Synthetic Thermoplastic Elastomers (TPE) Market Forecast 2020 to 2027

The global synthetic thermoplastic elastomers (TPE) market is expected to grow from USD 25.60 billion in 2019 to USD 42.46 billion by 2027, at a CAGR of 6.53% during the forecast period 2020-2027.

TPE stands for thermoplastic elastomers. They are in a way unique as well as eco-friendly thermoplastics which can be recycled. Along with being recyclable, they can be re-moulded and re-shaped, which eliminates the wastage exponentially. The physical attributes and characteristics of TPEs are, to name a few, resistance to chemicals, UV, oxidation. They are also soft to touch materials. All these features of TPEs are advantageous and superior when compared to rubber and convectional plastic material leading to their replacement by TPEs in their respective applications. To ensure utmost consumer health and safety in numerous end-use industry products many governmental organizations such as FDA, US Pharmacopeia manage product applications in them. Hence, these federal laws affirm TPE usage for industrial applications by offering specific guidelines for prudent product usage.

This study delivers a comprehensive analysis of products, applications and regions.  The product segment includes COPE, TPV, TPO, TPU and styrenic block copolymers. TPU is expected to show the highest share in the product segment over the forecast period. TPU has its thermal and acoustic insulation properties which in turn are leading for its demand in construction applications. In addition to this, there is a need and want for sustainable development with the aim of constructing energy-efficient building and subsequently to have regulations aimed at zero energy building, all these will supposedly drive TPU demand in construction in near as well long future forecast periods. The application segment includes advanced materials, industrial, electronics, medical, construction, footwear and automotive. The 2019 TPE global market represented a picture which depicted that automotive was the major contributor accounting for over 65% of share in TPE market. A few factors which are believed to further complement the demand for TPE in North American market and subsequently global market over a forecast period are appropriate regulations which favour the use or consumption of thermoplastics in automotive applications instead of metals and alloys along with increasing passenger car production in the U.S. and Mexico.

The market has been divided into North America, Europe, Asia-Pacific, Middle East & Africa, and South America. In 2019, with a consumption of over 48% of the overall volume, Asia Pacific thermoplastic elastomer (TPE) market held the largest market. The primary users in the Asia Pacific region are Japan, India and China. In 2019, they accounted for over 91% of the regional share. In addition to automotive industry growth and extensive development in India and China, there is a growing electronic good and footwear production in Southeast Asia, which is anticipated to propel the demand for TPE further in the Asia Pacific region over the years (forecast period).

Some of the notable players in the global synthetic thermoplastic elastomers (TPE) market areBASF, China Petroleum & Chemical Corp, Dow Chemical, Huntsman, Evonik Industries, Bayer and Lyondell Basell.