Silicone Market Size, Share & Trends Analysis Report By Product (Fluids, Gels, Resins, Elastomers), By End-use (Electronics, Industrial Processes), By Region, And Segment Forecasts, 2022 - 2030

Report Overview

The global silicone market size was valued at USD 18.59 billion in 2021 and is expected to grow at a compound annual growth rate (CAGR) of 6.2% from 2022 to 2030. The growing demand for silicone in various end-user industries including personal care, consumer goods, industrial process, and construction is expected to drive industry growth over the forecast period. The market in the U.S. is expected to perform moderately owing to limited opportunities by market maturity of both manufacturing industries in general and the use of silicones. However, continuous product innovation and ongoing technological developments are expected to promote the application of silicone in emerging markets, such as Electric Vehicles (EVs) and health & personal care.

This, in turn, is expected to fuel the industry's growth over the forecast period. Moreover, suppliers continue to gain industry share through value-added product development and by creating inroads into applications that conventionally use other materials. Silicone is widely used in the construction industry owing to weather resistance, high stability, and inert & high water-repellency. It is also used in conjugation with several materials, such as marble, glass, concrete, aluminum, steel, and polymers, which find application in residential and commercial constructions. In addition, it is used in the construction of roads, bridges, pipelines, oil rigs, and industrial units.

Rising population and rapid urbanization & industrial growth have resulted in the growing need for construction and infrastructure development across the globe. The industry is expected to grow rapidly owing to the increasing application scope of silicone in various end-use industries. In the electronics industry, it is used in a broad range of electronic applications, such as for protecting insulators from salt air damage, moisture-proofing of boards, modification of semiconductor encapsulating materials, and protecting the ends of heating element wires in Printed Circuit Boards (PCBs), semi-conductors, and Electronic Control Units (ECUs), LED devices, and others.

An increase in the prices of silicones is expected to hamper industry growth. For instance, in April 2022, Shin-Etsu Chemical Co., Ltd. announced a rise in the prices of silicone products by 10%, which is one of the main business segments of the company both globally and in Japan. In addition, in March 2021, Wacker Chemie AG announced a rise in prices for its silicone product range. The increased price varies between 10 to 20% and the measure had been necessitated by the multiple corona pandemic measures and increased costs for support-, packaging, and raw materials.

End-use Insights

The industrial process segment led the industry in 2021 and accounted for more than 25.0% share of the global revenue. Silicones are extensively used within various industrial processes for a wide range of applications, such as antifoaming agents and lubricants, offshore drilling and paper production, industrial coatings, and paint additives. In paints and coatings, silicone is used to boost performance by offering different components with enhanced durability, thermal resistance, and resistance to corrosion & chemicals, thus reducing unplanned maintenance or maintenance costs for industrial infrastructure and machinery. In terms of revenue, construction is the second-largest application segment and is expected to grow at a significant CAGR from 2022 to 2030.

Silicones in the building & construction industry are widely used owing to their high strength and moisture resistance properties. They can be used in conjugation with numerous materials used for residential and commercial constructions, including concrete, steel, marble, glass, aluminum, and polymers. In addition, they are used in roads, bridges, pipelines, oil rigs, and industrial units. The superior flexibility of silicones helps in minimizing the damage caused during the occurrence of low- to medium-intensity earthquakes, which makes them a viable option over other materials. In the automotive industry, silicone is used in the form of rubber, grease, coating, and sheets.

Silicone rubber is used as a coating for spark plug wires, airbags, and adhesive owing to its resistance to high impact, excellent electrical insulation, weatherability, heat & chemical resistance, and tear strength. In the form of grease, it is widely used as a lubricant for brakes owing to its stability over a wide temperature range. Silicone in the consumer goods industry is used in a broad range of products from cookware to household goods to sporting goods. Silicone is biocompatible, virtually inert, and chemically resistant, and has excellent electrical & thermal insulation properties, which make it an ideal material for application in products, such as bakeware, utensils, wrist & hair bands, grips in pens, hairbrushes, shower heads, swim goggles, and masks.

Product Insights

The elastomers segment dominated the industry in 2021 and accounted for more than 41.0% share of the global revenue. Silicone elastomers are vulcanized silicone-based polymers that are made with the amalgamation of cross linkers, reinforcing agents, linear polymers, and a catalyst. Based on the processing temperature and the type of basic straight-chain molecule, these elastomers have been classified as High-Temperature Vulcanizing (HTV), Liquid Silicone Rubber (LSR), and Room-Temperature Vulcanization (RTV). RTV silicone rubber is made up of a two-component system available in the soft- to medium-hardness range. It can aggressively adhere to and release from most surfaces and can be cured under room temperature without heating.

It possesses excellent thermal resistance and dielectric properties. It is used as sealing and filler between surfaces and gasketing in various applications of EVs. Apart from EVs, it is extensively used in architectural elements, aerospace, energy, consumer electronics, and electronics industries. Silicone gel is a clear jelly-like sheet, which is primarily used in the personal care industry to prevent scars of freshly healed wounds and reduce the prominent immature scars. In addition, silicone gels are used in potting and encapsulation of electronic equipment including LEDs and solar devices. They possess superior water repellence, high dielectric strength, and excellent ability to dampen mechanical vibrations.

Growing personal care industry owing to the increasing aging population and rising concerns about the overall appearance. This will fuel the demand for silicone gels in the personal care industry. Silicone resins are polymers and carry a relatively low molecular weight with a three-dimensional network structure. They possess excellent thermal stability, heat resistance, weather ability, dielectric properties, and water-repellency, which make them suitable as binders in varnishes, paints, and impregnation products. Rising demand for silicone resins from the paints & coatings industry to enhance the heat-resistance in coating and rendering will fuel the segment growth over the forecast period.

Regional Insights

Asia Pacific dominated the global industry in 2021 and accounted for the largest share of more than 44.0% of the global revenue. The high share of the region is attributed to the presence of several small-, medium-, and large-sized companies in the region. Industry players are shifting production facilities from North America and Europe to Asia Pacific, owing to factors such as cheap labor, easy raw material availability, and more market penetration opportunities in construction, electronics, transportation, personal care, energy, and healthcare industries, which will propel the region’s silicone production. Europe was the second-largest region and is expected to grow at a significant CAGR from 2022 to 2030. The growing construction sector in Germany, the U.K., France, Russia, and Spain will drive the product demand in the region.

An increase in funding from the EU and the supportive measures, such as incentives, subsidies, and tax breaks, undertaken by several governments is expected to boost the growth of the construction sector in the region. In addition, the growing utilization of silicone in the renewable energy sector for applications in windmills & solar panels and in the healthcare sector for aesthetic implants is expected to boost industry growth. North America is also one of the leading regions for silicone additives owing to its high demand in plastics and composites, manufacturing chemicals, paints and coatings, and food and beverages. In addition, the region has high growth potential for medical-grade silicones driven by the strong demand from the healthcare industry and the presence of several large-scale manufacturers.

Key Companies & Market Share Insights

The global industry is significantly fragmented with the presence of big manufacturing players across the globe. The players compete mainly on the basis of technology used for the production of silicone and the quality of products. Key players are inclined towards adopting marketing strategies, such as mergers & acquisitions, new & innovative product launches along with production capacity expansions. In October 2021, Evonik Industries AG and joint venture partner Wynca started a fumed silica plant in Zhenjiang, China.

This facility is expected to support the local demand for coatings, silicones, and industrial applications. In December 2020, Wacker Chemie AG announced the launch of new silicone sealants produced from renewable raw materials. It is launched under the brand name ELASTOSIL eco and with the launch of this new product, the company can provide products manufactured using bio-based methanol to silicone sealant suppliers. Some of the prominent players in the global silicone market include:

• Elkay Chemicals Pvt. Ltd.

• Supreme Silicones

• Shin-Etsu Chemical Co., Ltd.

• Silchem Inc.

• Silteq Ltd

• Amul Polymers

• Wacker Chemie AG

• Specialty Silicone Products, Inc.

• Illinois Tool Works Inc.

• Evonik Industries AG

• Hutchinson

• Kemira Oyj

• Dow Inc.

• Nano Tech Chemical Brothers Private Ltd.

• Elkem ASA

Silicone Market Report Scope

Global Silicone Market Segmentation

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2019 to 2030. For the purpose of this study, Grand View Research has segmented the global silicone market report on the basis of product, end-user, and region:

• Product Outlook (Volume, Kilotons; Revenue, USD Million, 2019 - 2030)

  • Fluids

    • Straight Silicone Fluids

    • Modified Silicone Fluids

  • Gels

  • Resins

  • Elastomers

    • High-Temperature Vulcanized (HTV)

    • Liquid Silicone Rubber (LSR)

    • Room Temperature Vulcanized (RTV)

  • Others

    • Adhesives

    • Emulsions

• End-use Outlook (Volume, Kilotons; Revenue, USD Million, 2019 - 2030)

  • Electronics

  • Transportation

  • Construction

  • Healthcare

  • Personal Care & Consumer goods

  • Energy

  • Industrial Processes

  • Others

• Regional Outlook (Volume, Kilotons; Revenue, USD Million, 2019 - 2030)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • Germany

    • U.K.

    • France

    • Russia

    • Spain

  • Asia Pacific

    • China

    • India

    • Japan

    • Australia

  • Central & South America

    • Brazil

  • Middle East & Africa

    • Saudi Arabia