The application scenarios of domestically produced silicon carbide are constantly expanding, and it is expected to be widely adopted in the future

With BYD and other car companies widely using silicon carbide power chips in new energy vehicles, the application scenarios of silicon carbide in the domestic market are gradually expanding. Silicon carbide is gradually being widely used in fields such as electric vehicles, photovoltaic inverters, and rail transit due to its excellent high-frequency, high-efficiency, and high-voltage characteristics. In the automotive industry, silicon carbide is gradually replacing traditional silicon-based materials, especially in high-voltage platforms and electric drive systems of electric vehicles, and the demand for silicon carbide will increase significantly. With the continuous maturity of industry technology and further cost reduction, it is expected that silicon carbide will enter the automotive market on a large scale in the next few years, becoming a core component of in car electronics, charging systems, and battery management systems.

Significant marginal changes in the silicon carbide market

Marginal Change 1

In the past two years, the rapid price reduction in the silicon carbide industry has become an important market driving factor. Many small and medium-sized enterprises originally planned to expand production, but due to a significant decrease in prices, their willingness to expand has weakened, leading to a slowdown in the progress of some originally planned capacity expansion projects. The decrease in silicon carbide prices has a significant impact on small and medium-sized manufacturers, and the overall market competition is becoming increasingly fierce.

Marginal Change 2

In 2024, the penetration rate of automotive silicon carbide will only be around 15%. However, with leading car companies increasing their investment and application of silicon carbide in the electric vehicle field, it is expected that the penetration rate of automotive silicon carbide will significantly increase by 2025-2026. Especially when intelligent driving sinks to models priced at 100000 yuan, the penetration rate of silicon carbide is expected to further increase to 60% -80%. In addition, the upgrading trend of high-voltage platforms will also drive an increase in the use of silicon carbide in each vehicle, thereby further driving market demand.

Marginal Change 3

Meta company used silicon carbide optical waveguide scheme on its AR prototype. With the continuous advancement of silicon carbide technology and the decrease in costs, the field of glasses is expected to become an emerging market for the application of silicon carbide. In the future, the demand for silicon carbide wafers in the eyewear industry may exceed that in the automotive industry, as the unique advantages of silicon carbide in optics and display technology will drive rapid growth in this market.

Summary

The application market of silicon carbide is rapidly developing, especially in the field of power semiconductors, and its application scenarios are constantly expanding. With the increasing demand for high-performance materials in fields such as automotive electronics and smart devices, there is huge growth potential in the field of silicon carbide devices and substrates. Although the expansion of the industry currently faces certain challenges, with continuous technological breakthroughs and gradual cost reductions, silicon carbide is expected to have a wider range of market applications in the coming years. It is recommended to pay attention to the top manufacturers in the field of silicon carbide devices and substrates, especially those companies that have already taken the lead in high cut low viewing angle applications. These enterprises have strong competitiveness in the current market and may become the dominant force in the market in the coming years.