United States's Headphones Market to Grow at 1.6% CAGR, Reaching $7.5B by 2035 on Steady Demand.

Key Findings

• US headphone demand is driving sustained market growth.
• The market volume is projected to reach 601 million units by 2035.
• The market value is projected to reach $7.5 billion by 2035.
• Volume growth is forecast at a CAGR of +1.5% from 2024-2035.
• Value growth is forecast at a slightly higher CAGR of +1.6%.

IndexBox has just published a new report: U.S. - Headphones - Market Analysis, Forecast, Size, Trends and Insights.

Fueled by rising consumer demand in the United States, the headphone market is forecast to experience consistent growth over the next decade. Market performance is anticipated to accelerate, expanding at a Compound Annual Growth Rate (CAGR) of +1.5% in volume from 2024 to 2035. This growth is projected to bring the total market volume to 601 million units by the end of 2035. In terms of value, the market is forecast to increase at a slightly higher CAGR of +1.6% for the same period, reaching a total market value of $7.5 billion (in nominal wholesale prices) by 2035.

Market Forecast

Driven by increasing demand for headphones in the United States, the market is expected to continue an upward consumption trend over the next decade. Market performance is forecast to accelerate, expanding with an anticipated CAGR of +1.5% for the period from 2024 to 2035, which is projected to bring the market volume to 601M units by the end of 2035.

In value terms, the market is forecast to increase with an anticipated CAGR of +1.6% for the period from 2024 to 2035, which is projected to bring the market value to $7.5B (in nominal wholesale prices) by the end of 2035.

Consumption

United States's Consumption of Headphones

In 2024, consumption of headphones increased by 0.2% to 509M units, rising for the second consecutive year after two years of decline. Overall, consumption recorded a relatively flat trend pattern. As a result, consumption reached the peak volume of 510M units. From 2021 to 2024, the growth of the consumption remained at a somewhat lower figure.

The value of the headphone market in the United States expanded slightly to $6.3B in 2024, increasing by 1.6% against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers' margins, which will be included in the final consumer price). Over the period under review, consumption continues to indicate a prominent increase. Over the period under review, the market reached the peak level at $6.3B in 2021; afterwards, it flattened through to 2024.

Production

United States's Production of Headphones

In 2024, the amount of headphones produced in the United States declined rapidly to 99M units, with a decrease of -41.5% against 2023 figures. Overall, production recorded a pronounced slump. The most prominent rate of growth was recorded in 2023 with an increase of 83% against the previous year. Over the period under review, production attained the maximum volume at 222M units in 2020; however, from 2021 to 2024, production stood at a somewhat lower figure.

In value terms, headphone production shrank dramatically to $6B in 2024. Over the period under review, production, however, saw slight growth. The pace of growth was the most pronounced in 2023 when the production volume increased by 88%. Headphone production peaked at $11.9B in 2020; however, from 2021 to 2024, production remained at a lower figure.

Imports

United States's Imports of Headphones

In 2024, headphone imports into the United States skyrocketed to 426M units, increasing by 20% on the previous year's figure. The total import volume increased at an average annual rate of +1.9% over the period from 2012 to 2024; however, the trend pattern indicated some noticeable fluctuations being recorded in certain years. The most prominent rate of growth was recorded in 2022 when imports increased by 22% against the previous year. As a result, imports reached the peak of 433M units. From 2023 to 2024, the growth of imports failed to regain momentum.

In value terms, headphone imports surged to $7.3B in 2024. In general, imports enjoyed a buoyant increase. The most prominent rate of growth was recorded in 2020 with an increase of 151% against the previous year. Over the period under review, imports reached the maximum in 2024 and are likely to see gradual growth in the near future.

Imports By Country

In 2024, China (347M units) constituted the largest headphone supplier to the United States, accounting for a 81% share of total imports. Moreover, headphone imports from China exceeded the figures recorded by the second-largest supplier, Vietnam (65M units), fivefold.

From 2012 to 2024, the average annual growth rate of volume from China was relatively modest.

In value terms, the largest headphone suppliers to the United States were China ($3.5B) and Vietnam ($3.1B).

Vietnam, with a CAGR of +61.3%, recorded the highest rates of growth with regard to the value of imports, among the main suppliers over the period under review.

Import Prices By Country

In 2024, the average headphone import price amounted to $17 per unit, growing by 1.9% against the previous year. Overall, the import price enjoyed a resilient increase. The pace of growth appeared the most rapid in 2020 when the average import price increased by 107% against the previous year. Over the period under review, average import prices reached the peak figure at $17 per unit in 2021; however, from 2022 to 2024, import prices failed to regain momentum.

Prices varied noticeably by country of origin: amid the top importers, the country with the highest price was Vietnam ($49 per unit), while the price for China stood at $10 per unit.

From 2012 to 2024, the most notable rate of growth in terms of prices was attained by Vietnam (+18.1%).

Exports

United States's Exports of Headphones

In 2024, approx. 16M units of headphones were exported from the United States; falling by -8.4% on 2023 figures. Over the period under review, exports, however, saw a relatively flat trend pattern. The most prominent rate of growth was recorded in 2020 with an increase of 11% against the previous year. The exports peaked at 18M units in 2021; however, from 2022 to 2024, the exports stood at a somewhat lower figure.

In value terms, headphone exports expanded significantly to $1.1B in 2024. In general, exports, however, enjoyed a buoyant increase. The pace of growth was the most pronounced in 2020 when exports increased by 46% against the previous year. Over the period under review, the exports reached the maximum in 2024 and are expected to retain growth in the immediate term.

Exports By Country

Canada (7.2M units) was the main destination for headphone exports from the United States, with a 44% share of total exports. Moreover, headphone exports to Canada exceeded the volume sent to the second major destination, Mexico (2.2M units), threefold. The third position in this ranking was held by the United Arab Emirates (1.1M units), with a 7% share.

From 2012 to 2024, the average annual rate of growth in terms of volume to Canada totaled +2.3%. Exports to the other major destinations recorded the following average annual rates of exports growth: Mexico (+0.8% per year) and the United Arab Emirates (+18.7% per year).

In value terms, Canada ($448M) remains the key foreign market for headphones exports from the United States, comprising 42% of total exports. The second position in the ranking was held by the United Arab Emirates ($154M), with a 14% share of total exports. It was followed by Mexico, with an 11% share.

From 2012 to 2024, the average annual growth rate of value to Canada stood at +9.1%. Exports to the other major destinations recorded the following average annual rates of exports growth: the United Arab Emirates (+20.9% per year) and Mexico (+7.1% per year).

Export Prices By Country

In 2024, the average headphone export price amounted to $66 per unit, surging by 22% against the previous year. Over the period under review, the export price posted a prominent expansion. The pace of growth appeared the most rapid in 2019 an increase of 32%. Over the period under review, the average export prices attained the peak figure in 2024 and is likely to see gradual growth in years to come.

Prices varied noticeably by country of destination: amid the top suppliers, the country with the highest price was the United Arab Emirates ($136 per unit), while the average price for exports to Brazil ($35 per unit) was amongst the lowest.

From 2012 to 2024, the most notable rate of growth in terms of prices was recorded for supplies to Hong Kong SAR (+8.1%), while the prices for the other major destinations experienced more modest paces of growth.

Source: IndexBox Market Intelligence Platform