Mexico Thermoplastic Elastomer Market To Reach $871.65 Million By 2033

Mexico Thermoplastic Elastomer Market Growth & Trends

The Mexico thermoplastic elastomer market size is anticipated to reach USD 871.65 million by 2033, growing at a CAGR of 8.4% from 2025 to 2033, according to a new report by Grand View Research, Inc. The thermoplastic elastomers (TPE) sector in Mexico is projected to experience steady growth, bolstered by increasing applications in various industries such as automotive, construction, consumer goods, packaging, and healthcare. In the automotive sector, the shift towards electric vehicles and initiatives aimed at reducing weight are enhancing the incorporation of TPEs in interior components, seals, and electrical insulation. The construction industry is utilizing TPEs for solutions like weatherproofing, expansion joints, and noise reduction, especially as building codes advance to promote energy-efficient infrastructure. In the consumer goods sector, the demand for TPEs is being driven by preferences for soft-touch and ergonomic designs in appliances, tools, and personal care products. Additionally, packaging is emerging as a significant area of application, with flexible and recyclable TPEs becoming more popular. Furthermore, in healthcare, the growing requirement for safe, sterilizable, and latex-free materials is increasing the use of TPE in items such as tubing, grips, and diagnostic tools.

The increasing demand in significant sectors like automotive, construction, packaging, and healthcare is anticipated to encourage thermoplastic elastomer (TPE) manufacturers in Mexico to boost their production capabilities and broaden their range of products. Companies are progressively concentrating on customizing TPE formulations to satisfy the unique performance and regulatory requirements of each industry, ranging from high-temperature resistance for automotive uses to safety for skin contact in medical and consumer items. Simultaneously, sustainability is emerging as a key focus, leading to investments in biobased TPEs, recyclable materials, and formulations with low volatile organic compounds (VOCs). These initiatives are designed to comply with changing environmental regulations and the increasing consumer preference for safer, eco-friendly products.

As end-user industries demand higher thermal stability, chemical resistance, and design flexibility, TPE producers are focusing on advanced compounding and custom-engineered solutions. Additionally, volatility in raw material prices and global supply chain disruptions are pushing manufacturers toward regional sourcing strategies, vertical integration, and adoption of digital manufacturing technologies. These approaches aim to improve cost efficiency, reduce lead times, and strengthen supply chain resilience while maintaining responsiveness to shifting market demands.

Participants in Mexico's thermoplastic elastomer (TPE) sector are actively pursuing strategic initiatives to bolster their market presence and adapt to changing industry demands. For instance, in March 2025, KRAIBURG TPE revealed plans to expand its production facility in the Americas to improve supply capabilities for the automotive and consumer goods sectors. Likewise, ExxonMobil Chemical has formed a collaborative partnership with a regional compounder to create recyclable and biobased TPE formulations specifically designed for Latin American applications. These actions signify a larger industry trend towards regional manufacturing, sustainable product development, and innovation in high-performance materials, as companies respond to evolving regulatory requirements and customer expectations in key end-use markets.

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Mexico Thermoplastic Elastomer Market Report Highlights

• Based on grade, Thermoplastic Polyolefins dominated the market in terms of revenue, accounting for a share of 31.37% in 2024.

• Based on material, polyolefins led the market in terms of revenue, accounting for a share of 58.72% in 2024.

• Automotive applications led the market in terms of revenue, accounting for a share of 37.71% in 2024.

Mexico Thermoplastic Elastomer Market Segmentation

Grand View Research has segmented the Mexico thermoplastic elastomer market on the basis of grade, material, and applications:

Mexico Thermoplastic Elastomer Grade Outlook (Volume, Kilotons; Revenue, USD Million, 2021 - 2033)

• Styrenic Block Copolymers

• Thermoplastic Polyolefins

• Thermoplastic Vulcanizates

• Thermoplastic Polyurethanes

• Thermoplastic Copolyester Elastomers

• Thermoplastic Polyamides

Mexico Thermoplastic Elastomer Material Outlook (Volume, Kilotons; Revenue, USD Million, 2021 - 2033)

• Polystyrenes

• Poly Olefins

• Poly Ether Imides

• Polyurethanes

• Poly Esters

• Polyamides

Mexico Thermoplastic Elastomer Applications Outlook (Volume, Kilotons; Revenue, USD Million, 2021 - 2033)

• Automotive

• Electrical & Electronics

• Industrial

• Medical

• Consumer Goods

• Other Applications

List of Key Players in the Mexico Thermoplastic Elastomer Market

• ExxonMobil Chemical

• Hexpol TPE

• Mitsui Chemicals

• Teknor Apex

• Lubrizol Advanced Materials

• Celanese Corporation

• DIC Corporation

• BASF SE

• DSM Engineering Materials (DSM-Firmenich)

• KRAIBURG TPE GmbH & Co. KG