- Market Stabilization Brings Volumes Back to 2022 Levels
- Contactless and Sustainable Cards Continue to Rise
MUNICH, May 14, 2025 /PRNewswire/ -- The Smart Payment Association (SPA) today announced that its members and Advisory Council members [1] shipped 2.5 billion payment cards and payment chip modules in 2024, marking a return to 2022 shipment levels following an extraordinary spike in 2023.
This normalization is primarily attributed to a correction in the segment of payment chip modules which are integrated in subsequent manufacturing steps into fully assembled payment cards [2]. Abnormal supply and demand disruptions in this segment were caused by the Covid pandemic and the resulting chip crisis.
In 2023, chip module suppliers capitalized on business lost during the 2022 global chip shortage, since many of their customers wary of future disruptions, stockpiled modules. While these inventories were mostly reported by SPA previously, they were largely deployed to the market with delay, leading overall to the observed decline in new shipments in 2024.
Tap to Win: Contactless Cards Dominate with 92% Global Share in 2024
Despite this correction, the payment card market itself remains remarkably stable and shows resilience. A significant highlight continues to be the widespread adoption of contactless technology: 92% of all cards shipped globally in 2024 were contactless-enabled, underlining the growing popularity of fast, secure tap-and-go transactions. All countries have now adopted NFC technology [3], with strong continued growth observed in the United States, Latin America, and Japan. Notably, countries that were slower to migrate to contactless are now on par with early adopters-India, for example, now leads globally with a 98% contactless adoption rate.
2024 Sees Sustainable Cards Hit New High-One-Third of Global Shipments
Sustainable [4] card shipments also showed strong momentum. The shipment of sustainable payment cards grew by 28% in 2024 globally, now representing one-third of all cards shipped worldwide. Europe continues to lead this transition, with 76% of its card shipments being sustainable. This positive trend is expected to accelerate further, with SPA members supporting issuers' transition to comply with global payment scheme mandates targeting 2028.
"The industry continues to demonstrate resilience and innovation," said Andreas Strobel, President of the Smart Payment Association. "With strong progress in both contactless and sustainable card adoption, the sector is well-positioned to meet the evolving expectations of issuers and consumers. SPA members are fully committed to further support the ongoing global migration to environmentally friendly payment cards in which Europe has taken a leading position."
More information
A full breakdown and analysis of all results is available for sale to non-members. As part of its extensive market monitoring activities, the SPA has established two Advisory Councils to enable non-SPA members to access the most up-to-date marketplace data available. The SPA Monitoring Advisory Council is open to EMV technology vendors supplying cards and/or modules, while the SPA Forecasting Advisory Council is open to organizations operating in the wider payment ecosystem. For more details, click here.
About the Smart Payment Association (SPA)
The Smart Payment Association (SPA) is the trade body of the cards and mobile payment industry. SPA addresses the challenges of the fast-evolving payment ecosystem, promoting innovation, security, and interoperability of payment instruments. SPA works closely with regulators and standardization bodies, offering leadership and expert guidance to help its members and their customers adopt new payment technologies of today and tomorrow.
For more information on the SPA visit our website at www.smartpaymentassociation.com.
[1] The following companies participate in the SPA Market Monitoring process: Austria Card Group, Composecure, CPI, G+D, IDEMIA, NXP, STMicroelectronics, Thales.
[2] Embedded in the payment card body during manufacturing, the module consists of the encapsulated smart card chip attached and electrically bonded to the micro connector or contact plate.
[3] NFC Technology (Near-Field Communication) is a short-range wireless connectivity technology that lets NFC-enabled devices communicate with each other. It is the contactless payment technology used by cards and mobiles.
[4] Payment card bodies containing sustainable materials including R-PETG, Recycled PVC, Ocean Bound Plastic, Bio-sourced material, whatever the % of the total body.
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