GVR Report cover Thermoplastic Polyester Elastomer Market Size, Share & Trends Report

Thermoplastic Polyester Elastomer Market Size, Share & Trends Analysis Report By End-Use (Automotive, Electrical & Electronics, Industrial, Medical, Consumer Goods), By Region, And Segment Forecasts, 2020 - 2025

  • Report ID: GVR-1-68038-976-0
  • Number of Pages: 110
  • Format: Electronic (PDF)

Report Overview

The global thermoplastic polyester elastomer market size was estimated at USD 1,019.3 million in 2019 and is expected to expand at a compound annual growth rate (CAGR) of 6.6% from 2020 to 2025. Rising substitution of thermosets and other conventionally heavy materials such as metals and wood is expected to remain a key driving factor for the industry over the forecast period. 

The industry has remained a relative niche segment in the global thermoplastic elastomers (TPE) market, on account of low manufacturer & consumer awareness and the vast platform of homopolymers and copolyester types included under the overall umbrella of TPEs. However, these small families of high-performance plastics are rapidly gaining attention in the industry owing to good dimensional stability, and high stiffness among other properties.

U.S. TPEE market

Other uncertainties in the industry arise from differing brand names among numerous suppliers and lack of knowledge regarding the exact applications of each TPE type. Additionally, the polyester supply chain has also witnessed numerous restructuring and divestment activities owing to supplier discrepancies. These factors have hampered industry growth to some extent.

However, the ability of all TPEs to process like thermoplastics and imitate the texture & performance of thermoset rubbers has made them ace demanding application trials over the last decade. Thermoplastic polyester elastomer (TPEE) products are also gaining favor on account of their faster processing & lower scrap or wastage rates.

Numerous automobile manufacturers are integrating these materials into high-performance components, such as the recently developed DuPont Hytrel which can flex in multiple directions through several cyclic processes. The product is currently utilized in the Constant Velocity Joint (CVJ) boot, an automotive component that is subject to an average of 150,000 miles of pounding, and a wide range of temperatures.

Engineering applications necessitate a fine equilibrium between performance & cost. Mechanical, electrical, thermal, and other physical properties determine the selection of polymers, which is either polybutylene terephthalate (PBT) or polyethylene terephthalate (PET).

PBT elastomers are particularly well-suited to injection molding, and consequently, the process is responsible for the majority of its consumption. TPEE is also consumed in extrusion processes, typically for cable & wire or fiber optics. PET similarly possesses excellent color stability, creep even at elevated temperatures, and wear properties.

Around 90% of resins are compounded with reinforcements, fillers, and other additives. This blurs the distinction between base resin properties of each polymer, yet the process is also responsible for technological developments in FDA-acceptable and flame-retardant blends. Novel alloys combining the properties of polyesters with polycarbonates have also been developed and may witness widespread commercialization over the forecast period.

Regulatory agencies play a crucial role in formulating processing guidelines, standardizing reins properties & quality, and ensuring consumer safety among other factors. Bodies such as the U.S. Environmental Protection Agency, U.S. Food & Drug Administration, National Sanitation Foundation, Underwriter’s Laboratory, and others are a few associations responsible for regulating & standardizing such products, while also controlling pollution and emission levels.

Thermoplastic Polyester Elastomer Market Trends

TPEE facilitates increased fuel efficiency in automotive applications by lowering car weight and density by substituting conventional components inside and around the vehicle. To reduce the impact of carbon emissions and greenhouse gases (GHG) on the environment and human health, regulatory bodies across various nations have imposed numerous stringent regulations. 

Rapidly developing automobile markets are also projected to boost TPEE demand in exterior, interiors, sealing systems, and under the hood components. Increasing application in the automotive industry is spurred by demand for safe, light-weight, and inexpensive MUV/SUV models with high fuel efficiency and emphasis on comfort and aesthetics.

Wearable electronics are among the most compelling new technologies that present opportunities for added connectivity, enhanced productivity, and enriched lifestyles. In many ways, these devices are an extension of the human body, expanding our capabilities and enabling us to communicate and interact with our environment and with others.

The development of unique wearable and miniaturized electronics has also contributed to TPEE market growth in recent years. Numerous electronics manufacturers have realized the benefits of integrating lightweight and sustainable materials such as TPEE into wearable electronics to provide a non-tacky, soft-touch feel of advanced materials into high-end consumer gadgets.

Increasing expenditure on healthcare and medical facilities is expected to drive investments in medical devices such as plastic syringes, instruments, surgical gloves, and other plastic items utilized for consumer and industrial applications. This, in turn, has driven the demand for lightweight plastic materials such as TPEE in these and other medical devices and products. Medicines and other pharmaceuticals are also utilizing these materials for packaging since they foster weight savings in transportation and allow hygienic protection of the inner contents.

Thermoplastic elastomers are prepared with various polymers depending on the desired end-product's grade or type. TPE-S is two block copolymers with SBS rubber as the base element. TPO are blends of polypropylene (PP) and un-crosslinked EPDM rubber, whereas TPV is also made of the same compounds with additional dynamic vulcanization. TPU is comprised of polyester or polyether urethane, while COPE is made with copolyesters of different polymers.

Hence, differing raw materials are associated with different prices and availability. However, since most plastic polymers are processed from crude oil, their prices are dependent on the global crude oil market and price trends. Crude oil is a commodity that sees large price fluctuations owing to supply and demand factors, natural disasters, seasonal variations, and other influencers, ultimately creates a price impact on its by-products such as plastic polymers.

End-use Insights

TPEE usage in automotive applications has increased exponentially as a result of high usage of electronic & electrical devices such as electric motors housings for seating & windows, passenger airbags, safety belt tensioners, and more. Newly developed grades with enhanced hydrolytic stability are also finding applications in under-the-hood components. 

Other automotive applications such as connectors, plugs, and housing components that must endure increasingly stressful demands of the industry are also being molded. Polyester resins have benefited from improvements in mold design, a better understanding of flow behavior in molds, increased robotics, and increased computer simulation, which has improved the efficiency and economics of the production of large, molded parts.

TPEE market

Electronics accounted for about 19% of the share in 2016 and is expected to grow at over 4.2% CAGR from 2017 to 2025. Manufacturers are utilizing compounds with electrical insulation properties & inherent high heat distortion temperatures for components such as circuit breakers, switches, connectors, and housings in the home appliance market.

The telecommunications and IT sector have similar uses for these polymers, notably used in mobile phone casings to lower weight & foster miniaturization. Furthermore, developments in injection molding and similar techniques are driving the demand for stronger grades in the sector.

Medical & healthcare expenditure has also risen considerably in recent years, driving the need for faster processing of lightweight & durable medical devices & equipment. The segment is anticipated to grow at an exponential pace especially in emerging markets such as India, Indonesia, Thailand, Argentina & Mexico among others.

Specialized impact-modified compounds find in usage across a range of consumer goods that include convenience products, consumer durables, and soft goods. Sales of these goods are highly dependent on the buying habits of the consumer and hence the latter has a huge impact on TPEE production dynamics in the application.

Regional Insights

China, India, and Southeast Asia are expected to be the primary growth markets in the Asia Pacific. The growing manufacturing sector shall drive TPEE compounds to demand in automotive, industrial machinery, packaging, and electrical & electronics industries. The Asia Pacific occupied the largest share of over 32% volume in 2019 and the thermoplastic polyester elastomer market is steadily growing at over 5.7% CAGR. 

Europe is anticipated to remain an important market, with over 24% of the revenue share in 2019. Though the region’s growth is likely to be restrained due to various macro-environmental factors such as debt crisis, rising unemployment, and stalled industrial output, an optimistic scenario across Eastern Europe for manufacturing and consumerism shall drive its growth. The region is characterized by stringent environmental regulations from agencies such as ECHA, the European Commission, and various federal level agencies.

North America is also likely to remain a key player in numerous automobile manufacturers preferring plastic vehicle parts, which help the company to achieve low-cost production and increase its bottom line. The region is a slow-growing market owing to saturation of end-use industries and relatively lower customer base as compared to the Asia Pacific.

Thermoplastic Polyester Elastomer Market Trends by Region

Other emerging economies such as Central & South America (CSA) and Middle East & Africa (MEA) are also growing at high rates similar to the Asia Pacific; these regions benefit from expanding end-use industries and relatively low penetration of thermoplastic compounds as compared to other regions.

North America dominated the thermoplastic polyester elastomer market and accounted for the largest revenue share of 34.67% in 2019. The North America region is one of the largest consumer of plastics owing to high demand in automotive, electrical & electronics, packaging, and construction sectors. TPEE & other polymers have many applications in each industry due to its versatile benefits, easy molding & desired shape formation. TPEE & other polymers have many applications in each industry due to its versatile benefits, easy molding & desired shape formation. Many automobile manufacturers prefer plastic vehicle parts, which help the company to achieve low-cost production, and increases their bottom line.

Canada is one of the biggest producers of crude oil globally. Declining prices of crude oil coupled with increasing demand for plastic in the region is paving the way for the growth of the plastic market. Polymers & materials such as TPEE are produced from various petrochemicals made from crude oil. Manufacturers are increasingly integrating additives into TPEE to provide strength, durability, and lightweight when used in any product.

Mexico's automotive industry witnessed a steep jump when major automobile manufacturers such as BMW, Mercedes, and more established manufacturing facilities in the country, owing to the high availability of raw materials, cheap labor cost, and low-cost production. Mexico is a developing country that has its perks. Most of the products supplied by manufacturers in the country are cheap, which increases their competitiveness at the global level. Cheap products also result in a broad application base due to growing demand in the local market and increasing exports.

TPEE used in the medical sector is expected to remain important on account of their increasing usage in several medical devices, equipment, surgical instruments, and other medical products. Industrial machinery is anticipated to be the fastest-growing application segment in Europe due to the widening of scope in machine parts and accessories.

The MEA region is the world leader in crude oil production. Many major countries in the MEA region are dependent on the oil business, such as Kuwait, Saudi Arabia, Oman, Bahrain, Iraq, Libya, Angola, and Iran. All the OPEC countries are located in the MEA region, excluding Venezuela and Ecuador. The OPEC region was once formed to formulate the global oil supply and maintain the global demand-supply and oil prices. MEA region witnessed a significant demand for TPEE products in 2016 and is expected to grow during the forecast period owing to massive oil production in the region.

Key Companies & Market Share Insights

The industry is characterized by numerous large players who provide large lines of thermoplastic compounds, including renowned brands such as Hytrel by DuPont and Pebax by Arkema. Technological & product innovation are key differentiation factors for these and other smaller companies across the globe. 

Innovative compounding & extrusion techniques are also projected to revolutionize the industry, with a large number of players introducing process & cost-efficient methods to reduce wastage and improve end-product quality. Suppliers are responding with higher-performing materials and extended functionality as well.

Thermoplastic Polyester Elastomer Market Report Scope 

Report Attribute


Market size value in 2020

USD 1.1 billion

Revenue forecast in 2025

USD 1.49 billion

Growth rate

 CAGR of 6.6% from 2020 to 2025

Base year for estimation


Historical data

2017 - 2018

Forecast period

2020 - 2025

Quantitative units

Volume in kilo tons, revenue in USD million and CAGR from 2020 to 2025

Report coverage                                             

Revenue forecast, volume forecast, company ranking, competitive landscape, growth factors, and trends

Segments Covered

End-use, region

Regional scope

North America; Europe; Asia Pacific; Central & South America; Middle East & Africa

Country scope

U.S.; Canada; Mexico; Germany; UK; Italy; France; Brazil; China; India; Japan; Saudi Arabia

Key companies profiled           

Mitsubishi Engineering Plastics Corp; SABIC; LG Chemicals; Celanese Corporation; Covestro; Ashland Inc.; BASF SE; Teijin Plastics; Schulman; DuPont

Customization scope

Free report customization (equivalent to up to 8 analyst working days) with purchase. Addition or alteration to country, regional, and segment scope.

Pricing and purchase options

Avail customized purchase options to meet your exact research needs. Explore purchase options

Thermoplastic Polyester Elastomer Market Segmentation

This report forecasts revenue growth at global, regional & country levels and provides an analysis of the industry trends in each of the sub-segments from 2014 to 2025. For this study, Grand View Research has segmented the global thermoplastic polyester elastomer market based on end-use and region:

Global Thermoplastic Polyester Elastomer Market Segmentation

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

    • Automotive

    • Electrical & Electronics

    • Industrial

    • Medical

    • Consumer Goods

    • Others

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

    • North America

      • The U.S.

      • Canada

      • Mexico

    • Europe

      • Germany

      • UK

      • France

      • Italy

    • Asia Pacific

      • China

      • India

      • Japan

    • Central & South America

      • Brazil

    • Middle East & Africa

      • Saudi Arabia

gvr icn


gvr icn

This FREE sample includes market data points, ranging from trend analyses to market estimates & forecasts. See for yourself.

gvr icn


We can customize every report - free of charge - including purchasing stand-alone sections or country-level reports, as well as offer affordable discounts for start-ups & universities.

Contact us now to get our best pricing.

esomar icon

ESOMAR certified & member

D&B icon

Leading SME award by D&B

We are GDPR and CCPA compliant! Your transaction & personal information is safe and secure. For more details, please read our privacy policy.