Thermoplastic Elastomers Market Size

Thermoplastic Elastomers Market size was over USD 12.5 billion in 2015 and may expect consumption at over 6 million tons up to 2023 owing to the increasing application usage in automotive, construction, and electrical & electronics industries along with technological advancement for replacing standard plastics and conventional elastomers.

Growing automobile sector may drive the TPE market in sealing systems, under hood components, exterior and interiors of vehicle. In 2014, the average car consists around 200 kg of plastics whereas it is projected that car will incorporate about 350 kg of plastics by 2020. Carbon fiber usage in automotive manufacturing was 3.4 kilo tons in 2013 and may increase up to 9.5 kilo tons by 2030. Changing consumer perception towards environmental susceptibilities & stringent regulations to reduce GHG and carbon emission impact on human health & environment, thereby increasing fuel efficiency by lowering car weight and density.

Favorable government policies and norms on export & import trade regulations, fuel upgrading process for commercial vehicles, and emission standards mainly in India, China, Indonesia, and Thailand coupled with increased urbanization and high demand for SUVs and sedans is expected to propel the TPE market growth in the Asia Pacific.

They are good insulators which have low electrical conductivity and are widely used in various cables owing to its tear resistance and flexibility. Increasing consumer awareness regarding safety and protection in electronics & electrical sector. China smartphone sale was approximately USD 130 billion in 2016. Increasing flexible electronic components demand and expansion of global consumer electronics industry may further boost the thermoplastic elastomers market.

TPEs have different pricing as their manufacturing depends upon the feedstock used. Fluctuating oil prices & volatility owing to supply deficit and political instability may impact thermoplastic elastomers market price trends. However, manufacturers are trying to combat these drawbacks by developing new manufacturing techniques by using different chemical compositions to make products viable to high stress applications and economic volatility.