The global passive Radio Frequency Identification (RFID) tags market, valued at USD 2094.8 million in 2022, is projected to reach USD 3066.9 million by 2028, with a compound annual growth rate (CAGR) of 6.6%. Passive RFID tags facilitate data transmission between RFID readers and tags through radio frequency waves, relying on external power sources for operation. These tags find extensive applications across industries such as inventory management, supply chain visibility, asset tracking, and access control.
The report attributes the market’s growth to technological advancements enhancing RFID performance and wider industry adoption, including healthcare for equipment tracking and patient identification. However, the global COVID-19 pandemic disrupted market growth due to supply chain disruptions, impacting production and distribution of RFID components. North America dominates the market due to extensive RFID adoption, particularly in the U.S., supported by well-established infrastructure. Key industry players such as Honeywell, GAO RFID Inc., The Tag Factory, Invengo Information Technology, and HID Global Corporation drive market dynamics through innovation and expansion.
Despite challenges, the market witnessed increased adoption across various sectors, driven by the need for efficient inventory management, supply chain optimization, and compliance with regulatory standards. Notably, cost reduction and integration with Internet of Things (IoT) and cloud technologies have expanded RFID applicability and scalability. Market segmentation includes RFID types such as inlays and hard tags, with applications spanning healthcare, retail, aerospace, automotive, maritime, surveillance, security, logistics, and others. Driving factors include the e-commerce surge, retail inventory management needs, and technological advancements. However, cost concerns and privacy issues pose barriers to market growth.
Industrial developments such as the introduction of AD Minidose U9 RAIN RFID inlay by Avery Dennison Smartrac for pharmaceutical applications signify ongoing advancements in the field. The comprehensive report covers market dynamics, segmentation, competitive landscape, and future trends, providing valuable insights for stakeholders.