Passive Electronic Components for Aviation and Space Electronics in 2023

This Paumanok IMR article describes the structure of the aviation and space electronics sector as an end-use market segment for electronic components such as capacitors, resistors and inductors.?

Defense Spending On Electronic Technology: 2012-2022

The defense and aerospace electronics sector has been stagnant from 2012 to 2016 due to government-imposed sequestering in the United States, but in 2017 through 2019 this market showed remarkable signs of growth in the narrow end market areas of aircraft and space electronics.??In 2020 the global pandemic sent demand for defense electronics plunging 11% in one year; and a shift in USA leadership has kept defense spending in check through 2022.?

For 2023 however, demand is expected to increase for mission critical passive electronic components for space rockets and payloads and advanced ground-based radar systems.?

Figure 1- Global Spending on Defense Electronics: Ten Year Analysis of Worldwide Consumption

Passive Component Consumption in Aviation and Space Electronics: 2023

The global market for high-reliability passive electronic components for aviation and space electronics includes a significant amount of demand from the defense sector. Defense applications for capacitors, resistors and inductors are usually associated with airbourne and spacebourne power supplies, communications circuits and munitions; and require value-added performance at frequency, temperature and voltage. Due to the ubiquitous nature of passive components in all electronic circuits

The passive component segment for defense electronics includes capacitors, resistors and inductors.?

DEFENSE, AVIATION AND SPACE-BASED CAPACITORS:

Within those sub-categories, ceramic capacitors are the most preferred product line, followed by tantalum capacitors, although plastic film capacitors and aluminum electrolytic capacitors are also consumed in the defense and aerospace sector as well.?

Ceramic Capacitors for Defense, Aviation and Space Electronics

·??????Multilayered Ceramic Chip Capacitors (Huge)

·??????Stacked Multilayered Ceramic Chip Capacitors (Big Sub-market)

·??????Multilayered Axial Leaded Ceramic Capacitors (Specialized)

·??????Multilayered Radial Leaded Capacitors (Legacy)

·??????Single Layered Ceramic Disc High Voltage Ceramics

·??????Single Layered SMD Chip Ceramic Thin Film High-Frequency

·??????Single Layered Ceramic Valve Block For High Voltage Power Supplies

Tantalum Capacitors for Defense, Aviation and Space Electronics

·??????Molded Chip Tantalum Capacitors

·??????Coated Chip Tantalum Capacitors

·??????Tantalum Wet Slug Hermetic Capacitors (Big Sub-Market)

·??????Axial Leaded Tantalum Capacitors

·??????Radial Leaded Tantalum Capacitors

Plastic Film Capacitors for Defense, Aviation and Space Electronics

·??????Polypropylene Film Capacitors, Large Cans, for Pulse Discharge

·??????PTFE, FPE and PI Capacitors for High Temperature

Other Capacitors for Defense, Aviation and Space Electronics

·??????Exotic Dielectrics

·??????Glass Capacitors

·??????Aluminum Electrolytic for Motor Start

·??????Double Layer Carbon

Capacitors are consumed for bypass, filtering and decoupling applications, but are also consumed in pulse discharge applications for radar circuits, munitions and railguns.

DEFENSE, AVIATION AND SPACE-BASED RESISTORS:

In resistors, the defense and aerospace segment consumes a myriad of ruthenium based chip resistors and networks, as well as nichrome metal film, tin-oxide and bulk metal foil resistor products; and wirewound resistors for power.?

·??????Thick Film Chip Resistors

·??????Thick Film SIP and DIP Networks

·??????Nichrome Metal Film Resistors

·??????Nichrome Bulk Metal Foil Resistors

·??????Tin-Oxide Flameproof Resistors

·??????Wirewound Resistors

Resistors are consumed in almost all defense platforms, and the segment prefers the use of nickel chromium in film, wire and foil formats because of its operational reliability and resistance to moisture.

DEFENSE, AVIATION AND SPACE-BASED INDUCTORS:

In discrete inductors, consumption of molded chip and wirewound axial and radial leaded inductors is noted in defense and aerospace electronics.?

·??????Molded Chip Ferrite Inductors

·??????Ceramic Chip Coils

·??????Ferrite Cores

·??????Wirewound Axial (Conicals)

·??????Wirewound radials

·??????Thin Film Barium Strontium Titanate for High-Frequency

In discrete inductors for defense, the majority of products are consumed for noise abatement in communications and navigational equipment only.

Passive Electronic Component Intensive Airbourne and Spacebourne Platforms

The defense, aviation and space-based end-market represents the largest single end-market for “Value-Added and Application Specific Passive Electronic Components.” The primary circuit applications in defense, aviation and space-based electronics are:

• Power Supplies
• Communication and Navigation
• Computing and Networking?
• Displays and Controls
• Munitions
• Optics and Sensors

In many instances, the following criteria are required of the components consumed in the defense and aerospace sector:

• High Voltage >500 Vdc
• High Frequency >1 GHz
• High Temperature >175 C
• Low Temperature < -55 C
• Harsh Environment Operation

The categories can further be broken down into multiple supply chains. Paumanok uses the following portfolios of the major defense manufacturers to guide the core sub-sets where passive components are consumed as follows.

Figure 2: Passive Component Supply Chain For Defense: 2023

Source: Passive Electronic Components in Defense: Paumanok IMR

Avionics

Communications, navigation, display and multisystem management, when combined together form the core subset of the defense and aerospace electronics segment known as avionics. Avionics uses open systems architecture (OSA) and commercial off-the-shelf (COTS) technology to best meet system requirements within budget. Automatic flight controls are required to perform reliably in all types of flight situations to reduce pilot distraction and fatigue on long haul flights. Also, the unmanned military drone technology also employs autopilot technology, including single and multiple redundant configurations, providing automation along with both reliability and electronic safety features.

·???????Autopilot

·???????Computing and Networks

·???????Data Storage

·???????Optronics and Optical Assemblies

·???????Helmet Mounted Displays

·???????Aircraft Networks

·???????Displays and Controls

·???????Engines and Controls

·???????Power Supplies

Communications & Navigation

Modern military communication systems provide advanced platforms that span the operational spectrum and include the following sub-categories.?

·???????Airborne High Frequency Communications

·???????Airborne SATCOM

·???????Networked Communications Airborne Radio

·???????SATCOM High Gain Antenna

·???????Navigation

·???????Air Data

·???????Ground Communications Products

·???????Micro GPS Receiver Application Module

·???????Airborne VHF/UHF/L-Band

·???????High-speed Transceiver

·???????Perimeter Surveillance Radar Systems

·???????Electronic Warfare and Other Radar

Munitions Electronics

In the market sub-segment known as munitions electronics, we see the primary areas of consumption of electronic components in power supply (Power up) and in pulse discharge detonation circuits.

·???????Power Up and Power Supply

·???????Pulse Discharge

·???????Propulsion Systems & Controls?

·???????Fusing and Sensors

Satellites

In the market sub-segment known as satellites, we see the primary areas of consumption of electronic components in power supply (Power up) and in unique communications circuits and filtering technologies.

·??????Communication Satellites

·??????Imaging Satellites

Summary and Outlook

The defense and aerospace electronics sector represents a significant part of the value added and application specific segment of the passive electronic component supply chain. Because of its small size (i.e <$500 MM US Dollars in “military specification” grade capacitor, resistor and inductor sales to defense worldwide), this segment of the market requires high-reliability capacitors, resistors and inductors that can operate at high temperature, high frequency and/or high voltage applications in multiple fragmented subassemblies primarily in avionics, communications, munitions and satellites. In 2023 the market is expected to grow in Europe to satisfy increased demand for new electronic platforms in France and Germany, as well as additional increased defense spending at smaller countries throughout the region.??

INSIGHTS: The Insights Operations and Paumanok IMR note that the DNSH Clause (Do No Serious Harm) associated with ESG Compliance (Ethics, Sustainability and Governance) clashes with major Japanese and Chinese ownership of assets producing military specification passive components and Paumanok predicts that specific segments of major passive component operations will have to divest themselves of mission critical components to remain ESG Compliant and exposed to Green Bond Investing.

Resources:

Passive Electronic Components for Defense, Space and Civil Aviation Electronics: World Markets, Technologies and FY 2023-2028 Supply Chain Outlook: ISBN # 1-893211-90-8 (2023)

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