US Interconnects and Passive Components Market Research Report By Component Type (Passive, Interconnects) - Forecast to 2035

US Interconnects and Passive Components Market Overview:

The US Interconnects and Passive Components Market Size was estimated at 41.03 (USD Billion) in 2023. The US Interconnects and Passive Components Market Industry is expected to grow from 44.5(USD Billion) in 2024 to 91.5 (USD Billion) by 2035. The US Interconnects and Passive Components Market CAGR (growth rate) is expected to be around 6.773% during the forecast period (2025 - 2035).

Key US Interconnects and Passive Components Market Trends Highlighted

The US Interconnects and Passive Components Market is experiencing significant growth driven by the increasing demand for advanced electronic systems across various industries such as telecommunications, automotive, and consumer electronics. One of the key market drivers is the ongoing expansion of high-speed internet and 5G technologies, which require efficient interconnect solutions and passive components to support faster data transmission and reliability. This growing 5G infrastructure in the US, as highlighted by government initiatives, has necessitated improvements in materials and designs used in interconnects and passive components. Opportunities within the US market can be explored in areas like smart appliances and renewable energy systems.

As the US shifts towards green technologies and smart grid solutions, there is a rising demand for reliable interconnect solutions that can withstand varying environmental conditions. Additionally, the trend towards miniaturization of electronic devices presents a ripe opportunity for manufacturers to develop smaller, more efficient passive components that cater to the needs of compact electronic devices. Recent trends show a shift towards increased customization and integration in the design of interconnects and passive components. US manufacturers are focusing on creating tailored solutions that meet the specific requirements of various applications, such as automotive electronics and telecommunications equipment.

There is also an observed push towards using sustainable materials and eco-friendly manufacturing processes to align with the broader US commitment to environmental sustainability. This shift not only appeals to consumers but also helps companies comply with regulatory standards aimed at reducing environmental impact. As the market continues to evolve, advancements in technology and increasing demand for connectivity will further shape the landscape of the US Interconnects and Passive Components Market.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

US Interconnects and Passive Components Market Drivers

Growing Demand for Advanced Electronics

The US Interconnects and Passive Components Market Industry is primarily driven by the increasing demand for advanced electronics across various sectors, including telecommunications, automotive, and consumer electronics. This trend is evidenced by the increase in electronic device manufacturing, which reached an output value of over 176 billion USD in 2022 according to the United States Census Bureau. Major corporations such as Apple and Intel are at the forefront of this demand, as they continuously innovate their products and require high-quality interconnects and passive components to enhance the performance and reliability of their devices. The ongoing transition to 5G technology further escalates the need for advanced interconnect solutions and passive components, as these technologies require enhanced connectivity solutions that support faster data transfer and improved signal integrity. As such, the ongoing technological advancements in electronics are solidifying a robust demand for interconnects and passive components in the US.

Investment in Renewable Energy Systems

The increasing investment in renewable energy systems is significantly propelling the US Interconnects and Passive Components Market Industry. According to the US Department of Energy, renewables accounted for approximately 20% of the total electricity generation in 2021, with a projection of continued growth. This surge in renewable energy initiatives results in a greater need for reliable interconnect solutions to connect energy systems efficiently. Established companies like General Electric have been focusing on smart grid and renewable technology innovations, which will necessitate advanced passive components and interconnects to maintain energy efficiency and stability. This focus on cleaner energy fuels demand, thereby contributing to the growth of the interconnects and passive components market.

Increase in Electric Vehicles Adoption

The rising adoption of electric vehicles (EVs) in the United States provides a strong impetus for the US Interconnects and Passive Components Market Industry. According to the US Department of Energy, the sales of electric vehicles surged by 70% in 2021 compared to the previous year. Major automotive manufacturers like Tesla and Ford are increasingly integrating advanced electronic controls and battery management systems, which rely heavily on robust interconnects and passive components. The diverse functionality of these components in power distribution, signal integrity, and performance enhancement within EVs represents a significant growth opportunity in the market. As the push for sustainability continues, the exponential growth in the electric vehicle sector will create a sustained demand for high-performance interconnects and passive components.

US Interconnects and Passive Components Market Segment Insights:

Interconnects and Passive Components Market Component Type Insights

The US Interconnects and Passive Components Market demonstrates significant growth potential, driven by the increasing demand for advanced technologies across various industries. The market segmentation under the Component Type notably includes Passive components and Interconnects, both of which play critical roles in the functioning of electronic devices. Passive components consist of elements like capacitors, resistors, and inductors, which are vital for regulating electronic current and ensuring signal integrity. Their importance in applications such as consumer electronics, automotive systems, and telecommunications impacts the overall market landscape.

On the other hand, Interconnects serve as essential connectors that enable communication between different electronic components. The rise of high-performance computing and data centers has propelled the need for efficient interconnect systems that can support faster data transmission and enhanced connectivity. Trends such as miniaturization and the surge in Internet of Things devices further emphasize the importance of these segments, as manufacturers seek to develop smaller, more efficient solutions without compromising performance. Additionally, innovation in material technology and the increasing integration of artificial intelligence across platforms are providing new opportunities within the US Interconnects and Passive Components Market, highlighting the dynamic nature of this sector. As industries continue to evolve and adapt to technological advancements, the significance of Passive components and Interconnects within the overall market structure is expected to grow, making them crucial elements for the future of electronics in the United States.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

US Interconnects and Passive Components Market Key Players and Competitive Insights:

The US Interconnects and Passive Components Market is characterized by a highly competitive landscape where innovation, quality, and market reach play crucial roles in defining the success of various players. This sector encompasses a wide array of products including connectors, capacitors, resistors, and other passive electronic components that are essential in a multitude of applications, from consumer electronics to industrial systems. Companies operating in this market strive to distinguish themselves through technological advancements, product reliability, and customer service while also navigating challenges such as fluctuating material costs and evolving regulatory requirements. The market is poised for growth, driven by the increasing demands for connectivity and automation across various industries, fostering a rivalry that encourages continual improvement and strategic collaborations.

Hirose Electric has established a strong presence in the US Interconnects and Passive Components Market through its commitment to quality and innovation. Known for its high-performance connectors and interconnect solutions, Hirose Electric leverages advanced technology to meet the diverse needs of its customers across sectors including automotive, telecommunications, and industrial automation. The company's product offerings are distinguished by their reliability and precision, which are critical in applications requiring enhanced performance. Hirose Electric's strengths include an extensive range of specialized connectors and a robust network of partnerships, allowing for efficient distribution and support throughout the region. By focusing on local customer demands and investing in research and development, Hirose has successfully navigated market challenges and reinforced its position as a trusted supplier.LCom has made significant strides in the US Interconnects and Passive Components Market by providing a wide array of connectivity solutions and passive components designed for high-performance applications. The company specializes in products including RF connectors, cable assemblies, and antennas, serving various industries such as telecommunications, aerospace, and military applications. LCom’s strengths lie in its dedication to quality and the swift response to market needs, facilitated by its efficient supply chain management and manufacturing capabilities within the United States. Additionally, LCom's strategic focus on innovation is reflected in its commitment to newer technologies and sustainability. The company has pursued growth through mergers and acquisitions, enhancing its product portfolio and expanding its market reach, thereby solidifying its competitive status in the dynamic landscape of interconnects and passive components. Through these efforts, LCom aims to deliver reliable and advanced solutions that cater to the increasing demands of the market.

Key Companies in the US Interconnects and Passive Components Market Include:

• Hirose Electric


• LCom


• Rosenberger


• KEMET


• Amphenol


• TE Connectivity


• Yazaki


• Vishay Intertechnology


• Sumitomo Electric


• Panasonic


• Nexans


• AVX Corporation


• Molex


• Premo

US Interconnects and Passive Components Market Industry Developments

Recent developments in the US Interconnects and Passive Components Market include a growing emphasis on sustainability and the push towards electric vehicles, which have spurred demand for advanced interconnect solutions. Companies like Amphenol and Yazaki are investing heavily in enhancing their product lines to meet the increased requirements of electric and autonomous vehicle technologies. In September 2023, KEMET announced plans to expand its production capabilities to support the rising demand for capacitors in high-frequency applications tied to telecommunications and power electronics. Additionally, mergers and acquisitions have been a notable trend. In August 2023, TE Connectivity acquired a smaller firm specializing in automotive connectors to strengthen its market position in the evolving electric vehicle sector. Moreover, Vishay Intertechnology reported a strategic partnership with Panasonic to innovate new passive components aimed at enhancing energy efficiency. Growth in market valuation for companies such as Molex and Nexans indicates a robust recovery post-pandemic, supported by governmental infrastructure initiatives aimed at bolstering the semiconductor supply chain and expanding broadband access in rural areas. These developments collectively illustrate a dynamic landscape in the US Interconnects and Passive Components Market marked by adaptability and innovation.

US Interconnects and Passive Components Market Segmentation Insights

Interconnects and Passive Components Market Component Type Outlook

• Passive


• Interconnects

Report Scope:

Report Attribute/Metric Source:	Details
MARKET SIZE 2018	41.03(USD Billion)
MARKET SIZE 2024	44.5(USD Billion)
MARKET SIZE 2035	91.5(USD Billion)
COMPOUND ANNUAL GROWTH RATE (CAGR)	6.773% (2025 - 2035)
REPORT COVERAGE	Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
BASE YEAR	2024
MARKET FORECAST PERIOD	2025 - 2035
HISTORICAL DATA	2019 - 2024
MARKET FORECAST UNITS	USD Billion
KEY COMPANIES PROFILED	Hirose Electric, LCom, Rosenberger, KEMET, Amphenol, TE Connectivity, Yazaki, Vishay Intertechnology, Sumitomo Electric, Panasonic, Nexans, AVX Corporation, Molex, Premo
SEGMENTS COVERED	Component Type
KEY MARKET OPPORTUNITIES	Growing demand for electric vehicles, Expansion of 5G infrastructure, Increasing IoT applications, Advancements in renewable energy, High-performance computing growth
KEY MARKET DYNAMICS	Technological advancements, Rising demand for automation, Growth in consumer electronics, Increasing electric vehicle adoption, Sustainability and eco-friendly components
COUNTRIES COVERED	US