to commence wafer production by late February, aiming to meet the growing demand for SiC devices in electric vehicles and power grids.

Silicon Carbide Market Report Scope

Global Silicon Carbide Market Report Segmentation

This report forecasts revenue and volume growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2030. For the purpose of this study, Grand View Research has segmented the global silicon carbide market report on the basis of product, application, and region:

• Product Outlook (Volume, Kilotons; Revenue, USD Million, 2018 - 2030)

  • Black

  • Green

• Application Outlook (Volume, Kilotons; Revenue, USD Million, 2018 - 2030)

  • Steel

  • Automotive

  • Aerospace & aviation

  • Military & Defense

  • Electronics

  • Healthcare

  • Others

• Regional Outlook (Volume, Kilotons; Revenue, USD Million, 2018 - 2030)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • Germany

    • France

  • Asia Pacific

    • China

    • Japan

    • South Korea

  • Latin America

  • Middle East & Africa