Thermoelectric Modules Market – Trends Forecast Till 2030

Market Snapshot

Market Overview

The global Thermoelectric Modules market size was estimated at USD 0.62 billion in 2023 and is projected to reach USD 1.11 billion in 2030 at a CAGR of 10.2% during the forecast period 2024-2030.

The thermoelectric module (TEM) market, known for its integral role in heating and cooling applications, is experiencing significant growth and diversification across multiple industries. A TEM, also referred to as a Peltier cooler, operates as a heat pump to transfer heat from one side of the module to the other using a low voltage DC power source. Its wide array of applications spans various sectors, including IT and telecommunications, aerospace and defense, healthcare devices, and consumer electronics. The continuous introduction of novel technologies and innovations within the automation, precision, and electronics industries is driving the development of advanced TEM products, thereby creating substantial opportunities for manufacturers and suppliers. The versatility of thermoelectric modules allows them to be employed in numerous applications such as protecting electronic equipment from harsh and hot environments, which is critical for devices like computer processors, robotic equipment, food and beverage containers, and cold-water dispensers. Beyond their primary cooling and heating functionalities, TEMs are also valuable for direct energy production and waste heat recovery due to their simultaneous heating and cooling properties. While standard TEM configurations suffice for most applications, customized designs are often required to meet specific heat pumping, mechanical, electrical, or other design criteria. The increasing demand for alternative energy generation technologies is further fuelling the global market for thermoelectric modules, with trends like the growing use of wearable device coolers for smart devices contributing to market expansion. The impact of the COVID-19 pandemic on the thermoelectric module market was significant, with major industries such as manufacturing, healthcare, and consumer electronics experiencing a decline in demand due to global lockdowns. Key producers of semiconductor and electronic equipment, including China, Taiwan, and Japan, faced shutdowns that drastically impacted TEM production. However, sectors like healthcare and IT & telecommunications remained operational, and the need for cold storage and small refrigerators for vaccine storage drove demand for thermoelectric coolers. Additionally, the shift to remote work for IT and telecom professionals led to increased use of servers and data centres, further boosting demand for TEMs in these industries. Looking forward, the automotive segment is poised for significant growth, driven by advancements in mRNA vaccine technology, which require stringent cold storage conditions to maintain vaccine efficacy. This shift toward mRNA vaccines presents substantial opportunities for micro thermoelectric module players. The Asia-Pacific region is expected to be the fastest-growing market due to its robust manufacturing capabilities and rising demand for TEM applications. the thermoelectric module market is set to grow rapidly, driven by technological innovations and increasing demand across various industries. The ongoing developments in sustainable energy and advanced healthcare applications will continue to propel market expansion, making TEMs an indispensable component in modern technology solutions.

Delvens Industry Expert's Standpoint

The global automotive sector is experiencing a transformative shift towards electric propulsion, catalyzing significant advancements in vehicle technology. Despite a temporary decline in production due to the COVID-19 pandemic, the sector is poised for robust growth, with electric vehicle (EV) production forecasted to reach 54 million units by 2025, up from 14 million in 2023. This surge is driving demand for innovations like micro thermoelectric modules, crucial for efficient temperature management in EV batteries. Tesla's substantial investment in expanding its Shanghai factory and Toyota's aggressive rollout of 15 new battery electric vehicle (BEV) models by 2025 underscore the sector's momentum. These developments are propelling the thermoelectric market forward, as companies like Ferrotec expand their offerings to meet the burgeoning demand for thermal management solutions in EVs. The focus on enhancing battery performance, charging infrastructure, and safety measures against thermal issues further underscores the critical role of thermoelectric cooling technologies. This dynamic landscape presents lucrative opportunities for stakeholders poised to capitalize on the intersection of automotive electrification and advanced thermal management solutions.

Market Portfolio

Key Findings

• On the basis of Model, Multistage thermoelectric coolers (TECs) offer superior cooling capabilities and higher heat pumping capacity compared to single-stage models. This makes them increasingly favoured across automotive, industrial, telecommunications, medical, and consumer applications. Companies are focusing on developing high-capacity multistage TECs to meet growing niche demands, driving higher growth rates in this market segment. Their role in enhancing efficiency and reliability in temperature-sensitive equipment positions multistage TECs as key components in advancing technological solutions across diverse industries.

• On the basis of Type, Bulk thermoelectric modules are versatile components suitable for diverse applications without the design constraints of micro or thin-film modules. They offer flexibility in power draw and cooling capabilities, tailored to specific needs. Simplified design and manufacturing processes contribute to their widespread use in thermoelectric generators (TEGs) and heat pumps across various industries.

• On the basis of End-Use Application, Thermoelectric modules find essential applications in automotive sectors, such as cooling laser diodes in head-up displays, cup holders, and glove boxes within car cabins, as well as cooling sensor devices like LIDAR in autonomous vehicles. Additionally, they are utilized in cooling laser diodes for laser headlights. With the increasing adoption of convenience features in vehicles and the rapid growth of electric and autonomous vehicle segments, the market for thermoelectric modules in automotive applications is poised to experience significant growth in the forecast period.

• The market is also divided into various regions such as North America, Europe, Asia-Pacific, South America, and Middle East and Africa. Asia Pacific led the global thermoelectric module market in 2023 with a dominant share of 50.63%. The region's market growth is fuelled by rising adoption of thermoelectric coolers in automotive and healthcare applications. Key companies are actively pursuing strategies like collaborations, business expansions, and product innovations, further boosting the market across Asia Pacific.

Regional Analysis

Asia pacific to Dominate the Market

• Asia Pacific dominated the global thermoelectric module market in 2023 with a 50.63% share. The region is driven by increased adoption in automotive and healthcare sectors. China leads with established manufacturing facilities and significant production of thermoelectric coolers and semiconductors. The market is poised for growth supported by strategic business activities like collaboration, expansion, and product development, particularly in China, Japan, and Taiwan. Emerging countries like South Korea, Japan, and Singapore are also contributing to market expansion, buoyed by rising SMEs and electronics manufacturing.

• In North America, the U.S. market is expected to see substantial growth due to advanced technology adoption in automotive and manufacturing sectors across the U.S. and Canada. This growth is driven by increasing applications of thermoelectric coolers in various industries.

• In Europe, Germany led the European market in 2023, supported by its leadership in electric vehicle manufacturing, IT, and telecom industries. The country is expected to maintain this position with a high CAGR during the forecast period, driven by extensive R&D and manufacturing capabilities.

Competitive Landscape

• FERROTEC
• LAIRD THERMAL SYSTEMS         
• II-VI INCORPORATED
• KELK
• GUANGDONG FUXIN TECHNOLOGY
• TE TECHNOLOGY          
• TEC MICROSYSTEMS
• CRYSTAL                      
• KRYOTHERM                     
• THERMION COMPANY                      
• Z-MAX                     
• PHONONIC
• ALIGN SOURCING
• EVERREDTRONICS
• HITECH TECHNOLOGIES
• HI-Z TECHNOLOGY
• HUI MAO
• INHECO INDUSTRIAL HEATING & COOLING
• KJLP (SHENZHEN) ELECTRONICS
• KYOCERA CORPORATION
• MERIT TECHNOLOGY GROUP
• P&N TECHNOLOGY
• THERMONAMIC ELECTRONICS
• WELLEN TECHNOLOGY
• XIAMEN HICOOL ELECTRONICS

Recent Developments

• In May 2022, Phononic forged a strategic partnership with Google Cloud, integrating Google Cloud’s Manufacturing Data Engine and Manufacturing Connect solutions. This collaboration aims to enhance Phononic’s operational efficiency by leveraging advanced analytics and insights provided by Google Cloud's manufacturing data solutions. The partnership underscores Phononic's commitment to optimizing its manufacturing processes through innovative data-driven strategies, supported by Google Cloud's robust platform and expertise in cloud-based manufacturing solutions.

• In July 2021, Phononic secured a significant growth investment of $50 million led by the Sustainable Investing business within Goldman Sachs Asset Management. This investment is intended to support Phononic's expansion initiatives, including bolstering sales and marketing efforts, scaling domestic and international manufacturing capabilities for high-volume production, and diversifying its cooling and refrigeration product portfolio and platform.

Reasons to Acquire

• Increase your understanding of the market for identifying the most suitable strategies and decisions based on sales or revenue fluctuations in terms of volume and value, distribution chain analysis, market trends, and factors.
   
• Gain authentic and granular data access for the Thermoelectric Modules Market to understand the trends and the factors involved in changing market situations.
   
• Qualitative and quantitative data utilization to discover arrays of future growth from the market trends of leaders to market visionaries and then recognize the significant areas to compete in the future.
   
• In-depth analysis of the changing trends of the market by visualizing the historic and forecast year growth patterns.

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