Market Report Demand for Synthetic Industrial Rubber to Outweigh Natural Type
Fact.MR, a market research and consulting firm has predicted that the demand for synthetic industrial rubber will outweigh the natural type by 2:1. The firm has also revealed in its report that the industrial rubber market is expected to reach a valuation of nearly 110 billion dollars in 2030.
USA – Industrial rubber demand is majorly driven by East Asia, with rising demand from automobile applications becoming the deciding factor. Growing production facilities with strong end-user consumption will bolster overall demand for industrial rubber even further in the coming years.
The automobile & transportation industry is set to increase demand for industrial rubber, reveals an Esomar-certified market research and consulting firm, in its recently published report on this market. As per the report, the industrial rubber market is anticipated to reach a valuation of nearly 110 billion dollars in 2030, expanding at a CAGR of more than 5 % over the forecast period of 2020 to 2030.
Key Takeaways from the Industrial Rubber Market Study
- 1. The global industrial rubber market is anticipated to add 1.3X value in 2030 as compared to 2020.
- 2. Synthetic rubber captures a major chunk of the market, equivalent to the two-third, and is set to create 44.3 billion dollars through 2030.
- 3. East Asia is set to hold a leading share by the end of FY2030, and will be the fastest-growing region over the long-run forecast period.
- 4. The automotive & transportation sector is anticipated to lose around 366 BPS by 2030, with demand the highest for tires and tubes.
- 5. The injection molding segment under processing method is anticipated to gain around 172 BPS by 2030.
- 6. Due to the Covid-19 pandemic, growth of the market was -2.1 in 2020, with recovery expected to be equal to 4.4 % growth in 2021.
- 7. The market in the U.S. is projected to expand at a CAGR of over 5 %, while that in the U.K. at close to 6 %, through 2030.
“Fluctuations in the automotive industry will cascade the effect to the industrial rubber market,” says an analyst.
Players in the Fragmented Market are Strengthening their Footprint
The industrial rubber industry is highly fragmented in nature due to the presence of numerous small- to medium-sized players. These players occupy nearly seven-tenth of the market share from all regions. Fragmented markets usually have the highest competition among players, which leads to the espousal of more strategies in the market.
Players in the regions of East Asia and North-America are implementing price strategies to strengthen their regional dominance. For instance, players such as Zeon Corporation, Ube Industries, and Sumitomo Chemical Co. in the markets of East Asia are dominating the global market by producing industrial rubber at lower cost which ultimately leads to cost competency in the global market.
These insights are based on a report by Fact.MR.