Cross-Linked Polyethylene Market Analysis

Cross-Linked Polyethylene Market Analysis

HDPE segment accounted for over 40% share by revenue in 2017. High quality standards of thermosetting nature in HDPE has resulted wide usage in various applications. Cross-linking structure present in HDPE provides improved resistance to the stress, cracks, abrasions, and corrosion owing to their high tensile strength. In addition, lower costs and extensive utilization in pipes & tubes manufacturing owing to their usage in hot/cold water and gases transportation will fuel the product demand. Hence, an upward application trend in numerous areas will foster growth opportunities for the cross-linked polyethylene market.

LDPE segment is anticipated to surpass $2 billion in the forecast period 2018 to 2024. Significant growth in the packaging industry coupled with increasing demand in the construction and automotive sector are among the factors enhancing business expansion across the world. Manufacturing costs for LDPE are much lower than other alternatives owing to the easily available raw feedstock. Moreover, the product is used for manufacturing wire & cable insulation and injection moulding owing to high resistance and high thermal conductivity to the various chemical reactions. Therefore, rising product popularity among consumers will augment the cross-linked (PEX) polyethylene market landscape.

Chemical process segment accounted for over 80% share by volume in 2017. Chemical processes consist of free radicals generated through different chemical reactions. Major industry applications for the cross-linked polyethylene market includes water service lines, ice & snow melting heating systems, reclaimed water distribution, and ground source geothermal systems. Rising product demand in the construction and automation industries will support the business augmentation.

Physical process segment is anticipated to surpass USD 1 billion by 2024. Free radicals are generated through radiation methods in physical processes without any chemical additives resulting in the polyethylene cross-linking formation. Rapid product adoption in the medical sector owing to the applications in hip arthritis treatment, prosthetic implantations in body parts, and body parts particularly hip & knee replacements will enhance the cross-linked polyethylene market.

Peroxide technology segment accounted for over USD 1 billion in 2017. Major peroxide cross-linking properties such as high heat stability, simple compounding, and enhanced shelf life stability will promote varied commercial applications in different industries. Surging automotive industry owing to the rising demand for automotive seals, hoses, shock absorbers, and cables in various vehicle manufacturing will propel the cross-linked polyethylene market expansion.

Silane grafted technology will witness a CAGR over 6% by revenue in the forecast period 2018-2024. Key properties including cross-linking at room temperature, low cost, and higher gel percentage will foster enhanced opportunities for the product portfolio. Industrial usage including XLPE production for insulation in water heating pipes & electrical cable and floor heating purposes will promulgate the cross-linked polyethylene market growth.

Plumbing application demand was estimated over USD 1 billion in 2017. Increased exposure to the moisture, salts, acids, and varying climatic conditions results failure of PCV pipes and conventional copper in the plumbing lines. These pipes are the suitable & efficient alternatives owing to their easy installation and resistance to continuous moisture, acids, & salts. Growing widespread applications of (PEX) cross linked polyethylene in plumbing owing to its benefits will foster new opportunities for the business expansion.
 

Automotive application will witness CAGR over 6% in the forecast period of 2018 to 2024. Increasing applications for manufacturing battery cables & automobile parts in the power distribution & transmission channels in automation industry will drive the cross-linked polyethylene market. Moreover, rising trends in electric vehicles segment including hybrid & electronic cars will boost the product demand in the automotive applications.
 

Asia Pacific was valued over USD 2 billion in 2017. Product usage is rapidly growing across the globe owing to the numerous applications such as wiring & cabling, automotive, medical, and plumbing. Surging population and consumer purchasing power in the major countries including India, China, Japan, and Indonesia will proliferate the manufacturers significant demand. Expansion in the construction sector, greater investments in public & industrial infrastructure, and development of gas pipelines & sewer systems owing to the rapid urbanization will fuel the regional business landscape. Moreover, emergence of several automation production facilities and strong industrial base establishment in the developing countries will support the overall cross-linked polyethylene industry.
 

Europe is anticipated to surpass USD 1.5 billion by2024. Improvements in the inferior & low-grade materials used in the plumbing systems and water distribution will proliferate the product demand in the region. In addition, the rapid advancements in the automotive & construction sector in major European countries such as Germany, France, Italy, and UK will escalate the overall cross-linked polyethylene market forecast.