The specialty polymers are extensively used as lightweight materials and structural plastics in automotive applications such as bumpers, dashboards, door panels and body filler parts owing to their inherent properties including resistance to high temperatures, excellent mechanical strength and chemical resistance.
The global Specialty Polymers Market is estimated to be valued at US$ 82 billion in 2023 and is expected to exhibit a CAGR of 6.4% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
The growing demand from automotive sector is one of the major factors driving the growth of the global specialty polymers market. There is an increasing demand for lightweight and fuel efficient vehicles owing to stringent emission norms. Specialty polymers help in reducing the weight of the vehicles and improving their performance. For instance, according to International Energy Agency, electric vehicles adoption could reduce oil demand by over 2 million barrels per day by 2030. Moreover, specialty polymers such as polyamides and polycarbonate possess properties such as durability, strength and resistance to heat and chemicals and find extensive application in electric vehicles. Hence, increasing adoption of electric vehicles will contribute significantly to the market growth over the forecast period.
SWOT Analysis
- Strength: Specialty polymers such as liquid crystal polymers and thermoplastic polyurethanes have high tensile strength, flexibility and impact resistance. They are a viable replacement for conventional materials like metals and alloys in various applications.
- Weakness: Volatility in raw material prices can impact the cost of specialty polymers. Barrier to entry in specialty polymer manufacturing is also high due to need for specialized equipment and purification techniques.
- Opportunity: Growth of end-use industries like automotive, electronics and healthcare is expected to drive demand for specialty polymers. Their use is increasing in emerging applications like 3D printing, clean energy and filtration membranes.
- Threats: Stringent environmental regulations around plastic waste disposal can limit the market growth. Development of bio-based and biodegradable specialty polymers by competitors also poses a threat.
Key Takeaways
The global specialty polymers market is expected to witness high growth. North America currently dominates the market owing to large production and consumption of specialty polymers in the region mainly for automotive, healthcare and electronics industries. The global Specialty Polymers Market is estimated to be valued at US$ 82 billion in 2023 and is expected to exhibit a CAGR of 6.4% over the forecast period 2023 to 2030.
The U.S. accounts for the major share of the North American specialty polymers market. Asia Pacific region is anticipated to register the fastest CAGR during the forecast period supported by rising manufacturing activity in China, India, Japan and South Korea. Countries like China and India serve as lucrative markets due to low production costs and strong growth in end-use industries.
Key players operating in the specialty polymers market are Evonik Industries AG, DowDuPont, SABIC, Solvay S.A., Arkema Group, Koninklijke DSM N.V., 3M Company, Celanese Corporation, BASF SE and Covestro AG. The major players are focusing on capacity expansion, M&A and new product development to strengthen their market position
