The global thermoplastic vulcanizate market size was valued at USD 1.57 billion in 2021. It is expected to reach USD 2.7 billion by 2030, growing at a CAGR of 6.95% during the forecast period (2022–2030). Thermoplastic Vulcanizates (TPV) consist of a polyolefin matrix composed of dispersed and continuous phases. At a predetermined temperature, rubber is melted and cross-linked with a thermoplastic material. These polymers and EPDM (ethylene propylene diene monomer (M-class)) rubber share similar properties. Its appeal is increased by its lightweight, excellent strength, and inexpensive production costs. Thermoplastic vulcanizates are commonly used in industry since they combine traditional elastomers' outstanding robustness with the thermoplastics' simple recyclability. They have recently received much attention as typical "green" polymers.
Due to these qualities, thermoplastic vulcanizates are used in various applications, including automotive, fluid management, consumer goods, medical, sporting goods, and other industries. Thermoplastic Vulcanizates can be identified by their cross-linked structure, which is produced by the chemical fusion of polymers. Front-end body panels, belts, hoses, seating, dashboards, airbags, door panels, hoses & seals, instrument & soft-touch panels, and more are made with their help. These thermoplastic vulcanizates work better than standard rubber drives due to their increased heat resistance, flexibility, durability, age resistance, oil, gas, chemical resistance, weathering, and ozone resistance.
Thermoplastic Vulcanizates have seen a significant demand increase, and this growth is expected to continue. The primary drivers of the market are the high demand from the automotive sector and the rising use of thermoplastic vulcanizate in the consumer goods sector. On the other hand, the abrupt collapse of the automobile sector in important nations and the effects of the pandemic epidemic are impeding the expansion of the TPV market. Over the forecast period, leading manufacturers should see many changes due to rising consumption in the healthcare sector.
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Increased Demand from Automobile Industry
Due to the rising demand for opulent, low-emission, secure, and high-performance vehicles, the market for automotive lightweight materials has experienced rapid expansion in recent years. As a result, suppliers and producers have created a range of solutions that help OEMs comply with increasingly stringent rules and consider a broad range of consumer preferences. In terms of strength, high-temperature mechanical properties, hot oil and solvent resistance, and compression set, TPVs outperform partially cured material. A small number of elastomers often rubbers like EPDM, EPR, SBS, polybutadiene (BR), or butyl rubber (IIR), are disseminated in a thermoplastic matrix, typically polyethylene or polypropylene, to create these materials.
Examples of TPV uses in the automobile industry include hose covers, gaskets, seals, convoluted boots, vibration dampeners, air inlet duct covers, bushings, strut covers, ignition components, and window seals. The most crucial advantage is financial: TPVs are 10–30% less expensive than EPDM while being lighter, more flexible in design, and recyclable. Automotive sector materials must adhere to stringent criteria. The materials must maintain their shape under extreme stress, especially when exposed to wide temperature swings. Due to the additional advantageous qualities they offer when employed in various automotive industry applications, TPVs are increasingly replacing other types of automotive part materials. Consequently, TPV use in the automotive sector will increase.
Widescale Usage in Consumer Goods Industry
A few of the qualities that TPV possesses that make it ideal for applications in consumer goods include antistatic grades, excellent UV resistance, the availability of very soft grades, excellent surface appearance, excellent bonding to many plastics, ease of coloring, 100% recyclable status, and the availability of color compounds. TPVs are increasingly employed in various consumer goods applications, including handles, lids, soft-touch grips (like those on mice), industrial wheels and trolleys, toys, razors, and toothbrushes.
Additionally, TPVs are utilized in various bathroom applications, vacuum cleaner parts, gaskets for consumer products (PVC window gaskets come in multiple colors and are weldable), anti-slip rug backing, and speaker surrounds, to name a few. Attractive technological developments are spreading throughout the consumer products sector, supporting industry growth and providing advantages to businesses and customers. The consumer products market is anticipated to be driven by these changes.
Decline in Automotive Industry in Various Nations
The automotive industry holds the highest market share for TPV applications. Hose covers, gaskets, seals, convoluted boots, vibration dampeners, air inlet duct covers, bushings, strut covers, ignition components, and window seals are common TPV applications in the automotive sector. However, the United States-China trade war and Brexit-related political uncertainty caused demand to decline and caused a significant decline in car output in recent years. Global automotive manufacturing fell by 16% between 2019 and 2020, reaching 77,621,582 units in 2020. 2020 saw a 2% decline in car output in China, the world's top producer of vehicles.
Due to the excess inventory, major automakers in India, like Maruti, Tata, Honda, and Mahindra, stopped manufacturing. The production of automobiles in India is anticipated to suffer significantly shortly. The decrease in automobile sales results in a reduction in demand for automotive seal components such as O ring seals, lathe cut seals, and others, subsequently limiting the expansion of the thermoplastic vulcanizate industry.
Use in Healthcare
In the medical industry, TPV is gradually gaining acceptance as an alternative to thermoset rubber. The healthcare sector is most suited for using TPVs for items like gloves, catheters, syringe tips, medicine vial closures, injection sites, tubing, and hoses because of their flexibility, durability, extendability, and sealability. For several reasons, elastomer parts present a clear possibility for cost reduction in medical production. Even though elastomeric components only make up a small portion of the total product weight, they account for much of the cost.
India's largest business sector is the healthcare industry. Rising income levels, more significant health consciousness, the increased importance of lifestyle diseases, and improved insurance access would be the main drivers of growth. In the coming years, it is anticipated that the penetration of health insurance will increase due to the growing need for low-cost, high-quality healthcare. This causes a need for safety products like gloves and vaccination components like syringe tips. These factors are anticipated to strengthen the healthcare sector and fuel thermoplastic vulcanizate applications in the coming years.
The global thermoplastic vulcanizate market is classified into end-user and region.
By end-user, the global thermoplastic vulcanizate market includes Automotive, Building & Construction, Consumer Goods, Healthcare, and Others.
The Automotive section will likely hold the largest portion of the TPV market, expanding at a CAGR of 6.10% during the forecast period. Due to the rising demand for opulent, low-emission, secure, and high-performance vehicles, the market for automotive lightweight materials has experienced rapid expansion in recent years. As a result, suppliers and producers have developed several solutions that assist OEMs in adhering to increasingly stringent standards and satisfying the expanding spectrum of consumer preferences.
The automotive industry pioneered thermoplastic vulcanizate, which superseded thermoset rubbers, including SBR, EPDM, and chlorosulfonated polyethylene. Hose covers, air inlet duct covers, gaskets, seals, convoluted boots, vibration dampeners, strut covers, ignition components, bushings, and window seals are a few common automotive uses for TVP. The flexible TPV automobile under-the-hood parts include wheel well flares, steering system bellows, air intake tubes, and sound deadening.
The Building & Construction section will hold the second-largest market share. The building and construction industry applications include sheeting/film, weatherstripping, skylight gaskets, profile extrusions, and expansion joints. The second-largest end-user segment for thermoplastic vulcanizate compounds right now is the building and construction industry. These goods are widely utilized in the building and construction industry to create long-lasting buildings because of several characteristics, including exceptional durability, aesthetics, lightweight, easy handling, and high performance.
Extruded hoses, tubes, wires, and cables have a wide range of uses in building and construction. Their lifespan has increased using TPVs in components, pipelines, and polymers. TPEs outlive their competitors because of their resistance to high temperatures, good corrosion resistance qualities, and lightweight, which makes them more cost-effective in the long term. Additionally, TPVs are employed in the production of numerous construction tools. Thermoplastic polymers made rubber tool grips for drills, pliers, and hammers. Due to its high memory and flexibility, TPV material is an excellent choice for flexible hoses and ducting used for air, fumes, vacuums, and suction.
By region, the global thermoplastic vulcanizate market includes North America, Europe, Asia-Pacific, South America, and the Middle East and Africa.
Predominance of Asia-Pacific Over Others
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Asia-Pacific will command the market, expanding at a CAGR of 6.81% over the forecast period. China is expected to contribute majorly to the regional market share. The largest automotive manufacturing sector in the world is found in China. In 2018, the industry experienced a slowdown, with production and sales falling. Similar trends persisted, with the output declining by 7.5% in 2019. The world's biggest market for electric cars is China. Even though the Chinese auto market shrank in 2019, the electric vehicle market saw modest growth of 4.7%, with about 1.18 million plug-in electric cars sold in China, where lithium-ion batteries play a significant role in the construction of the vehicle's body.
By 2025, the Chinese government hopes to have at least 5,000 electric vehicles on the road, and by 2030, it wants 1 million. During the forecast period, the market for TPV is anticipated to be driven by the government's promotion of the use of electric, hybrid, and fuel cell electric vehicles. To reduce pollution, Volkswagen announced in May 2020 that it would invest roughly USD 2.48 billion in the Chinese electric vehicle market, showing its support for the Chinese government. This is predicted to boost the market for electric vehicles throughout the projection period and consequently increase demand for TPV.
North America will hold another significant portion of the market, growing at a CAGR of 5.75%. It is anticipated that the United States will be a substantial market for TPV. More than 280 million vehicles are on the roads in the United States. After China, the United States is the second-largest automotive producer, with 8.82 million vehicles produced in 2020. Due to an abundance of inventory and weak demand for passenger automobiles, the growth fell to 0.8% in 2016 from a 3.8% increase in 2015. The world's largest aerospace market is the United States.
The Federal Aviation Administration predicts that commercial aircraft fleets will grow from 7,397 in 2018 to 8,270 by 2037. The manufacturing activities in the aerospace industry have been driven by strong exports of aerospace components to nations like France, China, and Germany, as well as solid consumer spending in the United States. This can create a favorable environment for the TPV market in the country's aerospace industry. Due to the nation's electronics industry's quick speed of innovation, technological improvement, and research & development operations, there is also a sizable demand for newer and faster electronic products. The focus on creating high-end products has led to a noticeable rise in the number of manufacturing facilities and development centers in the United States. It is estimated that this will enhance demand for TPV during the foreseeable period.
list of key thermoplastic vulcanizate market manufacturers profiled