Global Electronic Manufacturing Services Market Overview
Electronic Manufacturing Services Market Size was valued at USD 599.97 Billion in 2024. The Electronic Manufacturing Services industry is projected to grow from USD 631.18 Billion in 2025 to USD 996.26 Billion by 2034, exhibiting a compound annual growth rate (CAGR) of 5.2% during the forecast period (2025 - 2034). Cost-effective manufacturing solutions, focus on core competencies, globalization and market expansion, shorter product lifecycles, growing IoT and wearable technology, focus on quality and compliance, technological advancements in manufacturing, and sustainable and green manufacturing are the key market drivers enhancing the market growth.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Electronic Manufacturing Services Market Trends
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Focus on core competencies is driving the market growth
A fundamental factor in the expansion of the electronic manufacturing services (EMS) market has been the emphasis on core competencies. Companies across a wide range of industries understand the value of specializing in their particular strengths and talents to stay ahead of the competition in today's fast-paced and fiercely competitive business environment. Companies can focus on their core strengths by outsourcing non-core activities to EMS providers, such as manufacturing, which promotes innovation, agility, and growth.
Marketing, innovation, and research and development are crucial processes that determine a company's competitive edge. These organizations can focus their personnel and financial resources on enhancing their core competencies by outsourcing the production process to EMS providers. As a result of this resource reallocation, efficiency rises, which raises profitability. In this sense, EMS service providers serve as helpful allies, assisting businesses in streamlining processes and ensuring high-quality industrial output. The nature of modern technical breakthroughs necessitates skill and specialization. Smartphones, medical gadgets, and automotive electronics are just a few examples of the complicated electronic items that call for a thorough understanding of engineering, supply chain management, and regulatory compliance. EMS businesses invest in cutting-edge machinery, competent people, and industry expertise to specialize in these areas of manufacturing. Companies can get high-quality items to the market more quickly and meet consumer demand while obtaining a competitive edge by utilizing the knowledge of EMS providers.
Additionally, outsourcing manufacturing helps businesses overcome the difficulties of international expansion. Businesses that want to expand into new areas must contend with a variety of regulatory frameworks, cultural variances, and supply chain complexity. With their understanding of local markets and efficient logistics, EMS companies with a global presence may successfully traverse these difficulties. In sectors like electronics, where time-to-market is key and localization is important for product adoption, this skill is extremely important.
Risk management is another motivating element behind the emphasis on core competencies. The corporate environment can quickly change as a result of technology's dynamic nature and market demands. Companies can reduce manufacturing, production scalability, and market demand changes risks by working with EMS suppliers. This flexibility is especially important during uncertain periods, such as recessions or unplanned disruptions like the COVID-19 epidemic. Furthermore, enterprises can scale up by outsourcing manufacturing to EMS firms. The EMS sector is adaptable enough to handle changes in production volume. EMS suppliers can quickly change production levels to match the demands of their clients, whether it's a seasonal shift in demand or reacting to unanticipated surges. With in-house production setups, this scalability is challenging to achieve, which may result in underutilization or strain on resources during periods of low or high demand, respectively. Thus, driving the Electronic Manufacturing Services Industry revenue.
Electronic Manufacturing Services Market Segment Insights
Electronic Manufacturing Services Service Insights
The Electronic Manufacturing Services Industry segmentation, based on service, includes electronics manufacturing services, engineering services, test & development implementation, logistics services and others. The engineering services segment dominated the market in 2022. EMS providers put a lot of emphasis on DFM and DFT concepts while creating new products. Manufacturability and testability-focused product design promotes efficient and affordable production procedures. A reduction in overall production costs and lead times is facilitated by the early detection and resolution of possible manufacturing or testing issues.
Electronic Manufacturing Services Industry Insights
The Electronic Manufacturing Services Industry segmentation, based on industry, includes consumer electronics, automotive, heavy industrial manufacturing, aerospace and defense, healthcare, IT and telecom & others. The IT and telecom category generated the most income in 2022 because of policies implemented by governmental organizations in the U.S., India, and other nations. The market for IT and telecom applications is being driven by this initiative, which has also increased demand for consumer electronics, computers, and communication devices.
Figure 1: Electronic Manufacturing Services Industry, by service, 2022 & 2032 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Electronic Manufacturing Services Regional Insights
By region, the study provides the market insights into North America, Europe, Asia-Pacific and Rest of the World. The Asia-Pacific Electronic Manufacturing Services Industry dominated this market in 2022 (45.80%). Asia Pacific has become a center for manufacturing that is cost-competitive, drawing businesses from all over the world to outsource their production to EMS providers there. With their plentiful labor resources and developed infrastructure, nations like China, Vietnam, Thailand, and Malaysia are able to provide affordable manufacturing solutions. Moreover, China’s Electronic Manufacturing Services Industry held the largest market share, and the Indian Electronic Manufacturing Services Industry was the fastest growing market in the Asia-Pacific region.
Further, the major countries studied in the market report are The U.S., Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.
Figure 2: ELECTRONIC MANUFACTURING SERVICES INDUSTRY SHARE BY REGION 2022 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
The North America Electronic Manufacturing Services Industry accounts for the second-largest market share. IoT gadgets, smart home items, and connected devices are in high demand in North America. The production of these electronics is aided by the EMS providers in the area, which promotes market growth. Further, the U.S. Electronic Manufacturing Services market held the largest market share, and the Canada Electronic Manufacturing Services Industry was the fastest growing market in the North America region.
Europe Electronic Manufacturing Services Industry is expected to grow at the fastest CAGR from 2023 to 2032. Research and development (R&D) partnerships between EMS providers and OEMs are highly valued in Europe. This partnership encourages technological development and state-of-the-art solutions in the field of electronic manufacturing. Further, the German Electronic Manufacturing Services Industry held the largest market share, and the UK Electronic Manufacturing Services Industry was the fastest growing market in the European region.
Electronic Manufacturing Services Key Market Players & Competitive Insights
Leading market players are investing heavily in research and development in order to expand their product lines, which will help the Electronic Manufacturing Services market, grow even more. Market participants are also undertaking a variety of strategic activities to expand their global footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, Electronic Manufacturing Services industry must offer cost-effective items.
Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the global Electronic Manufacturing Services industry to benefit clients and increase the market sector. In recent years, the Electronic Manufacturing Services industry has offered some of the most significant advantages to medicine. Major players in the Electronic Manufacturing Services Industry, including Sanmina Corporation (U.S.), Hon Hai Precision Industry Co. Ltd (Foxconn) (Taiwan), Benchmark Electronics Inc. (U.S.), Flex Ltd (Singapore), Jabil Inc. (U.S.), Celestica Inc. (Canada), Wistron Corporation (Taiwan), Plexus Corporation (U.S.), Fabrinet (Thailand), COMPAL Inc. (Taiwan) and others, are attempting to increase market demand by investing in research and development operations.
Sanmina Corp (Sanmina) is a supplier of integrated electronics production solutions. The company offers product design and engineering, volume production, final system assembly and testing, direct order fulfillment, after-market services, and worldwide supply chain management to original equipment manufacturers. Sanmina also manufactures subassemblies and system components for a variety of products, including memory modules, printed circuit boards, backplanes, enclosures, cable assemblies, precision machine components, and optics. The industrial, healthcare, aerospace, defense, automotive, communications, and cloud infrastructure industries all employ its products. The corporation has a commercial presence throughout the Americas, Europe, the Middle East, Africa, and Asia-Pacific. Sanmina's headquarters are in San Jose, California, in the country of America.
Manufacturing service provider Jabil Inc. (Jabil) offers design, production, and product management services. It offers supply chain management, integrated design and engineering, fabrication and assembly, supply chain management for fabrication and assembly, and more. Additionally, the company helps clients cut expenses associated with manufacturing and shipping while enhancing supply-chain management. Jabil offers its services to many different sectors, including those in the automotive, aerospace, consumer goods, defense, industrial, healthcare, digital home, emerging growth, instrumentation, capital equipment, wearable technology, mobile, medical, networking and telecommunications, storage, and printing industries. The corporation operates in three continents: Asia-Pacific, Europe, and the Americas. Jabil's corporate headquarters are located in St. Petersburg, Florida, in the US.
Key Companies in the Electronic Manufacturing Services market include
- Hon Hai Precision Industry Co. Ltd (Foxconn) (Taiwan)
- Benchmark Electronics Inc. (U.S.)
- Wistron Corporation (Taiwan)
- Plexus Corporation (U.S.)
Electronic Manufacturing Services Industry Developments
June 2022: Flex announced the development of its operations in the Mexican state of Jalisco's automotive sector. The business is building a brand-new, cutting-edge 145,000 square foot facility that will act as a strategic in-region automotive manufacturing hub for the production of advanced electronic components that will hasten the transition to the era of electric and autonomous vehicles.
March 2022: Reliance Strategic Business Ventures Limited (RSBVL), a wholly-owned subsidiary of Reliance Industries Limited (RIL), the largest private sector company in India, and Sanmina Corporation, an integrated manufacturing solutions company, announced their agreement to establish a joint venture through investment in Sanmina's current Indian entity (Sanmina SCI India Private Ltd, or "SIPL").
Electronic Manufacturing Services Market Segmentation
Electronic Manufacturing Services Service Outlook
- Electronics Manufacturing Services
- Test & Development Implementation
Electronic Manufacturing Services Industry Outlook
- Heavy Industrial Manufacturing
Electronic Manufacturing Services Regional Outlook
| Report Attribute/Metric |
Details |
| Market Size 2024 |
USD 599.97 Billion |
| Market Size 2025 |
USD 631.18 Billion |
| Market Size 2034 |
USD 996.26 Billion |
| Compound Annual Growth Rate (CAGR) |
5.2% (2025-2034) |
| Base Year |
2024 |
| Market Forecast Period |
2025-2034 |
| Historical Data |
2020- 2023 |
| Market Forecast Units |
Value (USD Billion) |
| Report Coverage |
Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends |
| Segments Covered |
Service, Industry, and Region |
| Geographies Covered |
North America, Europe, Asia Pacific, and the Rest of the World |
| Countries Covered |
The U.S., Canada, German, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil |
| Key Companies Profiled |
Sanmina Corporation (U.S.), Hon Hai Precision Industry Co. Ltd (Foxconn) (Taiwan), Benchmark Electronics Inc. (U.S.), Flex Ltd (Singapore), Jabil Inc. (U.S.), Celestica Inc. (Canada), Wistron Corporation (Taiwan), Plexus Corporation (U.S.), Fabrinet (Thailand), COMPAL Inc. (Taiwan) |
| Key Market Opportunities |
Greener electronic gadget advancements are improving market prospects. |
| Key Market Dynamics |
Increasing use of high-volume production techniques to restrain the expansion of the electronic manufacturing services market. |
Electronic Manufacturing Services Market Highlights:
Frequently Asked Questions (FAQ) :
The Electronic Manufacturing Services Market size was valued at USD 599.97 Billion in 2024.
The global market is projected to grow at a CAGR of 5.2% during the forecast period, 2025-2034.
Asia-Pacific had the largest share in the global market
The key players in the market are Sanmina Corporation (U.S.), Hon Hai Precision Industry Co. Ltd (Foxconn) (Taiwan), Benchmark Electronics Inc. (U.S.), Flex Ltd (Singapore), Jabil Inc. (U.S.), Celestica Inc. (Canada), Wistron Corporation (Taiwan), Plexus Corporation (U.S.), Fabrinet (Thailand), COMPAL Inc. (Taiwan).
The Engineering Services category dominated the market in 2022.
The IT and Telecom had the largest share in the global market.
