Neoprene: Key market research findings
- Growing use of sulfur-modified neoprene
- Rise in demand from automotive industry
- Leading vendors in the market include Chongqing Changshou, Denka, LANXESS, Shanxi, and Tosoh
Technavio’s market research analysts predict the global neoprene market to grow at a CAGR of around 5% between 2016 and 2020. Neoprene is a synthetic polymer of chloroprene and possesses features such as excellent mechanical quality, high ozone and weather resistance, aging resistance, low flammability, high resistance to chemicals and fuel, moderate resistance to oil, and good adhesion to different type substrates. These characteristics have augmented the consumption of neoprene as an adhesive in the automotive, construction, and cable and wire industries. APAC dominates the global neoprene market and is likely to occupy more than 53% of the total market revenue by 2020. Factors such as high consumption of synthetic rubber, increase in a number of tire plants in Asia, and growth in vehicle production are promoting high consumption of neoprene products in this region.
The new industry research report from Technavio discusses in detail the key drivers and trends responsible for the growth of this market and its sub-segments.
“One of the latest trends gaining grounds in this market is the growing use of sulfur-modified grades. Sulfur-modified grades are used in components that remain unprotected and are susceptible to dynamic stress such as driving belts, timing belts, and conveyor belts due to their excellent mechanical properties. These grades are vulcanized to make them more durable and less resistant to aging. Sulfur copolymer with good crystallization resistance are increasingly being used in building tracks owing to the presence of neoprene in it, which is used extensively for friction materials,” says Chandrakumar Badala Jaganathan, Lead Analyst, Chemicals & Materials, Technavio Research
The automotive industry is the largest end-user of neoprene and is anticipated to occupy around 81% of the total market share during the forecast period. Neoprene is primarily used for manufacturing automotive parts such as tires, v-belts, power transmission belts, engine belts, insulators, gasket, seals, and strips. The continuous growth in the automotive industry and an increasing number of automakers and suppliers in the six major automotive markets such as China, India, Japan, Brazil, Germany, and the US will propel the use of neoprene in the coming years.
Asia is the largest market for the exports and imports of neoprene. It was one of the biggest exporters of neoprene, with Japan accounting for around 90% of the overall global exports. As the production of neoprene is located only in limited nations, there is a critical exchange of the neoprene products across the globe. The major market vendors have their plants in Japan, Western Europe, China, and North America. Most manufacturers in the market use the butadiene route for the manufacture of neoprene which is the dominant production process.
A more detailed analysis is available in the Technavio report, Global Neoprene Market 2016-2020.
We can customize reports by other regions and specific segments upon request.
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