Global automotive elastomer market forecast to reach $60 billion by 2023

 


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Global automotive elastomer market forecast to reach $60 billion by 2023

Thursday, April 19, 2018
New York, NY – Zion Market Research has published a new report titled “Automotive Elastomers Market by Product (thermoplastic polyether block amides, thermoplastic copolyesters, thermoplastic vulcanizates, thermoplastic polyolefins, styrene block copolymers, fluoroelastomers, acrylic elastomers, nitrile elastomers, polyisoprene elastomers, butyl elastomers and natural rubbers) for Tire and Non-Tire applications by Region (North America, Europe, Asia Pacific, Latin America, Middle East & Africa) – Global Industry Perspective, Comprehensive Analysis and Forecast, 2017 – 2023’’. According to the report, global automotive elastomers market was valued at around USD 44 Billion in 2017 and is expected to reach approximately USD 60 Billion in 2023, growing at a CAGR of slightly above 5.0% between 2017 and 2023.

Elastomers are considered as an alternative to rubber and include materials ranging from high-performance fluoroelastomers to thermoset rubber polymers for automotive and chemical applications. Elastomers are replacing metals for use in high temperature and aggressive chemical environments. It encompasses the need for reliability, durability, flexibility and sealing in automotive applications. The compound is characterized by its resilience property and can regain its original shape after being stretched to twice its length.

The increasing acceptance of automotive elastomers coupled with substantial automobile industry growth will garner the product demand in the forecast period. Numerous automotive component suppliers and constructors, especially belonging to Tier1 class are consuming elastomers to downsize their product size and weight. Further, the economic growth rate of any region and country has a major influence on supply and demand scenario of vehicles that will impact the component suppliers business in the automotive industry. Rising trends amongst automobile manufacturers to reduce carbon emissions and fuel consumptions by downsizing their engines is boosting product penetration. Moreover, it helps the engines to achieve elevated horsepower, particularly in sports bike & car. Elastomers enhance vehicle’s lifecycle by helping them to resist chemical attack and withstand extremely high temperature.

Automotive elastomers growth rate is faster than global automobile industry, thus market CAGR is anticipated above 5.0% till 2023. Proliferating electric and hybrid vehicles demand is influencing automotive elastomers growth more than other fuel vehicles. Electric vehicles are using high-performance elastomers to enhance their fuel efficiency and reduce carbon emissions. These vehicle manufacturers are substituting steel to compete with internal combustion vehicles in terms of operating range. Moreover, battery charging stations are established to enhance electric vehicle’s operating range. Leading to higher elastomers usage for producing heavy duty cables required in fast charging systems.
Regional segmentation of automotive elastomers market comprises of North America, Europe, Asia Pacific, Latin America and Middle East & Africa. North America is projected to grow at a significant rate in the forecast period. The U.S. is supporting the growth of the region owing to increasing environment concerns through vehicle carbon emissions. Manufacturers are inventing high performance elastomeric materials to reduce overall engine weight and increase vehicle fuel efficiency. Companies such as DuPont are introducing elastomeric property materials to achieve a reliable solution for wide range of applications.

The Asia Pacific is estimated to capture a substantial share in automotive elastomers market owing to the contribution of Japan, China, and India. Emerging countries such as India is registering huge growth in vehicles demand. China and Japan are relying on electric and hybrid vehicles to curtail carbon emissions in the region. Resulting in high demand for battery charging stations that involves elastomers usage in heavy duty cables. The Chinese government will ban the sale of diesel or gasoline powered vehicle till 2030 and is mandating automakers to produce at least 10% of new vehicles powered with fuel cell, hybrid electric and electric sources from 2019. Japan has a fleet of 150,000 electric vehicles that are sold since 2009 and is recognized as a leading country worldwide for a number of electric vehicles.
Luxury car manufacturers in Europe have recognized the region at the global level in automotive elastomers market. Germany is known as the hub of automobile producers such as Audi, Mercedes, BMW, and Volkswagen. These giants are using elastomers to comply with global emission norms along with reducing their vehicle size and weight for high-end sports cars. Certain European countries such as Britain and France are planning to ban the usage of diesel and gasoline powered vehicles by 2040. The initiative will encourage the use of electric and hybrid vehicles leading to rising in product penetration.

The economic downturn in South America has led to sluggish automobile growth of the region in past few years. Further, currency devaluation and commodity price crash has shattered the economy with Brazil being widely affected in the crisis. GDP of Brazil will recover in next few years with other countries of the region to register a substantial growth in automobile sector. Peru holds new opportunities in the future while being the least affected economy in the crisis. The country can offer decent employment in the automobile industry for the coming decade.
Major players in the market include Dow, JSR Corporation, BASF, SABIC, Zeon Corporation, Arlanxeo, ExxonMobil, DuPont, LG Chem, and Teknor Apex. Companies are adopting the strategies of new product launch, mergers & acquisition, diversification, research, and development to increase their foothold in the market and gain a competitive edge. – * Email


This Weeks Headlines – Past 7 Days

Thursday, April 19, 2018
DowDuPont to invest $100 million to expand manufacturing capacity at Sabine River Works
Lubrizol to highlight its TPU product portfolio at the Adhesives & Sealants EXPO in Miami
Global automotive elastomer market forecast to reach $60 billion by 2023
TRAC 2018 Rubber Recycling Symposium announced for November in Niagra Falls
Continental announced change of outlook that will impact earnings by €150 million

Wednesday, April 18, 2018
Freudenberg expands capacities in Taiwan
Global polyurethane elastomers market forecast to reach $16.63 billion by 2022
International Elastomer Conference abstracts deadline extended to April 30
Continental works on automatic system to warn of the risk of aquaplaning
Cooper Tire to announce first quarter results April 30

Tuesday, April 17, 2018
Saint-Gobain recognized as a Top Employer in North America
Cooper Standard wins PACE award for its Fortrex elastomer
Michigan Rubber Group golf outing scheduled for May 31
Continental celebrates the production of its 10 millionth tire at Russian plant
Goodyear and Bridgestone to form joint distribution venture in U.S. called TireHub

Monday, April 16, 2018
Hankook to build facility for Kinergy ST passenger tires at its Tennessee facility
Michelin captures top honors with J.D. Powers original equipment tire satisfaction study
Rubber Division, ACS accepting nominations for 2019 Science & Technology Awards
Silicone elastomers market expected to reach at CAGR of 6.52 percent through 2021
RPM reports record sales for third quarter

Friday, April 13, 2018
Book of the Day – Resistance and Stability of Polymers
Continental launches digital tire monitoring platform for commercial fleets called ContiConnect
Malaysia reports a 14 percent increase in rubber production in February offset by a 28 percent decline year-to-date
Goodyear to report first quarter results April 25
MidAtlantic Rubber and Plastics Group announces spring meeting.







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Nino Plevnik

I am an electric cars lover. I love our planet and want to leave it in good condition to our children. One of the good ways to do this is to reduce harmful emissions into the atmosphere. As a technical person I worked on computers, hardware maintenance and programming. Otherwise I like advanced technologies, music, books, movies, life and nice weather.

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