Are you planning to have a business that deals with silicone products? If so, you are in the right place. It is best to know about the silicone products industry trends first before diving into business.
If there’s a lot to consider pre-pandemic, what more today? Almost everything is slowing down. Kudos for your first step in looking at the industry trend! It will enlighten you on which path to take in the silicone products industry.
Overview of Silicone Market
In 2020, the Global Silicone Market amassed 15,250.85 million. Its global market projects its CAGR over 6% over a 5-year forecast period.
But, the global market and the economy are dipping down due to the pandemic. In late 2019 and early 2020, the COVID-19 pandemic broke out. It has resulted in worldwide lockdowns, strict quarantine and social distancing protocols, and the global supply chain disruption of the worldwide supply chain. The consequences of COVID-19 led to most factories and companies halting their business operation.
It has affected the manufacturing process and demand for silicone. The market has gradually declined. Fortunately, the increased awareness for health and hygiene sparked a stimulus in silicone demand. The demand from healthcare, personal care, and consumer products stimulates the market demand.
The silicone products industry trend will tell you the following:
- The major contributor to the silicone market’s growth is the demands from the electronic and construction industry.
- Silicone has a neverending issue about its adverse health impact. It might hinder its market growth. Let’s see how manufacturers and experts handle this concern.
- The increased use and awareness of liquid silicone rubber will allow the silicone market to get through the forecast period.
- Among the other regions in the silicone market, Asia-Pacific is expected to dominate the market.
Silicone Form Types
Most silicone products are made from:
Although there are other form types, these three contribute the most to the silicone market.
Silicone materials are primarily used in:
- Construction materials
- Industrial Processes
- Personal Care and Consumer Products
In the construction industry, silicones are massively used in weatherproofing, structural glazing, and sealing joints and openings. They are quite helpful in extending the building’s lifespan reducing lifecycle costs. Moreover, it significantly contributes to the energy efficiency of the building.
As the demand for the construction industry is looking excellent. The automotive sector is gradually slowing down in market demand. The decline started after its decade-long steady growth.
As the pandemic emerged, silicone materials are more in demand from the personal care and healthcare sectors. It has a massive role in hygienic practices.
Although there are other applications for silicone, these are the ones that contribute most to the industry. The market hopes that these applications will continue to contribute to the increasing demand for the silicone market during the forecast period.
Source: Mordor Intelligence
Major Players in the Silicone Market
The silicone market is consolidated with these major players. In a competitive landscape, some of the key players are:
- Wacker Chemie AG
- Shin-Etsu Chemical Co. Ltd
- Evonik Industries AG, and
- Elkem ASA
Although there’s still a long list of major players, these are the key contributors that continuously pave their way in creating a highly competitive market.
In early 2019, a group of South Korean manufacturers acquired the Momentive Performance Materials. It’s an outstanding achievement for South Korea to lead and create new opportunities with global manufacturers.
Meanwhile, in mid-2019, Wacker Chemie AG expanded its research and development activities in silicone-based materials to manufacture high-performance batteries. Other than that, the company has acquired a quarter of the stake of Nexeon Ltd.
What Region Holds the Largest Silicone Market Share?
By region, Asia-Pacific holds the most significant contribution in the silicone market share. The region includes China, Japan, South Korea, and India. Although experts say it consists of the rest of the Asia-Pacific region, these four mentioned countries are the key players in the region.
Aside from Asia-Pacific, the North American region is continuously growing in the residential construction sector. Due to the growing population and increased immigrants, it stimulated the high housing demand driving residential construction in both regions.
With all the factors that come into play, the silicone market is expected to have a strong growth post-recovery during the forecast period.
Since the Asia Pacific holds the largest share in the silicone market, there are several reliable and worthy silicone manufacturers you can coordinate with. Let’s start with Wetop. Wetop is based in Guangdong, China.
If your brand is focusing on silicone kitchenware, baby products, and electronic accessories, Wetop is a professional manufacturer that’s worthy to rely on. You can check our products at https://www.wetopsilicone.com/.
Some would request customization. We are down for it! Just message us the design you want, and let’s discuss it.