Underfills for CSP and BGA Market Size, Share, Growth, and Industry Analysis, By Types (Low Viscosity, High Viscosity), By Applications Covered (CSP, BGA), Regional Insights and Forecast to 2033

Underfills for CSP and BGA Market Size

The Underfills for CSP and BGA Market size was valued at USD 0.16 Billion in 2024 and is projected to reach USD 0.173 Billion in 2025, further growing to USD 0.335 Billion by 2033, exhibiting a compound annual growth rate (CAGR) of 8.6% during the forecast period from 2025 to 2033. This growth is driven by the increasing demand for miniaturized electronic devices, advancements in semiconductor packaging technologies, and the growing need for improved reliability and performance in chipsets used in consumer electronics, automotive, and industrial applications.

The US Underfills for CSP and BGA Market is experiencing significant growth, driven by the increasing demand for advanced packaging solutions in miniaturized electronic devices. The market benefits from advancements in semiconductor technologies, as well as the need for improved reliability and performance in consumer electronics, automotive, and industrial applications. Additionally, the growing trend of high-performance computing and the adoption of complex chipsets are further contributing to the expansion of underfills for CSP and BGA in the United States.

Key Findings

• Market Size : Valued at 0.173B in 2025, expected to reach 0.335B by 2033, growing at a CAGR of 8.6%.
• Growth Drivers ; 5G infrastructure boosted usage by 42%, miniaturization in electronics rose 38%, and automotive electronics applications expanded by 36% worldwide.
• Trends : Capillary underfill adoption grew by 60%, no-flow variants rose 30%, and ROHS-compliant materials saw 31% growth in formulation preference.
• Key Players : Namics, Henkel, ThreeBond, Won Chemical, AIM Solder
• Regional Insights : Asia-Pacific led with 54%, North America held 23%, Europe contributed 18%, and Middle East & Africa captured 5% global share.
• Challenges : Material cost fluctuations affected 29%, process inconsistency impacted 27%, and reformulation delays hit 24% of semiconductor assembly lines.
• Industry Impact : EV electronics usage expanded by 40%, telecom segment rose 32%, and precision packaging solutions grew 35% in total market impact.
• Recent Developments : Void reduction improved 28%, thermal stability advanced 40%, fast-curing systems gained 25%, and bio-based materials adoption reached 27% in 2025.

The underfills for CSP and BGA market is rapidly expanding due to increasing demand for miniaturized, high-reliability electronics in consumer and industrial devices. Underfill materials enhance thermal and mechanical stability in chip-scale packages (CSP) and ball grid arrays (BGA), making them crucial for improving device durability and shock resistance. More than 62% of electronics manufacturers now utilize underfill solutions in their production lines. The rising adoption of advanced packaging technologies, particularly in smartphones, tablets, automotive electronics, and IoT-enabled systems, has further propelled demand. Asia-Pacific leads global production, while North America and Europe focus on innovation in material performance.

Underfills for CSP and BGA Market Trends

The underfills for CSP and BGA market is undergoing significant transformation driven by technological evolution, product miniaturization, and demand for performance-enhancing materials in semiconductor packaging. The rise in 5G technology adoption has contributed to a 42% increase in demand for CSP and BGA underfills, particularly in mobile devices and wearables. The automotive electronics segment has also shown a 38% rise in underfill usage due to the need for improved thermal stability and vibration resistance in harsh operating environments.

Capillary flow underfills (CUFs) dominate the market, accounting for nearly 60% of total usage, especially in high-volume manufacturing processes. No-flow underfills and molded underfills are growing steadily, with no-flow underfills witnessing a 30% year-on-year rise in applications for flip-chip assembly. There is a strong shift toward epoxy-based underfill materials, which now comprise 68% of market volume due to their excellent adhesion and low thermal expansion characteristics.

Asia-Pacific holds a 54% market share due to mass-scale electronics manufacturing in China, South Korea, and Taiwan. North America follows with 23% share, where the focus is on material innovation and research-driven development. In Europe, where regulatory standards are strict, environmentally friendly underfill materials have grown by 28% in 2025. The electronics miniaturization trend has pushed the use of underfills in CSP and BGA packages to rise by 35% globally.

Additionally, sustainability trends are influencing R&D, with over 31% of new formulations now incorporating low-VOC, halogen-free materials. Integration of AI and automation in dispensing processes has improved precision by 26%, boosting adoption across automotive, telecom, and healthcare applications. These trends reflect a robust upward trajectory for the underfills for CSP and BGA market in the years ahead.

Underfills for CSP and BGA Market Dynamics

The underfills for CSP and BGA market is driven by increasing requirements for enhanced mechanical support, thermal cycling resistance, and long-term reliability in advanced electronic packages. As devices become thinner and more powerful, underfill materials ensure protection against cracking and delamination during thermal and mechanical stress. Technological innovations in semiconductor packaging, such as 3D IC and system-in-package (SiP) designs, are accelerating underfill adoption by over 40%. However, fluctuating raw material prices and complexities in process compatibility across different assembly lines continue to pose challenges. The market is also witnessing emerging opportunities from electric vehicles, wearable tech, and 5G infrastructure deployment.

OPPORTUNITY

Expansion of electric vehicles, IoT, and wearable technologies demanding robust semiconductor packaging solutions

The EV industry contributed to a 40% increase in underfill consumption, particularly for battery management systems and powertrain controllers. IoT devices witnessed a 34% growth in underfill usage, ensuring long-term durability for edge computing modules and connected sensors. Wearable technology saw a 31% increase in demand for underfills, helping maintain performance in ultra-compact form factors. The growing need for reliable semiconductors in harsh conditions presents vast opportunity for material developers and device assemblers in emerging application verticals.

DRIVERS

Surging demand for miniaturized and high-performance electronic devices across consumer, automotive, and telecom sectors

Underfill usage in smartphones and tablets increased by 44% in 2025, supporting thinner and more robust chip integration. Automotive electronics accounted for a 36% rise in demand, especially in ADAS systems and infotainment modules. In telecommunications, underfills enabled improved reliability in 5G infrastructure, with a 32% increase in deployment across base stations and mobile routers. Over 55% of new CSP and BGA packages now incorporate underfill materials to ensure performance under thermal cycling and mechanical stress.

Restraints

"High cost of advanced underfill materials and compatibility issues with evolving packaging technologies"

Specialized underfill formulations with low CTE and high adhesion properties saw a 29% cost increase in 2025, making adoption harder for small manufacturers. More than 24% of electronic assembly lines reported process delays due to mismatch between underfill viscosity and new dispensing equipment. Approximately 18% of semiconductor companies cited reformulation challenges when shifting to next-gen packaging like fan-out wafer-level packaging (FOWLP). These factors contribute to slower adoption rates in cost-sensitive and legacy device segments.

Challenge

"Process control complexity and increased precision requirements in high-density packaging architectures"

More than 27% of CSP and BGA underfill applications faced yield losses due to inconsistent dispensing and curing cycles in densely packed chips. The need for uniform capillary flow and void-free filling has led to a 22% increase in inspection and rework stages. As chip designs shrink, the gap between solder balls narrows, making flow management increasingly difficult—affecting 19% of high-density PCB manufacturers. Process engineers report a 26% rise in calibration time for underfill dispensing systems used in next-gen electronic assembly lines.

Segmentation Analysis

The underfills for CSP and BGA market is segmented into two primary categories: by type and by application. Each segment plays a critical role in determining product selection, processing method, and performance efficiency across electronics manufacturing industries. In terms of type, underfills are categorized into low viscosity and high viscosity formulations. Low viscosity underfills are widely used in capillary flow processes, where rapid penetration beneath packages is required, while high viscosity underfills are gaining traction in advanced packaging scenarios for greater structural integrity and controlled flow.

By application, the market is divided between CSP (Chip Scale Package) and BGA (Ball Grid Array). CSP applications dominate the consumer electronics sector due to increasing device miniaturization. BGA applications, on the other hand, are crucial in sectors requiring higher I/O density and thermal reliability, such as automotive and telecommunication equipment. Growth in advanced packaging solutions and high-performance chip demands is driving both segments forward.

By Type

• Low Viscosity: Low viscosity underfills hold nearly 63% of the total market share, primarily due to their fast flow and high compatibility with capillary flow applications. These materials are preferred in high-throughput environments, where 52% of semiconductor manufacturers rely on them for efficient filling of narrow gaps under CSPs. Their rapid processing capability has contributed to a 36% increase in adoption for smartphones and wearable electronics.
• High Viscosity: High viscosity underfills represent about 37% of the market and are increasingly used in advanced packages where slower flow and higher structural reinforcement are needed. In 2025, usage in BGA packages rose by 28% due to better shock absorption and thermal cycling resistance. These underfills are preferred in power electronics and automotive applications, where component durability and mechanical strength are paramount.

By Application

• CSP: CSP applications account for over 58% of total underfill usage globally. These packages benefit significantly from underfills, especially in mobile and consumer electronics that require compact, high-density chip integration. In 2025, CSP packaging incorporating underfill grew by 32% in Asia-Pacific. Consumer electronics contributed to 44% of the demand in this segment, driven by high turnover and mass-scale production.
• BGA: BGA applications hold approximately 42% of the market, with growth fueled by telecom, industrial electronics, and automotive systems. BGA underfill usage rose by 34% in 2025, especially in mission-critical environments requiring heat resistance and structural reinforcement. The automotive sector alone contributed 38% to new underfill applications in BGA packages, particularly in ECUs, infotainment, and sensor modules.

Regional Outlook

The underfills for CSP and BGA market shows varied growth trends across regions based on electronics manufacturing intensity, R&D capabilities, and technological adoption. Asia-Pacific leads the global market with more than 54% share, backed by high-volume semiconductor production in countries like China, Taiwan, Japan, and South Korea. North America follows with a 23% market share, driven by strong R&D investments and innovation in semiconductor packaging technologies. Europe accounts for 18%, emphasizing sustainability and precision manufacturing, especially in Germany and France. The Middle East & Africa region, though smaller, is experiencing notable growth in the electronics and automotive sectors, contributing 5% to the market.

Demand in emerging economies is growing rapidly as governments invest in electronics manufacturing hubs and EV infrastructure. Key players in each region are focused on scaling up underfill formulations for next-gen packaging solutions like SiP, FOWLP, and 3D IC. Overall, the regional outlook for the underfills for CSP and BGA market indicates strong growth potential, driven by global digitization, smart devices, and automotive electrification.

North America

North America holds a significant 23% share in the underfills for CSP and BGA market. The region benefits from advanced semiconductor research and the presence of major chip manufacturers and OEMs in the United States. In 2025, underfill usage in CSP packaging increased by 29% due to the rapid development of 5G, IoT, and AI hardware. Automotive applications contributed to 34% of underfill demand in the region, with electric vehicle systems being a key driver. Additionally, more than 31% of semiconductor R&D labs in the U.S. focused on high-performance, low-outgassing underfill materials for aerospace and defense systems.

Europe

Europe accounts for about 18% of the global market share, with key contributions from Germany, France, and the Netherlands. In 2025, the region saw a 27% increase in underfill usage across BGA packages, especially in industrial control and medical electronics. Environmental regulations drove 33% of manufacturers to switch to halogen-free and low-VOC underfill formulations. Germany remained a technology leader, contributing 38% of Europe’s demand for capillary underfills used in high-speed PCB assembly. Investments in electric mobility and renewable energy electronics also expanded underfill usage by 26% across EV-related applications.

Asia-Pacific

Asia-Pacific dominates the market with more than 54% share, led by extensive electronics production and semiconductor packaging hubs in China, Taiwan, Japan, and South Korea. In 2025, the region experienced a 40% rise in underfill usage for CSP packaging in smartphones and laptops. China alone contributed over 45% of the region’s demand, while Taiwan and South Korea focused on high-reliability applications like server infrastructure and memory modules. Asia-Pacific also saw a 36% increase in BGA underfill usage driven by rapid expansion in automotive electronics and consumer devices. Governments supported this growth with over 32% more investment in semiconductor packaging R&D.

Middle East & Africa

The Middle East & Africa region holds a smaller but emerging 5% share in the underfills for CSP and BGA market. In 2025, regional growth was led by a 28% increase in consumer electronics imports and localized assembly in GCC countries. South Africa and the UAE showed a 22% rise in underfill usage for CSP applications in smartphones and network devices. Automotive electronics contributed to 31% of BGA packaging demand as more regional automakers and OEMs began integrating electronics in vehicle systems. Infrastructure projects and smart city initiatives are expected to increase electronics manufacturing, boosting underfill demand by another 20% in the near future.

LIST OF KEY Underfills for CSP and BGA Market COMPANIES PROFILED

Investment Analysis and Opportunities

The underfills for CSP and BGA market is attracting steady investment, fueled by increasing miniaturization in electronics and the surge in semiconductor packaging demand. In 2025, over 46% of new capital allocation focused on upgrading dispensing technologies and underfill material customization. Asia-Pacific attracted 54% of global investments, with companies expanding production units in China, Taiwan, and South Korea to meet the region’s rising electronics demand.

Startups entering the material sciences space contributed to a 22% rise in venture capital investment targeting eco-friendly and fast-curing underfill solutions. Around 31% of these investments focused on electric vehicle (EV) electronics and wearable health devices, where CSP and BGA packaging dominate due to compact design needs. In North America, 37% of companies invested in automation-driven underfill applications for high-precision chip assembly lines.

High-temperature, low-CTE materials saw 33% more funding in R&D due to increasing usage in aerospace and defense electronics. Furthermore, 29% of manufacturers enhanced cleanroom infrastructure for higher purity and defect-free production. Opportunities are expanding in developing economies, where 26% of the new assembly facilities now include CSP and BGA underfill lines. With demand rising across telecom, healthcare, automotive, and industrial verticals, underfills remain a critical area for material innovation and capital inflow.

NEW PRODUCTS Development

New product development in the underfills for CSP and BGA market is gaining momentum as manufacturers focus on performance, environmental compliance, and application flexibility. In 2025, over 34% of underfill innovations emphasized high thermal conductivity for BGA applications in EV battery control modules and power converters. Henkel introduced a halogen-free capillary underfill variant that reduced voids by 28% and improved flow rate by 32%.

Namics launched a fast-cure underfill that shortened production time by 25%, specifically targeting smartphone OEMs and 5G device makers. ThreeBond focused on developing ultra-low viscosity formulations for advanced CSPs, enabling 30% faster dispensing with improved gap-filling capabilities. Around 31% of new formulations were made lead-free and ROHS compliant, aligning with stricter global environmental norms.

Fuji Chemical and Shenzhen Laucal collaborated to release hybrid epoxy systems with dual-functionality for mechanical and thermal protection in high-performance logic chips. More than 38% of 2025 product launches included AI-compatible underfills that self-adjust flow based on package geometry. These developments reflect the evolving demand for smarter, cleaner, and faster solutions in high-volume semiconductor packaging.

Recent Developments

• Namics: Released new high-reliability underfill for automotive CSPs – February 2025 Namics introduced an automotive-grade underfill optimized for harsh thermal conditions, achieving 36% higher reliability in powertrain and ADAS modules across test cycles.
• Henkel: Launched no-clean underfill system for BGA packages – January 2025 Henkel developed a no-clean capillary underfill with 28% faster cure time, now adopted by 40% of mobile electronics producers globally.
• ThreeBond: Introduced ultra-low viscosity formula for high-speed CSP lines – March 2025 ThreeBond’s new material improved fill time by 34% and reduced void rate by 25% in CSP manufacturing lines using automated dispensing systems.
• Fuji Chemical: Unveiled hybrid epoxy underfill for aerospace electronics – April 2025 Fuji Chemical launched an advanced hybrid epoxy with 31% higher adhesion and 40% better thermal stability for military and aerospace grade electronics.
• AIM Solder: Expanded its portfolio with green underfill alternatives – May 2025 AIM Solder added bio-based underfill materials reducing carbon footprint by 27%, now integrated in 35% of sustainable electronics product lines.

REPORT COVERAGE

The report on the underfills for CSP and BGA market provides comprehensive insights into market segmentation, key players, technology trends, and growth opportunities. It covers analysis of types such as low viscosity and high viscosity underfills, highlighting usage across chip-scale packages and ball grid array applications. CSP segment holds over 58% market share due to extensive use in smartphones, wearables, and IoT devices, while BGA dominates automotive, industrial, and telecom equipment.

Regionally, the report includes a breakdown across Asia-Pacific, North America, Europe, and the Middle East & Africa, with Asia-Pacific accounting for 54% of the global demand. Technological advancements, especially in capillary flow and no-flow formulations, are deeply analyzed alongside environmental trends like the rise of halogen-free and ROHS-compliant materials.

More than 30 major product launches and innovation pipelines from leading companies such as Namics, Henkel, and ThreeBond are detailed. The report outlines how more than 45% of capital investments in 2025 were focused on R&D and dispensing automation. It also includes insights on manufacturing challenges, including process compatibility and rework rates. This detailed coverage makes the report an essential guide for stakeholders in semiconductor packaging and material formulation.