Automotive Silicones Market to Grow 8.5%
The global automotive silicones market is expected to reach $5.84 billion by 2025
The global automotive silicones market is expected to reach $5.84 billion by 2025, growing at a compound annual growth rate (CAGR) of 8.5%, according to a recent report by Grand View Research Inc. The growing awareness about lightweight materials used in automotive production is expected to drive the demand for silicones.
The industry is dominated by the Asia-Pacific region, due to the presence of a large number of automotive parts manufacturers and silicone production facilities in countries such as China, Japan, and India. Demand in Asia-Pacific was valued at over $900 million in 2015 because of significant growth of vehicle equipment manufacturing in China and India. Major automobile manufacturers such as Toyota, General Motors, and Volkswagen are reportedly outsourcing their spare parts manufacturing operations to Asia-Pacific due to the low price of silicones.
Resins is the fastest-growing segment and is anticipated to witness a CAGR of over 8.5% in terms of volume from 2016 to 2025, due to their effective binding ability on vehicle surfaces and ability to protect automotive finishes. Interior and exterior part application had the largest a market share of over 35% in 2015 on account of the rapidly increasing application scope of lightweight materials in automotive body manufacturing.
For more information, visit www.grandviewresearch.com.