Last Updated: October 2025

Table of Contents

1. Introduction

2. Ceramic Capacitor Types

• Semiconductor Ceramic Capacitors

• High-Voltage Ceramic Capacitors

• Multilayer Ceramic Capacitors

3. Ceramic Capacitor Dielectric Materials

4. Market Trends and Future Developments

Ⅰ Introduction

A ceramic capacitor is a general term for capacitors with ceramic material as the dielectric. There are many varieties, and the dimensions vary greatly. According to the voltage rating, they can be divided into high voltage, medium voltage, and low voltage ceramic capacitors. According to the temperature coefficient, the dielectric constant can be divided into negative temperature coefficient, positive temperature coefficient, zero temperature coefficient, high dielectric constant, and low dielectric constant types. Additionally, there are classification methods for Class 1, Class 2, and Class 3 capacitors.

Compared with other capacitors, general ceramic capacitors have the advantages of higher operating temperature, large specific capacity, good humidity resistance, and small dielectric loss. The temperature coefficient of capacitance can also be selected in a wide range.

Figure 1. Ceramic capacitor

Industry Significance (2025)

As of 2025, more than three trillion multilayer ceramic capacitors (MLCCs) are manufactured annually worldwide. These components are essential in modern electronics, from smartphones (which contain 700-1,000 MLCCs each) to electric vehicles (requiring 3,000-10,000 MLCCs per vehicle). The global MLCC market is valued at approximately $14-18 billion and continues to grow at a CAGR of 5-9%, driven by electrification, 5G infrastructure, and IoT devices.

Ⅱ Ceramic Capacitor Types

1. Semiconductor Ceramic Capacitors

(1) Surface-Layer Ceramic Capacitors

Micro-miniaturized capacitors aim to achieve the largest possible capacity in the smallest possible volume, which is one of the key trends in capacitor development.

For separation capacitor components, there are two basic approaches to miniaturization:

• Make the dielectric constant of the dielectric material as high as possible

• Make the thickness of the dielectric layer as thin as possible

In ceramic materials, the dielectric constant of ferroelectric ceramics is very high. However, when ferroelectric ceramics are used to make common ferroelectric ceramic capacitors, it is difficult to make the ceramic dielectric thin. First, ferroelectric ceramics have low strength and are prone to cracking when thinner, which makes production operations challenging. Second, when the ceramic medium is thin, it is susceptible to various structural defects, and the production process becomes very difficult.

Surface layer ceramic capacitors use a thin insulating layer formed on the surface of semiconductor ceramic materials such as BaTiO₃ as a dielectric layer, and the semiconductor ceramic itself can be regarded as part of a series circuit. The thickness of the insulating surface layer varies depending on the formation method and conditions, ranging from 0.01 to 100 μm. This approach utilizes both the high dielectric constant of ferroelectric ceramics and effectively reduces the thickness of the dielectric layer, making it an effective solution for preparing micro-small ceramic capacitors.

Figure 2. Structure of surface layer ceramic capacitor and its equivalent circuit

(2) Grain Boundary Layer Ceramic Capacitors

The surface of BaTiO₃ semiconductor ceramics with relatively well-developed grains is coated with an appropriate metal oxide (such as CuO, Cu₂O, MnO₂, Bi₂O₃, or Tl₂O₃). Through heat treatment under appropriate temperature and oxidation conditions, the coated oxide forms a eutectic phase with BaTiO₃, and a thin solid solution insulation layer forms on the grain boundaries. The resistivity of this thin solid solution insulation layer is very high (up to 10¹²–10¹³ Ω·cm). Although the crystal grains of the ceramic remain semiconductors, the entire ceramic body exhibits a significant dielectric constant as high as 2×10⁴ to 8×10⁴ as an insulator dielectric. Capacitors made with this ceramic are called boundary layer ceramic capacitors, or BL capacitors for short.

2. High-Voltage Ceramic Capacitors

With the rapid development of the electronics industry, there is urgent demand for high-voltage ceramic capacitors with high breakdown voltage, small loss, compact size, and high reliability. Over the past two decades, high-voltage ceramic capacitors have been successfully developed and are now widely used in power systems, laser power supplies, videotape recorders, color TVs, electron microscopes, photocopiers, office automation equipment, aerospace, missiles, and navigation systems.

The ceramic materials for high-voltage ceramic capacitors are mainly two types: barium titanate-based and strontium titanate-based.

Barium titanate-based ceramic materials have the advantages of high dielectric constant and good AC withstand voltage characteristics, but also have disadvantages such as increased capacitance change rate with temperature and decreased insulation resistance.

Strontium titanate-based materials: The Curie temperature of strontium titanate crystals is -250°C, and it has a cubic perovskite structure at normal temperature. At high voltages, strontium titanate-based ceramic materials have small variations in dielectric coefficient, small tan δ, and small rates of change in capacitance. These advantages make them particularly suitable as high-voltage capacitor dielectrics.

Key Manufacturing Process Points

1. Raw Material Selection: Factors affecting the quality of high-voltage ceramic capacitors include not only the composition of the ceramic material but also optimized manufacturing processes and strict process conditions. Both cost and purity of raw materials must be considered. When selecting industrial pure raw materials, attention must be paid to their applicability.

2. Preparation of Frit: The quality of frit preparation greatly impacts ball grinding fineness and firing of the ceramic. If the frit synthesis temperature is too low, synthesis is insufficient, which is detrimental to subsequent processes. If Ca²⁺ remains in the composite, it will hinder the rolling process. If the synthesis temperature is too high, the frit becomes too hard, affecting ball milling efficiency. Introduction of impurities from the grinding medium will reduce powder activity and cause the firing temperature of the ceramic to increase.

3. Molding Process: During molding, it is necessary to prevent uneven pressure in the thickness direction and excessive pores in the closed body. Large pores or layer cracks will affect the electrical strength of the ceramic.

4. Firing Process: The firing system should be strictly controlled, and temperature control equipment with good performance and kiln furniture with good thermal conductivity should be adopted.

5. Encapsulation: The selection of the encapsulant, control of the encapsulation process, and cleaning of the ceramic surface greatly impact capacitor characteristics. It is necessary to choose an encapsulation material with good moisture resistance that is closely combined with the ceramic body surface and has high electrical strength.

To improve the breakdown voltage of ceramic capacitors, coating a layer of glass glaze around the edges of the interface between the electrode and the dielectric surface can effectively improve the withstand voltage and high-temperature load performance of ceramic capacitors used in high-voltage circuits such as televisions.

Recent Developments (2024-2025)

Ultra-High Voltage MLCCs: In February 2025, Vishay launched commercial MLCCs rated up to 3,000V across seven case sizes, addressing demand for power electronics and industrial applications. TDK Corporation also introduced 1,250V C0G series capacitors, signaling a shift toward replacing film capacitors in harsh environments.

3. Multilayer Ceramic Capacitors (MLCCs)

Multilayer ceramic capacitor (MLCC) is the most widely used type of chip component. It consists of internal electrode material and ceramic body stacked alternately in parallel in multiple layers and co-fired into a whole, also known as a chip monolithic capacitor. It has the characteristics of small size, high specific volume, and high precision. It can be mounted on printed circuit boards (PCB) and hybrid integrated circuit (HIC) substrates, effectively reducing the size of electronic information terminal products (especially portable products) and weight while improving product reliability.

MLCCs comply with the development direction of miniaturization, lightweight, high performance, and multi-function of the IT industry. They not only have simple packaging and good sealing performance but also effectively isolate opposite electrodes. MLCCs can play roles in storing electric charge, blocking DC, filtering, combining, distinguishing different frequencies, and tuning circuits in electronic circuits. They can partially replace organic film capacitors and electrolytic capacitors in high-frequency switching power supplies, computer network power supplies, and mobile communication equipment, greatly improving the filtering performance and anti-interference performance of high-frequency switching power supplies.

Key Development Trends

1. Miniaturization

For compact electronic products such as smartphones, wearables, and IoT devices, more compact MLCC products are needed. Due to advances in precision printed electrodes and lamination processes, ultra-small MLCC products have gradually appeared and obtained widespread applications.

Current State (2025): The 0201 case size (0.6mm × 0.3mm) currently dominates the market, representing the optimal balance between manufacturing yield and capacitance. However, the industry is rapidly advancing toward even smaller sizes:

• 01005 size: Growing at a CAGR of 7.08%, particularly for high-density smartphone and wearable applications

• 008004 size: Emerging in prototype stages, though mass production challenges remain with yield rates below optimal levels

• Kyocera achieved a breakthrough in 2022 with 10μF capacitance in an 0201 package, redefining density limits for AI accelerator cards and high-performance computing

2. Cost Reduction - Base Metal Inner Electrode MLCCs

Traditional MLCCs used expensive palladium electrodes or palladium-silver alloy electrodes, with 70% of manufacturing costs attributed to electrode materials. New-generation MLCCs, including high-voltage MLCCs, use inexpensive base metal materials (nickel and copper) as electrodes, which greatly reduces MLCC costs.

However, base metal internal electrode MLCCs need to be sintered at lower oxygen partial pressure to ensure electrode conductivity. Lower oxygen partial pressure can cause semiconducting tendency in dielectric ceramics, which is not conducive to insulation and reliability. Manufacturers have developed several anti-reduction ceramics that can be sintered in reducing atmospheres. The reliability of these capacitors is now comparable to capacitors using noble metal electrodes. As of 2025, base metal electrode Y5V capacitors account for approximately half of MLCCs in this category.

3. Large Capacity and High Frequency

On one hand, with low-voltage driving and low power consumption of semiconductor devices, the operating voltage of integrated circuits has decreased from 5V to 3V and 1.5V. On the other hand, miniaturization of power supplies requires small, large-capacity products to replace bulky aluminum electrolytic capacitors.

To meet the development and application of low-voltage and large-capacity MLCCs, relaxation-type high-dielectric materials with relative dielectric constants 1 to 2 times higher than BaTiO₃ have been developed. Three key technologies have been developed simultaneously:

• Ultra-thin green sheet powder dispersion technology

• Improved green film formation technology

• Internal electrode and ceramic green sheet shrinkage matching technology

Recent Achievement: In April 2025, TDK rolled out 100V, 10μF automotive MLCCs in 3225 case size, halving board area for 48V subsystems. High-capacity MLCCs with maximum capacitance of 100μF and withstand voltage of 25V are now commercially available, suitable for liquid crystal display (LCD) power lines and other applications.

⚠️ 2025 Market Dynamics

Major Manufacturers: The MLCC market is dominated by Murata Manufacturing (31% market share), Samsung Electro-Mechanics (21%), and Taiyo Yuden (10%), collectively controlling 62% of the global market.

Regional Production: Asia-Pacific accounts for 58.2% of MLCC production, with China contributing 32% of regional consumption. However, geopolitical factors are driving diversification, with Murata expanding production in Tamil Nadu, India, and on-shore manufacturing initiatives gaining momentum in the United States and Europe.

Applications: Modern 5G smartphones contain 1,000-1,500 MLCCs (compared to 800-1,000 in 4G models), while electric vehicles require 3,000-10,000 MLCCs per vehicle, driving unprecedented demand.

Ⅲ Ceramic Capacitor Dielectric Materials

Ceramic materials have superior electrical, mechanical, and thermal properties, and can be used as capacitor dielectrics, circuit substrates, and packaging materials.

1. The Microstructure of Ceramic Materials

Ceramic materials are materials made from oxides or other compounds and then fired at high temperatures close to their melting temperature. Ceramic is a complex polycrystalline and multiphase system, generally composed of crystalline phase, glass phase, gas phase, and phase boundary. The characteristics, composition, relative content, and distribution of these phases determine the basic properties of the ceramic.

The crystal phase in ceramics usually refers to crystal grains with different sizes, shapes, and random orientations. The diameter of the crystal grains typically ranges from several micrometers to several tens of micrometers. The crystal phases may belong to the same compound or crystal system, or they may be different compounds or different crystal systems. If there are two or more grains with different compositions and structures in ceramics, they are called polycrystalline phase ceramics. The product phase with the most relative content is called the main crystal phase, and others are called the by-product phase. The properties of the main crystalline phase determine the material properties, such as relative dielectric constant, electrical conductivity, loss, and thermal expansion coefficient.

The gas phase is generally distributed in the grain boundaries, recrystallized crystals, and glass phase, and it is an inevitable part of the ceramic structure. It originates from the impossibility of achieving complete close packing between individual crystal grains during the firing process, and the glass phase cannot fill all voids between crystal grains. It may also form pores due to gas release during sintering of the blank. The gas phase can seriously affect the electrical, mechanical, and thermal properties of ceramic materials. It is generally desired that the gas-phase content in ceramics be minimized.

2. Characteristics and Classification of Capacitor Ceramics

A ceramic capacitor is made by soldering leads after forming metal layers on both sides of the ceramic substrate. These ceramic materials used as capacitors are called capacitor ceramics.

Figure 3. Ceramic capacitor

(1) Characteristics of Dielectric Ceramics

Compared with other capacitor dielectric materials, dielectric ceramics have the following characteristics:

• The dielectric constant and the temperature coefficient of the dielectric constant, as well as mechanical and thermophysical properties, can be adjusted, and the dielectric constant can be quite large

• The dielectric constant of some dielectric ceramics (strong dielectric ceramics, mainly ferroelectric ceramics) can change with the strength of the electric field. They can be used to make non-linear capacitors, sometimes called varistor capacitors

• Abundant raw materials, low cost, and easy mass production

(2) Classification of Capacitor Ceramics

There are several classification methods for capacitor ceramics:

By Application:

• Class 1 ceramics: Used for manufacturing Class 1 (high frequency) ceramic dielectric capacitors

• Class 2 ceramics: Used for manufacturing Class 2 (ferroelectric) ceramic dielectric capacitors

• Class 3 ceramics: Used for manufacturing Class 3 (semiconductor) ceramic dielectric capacitors

By Dielectric Constant:

• High dielectric ceramics (Class 1): Large relative dielectric constant (ε = 12 to 600)

• Strong dielectric ceramics (Class 2): Higher relative dielectric constant (ε = 10³ to 10⁴)

• Low dielectric ceramics (Class 3): Low relative dielectric constant (ε < 10.5)

The tan δ of high dielectric ceramic and low dielectric ceramic is very small, making them suitable for manufacturing capacitors in high-frequency circuits (also called high-frequency ceramics). The tan δ of strong dielectric ceramics is large, making them suitable only for manufacturing capacitors used in low-frequency circuits (also called low-frequency ceramics).

Common Dielectric Types (2025)

Class 1 (C0G/NP0): Offer high stability and low losses for resonant circuit applications, with 0±30 ppm/°C temperature coefficient. Growing at 6.88% CAGR, particularly for precision RF filters and EV inverters.

Class 2 (X7R, X5R, X7S): Dominate the market with 82.2% share in 2024, offering high volumetric efficiency. X7R maintains capacitance over -55°C to +125°C with ±15% tolerance, making it the workhorse for smartphone power rails and automotive infotainment.

Y5V and Z5U: Offer highest dielectric constants for smallest sizes but have limited temperature stability and higher capacitance drift.

Ⅳ Market Trends and Future Developments (2025)

Advanced Material Innovations

High-Entropy Ceramics: Recent breakthroughs in 2024-2025 include high-entropy BaTiO₃-based relaxor ceramics achieving energy density of 10.9 J/cm³ with 93% efficiency. These materials maintain excellent energy storage performance from -50°C to 260°C, with variation below 9%, and demonstrate cycling reliability up to 1 million cycles at 200°C.

Anti-Ferroelectric Ceramics: New developments focus on materials that can achieve ultrahigh energy storage with polymorphic relaxor phases. These advanced ceramics show promise for next-generation power electronics and energy storage applications.

Lead-Free Alternatives: Significant research focuses on lead-free dielectric materials for environmental compliance, including sodium niobate (NaNbO₃)-based ceramics and bismuth-based compounds that offer competitive performance.

Key Application Drivers

Electric Vehicles: Modern EVs require 3,000-10,000 MLCCs per vehicle (nearly double that of traditional vehicles), driving automotive-grade MLCC demand at a 6.5-8.7% CAGR. This includes battery management systems, powertrains, ADAS, and 48V subsystems.

5G and Telecommunications: 5G handsets integrate 1,000-1,500 MLCCs compared to 800-1,000 in 4G models. 5G infrastructure and IoT expansion require high-frequency, stable capacitors for millimeter-wave transceivers and base stations.

AI and High-Performance Computing: Data centers and AI accelerator cards demand high-capacitance, low-ESL MLCCs for voltage regulation and power management, with silicon capacitors emerging as niche alternatives for specific applications.

Renewable Energy: Wind turbines, solar inverters, and energy storage systems increasingly rely on high-voltage, high-reliability MLCCs for power conversion and grid integration.

Challenges and Opportunities

Miniaturization Limits: As component sizes approach 008004 (with electrode layers thinner than 500nm), yield rates remain challenging. At such scales, minor variations in sintering temperature or layer alignment cause significant capacitance drift and mechanical cracking.

Supply Chain Security: Rising concerns about counterfeit and substandard MLCCs in defense, aerospace, and medical sectors are driving stricter quality controls and supply chain verification.

Raw Material Costs: Fluctuations in ceramic powder and metal electrode costs due to supply constraints, geopolitical difficulties, and market demand impact manufacturing economics.

Regional Diversification: Geopolitical factors are encouraging production diversification beyond Asia-Pacific, with new facilities in India, Vietnam, North America, and Europe.

Conclusion

With the development of hybrid ICs, computers, and portable electronic devices, ceramic capacitors have become an indispensable component in electronic devices. As of 2025, ceramic dielectric capacitors account for approximately 70% of the capacitor market, with the MLCC segment valued at $14-18 billion globally.

The industry continues to advance through miniaturization (reaching 01005 and 008004 sizes), base metal electrode adoption, high-voltage capabilities (up to 3