Smart Card Market

The smart card market is projected to experience steady growth in both consumption and value over the period from 2022 to 2030, with a forecasted CAGR of +3.7% and +6.8% respectively. Global consumption reached 41B units in 2022, with the United States leading in volume. Production also saw significant growth, with China as the largest producer. Imports and exports of smart cards also showed strong figures, with China dominating the market. Prices fluctuated but remained stable overall, indicating a positive outlook for the smart card industry in the coming years.

Market Forecast

Driven by increasing demand for cards incorporating an electronic integrated circuit (smart card) worldwide, the market is expected to continue an upward consumption trend over the next eight years. Market performance is forecast to decelerate, expanding with an anticipated CAGR of +3.7% for the period from 2022 to 2030, which is projected to bring the market volume to 54B units by the end of 2030.

In value terms, the market is forecast to increase with an anticipated CAGR of +6.8% for the period from 2022 to 2030, which is projected to bring the market value to $497.1B (in nominal prices) by the end of 2030.

Consumption

World Consumption of Cards Incorporating An Electronic Integrated Circuit (Smart Card)

Global smart card consumption expanded markedly to 41B units in 2022, increasing by 6.1% against the previous year's figure. Overall, consumption continues to indicate resilient growth. Over the period under review, global consumption reached the maximum volume at 41B units in 2020; however, from 2021 to 2022, consumption failed to regain momentum.

The global smart card market revenue was estimated at $294.2B in 2022, picking up by 8.4% against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers' margins, which will be included in the final consumer price). Over the period under review, consumption posted a resilient increase. As a result, consumption reached the peak level of $338.3B. From 2017 to 2022, the growth of the global market failed to regain momentum.

Consumption By Country

The country with the largest volume of smart card consumption was the United States (4.3B units), comprising approx. 11% of total volume. Moreover, smart card consumption in the United States exceeded the figures recorded by the second-largest consumer, France (1.9B units), twofold. India (1.7B units) ranked third in terms of total consumption with a 4.3% share.

In the United States, smart card consumption increased at an average annual rate of +7.6% over the period from 2012-2022. In the other countries, the average annual rates were as follows: France (+15.0% per year) and India (+6.0% per year).

In value terms, Pakistan ($61B) led the market, alone. The second position in the ranking was held by Nigeria ($24.3B). It was followed by Italy.

In Pakistan, the smart card market expanded at an average annual rate of +9.9% over the period from 2012-2022. In the other countries, the average annual rates were as follows: Nigeria (+21.5% per year) and Italy (+12.8% per year).

In 2022, the highest levels of smart card per capita consumption was registered in Singapore (147 units per person), followed by France (27 units per person), Malaysia (25 units per person) and Italy (15 units per person), while the world average per capita consumption of smart card was estimated at 0.1 units per person.

In Singapore, smart card per capita consumption increased at an average annual rate of +53.5% over the period from 2012-2022. The remaining consuming countries recorded the following average annual rates of per capita consumption growth: France (+14.7% per year) and Malaysia (+23.6% per year).

Production

World Production of Cards Incorporating An Electronic Integrated Circuit (Smart Card)

In 2022, global smart card production rose significantly to 52B units, picking up by 11% on the previous year. In general, production showed a strong increase. The most prominent rate of growth was recorded in 2018 with an increase of 27%. Global production peaked in 2022 and is expected to retain growth in the immediate term.

In value terms, smart card production expanded modestly to $888.5B in 2022 estimated in export price. Overall, production enjoyed a prominent increase. The pace of growth was the most pronounced in 2018 when the production volume increased by 368%. Over the period under review, global production attained the maximum level at $925.6B in 2020; however, from 2021 to 2022, production stood at a somewhat lower figure.

Production By Country

China (14B units) remains the largest smart card producing country worldwide, accounting for 26% of total volume. Moreover, smart card production in China exceeded the figures recorded by the second-largest producer, Hong Kong SAR (5.1B units), threefold. The third position in this ranking was taken by Malaysia (4.6B units), with an 8.9% share.

In China, smart card production expanded at an average annual rate of +11.0% over the period from 2012-2022. The remaining producing countries recorded the following average annual rates of production growth: Hong Kong SAR (+49.7% per year) and Malaysia (+34.0% per year).

Imports

World Imports of Cards Incorporating An Electronic Integrated Circuit (Smart Card)

In 2022, approx. 23B units of cards incorporating an electronic integrated circuit (smart card) were imported worldwide; growing by 4.8% compared with 2021 figures. Overall, imports posted strong growth. The most prominent rate of growth was recorded in 2021 with an increase of 24% against the previous year. Over the period under review, global imports attained the peak figure in 2022 and are likely to see steady growth in years to come.

In value terms, smart card imports soared to $6.5B in 2022. The total import value increased at an average annual rate of +1.8% over the period from 2012 to 2022; however, the trend pattern remained consistent, with only minor fluctuations being observed throughout the analyzed period. As a result, imports attained the peak and are likely to continue growth in the immediate term.

Imports By Country

China (5.2B units) and the United States (4B units) represented roughly 40% of total imports in 2022. It was distantly followed by Hong Kong SAR (2.2B units), committing a 9.4% share of total imports. Turkey (901M units), Singapore (827M units), the Netherlands (800M units), France (756M units), Germany (672M units), Spain (611M units), India (355M units) and Italy (351M units) followed a long way behind the leaders.

From 2012 to 2022, the most notable rate of growth in terms of purchases, amongst the leading importing countries, was attained by the Netherlands (with a CAGR of +29.0%), while imports for the other global leaders experienced more modest paces of growth.

In value terms, the United States ($962M) constitutes the largest market for imported cards incorporating an electronic integrated circuit (smart card) worldwide, comprising 15% of global imports. The second position in the ranking was held by China ($361M), with a 5.5% share of global imports. It was followed by Germany, with a 4.8% share.

In the United States, smart card imports increased at an average annual rate of +10.7% over the period from 2012-2022. The remaining importing countries recorded the following average annual rates of imports growth: China (-2.4% per year) and Germany (-0.5% per year).

Import Prices By Country

The average smart card import price stood at $0.3 per unit in 2022, growing by 15% against the previous year. Over the period under review, the import price, however, saw a abrupt descent. Global import price peaked at $0.7 per unit in 2012; however, from 2013 to 2022, import prices remained at a lower figure.

Prices varied noticeably by country of destination: amid the top importers, the country with the highest price was India ($0.8 per unit), while China ($0.1 per unit) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by India (+9.3%), while the other global leaders experienced a decline in the import price figures.

Exports

World Exports of Cards Incorporating An Electronic Integrated Circuit (Smart Card)

Global smart card exports rose markedly to 35B units in 2022, picking up by 13% against the previous year's figure. Over the period under review, exports continue to indicate buoyant growth. The most prominent rate of growth was recorded in 2018 when exports increased by 33%. Over the period under review, the global exports attained the maximum in 2022 and are expected to retain growth in the near future.

In value terms, smart card exports surged to $6.2B in 2022. The total export value increased at an average annual rate of +2.2% from 2012 to 2022; however, the trend pattern remained relatively stable, with somewhat noticeable fluctuations being recorded in certain years. As a result, the exports reached the peak and are likely to continue growth in the immediate term.

Exports By Country

China represented the major exporting country with an export of around 18B units, which resulted at 53% of total exports. It was distantly followed by Hong Kong SAR (6.5B units) and Malaysia (3.9B units), together creating a 30% share of total exports. India (838M units) followed a long way behind the leaders.

Exports from China increased at an average annual rate of +16.3% from 2012 to 2022. At the same time, Malaysia (+33.7%), Hong Kong SAR (+29.4%) and India (+7.7%) displayed positive paces of growth. Moreover, Malaysia emerged as the fastest-growing exporter exported in the world, with a CAGR of +33.7% from 2012-2022. From 2012 to 2022, the share of Hong Kong SAR, Malaysia and China increased by +13, +8.9 and +7 percentage points, respectively.

In value terms, China ($1.8B) remains the largest smart card supplier worldwide, comprising 29% of global exports. The second position in the ranking was taken by Hong Kong SAR ($400M), with a 6.4% share of global exports. It was followed by India, with a 4.5% share.

From 2012 to 2022, the average annual rate of growth in terms of value in China amounted to +7.0%. In the other countries, the average annual rates were as follows: Hong Kong SAR (+9.4% per year) and India (+5.5% per year).

Export Prices By Country

In 2022, the average smart card export price amounted to $0.2 per unit, with an increase of 11% against the previous year. In general, the export price, however, recorded a deep slump. The global export price peaked at $0.6 per unit in 2012; however, from 2013 to 2022, the export prices stood at a somewhat lower figure.

Prices varied noticeably by country of origin: amid the top suppliers, the country with the highest price was India ($0.3 per unit), while Malaysia ($0.1 per unit) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by India (-2.1%), while the other global leaders experienced a decline in the export price figures.

Source: IndexBox Market Intelligence Platform