Global Rubber Market Growth Factors: Analysis of Size, Share, and Recent Developments
- Aug 30, 2024
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The global rubber market size is expected to reach USD 51.21 billion by 2027, exhibiting a CAGR of 5.3% during the forecast period. The heavy demand from the automotive industry owing to its insulation property, and will propel the growth of the market during the forecast period, states Fortune Business Insights, in a report, titled “Rubber Market Size, Share & Industry Analysis, By Type (Natural, and Synthetic), By Application (Tire, Non-Tire Automotive, Footwear, Industrial Goods, and Others), and Regional Forecast, 2020-2027.” The market size stood at USD 40.77 billion in 2019.
The rubber market plays a critical role in the global economy, driving numerous industries from automotive and construction to healthcare and consumer goods. With its vast applications and diverse types, the rubber market has seen significant growth and evolution over the years. This article delves into the current trends, growth drivers, challenges, and future prospects of the global rubber market.
The Report lists the Main Companies in the Rubber Market:
- ARLANXEO (Netherlands)
- Kumho Petrochemical Co., Ltd. (South Korea)
- PetroChina (China)
- TSRC Corporation (Taiwan)
- LG Chem (South Korea)
- Versalis (Italy)
- Dow Chemicals (U.S.)
- Von Bundit (Thailand)
- Sri Trang Agro-Industry (Thailand)
- Southland Holding Lonza (Thailand)
- Vietnam Rubber Group (Vietnam)
- Tradewinds Plantation Berhad (Malaysia)
- Tong Thai Rubber Group (Thailand)
- Ravasco (India)
- Halcyon Agri (Singapore)
- Unitex Rubber (Thailand)
Market Driver:
Rising Application of Rubber in Numerous Industries to Boost Market
The growing demand for tire and other automotive parts will simultaneously spur opportunities during the forecast period. The growing utilization of rubber in wide-ranging automotive products such as tires, crap tubes, adhesives, hoses, pipes, gaskets, and roll coverings will further enhance the scope of the market. Moreover, the increasing application in footwear, industrial goods, construction, textiles, and other consumer products will aid the expansion of the market. For instance, the use of latex offers substantial protection against water, chemicals, electricity, impact, and low temperatures. Additionally, its use in a variety of textiles, and consumer products, such as bands, protective covers, mats, and others will further foster the growth of the market.
Key Trends Shaping the Market
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Sustainability and Eco-Friendly Alternatives: With increasing environmental concerns, the rubber industry is witnessing a shift towards sustainable and eco-friendly alternatives. Companies are investing in research and development to produce bio-based synthetic rubber and improve the sustainability of natural rubber production. This trend is expected to gain momentum as governments and consumers demand greener solutions.
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Technological Advancements: Technological innovations are playing a pivotal role in the rubber market. Advanced production techniques, such as the use of nanotechnology in rubber compounding, are enhancing the material's performance characteristics. Additionally, the development of high-performance synthetic rubbers with superior properties, such as better heat resistance and durability, is expanding the market's potential.
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Growing Demand in Emerging Markets: Emerging economies in Asia-Pacific, particularly China and India, are driving the growth of the rubber market. Rapid industrialization, coupled with the increasing automotive production, is boosting the demand for both natural and synthetic rubber in these regions. Furthermore, the rise of the middle class and increasing urbanization are contributing to the growing consumption of rubber-based products.
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Impact of Electric Vehicles (EVs): The shift towards electric vehicles (EVs) is influencing the rubber market. While EVs require fewer tires over their lifetime compared to traditional internal combustion engine vehicles, the demand for specialized tires with low rolling resistance and high durability is on the rise. This trend is encouraging tire manufacturers to innovate and adapt to the changing market dynamics.
Disturbed Supply Chain to Dwindle Business Amid Coronavirus
The coronavirus incident has resulted in the shutdown of production facilities, and restrictions on transportation. The disruption in the supply and distribution can further limit the scope of the market. The major impacted countries include China, India, Germany, Italy, Brazil, and Canada. China is a major consumer of rubber. The constraint on export and import activities of industrial rubber goods and tires will act as an inhibiting factor for the development of the global market.
Source: https://www.fortunebusinessinsights.com/industry-reports/rubber-market-101612
The report on the rubber market incorporates:
- All-embracing evaluation of the Industry
- Latest developments
- Emerging trends and drivers
- Controlling regions in the global market
- COVID-19 impact on the industry
Regional Analysis:
Rising Construction Activities to Bolster Growth in Asia Pacific
The market size in Asia Pacific stood at USD 22.09 billion in 2019 and is expected to witness an exponential growth rate during the forecast period. The growth in the region is attributed to the rising production and consumption in India and China. Thailand is the largest producing country of natural rubber. The flourishing automotive and construction industry is predicted to enable speedy expansion of the market in the region. The market in North America is expected to rise tremendously owing to the rising demand in footwear applications. The growing automotive, chemical, and textile industries are expected to create opportunities for the market in North America.
