Demand for Synthetic Industrial Rubber to Outweigh Natural Type by 2:1, Projects Fact.MR
Published : 17 Feb 2021 Industry: Chemical & Materials
Industrial rubber demand is majorly driven by East Asia, with rising demand from automobile applications the deciding factor. Growing production facilities with strong end-user consumption will bolster overall demand for industrial rubber even further over the coming years.
The automobile & transportation industry is set to increase demand for industrial rubber, reveals Fact.MR, in the recently published report on this market. As per the report, the industrial rubber market is anticipated to reach nearly US$ 110 Bn valuation in 2030, expanding at a CAGR of more than 5% over the forecast period of 2020 to 2030.
Key Takeaways from Industrial Rubber Market Study
- The global industrial rubber market is anticipated to add 1.3X value in 2030 as compared to 2020.
- Synthetic rubber captures a major chunk of the market, equivalent to the two-third, and is set to create US$ 44.3 Bn through 2030.
- East Asia is set to hold a leading share by the end of FY2030, and will the fastest-growing region over the long-run forecast period.
- The automotive & transportation sector is anticipated to lose around 366 BPS by 2030, with demand the highest for tires and tubes.
- The injection molding segment under processing method is anticipated to gain around 172 BPS by 2030.
- Due to the COVID-19 pandemic, growth of the market was -2.1 in 2020, with recover expected to be equal to 4.4% growth in 2021.
- The market in the U.S. is projected to expand at a CAGR of over 5%, while that in the U.K. at close to 6%, through 2030.
“Fluctuations in the automotive industry will cascade the effect to the industrial rubber market,”says a Fact.MR analyst.
Players in the Fragmented Market are Strengthening their Footprint
The industrial rubber industry is highly fragmented in nature due to the presence of numerous small- to medium-sized players. These players occupy nearly seven-tenth of the market share from all regions. Fragmented markets usually have the highest competition among players, which leads to the espousal of more strategies in the market.
Players in the regions of East Asia and North-America are implementing price strategies to strengthen their regional dominance. For instance, players such as Zeon Corporation, Ube Industries, Ltd., and Sumitomo Chemical Co. Ltd. in the markets of East Asia are dominating the global market by producing industrial rubber at lower cost which ultimately leads to cost competency in the global market.
More Valuable Insights
Fact.MR, in its new offering, presents an unbiased analysis of the global industrial rubber market, presenting historical demand data (2015-2019) and forecast statistics for the period of 2020-2030. The study divulges essential insights on the market on the basis of product (natural rubber and synthetic rubber), processing method (injection moulding, compression moulding, extrusion, and others) application (tires & tubes hoses, gaskets & seals, conveyor belts, wires & cables, and others), and end-use industry (automotive & transportation, building & construction, industrial machinery & equipment, and others), and across six major regions of the world (North America, Latin America, Europe, East Asia, South Asia & Oceania and Middle East & Africa).
About the Chemicals & Materials Division at Fact.MR
Expert analysis, actionable insights, and strategic recommendations of the highly seasoned Chemicals & Materials team at Fact.MR helps clients from across the globe with their unique business intelligence needs. With a repertoire of over thousand reports and 1 million-plus data points, the team has analyzed the Chemicals & Materials industry across 50+ countries for over a decade. The team provides unmatched end-to-end research and consulting services. Reach out to explore how we can help.
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Consultant - Chemicals & Materials