Electronic Contract Manufacturing and Design Services Market - Global Industry Size, Share, Trends, Opportunity, and Forecast, Segmented By Service, By End-Use, By Region & Competition, 2021-2031F

Description

The Global Electronic Contract Manufacturing and Design Services Market is projected to grow from USD 625.66 Billion in 2025 to USD 1184.23 Billion by 2031, achieving a compound annual growth rate of 11.22%. This industry consists of companies that provide engineering, manufacturing, and aftermarket support for electronic components to original equipment manufacturers (OEMs). Market growth is driven by OEMs strategically outsourcing production to lower capital costs and focus on core competencies like product innovation, alongside increasing requirements for specialized capabilities to manufacture advanced electronics.

Market Overview
Forecast Period	2027-2031
Market Size 2025	USD 625.66 Billion
Market Size 2031	USD 1184.23 Billion
CAGR 2026-2031	11.22%
Fastest Growing Segment	Electronic design & engineering
Largest Market	Asia Pacific

However, market expansion is often challenged by supply chain vulnerabilities that disrupt production continuity. IPC data from September 2025 shows a North American EMS book-to-bill ratio of 1.31, indicating that orders significantly surpassed billed shipments. While this reflects strong demand, it also highlights the difficulty manufacturers face in converting bookings into revenue due to component availability issues. Consequently, ongoing logistical constraints and raw material shortages remain critical hurdles that could delay product delivery and impede overall market growth.

Market Driver

The rapid integration of automotive electronics and electric vehicle technologies acts as a major market catalyst, with OEMs increasingly relying on contract manufacturers for complex vehicle assemblies. The shift toward electric mobility requires sophisticated components such as battery management systems, advanced driver-assistance systems (ADAS), and infotainment modules, necessitating the specialized engineering skills of EMS providers. This arrangement allows automotive OEMs to adapt to technological changes without incurring the full costs of capital-intensive production facilities. For example, Hon Hai Technology Group (Foxconn) reported in May 2025 that its components category achieved strong year-over-year revenue growth, driven by higher component shipments and the expansion of its automotive business.

Simultaneously, the widespread rollout of 5G infrastructure and IoT ecosystems is broadening the market for design and manufacturing services. As telecommunication networks expand to ensure high-speed connectivity and IoT devices proliferate across sectors, there is a critical need for robust backend infrastructure like cloud servers and networking equipment. Contract manufacturers are essential in scaling the production of this intelligent infrastructure to meet data-intensive demands. Illustrating this trend, Jabil Inc. reported in September 2025 that its Intelligent Infrastructure revenue jumped 62% year-over-year due to AI-driven demand. Furthermore, the IPC electronics Shipment Index reached a near-year high in March 2025, reflecting the industry's improved capacity to meet rising global demand.

Market Challenge

Persistent raw material shortages and supply chain vulnerabilities present significant obstacles to the growth of the Global Electronic Contract Manufacturing and Design Services market. These logistical bottlenecks disrupt manufacturing schedules, forcing service providers to extend lead times and delay the delivery of critical assemblies to OEMs. When essential components are unavailable, manufacturers are unable to convert order backlogs into revenue, stalling financial growth despite robust demand. Additionally, the unpredictability of the supply base compels firms to hold higher inventory levels, locking up working capital that could otherwise be used for capacity expansion or technological upgrades.

Recent industry data confirms this operational strain, pointing to renewed tightness in component availability. IPC reported that in March 2025, the supplier inventory availability index fell to 103, indicating reduced component accessibility and tighter supply conditions. Such constraints force manufacturers to operate in a volatile procurement environment, often leading to production inefficiencies and lower profit margins. As service providers struggle to secure necessary parts on time, the market's overall ability to scale and satisfy the accelerating requirements of the advanced electronics sector is significantly compromised.

Market Trends

The strategic shift toward nearshoring and regionalized supply chains is fundamentally reshaping production geography within the market. Manufacturers are diversifying their operations beyond traditional single-source hubs to emerging centers like India and Mexico to reduce geopolitical risks and logistical vulnerabilities. This decentralization strategy strengthens supply chain resilience and places production closer to end markets, enabling faster response times. For instance, the Deccan Herald reported in October 2024 that a Foxconn subsidiary approved a Rs 13,000 crore investment for a new smartphone component facility in Tamil Nadu, reinforcing India's growing role as a key alternative manufacturing hub.

At the same time, the adoption of circular economy principles and sustainable manufacturing practices is becoming a vital competitive differentiator. EMS providers are actively implementing closed-loop systems and renewable energy solutions to meet the strict decarbonization goals of global OEMs. This shift elevates resource efficiency and waste reduction to the level of standard production metrics, turning sustainability from a compliance task into a value-added service. Flex Ltd. highlighted this progress in its September 2024 Sustainability Report, announcing a 33 percent reduction in absolute scope 1 and 2 greenhouse gas emissions compared to its 2019 baseline, demonstrating the sector's success in lowering its environmental footprint.

Key Market Players

Benchmark Electronics Inc.
Celestica Inc.
Compal Electronics Inc.
Creating Technologies LP
Flextronics International Ltd.
Hon Hai Precision Industry Co. Ltd.
Jabil Circuit Inc.
Plexus Corporation
Fabrinet
Venture Corporation Limited

Report Scope

In this report, the Global Electronic Contract Manufacturing and Design Services Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

Electronic Contract Manufacturing and Design Services Market, By Service

Electronic design & engineering
Electronics assembly
Electronic manufacturing

Electronic Contract Manufacturing and Design Services Market, By End-Use

Healthcare
Automotive
Industrial
Aerospace & Defense
IT & telecom
Power & energy
Consumer electronics

Electronic Contract Manufacturing and Design Services Market, By Region

North America
- United States
- Canada
- Mexico
Europe
- France
- United Kingdom
- Italy
- Germany
- Spain
Asia Pacific
- China
- India
- Japan
- Australia
- South Korea
South America
- Brazil
- Argentina
- Colombia
Middle East & Africa
- South Africa
- Saudi Arabia
- UAE

Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in the Global Electronic Contract Manufacturing and Design Services Market.

Available Customizations:

Global Electronic Contract Manufacturing and Design Services Market report with the given market data, TechSci Research offers customizations according to a company's specific needs. The following customization options are available for the report:

1. Product Overview

1.1. Market Definition
1.2. Scope of the Market
- 1.2.1. Markets Covered
- 1.2.2. Years Considered for Study
- 1.2.3. Key Market Segmentations

2. Research Methodology

2.1. Objective of the Study
2.2. Baseline Methodology
2.3. Key Industry Partners
2.4. Major Association and Secondary Sources
2.5. Forecasting Methodology
2.6. Data Triangulation & Validation
2.7. Assumptions and Limitations

3. Executive Summary

3.1. Overview of the Market
3.2. Overview of Key Market Segmentations
3.3. Overview of Key Market Players
3.4. Overview of Key Regions/Countries
3.5. Overview of Market Drivers, Challenges, Trends

4. Voice of Customer

5. Global Electronic Contract Manufacturing and Design Services Market Outlook

5.1. Market Size & Forecast
- 5.1.1. By Value
5.2. Market Share & Forecast
- 5.2.1. By Service (Electronic design & engineering, Electronics assembly, Electronic manufacturing)
- 5.2.2. By End-Use (Healthcare, Automotive, Industrial, Aerospace & Defense, IT & telecom, Power & energy, Consumer electronics)
- 5.2.3. By Region
- 5.2.4. By Company (2025)
5.3. Market Map

6. North America Electronic Contract Manufacturing and Design Services Market Outlook

6.1. Market Size & Forecast
- 6.1.1. By Value
6.2. Market Share & Forecast
- 6.2.1. By Service
- 6.2.2. By End-Use
- 6.2.3. By Country
6.3. North America: Country Analysis
- 6.3.1. United States Electronic Contract Manufacturing and Design Services Market Outlook
  - 6.3.1.1. Market Size & Forecast
    - 6.3.1.1.1. By Value
  - 6.3.1.2. Market Share & Forecast
    - 6.3.1.2.1. By Service
    - 6.3.1.2.2. By End-Use
- 6.3.2. Canada Electronic Contract Manufacturing and Design Services Market Outlook
  - 6.3.2.1. Market Size & Forecast
    - 6.3.2.1.1. By Value
  - 6.3.2.2. Market Share & Forecast
    - 6.3.2.2.1. By Service
    - 6.3.2.2.2. By End-Use
- 6.3.3. Mexico Electronic Contract Manufacturing and Design Services Market Outlook
  - 6.3.3.1. Market Size & Forecast
    - 6.3.3.1.1. By Value
  - 6.3.3.2. Market Share & Forecast
    - 6.3.3.2.1. By Service
    - 6.3.3.2.2. By End-Use

7. Europe Electronic Contract Manufacturing and Design Services Market Outlook

7.1. Market Size & Forecast
- 7.1.1. By Value
7.2. Market Share & Forecast
- 7.2.1. By Service
- 7.2.2. By End-Use
- 7.2.3. By Country
7.3. Europe: Country Analysis
- 7.3.1. Germany Electronic Contract Manufacturing and Design Services Market Outlook
  - 7.3.1.1. Market Size & Forecast
    - 7.3.1.1.1. By Value
  - 7.3.1.2. Market Share & Forecast
    - 7.3.1.2.1. By Service
    - 7.3.1.2.2. By End-Use
- 7.3.2. France Electronic Contract Manufacturing and Design Services Market Outlook
  - 7.3.2.1. Market Size & Forecast
    - 7.3.2.1.1. By Value
  - 7.3.2.2. Market Share & Forecast
    - 7.3.2.2.1. By Service
    - 7.3.2.2.2. By End-Use
- 7.3.3. United Kingdom Electronic Contract Manufacturing and Design Services Market Outlook
  - 7.3.3.1. Market Size & Forecast
    - 7.3.3.1.1. By Value
  - 7.3.3.2. Market Share & Forecast
    - 7.3.3.2.1. By Service
    - 7.3.3.2.2. By End-Use
- 7.3.4. Italy Electronic Contract Manufacturing and Design Services Market Outlook
  - 7.3.4.1. Market Size & Forecast
    - 7.3.4.1.1. By Value
  - 7.3.4.2. Market Share & Forecast
    - 7.3.4.2.1. By Service
    - 7.3.4.2.2. By End-Use
- 7.3.5. Spain Electronic Contract Manufacturing and Design Services Market Outlook
  - 7.3.5.1. Market Size & Forecast
    - 7.3.5.1.1. By Value
  - 7.3.5.2. Market Share & Forecast
    - 7.3.5.2.1. By Service
    - 7.3.5.2.2. By End-Use

8. Asia Pacific Electronic Contract Manufacturing and Design Services Market Outlook

8.1. Market Size & Forecast
- 8.1.1. By Value
8.2. Market Share & Forecast
- 8.2.1. By Service
- 8.2.2. By End-Use
- 8.2.3. By Country
8.3. Asia Pacific: Country Analysis
- 8.3.1. China Electronic Contract Manufacturing and Design Services Market Outlook
  - 8.3.1.1. Market Size & Forecast
    - 8.3.1.1.1. By Value
  - 8.3.1.2. Market Share & Forecast
    - 8.3.1.2.1. By Service
    - 8.3.1.2.2. By End-Use
- 8.3.2. India Electronic Contract Manufacturing and Design Services Market Outlook
  - 8.3.2.1. Market Size & Forecast
    - 8.3.2.1.1. By Value
  - 8.3.2.2. Market Share & Forecast
    - 8.3.2.2.1. By Service
    - 8.3.2.2.2. By End-Use
- 8.3.3. Japan Electronic Contract Manufacturing and Design Services Market Outlook
  - 8.3.3.1. Market Size & Forecast
    - 8.3.3.1.1. By Value
  - 8.3.3.2. Market Share & Forecast
    - 8.3.3.2.1. By Service
    - 8.3.3.2.2. By End-Use
- 8.3.4. South Korea Electronic Contract Manufacturing and Design Services Market Outlook
  - 8.3.4.1. Market Size & Forecast
    - 8.3.4.1.1. By Value
  - 8.3.4.2. Market Share & Forecast
    - 8.3.4.2.1. By Service
    - 8.3.4.2.2. By End-Use
- 8.3.5. Australia Electronic Contract Manufacturing and Design Services Market Outlook
  - 8.3.5.1. Market Size & Forecast
    - 8.3.5.1.1. By Value
  - 8.3.5.2. Market Share & Forecast
    - 8.3.5.2.1. By Service
    - 8.3.5.2.2. By End-Use

9. Middle East & Africa Electronic Contract Manufacturing and Design Services Market Outlook

9.1. Market Size & Forecast
- 9.1.1. By Value
9.2. Market Share & Forecast
- 9.2.1. By Service
- 9.2.2. By End-Use
- 9.2.3. By Country
9.3. Middle East & Africa: Country Analysis
- 9.3.1. Saudi Arabia Electronic Contract Manufacturing and Design Services Market Outlook
  - 9.3.1.1. Market Size & Forecast
    - 9.3.1.1.1. By Value
  - 9.3.1.2. Market Share & Forecast
    - 9.3.1.2.1. By Service
    - 9.3.1.2.2. By End-Use
- 9.3.2. UAE Electronic Contract Manufacturing and Design Services Market Outlook
  - 9.3.2.1. Market Size & Forecast
    - 9.3.2.1.1. By Value
  - 9.3.2.2. Market Share & Forecast
    - 9.3.2.2.1. By Service
    - 9.3.2.2.2. By End-Use
- 9.3.3. South Africa Electronic Contract Manufacturing and Design Services Market Outlook
  - 9.3.3.1. Market Size & Forecast
    - 9.3.3.1.1. By Value
  - 9.3.3.2. Market Share & Forecast
    - 9.3.3.2.1. By Service
    - 9.3.3.2.2. By End-Use

10. South America Electronic Contract Manufacturing and Design Services Market Outlook

10.1. Market Size & Forecast
- 10.1.1. By Value
10.2. Market Share & Forecast
- 10.2.1. By Service
- 10.2.2. By End-Use
- 10.2.3. By Country
10.3. South America: Country Analysis
- 10.3.1. Brazil Electronic Contract Manufacturing and Design Services Market Outlook
  - 10.3.1.1. Market Size & Forecast
    - 10.3.1.1.1. By Value
  - 10.3.1.2. Market Share & Forecast
    - 10.3.1.2.1. By Service
    - 10.3.1.2.2. By End-Use
- 10.3.2. Colombia Electronic Contract Manufacturing and Design Services Market Outlook
  - 10.3.2.1. Market Size & Forecast
    - 10.3.2.1.1. By Value
  - 10.3.2.2. Market Share & Forecast
    - 10.3.2.2.1. By Service
    - 10.3.2.2.2. By End-Use
- 10.3.3. Argentina Electronic Contract Manufacturing and Design Services Market Outlook
  - 10.3.3.1. Market Size & Forecast
    - 10.3.3.1.1. By Value
  - 10.3.3.2. Market Share & Forecast
    - 10.3.3.2.1. By Service
    - 10.3.3.2.2. By End-Use

11. Market Dynamics

11.1. Drivers
11.2. Challenges

12. Market Trends & Developments

12.1. Merger & Acquisition (If Any)
12.2. Product Launches (If Any)
12.3. Recent Developments

13. Global Electronic Contract Manufacturing and Design Services Market: SWOT Analysis

14. Porter's Five Forces Analysis

14.1. Competition in the Industry
14.2. Potential of New Entrants
14.3. Power of Suppliers
14.4. Power of Customers
14.5. Threat of Substitute Products

15. Competitive Landscape

15.1. Benchmark Electronics Inc.
- 15.1.1. Business Overview
- 15.1.2. Products & Services
- 15.1.3. Recent Developments
- 15.1.4. Key Personnel
- 15.1.5. SWOT Analysis
15.2. Celestica Inc.
15.3. Compal Electronics Inc.
15.4. Creating Technologies LP
15.5. Flextronics International Ltd.
15.6. Hon Hai Precision Industry Co. Ltd.
15.7. Jabil Circuit Inc.
15.8. Plexus Corporation
15.9. Fabrinet
15.10. Venture Corporation Limited