Nylon Market Size, Share & Trends Analysis Report By Product (Nylon 6, Nylon 66), By Application (Automobile, Electrical & Electronics, Engineering Plastics, Textile), By Region, And Segment Forecasts, 2023 - 2030

Report Overview

The global nylon market size was valued at USD 32.6 billion in 2022 and is expected to expand at a compound annual growth rate (CAGR) of 6.4% from 2023 to 2030. Increasing demand for nylon in automobile applications is expected to propel the growth. The automobile is a highly concentrated industry. Even though the product range is high owing to a large number of market participants, approximately 49% of the market is dominated by top players including GM, Toyota, Ford, and Volkswagen. Nylon is used in engine components such as bushings, bearing, oil containers, wire harness connectors, fuse boxes, cylinder head covers, crankcases, and timing belts.

The production growth can mainly be attributed to a rapid increase in China market, as well as the consistent growth of the European automotive industry. In recent years, the automobile industry has witnessed robust growth, especially in the Asia Pacific. Infrastructure development and improving socioeconomic trends are some of the major factors that have contributed to the growth of this sector. Favorable regulations, availability of workforce, and initiatives by the government to provide attractive FDI regulations have resulted in major players shifting their manufacturing bases to regions such as China, India, and Indonesia.

Currently, raw materials account for over 45% of the overall manufacturing cost of the vehicles. Steel and aluminum are the preferred raw materials in the automobile industry. However, owing to the stringent regulations focusing on improving fuel efficiency and maintaining CO2 emissions at manageable levels, raw material trends are expected to undergo a drastic change. Nylon 6 finds descriptive use as films and coatings to prevent the raw materials from undergoing corrosion.

These trends have resulted in the adoption of nylon in the automobile industry as it is environment-friendly in comparison to plastics. Apart from being lightweight and versatile, the materials also facilitate higher design flexibility that facilitates the production of advanced shapes without compromising the safety and stability of the vehicle. Nylon is anticipated to play a key role in the development of the automobile industry over the forecast period.

Apart from the versatility offered by nylon, automobile manufacturers are expected to use them on a larger scale owing to the environmental benefits and the advantages offered by Nylon 6 are in line with the emission regulations laid down across the globe. However, the threat of substitutes from other products such aspolypropylene, bioabsorbable polymers, para-aramid synthetic fibers, and polyvinylidene fluorideis anticipated to hamper the growth of the global nylon market owing to their lower competitive prices.PVF is gaining acceptance as a major substitute for nylon fishing lines. Other environment-friendly substitutes such as bioabsorbable polymers pose a key threat due to their biodegradable nature.

Product Insights

The nylon 6 product segment led the market and accounted for more than 56.0% share of the global revenue in 2022. The unique properties of PA 6 make the product a cost-effective substitute for materials such as steel, bronze, brass, gunmetal, aluminum, plastics, and rubbers. These properties attract electrical protection device manufacturers to use PA 6 in their offerings. The use of nylon 6 in various applications over the past few years has established its reliability, utility, and supportive economics based on cost and performance. The excellent surface finish of the product even under reinforced conditions makes it a suitable product for applications where aesthetics is important.

Nylon 6 also attracts substantial demand from the premium carpet industry which finds its base in Europe. Turkey is one of the largest importers of nylon for its extensive nylon-based textile industry. The clothing and apparel industry is also witnessing staggering growth owing to the consumer preference for experimenting with different types of raw materials. Nylon 6 fabrics are smooth, dry quickly, and require minimal care.

They have low absorbency which can be both advantageous and disadvantageous. The advantage being water remains on the surface of the fabrics and runs off quickly. Nylon’s low permeability has a disadvantage in that the fabric feels clammy and uncomfortable in warm, moist weather. They also retain their shape after washing. All these factors make it a suitable fabric for apparel.

The automotive industry in China is expected to grow significantly over the forecast period. Nylon is gradually replacing metal components in light vehicles to make vehicles lighter and more fuel efficient. This trend is also in line with making vehicles compliant with environmental standards in which utilizing nylon components is a perfect fit for the cause. Fishing nets are another lucrative application segment of nylon 6. A key aspect that makes it an ideal fabric for fishing nets has been its resistance to knotting, which increases strength and durability.

Application Insights

The automobile application segment led the market and accounted for more than 36.0% share of the global revenue in 2022. Nylon composites are used to increase the environmental sustainability of automotive parts and to reduce the weight of automotive components. The composites are used to manufacture hydraulic clutch lines, headlamp bezels, automotive cooling systems, air intake manifolds, and airbag containers. They are also used in exterior parts such as wheel covers, fuel caps, tailgate handles, doors, front-end grilles, and exterior mirrors. Nylon composites are expected to drive demand in the automotive industry due to factors such as excellent mechanical properties, wear resistance, and the growing need for lightweight vehicles to improve fuel efficiency.

Nylon has been extensively used in the automotive engine compartment to replace steel parts, owing to the benefits derived from them such as lower weight and greater design flexibility as against traditional metals. The trend of engine downsizing has been prevailing in the automotive industry for a long time and can be attributed to the ability of small-cylinder capacity engines to toggle between the air charge temperatures.

Several market participants have positively responded to this trend by developing oil & heat resistant polymer compounds for a wide array of automotive designs. The Ultramid Endure produced by BASF SE is one such example of a glass fiber-reinforced PA66. Not only is the material super resistant to continuous thermal loads but also has good processability for under-hood automotive composites to be manufactured from it. However, the COVID-19 pandemic has impacted the global supply chain of the automobile industry.

Thus, the decline in automobile production and consumption is expected to negatively impact the demand for nylon used in the manufacturing of auto parts such as hydraulic clutch lines, headlamp bezels, air intake manifolds, airbag containers, and others.

Regional Insights

Asia Pacific dominated the nylon industry and accounted for more than 44.0% share of the global revenue in 2022. Availability of low-cost raw materials & labor coupled with increased spending power is a major growth driver in this region. The availability of a huge untapped market and supportive government policies are luring global nylon makers to set up manufacturing and distribution facilities in the region.

Nylon is gaining attention from electrical & electronics manufacturers as plastic parts are more compact and can be easily integrated with other components, thus simplifying the design procedure. It enables manufacturers to develop smarter MCBs having thinner walls. Increasing concerns about the size and carbon footprint of electrical devices are majorly driving product demand.

As the market reaches out to new entrants and new consumers, most of the countries within Asia Pacific are witnessing a fall in the unit price of nylon. In contrast, in developed markets such as South Korea and Japan, a premium approach regarding offerings and pricings is becoming a new trend as mainstream trademarks lose market share in affordable and mid-range product segments owing to changing consumer preferences.

The nylon industry in North America is primarily driven by developments in automobile, aerospace, and key manufacturing industries. Increased application of engineering plastics in various industries such as aerospace, automobile, defense, and electrical & electronics is boosting the demand for nylon (PA) in North America.

End-use companies in Canada are contemplating including sustainable products in their product portfolio and entering into collaborations with bio-based nylon manufacturers, which will further contribute to the market growth. For instance, in August 2021, Lululemon Athletica, a Canadian apparel company, collaborated with Genomatica to create plant-based nylon to make lululemon products. Through this collaboration, companies would seek to develop sustainable products that can drive nylon's market to grow positively in the coming years.

Key Companies & Market Share Insights

The market is moving toward consolidation on account of the presence of a large number of global and regional players. Major players have strong distribution networks and product brands in the global market. The ongoing research & development activities in the nylon industry exhibit several growth and expansion opportunities for market players, which in turn is projected to positively influence the overall market.

On account of the higher demand for nylon 6 & 66, many nylon manufacturers, such as BASF SE, TOYOBO CO., LTD, Domo Chemicals, Ascend Performance Materials, and Ube Industries Ltd., have increased their production capacities to meet the rising demand from application industries. Merger & acquisition is one of the strategies adopted by these companies to remain competitive.

The competitive rivalry among nylon manufacturers is high as the market is characterized by the presence of a large number of global and regional players. Raw material suppliers play a crucial role in the value chain as they provide basic raw materials that are required to initiate the manufacturing process of nylon products. The outstanding performance of nylon to manufacture lightweight and fuel-efficient automotives will continue to support the expansion of demand in the automotive industry over the forecast period. Some prominent players in the global nylon market includes:

• BASF SE

• Lanxess

• Huntsman International LLC

• AdvanSix

• Ube Industries Ltd.

• Domo Chemicals

• TORAY INDUSTRIES, INC.

• Ashley Polymers, Inc.

• Ascend Performance Materials

• TOYOBO CO., LTD.

• Goodfellow

Nylon Market Report Scope

Global Nylon Market Report Segmentation

This report forecasts revenue and volume growth at global, regional & country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2023 to 2030. For this study, Grand View Research has segmented the global nylon market report based on product, application, and region:

• Product Outlook (Volume, Kilotons; Revenue, USD Million, 2018 - 2030)

  • Nylon 6

  • Nylon 66

• Application Outlook (Volume, Kilotons; Revenue, USD Million, 2018 - 2030)

  • Automobile

  • Electrical & Electronics

  • Engineering Plastics

  • Textiles

  • Others

• Regional Outlook (Volume, Kilotons; Revenue, USD Million, 2018 - 2030)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • Germany

    • France

    • U.K.

    • Italy

  • Asia Pacific

    • China

    • India

    • Japan

    • Malaysia

  • Central & South America

    • Brazil

  • Middle East & Africa

    • Saudi Arabia