PUBLISHER: Reed Electronics Research | PRODUCT CODE: 2070578
PUBLISHER: Reed Electronics Research | PRODUCT CODE: 2070578
The UK EMS industry is focused on the aerospace and defence, including security, medical, control & instrumentation, industrial, energy, including renewable, cleantech and transportation industries. For EMS companies these sectors will provide significant opportunities. They are highly fragmented with few large- volume manufactures and a large number of small and medium sized companies often working in niche markets. Their demand is centred on high mix, low to medium volume production that can be supported, certainly in the industrialisation stage but often through the complete product life cycle, by UK manufacturing.
With on-going inventory balancing continuing through most of the year combined with weak demand across several end-markets UK EMS revenues declined by 5.8% in 2024 and by a further 2.4% in 2025. In 2025, the UK’s strong position within aerospace and defence offset weaker demand in the industrial and communication end markets. Based on the company’s current organisational structure, in 2024, Cicor was the leading EMS provider based on revenues generated from manufacturing operations in the UK and was followed by NOTE, Sony, Plexus, Axiom and Elite Electronic Systems. The UK’s largest EMS provider TT Electronics has scaled back its operations in the UK retaining only a small plant focused on cable harnesses in the country, the company’s manufacturing operations located in North America and Asia.
The Top 5 companies accounted for 23.8% of UK EMS revenues in 2024 and the Top 10 38.0%.
Overseas-owned companies accounted for approximately 38% of UK generated EMS revenues in 2024, and accounted for the 7 of the Top 10 companies and 11 of the Top 20. Foreign-owned companies potentially pose a significant threat to the leading UK-owned EMS providers by being able to utilise their UK manufacturing operations for prototyping/NPI and then move volume production offshore to take advantage of lower costs or to produce in the market of consumption.
The need to be competitive in both the latest technology and the range of services offered will make it difficult for UK companies with sales currently under £10 million to scale-up their activities. As a result, the UK EMS industry will continue to be characterised by a long tail of smaller companies.
RER's Series of reports on the Electronics Manufacturing Services (EMS) industry is essential research for all areas of the electronics industry including:
Companies Profiled::