Canada: Electronic Chip Market 2024

Electronic Chip Market Size in Canada

For the fourth year in a row, the Canadian electronic chip market recorded growth in sales value, which increased by 4.2% to $X in 2021. The market value increased at an average annual rate of +2.7% from 2012 to 2021; the trend pattern indicated some noticeable fluctuations being recorded in certain years. Electronic chip consumption peaked in 2021 and is likely to continue growth in the near future.

Electronic Chip Production in Canada

In value terms, electronic chip production declined to $X in 2021 estimated in export price. Overall, the total production indicated a notable expansion from 2012 to 2021: its value increased at an average annual rate of +3.8% over the last nine-year period. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2021 figures, production increased by +26.9% against 2017 indices. The most prominent rate of growth was recorded in 2014 with an increase of 82%. Over the period under review, production reached the peak level at $X in 2020, and then dropped slightly in the following year.

Electronic Chip Exports

Exports from Canada

Electronic chip exports from Canada skyrocketed to X units in 2021, increasing by 18% against 2020 figures. Overall, exports, however, faced a abrupt curtailment. Over the period under review, the exports hit record highs at X units in 2013; however, from 2014 to 2021, the exports stood at a somewhat lower figure.

In value terms, electronic chip exports surged to $X in 2021. In general, exports, however, showed a abrupt decrease. Over the period under review, the exports hit record highs at $X in 2012; however, from 2013 to 2021, the exports failed to regain momentum.

Exports by Country

The United States (X units) was the main destination for electronic chip exports from Canada, with a 52% share of total exports. Moreover, electronic chip exports to the United States exceeded the volume sent to the second major destination, Hong Kong SAR (X units), threefold. The Netherlands (X units) ranked third in terms of total exports with a 6.1% share.

From 2012 to 2021, the average annual rate of growth in terms of volume to the United States amounted to -13.8%. Exports to the other major destinations recorded the following average annual rates of exports growth: Hong Kong SAR (+11.4% per year) and the Netherlands (+19.0% per year).

In value terms, the United States ($X) remains the key foreign market for electronic chips exports from Canada, comprising 53% of total exports. The second position in the ranking was taken by Hong Kong SAR ($X), with a 15% share of total exports. It was followed by the Netherlands, with a 6.4% share.

From 2012 to 2021, the average annual growth rate of value to the United States amounted to -10.2%. Exports to the other major destinations recorded the following average annual rates of exports growth: Hong Kong SAR (+14.6% per year) and the Netherlands (+25.9% per year).

Export Prices by Country

In 2021, the average electronic chip export price amounted to $X per unit, increasing by 2% against the previous year. Over the period from 2012 to 2021, it increased at an average annual rate of +3.6%. The pace of growth was the most pronounced in 2014 an increase of 12% against the previous year. The export price peaked in 2021 and is likely to continue growth in the immediate term.

Average prices varied noticeably for the major overseas markets. In 2021, amid the top suppliers, the highest price was recorded for prices to the Netherlands ($X per unit) and the United States ($X per unit), while the average price for exports to Mexico ($X per unit) and China ($X per unit) were amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was recorded for supplies to the Netherlands (+5.8%), while the prices for the other major destinations experienced more modest paces of growth.

Electronic Chip Imports

Imports into Canada

In 2021, overseas purchases of electronic chips increased by 27% to X units for the first time since 2017, thus ending a three-year declining trend. Overall, imports, however, saw a noticeable decrease. Over the period under review, imports hit record highs at X units in 2013; however, from 2014 to 2021, imports remained at a lower figure.

In value terms, electronic chip imports skyrocketed to $X in 2021. In general, imports, however, recorded a perceptible slump. Over the period under review, imports attained the peak figure at $X in 2013; however, from 2014 to 2021, imports stood at a somewhat lower figure.

Imports by Country

Taiwan (Chinese) (X units), Malaysia (X units) and the United States (X units) were the main suppliers of electronic chip imports to Canada, together comprising 54% of total imports. These countries were followed by China, Thailand, South Korea, the Philippines, Japan, Germany, Singapore and Costa Rica, which together accounted for a further 40%.

From 2012 to 2021, the most notable rate of growth in terms of purchases, amongst the main suppliers, was attained by China (with a CAGR of +4.4%), while imports for the other leaders experienced more modest paces of growth.

In value terms, Taiwan (Chinese) ($X), the United States ($X) and Malaysia ($X) were the largest electronic chip suppliers to Canada, together comprising 54% of total imports. China, South Korea, the Philippines, Thailand, Germany, Japan, Singapore and Costa Rica lagged somewhat behind, together comprising a further 39%.

China, with a CAGR of +6.4%, recorded the highest rates of growth with regard to the value of imports, in terms of the main suppliers over the period under review, while purchases for the other leaders experienced more modest paces of growth.

Import Prices by Country

The average electronic chip import price stood at $X per unit in 2021, which is down by -1.7% against the previous year. Over the last nine-year period, it increased at an average annual rate of +1.0%. The pace of growth was the most pronounced in 2018 an increase of 13%. As a result, import price reached the peak level of $X per unit. From 2019 to 2021, the average import prices failed to regain momentum.

Average prices varied somewhat amongst the major supplying countries. In 2021, amid the top importers, the countries with the highest prices were China ($X per unit) and Costa Rica ($X per unit), while the price for Japan ($X per unit) and Singapore ($X per unit) were amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was attained by the Philippines (+2.9%), while the prices for the other major suppliers experienced more modest paces of growth.

Source: IndexBox Platform

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