Silicones Market Analysis APAC, North America, Europe, Middle East and Africa, South America - US, China, Japan, India, Germany - Size and Forecast 2024-2028

Silicones Market Forecast 2024-2028

The silicones market size is forecast to increase by USD 8.76 billion at a CAGR of 7.32% between 2023 and 2028. The increasing application of silicone elastomers in several industries is notably driving market growth. Elastomers are also known as rubber products that have a wide range of applications. Among the different types of elastomers, only certain materials can be adopted in desired applications. Silicone elastomers are widely preferred over other materials due to their superior properties, such as tear resistance, durability, easy fabrication, thermal resistance, ozone and UV resistance, and flame retardancy.

In the realm of personal care & consumer products, silicone elastomers find applications in various products, including shampoos, blushes, and paint additives. Moreover, they play a crucial role in the construction segment, particularly in the manufacturing of heating element wires and photomask substrates. Additionally, silicone elastomers are indispensable in the production of grease for automotive and industrial applications, as well as in the manufacturing of cookware and various plastics and composites, including polyvinyl chloride.

What will be the  Market Size During the Forecast Period?

Request Free Sample in PDF

Segmentation by Product, End-user, and Geography

Product Analysis 

The market share growth by the elastomers segment will be significant during the forecast years. Silicone elastomers are high-performance polymers produced by compounding straight-chained, reactive, and linear polymer molecules with crosslinkers, reinforcing agents, and catalysts. These elastomers are vulcanized to enhance their mechanical properties. Cross-linking and vulcanization confer elastomers with excellent absorption, elasticity, and tear strength properties.

Get a glance at the market contribution of the End User  segment Request Free Sample

The elastomers segment was the largest and was valued at USD 7.24 billion in 2018. Further, in the construction industry, silicone elastomers are primarily used as sealants, coatings, and water-repellent paints due to their properties, such as thermal stability, high permeability, water repellency, UV resistance, and oxidative stability. Room-temperature vulcanized silicone elastomers are largely preferred for use in the construction industry. In the automotive industry, silicone elastomers are used for a variety of applications such as insulation, sealing, bonding, and coating on different automotive parts such as the engine, drive train, electrical system, electronics, interiors, and body. Moreover, silicone elastomers are preferred over other conventional materials because of the former excellent properties, such as rapid curing, heat resistance, and electrical insulation. The increasing demand for silicone elastomers from end-user industries such as construction and automotive is driving the demand for the elastomers segment and is further expected to drive the growth of the market during the forecast period.

End-user Analysis 

Based on the end-user, the market has been segmented into industrial process, construction, personal care and consumer products, transportation, and others.?The industrial process will account for the largest share of this segment. Silicones are used as intermediates and additives in numerous industrial processes. Further, the increased consumption of printing paper, writing paper, and tissue paper is one of the key factors driving the growth of the global pulp market. In addition, the demand for paper is growing significantly in the packaging industry due to its environment-friendly nature. Therefore, the demand for silicone in the pulp and paper industry is increasing, further boosting the growth of the industrial segment in the market during the forecast period.

Region Analysis

APAC is estimated to contribute 41% to the growth of the global market during the projection period. Technavio's analysts have provided extensive insight into the market forecasting, detailing the regional trends and drivers influencing the market's trajectory throughout the projection period.

For more insights on the market share of various regions Request Free Sample

The growing demand for silicones from end-user industries such as industrial process, construction, automobile, and personal care is expected to drive the market growth. The growing number of manufacturing companies in APAC, especially in India and China, is expected to drive the demand for silicone-based industrial lubricants, coatings, and sealants, among others. The silicones market in APAC is mainly dominated by China, Japan, India, Australia, South Korea, and Indonesia. During the forecast period, the silicones market in APAC is expected to register the fastest growth rate among all other regions, owing to the increasing demand for silicones in many rapidly growing economies. The growth of the market in APAC can also be attributed to factors such as growing industrialization, rapid urbanization, and increasing infrastructure development.

In addition, the growth of the automobile sector, along with the growing economy and emerging middle-class population, will foster market growth. Many automotive manufacturing companies are shifting their manufacturing bases to APAC owing to the easy availability of low-cost labor. Countries such as Indonesia, Malaysia, and Thailand started providing tax subsidies to these companies. All these factors are expected to drive the growth of the regional market during the forecast period.

Market Dynamics and Customer Landscape

The market is being propelled by the increasing application of silicone elastomers across various industries, particularly in automotive & transportation, personal care & consumer products, and electronics. However, one notable trend shaping the market is the rising preference for bio-based products among consumers and manufacturers alike. This shift reflects a growing awareness of environmental concerns and sustainability. Nevertheless, the market faces challenges such as fluctuating prices of raw materials, which can impact profit margins and pricing strategies. In addition, regulatory authorities play a crucial role in shaping market dynamics, especially concerning product safety and environmental regulations.

The demand for silicones remains robust, driven by their highly stable properties and diverse applications across sectors including electronics (such as electronic chips, semiconductors, PCBs, ECUs, LED devices), construction (marble, glass, concrete), metals (aluminum, steel), polymers, oil rigs, and personal care products (shampoos, blushes, resins, fluids, gels). With rising population and increasing urbanization, the demand for silicones as insulators, sealants, and adhesives is expected to grow further. Moreover, incentives and subsidies for the adoption of electric vehicles and ICT equipment also contribute to market growth. In this dynamic landscape, market trends and analysis play a crucial role in guiding businesses to capitalize on emerging opportunities and navigate potential challenges effectively.

Key Market Driver

The increasing application of silicone elastomers in several industries is notably driving market growth. Elastomers are also known as rubber products that have a wide range of applications. Among the different types of elastomers, only certain materials can be adopted in desired applications. Silicone elastomers are widely preferred over other materials due to their superior properties, such as tear resistance, durability, easy fabrication, thermal resistance, ozone and UV resistance, and flame retardancy. These properties have rendered silicone elastomers highly valuable, which are used in various end-user industries such as automotive, construction, consumer goods, electrical and electronics, and healthcare.

Moreover, in the construction industry, silicone elastomers are widely used as silicone sealants in structural silicone glazing (SSG), which is a method of bonding metal, glass, ceramic, and composite panels to the frame of buildings. Also, construction is one of the dominating end-user industries in the global silicone sealant market due to the growing infrastructural developments in developing economies and the increasing use of these products in the construction sector. This will drive the demand for silicone elastomers during the forecast period.

Significant Market Trends

An increase in preference for bio-based products is a significant challenge hindering market growth. The growing use of renewable raw materials such as biomethanol for the production of silicone fluids is one of the prominent trends in the market. Biomethanol-based silicone fluids have a more favorable carbon balance as no fossil materials are used for the production of methanol. The increase in demand for bio-based silicone fluids from developed countries such as the US, Germany, the UK, and Canada is expected to augment the market growth. The demand for natural and organic products is increasing because of health and safety concerns and increasing awareness about the ingredients. 

Moreover, as bio-based silicone products such as silicone fluids are widely used as an ingredient in personal care products, the increasing demand for organic and natural products in the personal care and cosmeceutical sector will drive the market in the future. Vendors of silicone fluids are emphasizing the use of eco-friendly raw materials. Hence, the demand for natural and bio-based ingredients is expected to increase the consumption of bio-based silicones and will boost the growth of the market during the forecast period.

Major Market Challenge

Fluctuating prices of raw materials is a significant challenge hindering the market growth. Silicon metal and methanol are the primary raw materials used for the production of silicones. The polymers of the silicone class consist of siloxane and two or more organic compounds that are combined to obtain the desired chemical and physical properties. The fluctuations in the raw material cost of silicones are expected to hinder the market growth and trends of the market. There has been an increase in the price of silicon metal owing to its limited availability. Furthermore, the cost of energy that is needed for the production of silicone-fluid is also on the rise. The vendors are compelled to increase the prices of silicone-based products owing to the limited availability of raw materials.

Moreover, the increase in prices of silica, coal, and carbon electrodes will contribute to the high production cost of silicon metal. The stoppage of operations of silicon metal plants in China due to incompliance with environmental regulations will also limit market research and growth. Therefore, the decline in the supply of silicon metal and the volatility in raw material processes are expected to hinder the growth of the market during the forecast period.

Key Companies

Companies are implementing various market growth and forecasting strategies by analyzing factors such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product or service launches to enhance their presence in the market.

Dow Chemical Co - The company offers silicone materials using a diverse range of base chemistries which are formulated by silicone elastomers and silicone emulsions specifically designed for use in fully automated industrial processes such as Liquid Injection Moulding Systems.

The report also includes detailed analyses of the competitive landscape of the market and information about 15 market companies, including CHT Germany GmbH, Dow Chemical Co., DuPont de Nemours Inc., Elkem ASA, Hoshine Silicon Industry Co. Ltd., Innospec Inc., Kaneka Corp., KONARK SILICONE TECHNOLOGIES, Milliken and Co., Mitsubishi Chemical Group Corp., Momentive Performance Materials Inc., RAG Stiftung, Shin Etsu Chemical Co. Ltd., Silicone Solutions, Silicones Inc, Siltech Corp., US Silicones LLC, Vanguard Products Corp., Wacker Chemie AG, and Alliance Rubber Co.

Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.

Market Analyst Overview

The Silicones Market is influenced by various factors, including regulatory authorities and raw material prices, impacting its diverse applications across industries. Silicones are integral components in electronic chips, semiconductors, and printed circuit boards (PCBs), providing essential properties for LED devices and electronic control units (ECUs) in information & communications technology (ICT) equipment and electric vehicles (EVs).

Known for being highly stable, silicones find use in diverse sectors like construction, where they serve as effective insulators against salt air damage and provide moisture-proofing for structures like oil rigs. With rising population and increasing urbanization, silicones play a vital role in enhancing the durability of materials like marble, concrete, aluminum, and steel.

Innovative silicone formulations such as liquid silicone rubber (LSR) and room-temperature vulcanization (RTV) enable applications ranging from potting and encapsulation in electronic control units (ECUs) to moisture-proofing boards in offshore drilling operations. Moreover, silicones contribute to household goods, sporting goods, and automotive & transportation components, including thermal interface silicone rubber sheets for electric vehicle (EV) components.

With growing demand and support from incentives and tax breaks, the silicone market continues to expand, catering to a wide range of industries and consumer products.

Segment Overview

The market report predicts market growth by revenue at global, regional & country levels and provides an analysis of the latest trends and growth opportunities from 2018 to 2028. 

• Product Outlook 
  • Elastomers
  • Fluids
  • Resins
  • Gels and others

• End-user Outlook
  • Industrial process
  • Construction
  • Personal care and consumer products
  • Transportation
  • Others

• Region Outlook 
  • North America
    • The U.S.
    • Canada
  • South America
    • Chile
    • Brazil
    • Argentina 
  • Europe
    • The U.K.
    • Germany
    • France
    • Rest of Europe
  • APAC
    • China
    • India
  • Middle East & Africa
    • Saudi Arabia
    • South Africa
    • Rest of the Middle East & Africa

Silicones Market  Scope
Report Coverage	Details
Page number	183
Base year	2023
Historic period	2018-2022
Forecast period	2024-2028
Growth momentum & CAGR	Accelerate at a CAGR of 7.32%
Market Growth 2024-2028	USD 8.76 billion
Market structure	Fragmented
YoY growth 2023-2024(%)	6.74
Regional analysis	APAC, North America, Europe, Middle East and Africa, and South America
Performing market contribution	APAC at 41%
Key countries	US, China, Japan, India, and Germany
Competitive landscape	Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks
Key companies profiled	CHT Germany GmbH, Dow Chemical Co., DuPont de Nemours Inc., Elkem ASA, Hoshine Silicon Industry Co. Ltd., Innospec Inc., Kaneka Corp., KONARK SILICONE TECHNOLOGIES, Milliken and Co., Mitsubishi Chemical Group Corp., Momentive Performance Materials Inc., RAG Stiftung, Shin Etsu Chemical Co. Ltd., Silicone Solutions, Silicones Inc, Siltech Corp., US Silicones LLC, Vanguard Products Corp., Wacker Chemie AG, and Alliance Rubber Co.
Market dynamics	Parent market analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, market growth analysis, COVID-19 impact and recovery analysis and future consumer dynamics, Market condition analysis for the forecast period.
Customization purview	If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized.

Request Free Sample

What are the Key Data Covered in this Silicones Market Research Report?

• CAGR of the market forecast during the forecast period
• Detailed information on factors that will drive the growth of the market  between 2024 and 2028
• Precise estimation of the size of the market  size and its contribution of the market in focus to the parent market
• Accurate predictions about upcoming trends and changes in consumer behavior
• Growth of the market industry across APAC, North America, Europe, Middle East and Africa, and South America
• Thorough market analysis and report of the market’s competitive landscape and detailed information about companies
• Comprehensive analysis of factors that will challenge the growth of market companies

We can help! Our analysts can customize this market research report to meet your requirements. Get in touch