The global thermoplastic elastomers market was valued at US$ 22.57 Bn in 2017, according to Thermoplastic Elastomers Market Report, by Product Type (Styrenic Block Co-polymers, Co-polyester, Polyurethane, Polyamide, Thermoplastic/Elastomers Blend & Alloy, Polyolefin, Vulcanizates, Reactor-made Thermoplastic Polyolefin Elastomers (R-TPO), Polyolefin Plastomers (POP’s), and Polyolefin Elastomers (POE’s)), by Application (Automotive Parts, Wires & Cables, Coating, Adhesive & Sealant, Paving & Roofing, Housewares & Appliances, and Others), by End-use Industry (Building & Construction, Automotive, Packaging, Footwear, Consumer Electronics, and Others), and by Region (North America, Latin America, Asia Pacific, Europe, Middle East, and Africa), published by . The global thermoplastic elastomers market is projected to reach US$ 37.03 Bn by 2026, exhibiting a CAGR of 6.1% during the forecast period. Due to increasing demand for lighter vehicles, TPE is expected to find increasing applications in the automotive sector. Furthermore, growing demand for bio-based thermoplastic elastomers is driving growth of this market. Hence, players in the market are manufacturing bio-based thermoplastic elastomer (TPE) compounds that contain raw materials from renewable resources such as plant and vegetable crops. This is expected to be a major growth opportunity for key players in the market. For instance, in 2016, Hexpol developed Dryflex Green, a new series of thermoplastic elastomer composed of around 90% renewable contents such as plants, sugarcane, and agricultural wastes. However, TPE materials have lower chemical and environmental resistance, as it melts or becomes soft at high temperature and loses its elasticity, which is expected to restrain growth of the thermoplastic elastomers market. To know the latest trends and insights prevalent in this market, click the link below: https://www.coherentmarketinsights.com/market-insight/thermoplastic-elastomer-market-847 Key Trends and Analysis of the Thermoplastic Elastomers Market:
- Among product type, styrenic block co-polymers segment is expected to gain major traction, which in turn is expected to favor growth of the thermoplastic elastomers market over the forecast period. Vulcanizates segment is expected to be the fastest growing segment over the forecast period, owing to its increasing applications in automotive parts, building materials, sporting goods, appliance parts, and others.
- Growing medical equipment manufacturing industry is expected to drive growth of styrenic block co-polymers segment and in turn fuel growth of the thermoplastic elastomers market, globally. For instance, according to the India Brand Equity Foundation, medical devices industry in India was valued at US$ 10 billion in 2017 and is expected to reach US$ 25 billion by 2025, with a CAGR of 12.15%.
- However, TPE materials loses its surface hydrophobicity in short time when used in outdoor applications, especially in high voltage insulation applications, and they need to be disposed off properly and should not be burnt, as it emits harmful isocyanates and caprolactam, which are potential pollutants and carcinogenic agents. These restraints are expected to negatively affect growth of the thermoplastic elastomers market during the forecast period.
Key Takeaways of the Market:
- Thermoplastic elastomers complies with the Federal Food, Drug and Cosmetic Act as a food contact substance, which allows use of TPE in packaging of all food types
- Moreover, the properties of TPE such as weather & temperature resistance, shock absorption, flexibility, and abrasion resistance are used as an impact modifier for automotive parts such as brake seals, oil filter seals, grease seals, dashboards, door trims, wiper spoiler, instrumental auto interiors, exteriors, under the hood, weather seals, car bumpers, and others
- Asia Pacific thermoplastic elastomer market is expected to witness fastest growth over the forecast period, owing to increasing demand from various industries such as automotive, packaging, medical, and others, with China, India, and Japan contributing the major revenue share in Asia Pacific thermoplastic elastomer market
- The packaging industry witnessed significant growth in this region, owing to increasing number of population, which is fueling demand for processed food. For instance, according to the India Brand Equity Foundation (IBEF) 2017, the food and grocery industry in India is globally the sixth largest industry, with retail segment contributing to 70% of the sales.
- Among application, automotive parts segment is expected to be the largest industry during the forecast period. According to the International Organization of Motor Vehicle Manufacturers (OICA), in 2016, the total world motor vehicle production was 94,976,569, which increased to 97,302,534 in 2017. Therefore, growing automotive industry is propelling demand for TPE automotive parts, which in turn is expected to drive the market growth during the forecast period.
- Major players operating in the global thermoplastic elastomers market include DowDuPont Inc., Arkema Group, Asahi Kasei Corporation, PolyOne Corporation, Elastron Kimya SA, Kraton Corporation, Evonik Industries, and Covestro AG.