Polyamide in E-Mobility Market

Polyamide in E-Mobility Market Outlook (2023 to 2033)

As of 2023, the global polyamide in e-mobility market stands at US$ 1.2 billion and is forecasted to exhibit expansion at a high-value CAGR of 7.8% over the next ten years. As such, global demand for polyamide in e-mobility is expected to reach US$ 2.55 billion by 2033-end.

Polyamides are extensively used in the automotive industry owing to their low weight and thermal stability. Polyamide 6 and polyamide 66 are high-performance plastics that are extensively used in electric vehicle manufacturing owing to their flame-retardant and high-temperature resistance characteristics.

Growing adoption of polyamide materials to manufacture lightweight automotive components such as connectors, batteries, control units, etc. is also projected to uplift the demand for polyamide in e-mobility over the coming years. An increasing focus on sustainability is anticipated to promote the sales of bio-polyamide in the future.

Increasing automotive production, rising sales of electric vehicles (EVs), growing investments in automotive research and development, implementation of stringent mandates to reduce environmental impact, and growing application scope of polyamide materials are other aspects that could alter market growth throughout the forecast period.

• In October 2022, LANXESS and Kautex Textron announced that they had collaborated to develop a technology demonstrator made from polyamide 6. This new demonstrator passed all thermal and mechanical tests and proved itself as a viable polyamide 6 enclosure for high-voltage battery applications in electric vehicles.

On the contrary, the high prices of polyamide and the shortage in supply are key restraints that could impede sales of polyamide in e-mobility applications over the next ten years. Surging demand for bio-based polyamide and increasing investments in R&D of the same are projected to open up new avenues of opportunities for established as well as incoming polyamide producers for e-mobility across the forecast period.

Report Attributes	Details
Polyamide in E-Mobility Market Size (2023)	US$ 1.2 Billion
Projected Market Value (2033F)	US$ 2.55 Billion
Global Market Growth Rate (2023 to 2033)	7.8% CAGR
Dominant Regional Market (2023 to 2033)	Asia Pacific
Market Share of Europe (2022)	~30%
Key Companies Profiled	Arkema SA Toyoda Gosei Co. Ltd. Teijin Limited CIE Automotive Nifco Inc. Lanxess AG Ashok Minda Group Samvardhana Motherson Group Flex-N-Gate IAC Group LLC DowDuPont Inc. EMS Group BASF SE Magna International UBE Industries Ltd.

How Will Start-ups Influence the Use of Polyamides in the Automotive Industry?

“New Companies Focusing on Sustainability”

The imminent climate change threat and global warming have resulted in the adoption of drastic sustainability initiatives and the implementation of stringent norms to reduce the environmental impact on the automotive industry which is majorly responsible for the degradation of the environment.

New companies are focusing on optimizing the supply chain management systems in the automotive industry by utilizing different technologies and studying the impact of different materials to efficiently track carbon emissions through the complete product lifecycle from manufacturing to end-life uses.

• CircularTree, a start-up founded in Berlin in 2018, developed a blockchain-based solution called ‘CarbonBlock’, which utilizes the data from a group of BASF sustainability experts on polyamides and data from Motherson, an automotive supplier. The digital tool is capable of calculating the complete carbon footprint of the car based on all aspects ranging from raw materials to transport.

New manufacturers of polyamide in e-mobility can also focus on the development and manufacturing of 100% bio-based polyamide materials that allow automotive manufacturers to make their cars completely sustainable.

A detailed account of new developments by start-ups and how they augment industry-governing factors such as product standards, pricing trends, supply chain management, etc. have been discussed extensively in this latest polyamide in e-mobility market research study by Fact.MR, a market research and competitive intelligence provider.

Country-wise Insights

What Makes Japan an Opportune Market for Manufacturers of Polyamide in E-Mobility?

“Increasing Disposable Income and High Focus on Sustainability”

Japan is anticipated to emerge as a highly important and remunerative market in the Asia Pacific region over the coming years and this can be ascribed to evolving consumer preferences and rising sales of electric vehicles. However, hybrid vehicles are more popular than EVs in Japan at the moment and accounted for around 40% of new passenger car sales in the year 2021.

The lack of availability of new EV models by Japanese car manufacturers is a key factor that is limiting the demand for polyamide in e-mobility in Japan. Growing disposable income, the launch of new EV models, supportive government initiatives, and rising awareness regarding sustainability are factors that are estimated to promulgate EV sales in Japan over the next ten years and subsequently uplift sales of polyamide as well.

How Will Demand for Polyamide in E-Mobility Fare in Europe?

“High Adoption of Electric Vehicles Offering Lucrative Growth Outlook”

Europe is home to some of the prominent names in the global automotive industry and this makes it a highly attractive market for polyamide suppliers. European countries have also been at the forefront of the sustainability charge and have always taken an initiative to conserve the environment.

• European Union member countries are estimated to account for more than 1/4 of the global electric vehicle production, as per an article published on the Plastics Today website.

Rising awareness regarding sustainability among the general population and incentives for the purchase of electric vehicles in European countries such as Germany, France, Italy, and the United Kingdom are also expected to favor demand for polyamide in e-mobility applications through 2033.

Increasing demand for lightweight automotive components in electric vehicles to improve their range and efficiency is also a key factor that will bolster sales of polyamide in European countries over the coming years.

Why Should Vendors of Polyamide in E-Mobility Invest in the United States?

“Favorable Government Incentives and Subsidies on Sales of EVs”

The government in the United States is offering attractive incentives and subsidies for electric vehicle manufacturers as well as users and this is a key factor that is projected to bolster sales of polyamide in e-mobility applications in the country over the coming years. An increasing number of new electric vehicle launches and high consumer spending potential are also expected to favor market growth in the long term.

• The state of California in the United States, offers rebate amounts of US$ 2,000 for EVs and US$ 1,000 for PHEVs for California residents who lease or purchase vehicles that are eligible under this provision.

Growing awareness regarding sustainability, surging sales of electric vehicles, increasing investments in automotive R&D, and supportive government initiatives are other factors that could alter the demand for polyamide in e-mobility in the United States over the next ten years.

• In December 2022, Celanese Engineered Materials, a subsidiary of the Celanese Corporation based in the United States, announced that it had developed a novel chemical bonding technology to bond aluminum with polyamides. Bonding of these materials had been a challenge for industrial as well as automotive applications and the launch of Zytel Bonding Technology was estimated to provide a solution for this.

Category-wise Insights

Which Type of Vehicles Will Account for High Polyamide Shipments?

“Electric Vehicles to Account for Commanding Market Share”

Based on product, the polyamide in e-mobility market is segmented into hybrid electric vehicles (HEVs), plug-in hybrid electric vehicles (PHEVs), and electric vehicles (EVs).

Electric vehicles are anticipated to lead the global marketplace in terms of volume and revenue generation across the forecast period and beyond. Rising investments in research and development of electric vehicles with better range and efficiency is a prime factor that is slated to augment the demand for polyamide in e-mobility applications over the next ten years.

Rising preference of EV manufacturers for polyamides instead of metals for external as well as internal components is also projected to substantially boost shipments of polyamide materials in the future. However, plug-in hybrid vehicles are also anticipated to account for a notable share of demand for polyamide in e-mobility through 2033.

Competitive Landscape

Polyamide manufacturers are focusing on launching new and advanced products to improve the performance of vehicles and make vehicles more sustainable.

• In January 2022, Solvay, a multinational chemical manufacturer, announced the launch of a new high-performance polyamide (HPPA) compound family called Omnix. The new family of polyamide consists of 70% PIR/PCR recycled resin. This new launch was part of the company’s One Planet roadmap that improves environmental impact.

Suppliers of polyamide in e-mobility are also investing in the expansion of their production capacity to meet increasing demand as sales of electric vehicles continue to rise around the world in the long run.

• In April 2022, Arkema, a leading name in the specialty material manufacturing industry, announced that it was on track to start its new bio-based polyamide 11 plant in Singapore. The plant when completed will represent a 50% increase in Arkema’s global polyamide 11 production capacity.

Key Segments of Polyamide in E-Mobility Industry Research

• By Vehicle Type :

  • Hybrid Electric Vehicles (HEVs)
  • Plug-in Hybrid Electric Vehicles (PHEVs)
  • Electric Vehicles (EVs)

• By Application :

  • Electric/Electronic Components
  • Under-Bonnet Components
  • Vehicle Exterior
  • Vehicle Interior

• By Region :

  • North America
  • Latin America
  • Europe
  • APAC
  • MEA