United States's Headphones Market Forecast to Grow with a 1.6% CAGR Through 2035

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

The US headphone market is forecast to grow steadily over the next decade, with consumption volume expected to increase at a CAGR of +1.5% to reach 601 million units by 2035. In value terms, the market is projected to grow at a CAGR of +1.6%, reaching $7.5 billion (nominal wholesale prices) by 2035. In 2024, consumption increased slightly to 509 million units, with a market value of $6.3 billion. Domestic production, however, contracted sharply by -41.5% to 99 million units, valued at $6 billion. To meet demand, the US relies heavily on imports, which surged to 426 million units (valued at $7.3B) in 2024. China is the dominant supplier (81% share, 347M units), though Vietnam is a rapidly growing high-value supplier. US exports are smaller, at 16 million units valued at $1.1B in 2024, with Canada being the primary destination. A key market dynamic is the significant price disparity between imports from China ($10/unit) and Vietnam ($49/unit), and the high average export price of $66/unit.

Key Findings

• US headphone market is forecast to grow to 601M units and $7.5B by 2035
• Domestic production fell sharply to 99M units while imports surged to 426M units in 2024
• China is the dominant import source by volume, but Vietnam is a key high-value supplier
• The average import price from Vietnam ($49/unit) is significantly higher than from China ($10/unit)
• Headphone exports are low in volume but high in value, with Canada being the top destination

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 year in a row after two years of decline. In general, consumption recorded a relatively flat trend pattern. As a result, consumption attained the peak volume of 510M units. From 2021 to 2024, the growth of the consumption remained at a lower figure.

The value of the headphone market in the United States amounted to $6.3B in 2024, with an increase of 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 showed prominent growth. Headphone consumption peaked at $6.3B in 2021; afterwards, it flattened through to 2024.

Production

United States's Production of Headphones

In 2024, production of headphones in the United States contracted sharply to 99M units, shrinking by -41.5% against 2023. In general, production saw a pronounced decline. The most prominent rate of growth was recorded in 2023 with an increase of 83%. Headphone production peaked at 222M units in 2020; however, from 2021 to 2024, production remained at a lower figure.

In value terms, headphone production dropped markedly to $6B in 2024. Overall, production, however, continues to indicate mild growth. The pace of growth was the most pronounced in 2023 with an increase of 88%. Over the period under review, production attained the maximum level at $11.9B in 2020; however, from 2021 to 2024, production stood at a somewhat lower figure.

Imports

United States's Imports of Headphones

In 2024, the amount of headphones imported into the United States surged to 426M units, with an increase of 20% against 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 growth pace was the most rapid in 2022 when imports increased by 22%. As a result, imports reached the peak of 433M units. From 2023 to 2024, the growth of imports remained at a somewhat lower figure.

In value terms, headphone imports skyrocketed to $7.3B in 2024. Over the period under review, imports showed resilient growth. The pace of growth was the most pronounced in 2020 when imports increased by 151%. Over the period under review, imports reached the maximum in 2024 and are expected to retain growth in the immediate term.

Imports By Country

In 2024, China (347M units) constituted the largest supplier of headphone 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, China ($3.5B) and Vietnam ($3.1B) constituted the largest headphone suppliers to the United States.

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

Import Prices By Country

In 2024, the average headphone import price amounted to $17 per unit, picking up by 1.9% against the previous year. Overall, the import price posted a buoyant increase. The most prominent rate of growth was recorded in 2020 an increase of 107% against the previous year. The import price peaked at $17 per unit in 2021; however, from 2022 to 2024, import prices failed to regain momentum.

There were significant differences in the average prices amongst the major supplying countries. In 2024, amid the top importers, the country with the highest price was Vietnam ($49 per unit), while the price for China amounted to $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

Headphone exports from the United States contracted to 16M units in 2024, dropping by -8.4% against the previous year. Over the period under review, exports, however, continue to indicate a relatively flat trend pattern. The growth pace was the most rapid 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 failed to regain momentum.

In value terms, headphone exports expanded sharply to $1.1B in 2024. Overall, exports, however, enjoyed resilient growth. The pace of growth appeared the most rapid in 2020 with an increase of 46% against the previous year. The exports peaked 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 taken 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 taken 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 totaled +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

The average headphone export price stood at $66 per unit in 2024, picking up by 22% against the previous year. Overall, the export price recorded a remarkable increase. The pace of growth was the most pronounced in 2019 when the average export price increased by 32%. The export price peaked in 2024 and is likely to see gradual growth in the immediate term.

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