#Germany #Munich #Fintechs #Smart Payment Association #Payment Cards

Smart Payment Association Reports on Shipment Growth

In a significant update from the Smart Payment Association (SPA), members and Advisory Council representatives have confirmed the shipment of 2.47 billion payment cards and chip modules in the year 2025. This notable figure stands as a testament to the payment ecosystem's adaptability following challenges posed by chip shortages and previous corrections in the market.

A Year of Consolidation

The year 2025 marked a period of consolidation for the industry, where member firms successfully navigated the complexities arising from past supply-and-demand disruptions. With module inventories reported to be approximately 5% higher than pre-shortage levels, the pressures that characterized earlier years seem to have eased. The reported shipment levels not only illustrate growth but also underscore the resilience and robustness of the payment landscape.

Regional Performance Variances

Despite a strong global shipment figure, the performance varied considerably across different regions. In the Middle East and Africa, a decline was noted due to various factors, including diminished stock consumption in Africa and reduced volumes following the migration to contactless technologies in parts of the Balkans. Similarly, China experienced a decrease in demand as changes in Indian banking regulations affected card renewal practices. However, these declines were counterbalanced by substantial growth in other regions, including South Asia (excluding India) with a remarkable increase of 17%, Brazil demonstrating a 10% rise, and North Asia (excluding China) seeing a 6% uptick.

Contactless Technology Adoption

The shift towards contactless technology continued unabated, with contactless card shipments reaching a staggering 2.3 billion units in 2025. This rise has propelled the overall penetration of contactless payment technology to an impressive 94%, an increase of 2 percentage points from the previous year. This growth is increasingly supported by improving adoption rates across diverse regions, indicating a burgeoning acceptance of contactless payment methods worldwide.

Sustainable Payment Solutions on the Rise

Sustainability has also gained significant traction in the industry, with eco-friendly card shipments accounting for nearly 30% of total SPA card shipments. Such figures indicate a turning point as sustainability in payment solutions moves toward mainstream acceptance. The rapid growth of sustainable cards was particularly evident in emerging markets and Latin America, while Europe continues to lead the charge. A global mandate for payment scheme adaptation set for 2028 is expected to further bolster the uptake of sustainable practices in the upcoming years.

The Fintech Surge

Another noteworthy development in the landscape is the rise of fintech firms, which now approach 10% of total card shipment volume. This shift highlights a critical trend: the integration of physical cards within digital-first customer journeys. For fintechs and neobanks, these cards serve as a vital connection point that drives customer engagement and promotes growth.

These findings collectively depict a dynamic and evolving market, with sustainable solutions and fintech innovations shaping the future of payments. As the SPA navigates this transformation, the trends from 2025 lay the groundwork for the coming years in the payment card industry.

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