The global synthetic rubber market size was estimated at USD 39.8 billion in 2021 and is expected to hit around USD 69.2 billion by 2030 with a registered CAGR of 6.34% during the forecast period 2022 to 2030.
The imposition of stringent movement restrictions and lockdowns during the COVID-19 pandemic, the synthetic rubber industry saw a decrease in both volume and value. This caused a serious interruption in industrial facilities and supply lines. As a result, the market for synthetic rubber has been significantly impacted by the decline in output in the automotive and other industries caused by the scarcity of raw materials, primarily latex, as a result of the postponed trade activities.
The growth of the automotive accessory and component industries is directly influenced by the expansion of the automobile industry. Rubber and rubber products are employed in the automotive sector for a variety of applications, including flat seals, O rings, adhesives & sealants, suspension systems, vehicle anti-vibration systems, and fluid transfer systems. In addition, a number of parts found in the engine compartment, including engine seals and hoses for air conditioning systems, are made of premium synthetic rubber. Thus, the market for synthetic rubber is being driven by the expanding automobile sector.
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The global need for synthetic rubber is being fueled by an increase in demand from the footwear sector. The footwear business uses a broad range of materials to create footwear, from specialized items like protective and safety footwear to leisure footwear. The exceptional physical properties of synthetic rubber make it ideal for making shoe soles. These properties include abrasion resistance, durability, tensile resistance, slip resistance, tear strength resistance, oil resistance, and the ability to be molded in many colours.
Report Scope of the Synthetic Rubber Market
|Market Size in 2022||
USD 42.32 Billion
|Market Size by 2030||
USD 69.2 Billion
|Growth Rate from 2022 to 2030||CAGR of 6.34%|
|Forecast Period||2022 to 2030|
|Segments Covered||Form Type, Type, End Use Industry, and Geography|
|Companies Mentioned||Asahi Kasei Corporation, The Dow Chemical Company, DuPont, LANXESS AG, Exxon Mobil Corporation, Dynasol Elastomers S.A., TSRC Corporation, Versalis S.p.A., Sumitomo Chemical Co., Ltd., KUMHO PETROCHEMICAL, China National Petroleum Corporation (CNPC), China Petroleum & Chemical Corporation (Sinopec Corporation)|
Key Market Drivers
Increasing demand from the automotive industry
Increase in shift towards eco-friendly tires
Key Market Challenges
Key Market Opportunities
The synthetic rubber industry was dominated by ethylene propylene diene monomer (EPDM), and this dominance is predicted to persist from 2022 through 2030. The most popular and practical form of synthetic rubber is EPDM, which has a wide range of uses including wire and cable connections, insulators, accumulator bladders, diaphragms, radiator and heater hoses, window and door seals, and more. Extremely heat- and oxidation-resistant, this rubber. It is indestructible at temperatures as high as 150 degrees.
Additionally, it offers good resistance against damp and humidity. Furthermore, the roofing material EPDM is utilised to fix leaks. Liquid EPDM is combined with a pre-measured bottle catalyst to produce a highly special chemical cross link that results in a really robust connection. The demand for EPDM is rising as a consequence of the aforementioned causes, which is further anticipated to accelerate the expansion of the synthetic rubber market over the course of the projected year.
End Use Industry Insights
The market for synthetic rubber was led by the transportation industry in 2021, and it is expected to continue to develop at an 8.3% CAGR from 2022 to 2030. The major user of synthetic rubber, which is used to make tyres, is the transportation sector. Synthetic rubber is ideal for creating items that are utilised in transportation because of its durability, elasticity, and flexibility. The need for synthetic rubber is anticipated to rise as investments in the automotive, aerospace, marine, and other industries rise.
UK Business Minister Paul Scully reported a nearly £90 million (US$101.4 million) investment in five aerospace projects in March 2021 under the Aerospace Technology Institute (ATI) Program. Invest India reports that 118 marine projects worth $7.7 billion have been authorised during the past four years. Therefore, it is projected that increasing transportation sector investments would further fuel market expansion.
Because nitrile rubber and styrene-butadiene rubber are becoming more and more popular, both long-established companies and newcomers are anticipated to look for chances in China, Australia, and India. The rise of the footwear industry and the escalating infrastructure projects bode well for the future of the region. Due to increased manufacturing of various grades of non-automotive items and tyres, the Asia Pacific synthetic rubber industry will experience rapid expansion.
On the heels of expanding nitrile rubber demand across industrial products applications, the forecast for the synthetic rubber industry in Europe will be positive. Additionally, the heavy foot traffic of tyres, hoses, and belts across Germany, the U.K., France, and Italy will be beneficial for local economy. Artificial rubber has also become more popular in footwear and non-tire automotive uses.
Following the penetration of electrical & electronic and tyre throughout the U.S. and Canada, industry players anticipate that North America will provide attractive growth potential. The development of industrial rubber items and improvements to tyres will promote regional growth. It's important to note that the man-made rubber will mostly benefit the construction and aircraft industries.
Segments Covered in the Report
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By Form Type
By End Use Industry
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