Global Automotive Silicone Market By Product (Rubber, Adhesives & Sealants, Coatings, and Other Products), By Application (Suspension Systems, Interior & Exterior, Electrical System, EDT System, and Other Applications), By Region and Companies - Industry Segment Outlook, Market Assessment, Competition Scenario, Trends and Forecast 2023-2032

Automotive Silicone Market Overview

The global automotive silicone market value was US$ 2,501 million in 2021 and is expected to increase at 6.89% over the forecast period. Automotive silicones can be used for electrical systems, suspension systems, interior and exterior, and other areas. Its excellent compatibility with rubber, adhesives, and sealants makes it an attractive choice over other products. The key driver behind this market’s growth is increasing automobile production.

Global Automotive Silicone Market Analysis

Product Analysis

Rubber was the largest revenue segment in 2021 and will continue to be so over the forecast period. Silicone rubber can be used in a variety of applications, including high-temperature applications in vehicles. It’s used, for example, in turbochargers hoses at temperatures around 225°C. It is available in a variety of formulations that can be used for production, molding, curing, and other purposes. This simplifies the process while maintaining high-quality standards.

It is used extensively in electronic sealants, cables, and tires. The temperature resistance of automotive silicone coatings is up to 350°C. They can withstand temperatures up to 650°C if used with appropriate pigments or fillers. They have a variety of properties including weathering resistance, scratch resistance, and slip resistance. Because it protects the fabric from heat, silicone-based coatings are also used for airbags. This product is anticipated to increase in demand due to its compatibility and efficiency with different substrates.

Application Analysis

Interior and exterior parts are made up of various components like tires, seatbelts, meters, flooring, seats, airbags, doors, and instrument panels. This product can be found in many parts, including rubber, sealant, adhesive, and coatings.

This segment is characterized by characteristics such as high-temperature resistance, better grip, and flexibility in cold conditions. They also have compatibility with dyes. EDT systems ranked second in 2021 as the most popular application. Silicones can be used in lubricants due to their ability to preserve plastics and rubber. These lubricants are used in many parts of EDT systems to eliminate friction squeaks. EDT systems can also be used for fuel injection and fuel pump seals.

Its high-temperature resistance makes it suitable for use in EDT systems. The fastest expected growth is in electrical systems during the forecast period. Good electrical conductivity makes silicones a great material for ignition cables, spark plug boots, and other applications. The segment growth is expected to be positive due to the rising demand for electronic systems within the automotive sector.

Key Market Segments

By Product

• Rubber
• Adhesives & Sealants
• Coatings
• Other Products

By Application

• Suspension Systems
• Interior & Exterior
• Electrical System
• EDT System
• Other Applications

Market Dynamics

In 2021, the global production of commercial vehicles and cars grew at a CAGR of 6.04%. Automotive silicones reduce vehicle weight, which in turn improves fuel efficiency and reduces harmful emissions. The market is expected to expand due to strict regulations on harmful emissions. This market will also be driven by rising demand for electronic products.

However, high production costs for automotive silicones can hinder market growth. The widespread use of silicone rubber in vehicle manufacturing is likely to limit the market growth. However, it is less expensive than other rubbers. It is also energy-intensive to manufacture and can require the use of expensive components. The high cost of the product is offset by its low maintenance and long-lasting life. A concentration of the market, where only a few manufacturers hold a significant share, has been caused by high production costs.

Due to increasing demand in many applications, there is a risk of new entrants. This increases the level of competition in the global market. The demand for electronic auto assistance systems has increased due to technological advancements, rapid up-gradation, modernization, and other advances. This is expected to lead to industry expansion.

Rising fuel prices and stricter emission standards will likely increase demand for silicones within the automotive industry. Silicone rubber and coatings are the main products used to meet the automotive industry’s safety & emission goals. Automobile manufacturers are developing lightweight materials that can be used in multi-material designs to increase fuel efficiency.

Automobile manufacturers all over the globe face significant problems due to high fuel consumption and CO2 emission. Global governments must deal with the problem of vehicular emissions causing increasing pollution in cities. The use of silicones in vehicle design can reduce the vehicle’s fuel consumption.

Silicone rubber costs more to produce than other rubbers due to the expensive processing. Even though silicone rubber has a high cost of production, its inherent benefits and subsequent positive impacts justify the high cost. Other benefits include long-term advantages and low maintenance.

To be used effectively, silicone rubber must be further processed. This processing requires more expensive production. But, companies are making strenuous efforts to satisfy the growing demand. Many companies have formed partnerships to expand their product lines and increase production.

Regional Analysis

Asia-Pacific dominated global automotive silicones markets and accounted to for a 40% revenue share in 2021. Asia-Pacific’s automotive silicone market will continue to be driven by India, Japan, and China. The manufacturing efficiency of these countries’ automotive industries is being emphasized. Asia-Pacific’s automotive market is experiencing rapid growth thanks to the introduction of new models and greater technology adoption. To meet the growing demand for transmission systems in the automotive industry, several growth strategies are being adopted by the region.

The Asia Pacific led the market for 2021 and will continue to lead the market over the forecast period. Rising disposable income, vehicle production, and the increasing number of people are all factors that have contributed to the region’s rapid growth. China is the top producer in APAC. Japan and India are close behind. Europe is home to a significant automotive industry.

Over the forecast period, Europe’s automotive industry will be the largest driver of the market. Europe is one of the top producers of automobiles worldwide. Furthermore, the automotive industry is the largest private investor in research and technology development. Silicones are ideal for automotive devices that need to be weatherproofed, sealed, or impregnated. Additionally, silicone resins are hydrophobic and can be used as protective coatings.

Germany is Europe’s largest export market. After Europe, the U.S. imports the most German-made vehicles. Asia is next. In response to the rising demand for silicones, its manufacturers have increased their production capacity.

Key Regions and Countries covered іn thе rероrt:

• North America
  • US
  • Canada
  • Mexico
  • Europe
  • Germany
  • UK
  • France
  • Italy
  • Russia
  • Spain
  • Rest of Europe
• APAC
  • China
  • Japan
  • South Korea
  • India
  • Rest of Asia-Pacific
• South America
  • Brazil
  • Argentina
  • Rest of South America
• MEA
  • GCC
  • South Africa
  • Israel
  • Rest of MEA

Market Share & Key Players Analysis:

The market is very competitive. The Dow Chemical Company is one of the main players. Wacker Chemie AG and Momentive Performance Materials are other key players. For a stronger market position, companies are focusing on R&D as well as new product development. Momentive Performance Materials Inc., for example, added SilGrip PSA810 pressure-sensitive adhesives to its portfolio.

Маrkеt Кеу Рlауеrѕ:

• The Dow Chemical Company
• Wacker Chemie AG
• Momentive Performance Materials
• Shin-Etsu Chemical Co. Ltd.
• KCC Corp.
• Specialty Silicone Products Inc.
• Reiss Manufacturing Inc.
• GW Plastics
• Other Key Players

For the Automotive Silicone Market research study, the following years have been considered to estimate the market size: