Silicone Elastomers Market Size, Share & Trends Analysis Report By Product (HTV, RTV, LSR), By Application, By Region, And Segment Forecasts, 2018 - 2025

Industry Insights

The silicone elastomers market size was valued at USD 7.62 billion in 2015 and is expected to witness significant growth over the forecast period. Technological advancements in the product offerings based on favorable chemical and mechanical properties are projected to fuel the market for the coming years.

Population demographics in China, Japan, the U.S., and Germany are expected to observe a significant aging population in comparison with the developing regions. The urge to stay presentable even at old age is projected to drive the cosmetic surgery market, which will in turn positively influence the silicone elastomers growth.

Superior characteristics of elastomers including low surface friction, tear resistance, thermal resistance, and self-adhesive nature make its products highly valuable for various applications such as construction, automotive, consumer goods, healthcare, medical, electrical & electronics, and industrial sectors.

U.S. silicone elastomers market revenue by application, 2014-2025, (USD Million)

R&D initiatives by companies to enhance robust products that have a broad application base are expected to create immense growth opportunities for industry participants. For instance, China National BlueStar (Group) Co., Ltd. expanded its R&D center in Seoul to strengthen their presence in South Korea.

Product Insights

High temperature vulcanize (HTV) emerged as the leading product segment in terms of volume and accounted for over 59% of the overall demand in 2015. Growing demand in the main end-use industries such as automotive and electrical & electronics, especially in developing regions, is expected to be a key driving factor for this product.

Room temperature vulcanize (RTV) is expected to grow at the fastest CAGR from 2016 to 2025. This product is used mostly in low-temperature applications such as bonding, sealing, lens, over-molding, and making other molds in electrical & electronics, healthcare, medical, construction industries.

Liquid silicone rubber (LSR) is expected to gain market share over the next nine years. Growing demand in various applications such as injection molding which is prevalent across multiple end-use industries such as automotive, medical equipment, toys, packaging, musical instruments, housewares, consumer goods, storage containers, and furniture may be attributed to the high growth of the product segment. Resilience, heat resistivity, flexibility, water repellents, insulation, high tear strength are few beneficial properties of LSR, which act as an edge over the other elastomers.

Application Insights

Increasing disposable income owing to growing economies such as Asia Pacific is anticipated to augment the growth of the automotive & transportation sector over the forecast period. Demand in this application segment accounted for over 24.1% in 2015 and is projected to grow at a significant rate in the coming years.

Demand in the construction sector accounted for over 43.9% in 2015 and is anticipated to be the largest segment over the next nine years. Rising construction spending in emerging economies such as China, India, and Brazil is projected to influence the market demand positively. Growing product demand in the electrical & electronics industry is expected to increase share by 0.32% over the next nine years. This increase can be attributed to robust demand and growing urbanization & industrialization.

Regional Insights

Asia Pacific silicone elastomers industry accounted for over 51.3% of the overall revenue in 2015. Construction spending in Malaysia, Indonesia, Vietnam, South Korea, China, and India is expected to influence regional demand. Asia Pacific is anticipated to witness high electrical & electronics and automotive owing to rising disposable income and growing population, thereby aiding the regional silicone elastomers market.

Global silicone elastomers market revenue by region, 2015, (USD Million)

The European market is expected to grow at a CAGR of 6.2% over the forecast period. The growing automotive technological hub in Germany is anticipated to boost the market demand. Other countries that show significant growth over the period include the U.K., Italy, and France. North America demand is projected to propel at a CAGR of 4.3% from 2016 to 2025. The growing popularity of cosmetic surgery and the aging population in the U.S. is anticipated to have a positive influence on regional demand.

Silicone Elastomers Market Share Insights

The silicone elastomers market displays oligopolistic nature and is characterized by frequent mergers & acquisitions. Companies are engaged in extensive R&D to improve their product portfolio and strengthen their presence. The industries are characterized by a high level of backward integration. Manufacturers producing silicone raw materials can also produce elastomers. Such backward integration helps them to integrate their businesses in a cost-effective way and shields them from raw material procurement difficulties.

Major industry participants integrated backward include Wacker Chemie AG, Dow Corning Corporation, KCC Corporation, Momentive Performance Materials Inc., Reiss Manufacturing, and Shin-Etsu Chemical Co.; Ltd.

KCC Corporation is one of the companies that are into the complete value chain of silicone elastomer. Such fully integrated companies have financial as well as operational benefits that improve profitability and reduce operational costs.

Report Scope

Segments Covered in the Report

This report forecasts volume &revenue growth and provides an analysis of the latest trends in each of the sub-segments from 2014 to 2025. For the purpose of this report, Grand View Research has segmented the global silicone elastomers market on the basis of product, application, and region:

• Product Outlook (Volume, Kilo Tons; Revenue, USD Million, 2014 - 2025)

  • High Temperature Vulcanize (HTV)

  • Room Temperature Vulcanize (RTV)

  • Liquid Silicone Rubber (LSR)

• Application Outlook (Volume, Kilo Tons; Revenue, USD Million, 2014 - 2025)

  • Electrical & Electronics

  • Automotive & Transportation

  • Industrial Machinery

  • Consumer Goods

  • Construction

  • Others

• Regional Outlook (Volume, Kilo Tons; Revenue, USD Million, 2014 - 2025)

  • North America

    • The U.S.

    • Canada

    • Mexico

  • Europe

    • The U.K.

    • Germany

    • France

    • Italy

  • Asia Pacific

    • China

    • Japan

    • India

    • South Korea

  • CSA

    • Brazil

  • MEA