The Silicone Market size was valued at USD 22.88 Billion in 2024 and the total Silicone revenue is expected to grow at a CAGR of 6.1% from 2025 to 2032, reaching nearly USD 36.54 Billion.Global Silicone Market Overview
Silicone is an important component of photovoltaic cells, which are used in solar panels. The growth of solar energy installations contributes to Silicone demand. It is integral to the development of sensors, actuators, and other electronic components used in smart manufacturing, contributing to the Silicone market demand. The semiconductor sector is a large consumer of this component, and any increase in production prices has been affecting semiconductor and integrated circuit manufacture. This can result in higher component costs for electrical gadgets, affecting the entire electronic supply chain. China's electronics manufacturing sector, which includes consumer electronics, computers, and communication devices, is a major driver of Silicone demand. The country's dominance in electronics manufacturing contributes significantly to its impact in this market. China's government has adopted laws and made strategic investments to help the Silicone sector thrive. It is essential for the development of sensors, actuators, and electronic components in smart manufacturing. The adoption of Industry 4.0 practices and the integration of smart technologies in manufacturing processes contribute to the demand for Silicone. The growing demand for electronic products, renewable energy solutions, and developments in semiconductor technology fuel the Silicone market's overall growth.To know about the Research Methodology :- Request Free Sample Report
Global Silicone Market Dynamics
The growing demand for Silicone in the electronics industry The increasing demand for Silicone in the electronics industry is attributed to several factors. It is a versatile semiconductor material, that plays a crucial role in the production of various electronic devices. Semiconductor devices are the backbone of electronic gadgets, providing the functionality and processing power required for a wide range of applications, from computing and communication to entertainment and automation. In the Asia-Pacific region, Taiwan is the biggest manufacturer of semiconductors it accounts for over half of global production. They produce around 53% of semiconductors in 2022. TSMC (Taiwan Semiconductor Manufacturing Company) is the world’s largest maker of contract chips and it supplies many of the world's largest electronic companies such as Apple, Qualcomm, and Nvidia. The electronics sector is characterized by ongoing technological breakthroughs, which result in the production of more sophisticated and powerful gadgets. China is the dominant country in the electronics gadgets Industry. A variety of factors Included the dominance of China in the Electronics market such as a big and trained workforce, low labor costs, and robust supply chain infrastructure. China also has several large electronics firms, especially Foxconn, which assembles products for corporations such as Apple. Global smartphone and computer adoption has been a major driver of Silicone consumption. Rising Significance in Solar Energy The solar industry heavily relies on Silicone for the production of photovoltaic cells used in solar panels. The solar industry demands high-purity Silicone to ensure optimal efficiency in photovoltaic cells. This is typically achieved through the production of polycrystalline or monocrystalline Silicone, with monocrystalline Silicone often favored for higher efficiency. In 2022, solar PV (photovoltaic) generation climbed by a record 270 TWh (up 26%), reaching about 1300 TWh. Again, in the same year, it had the highest absolute generation increase of any renewable technology, exceeding wind for the first time in history. This rate of generation increase corresponds to the level expected from 2024 to 2032 in the Net Zero Emissions by 2050 Scenario. Global solar PV investments in capacity additions increased by over 20% in 2022 and surpassed USD 320 billion, marking another record year. Solar PV comprised almost 45% of total global electricity generation investment in 2022, triple the spending on all fossil fuel technologies collectively. Investment in PV is expected to grow further in the coming years thanks to ambitious government targets, policy support, and increasing competitiveness.The Installed Capacity of Solar Powerplants across the world
The deployment of 5G networks, developments in artificial intelligence (AI), and the growth of Internet of Things (IoT) devices are all creating new opportunities for Silicone. High-performance Silicone components are crucial for the development of 5G infrastructure, including base stations, antennas, and networking equipment. The advancement of AI relies on specialized processing units, such as Graphics Processing Units (GPUs) and Tensor Processing Units (TPUs). Commercial adoption of 5G wireless communication technology is driving new infrastructure designs for the projected increase in the number of base stations. These units operate at wide frequency ranges and are situated closer together to provide optimal connectivity. Key trends affecting these designs include the increasing complexity of centralized base stations, many of which will incorporate beamforming massive multiple-input, multiple-output (MIMO) antennas that use not only the low-frequency Sub-6 GHz band but also the high-frequency millimeter wave spectrum. Engineers are designing new 5G base station antennas, circuit boards, and other system components with new high-performance specialty polymers that can deliver steady RF quality, low system cost, and high productivity. In addition to excellent, stable dielectric properties that become more critical at 5G’s high-frequency bands, these polymers offer performance advantages such as thermal and dimensional stability, chemical resistance, inherent flame retardance (FR), and RF transparency. The environmental impact of Silicone production is the major challenge faced by Silicone industries Traditional Silicone production processes, such as the Siemens process, entail high-temperature reactions that emit greenhouse gases into the atmosphere, principally carbon dioxide (CO2). Silicone production's carbon footprint contributes to climate change and global warming. Silicone production processes generate waste by-products, including silica fume and carbon monoxide. Silicone production may also involve water-intensive processes, contributing to the depletion of water resources in certain regions. The Silicone production industry is facing heightened regulatory pressures as global awareness of environmental sustainability grows, coupled with increasing concerns about climate change. Governments and international organizations are actively pursuing stricter environmental standards and regulations, challenging Silicone producers to adapt to evolving requirements. Silicone producers need to strategically adapt to evolving regulatory requirements by investing in research, technology upgrades, and sustainable practices. Silicone production may also involve water-intensive processes, contributing to the depletion of water resources in certain regions. Sustainable water management practices are essential to mitigate the environmental impact on local ecosystems. Implementing water-efficient technologies and conservation measures in Silicone production processes helps minimize water consumption. Techniques such as closed-loop systems, water recycling, and process optimization contribute to reducing overall water usage.
Countries Capacity (In GW) China 390 GW United States 122 GW India 110 GW Japan 77 GW Germany 66 GW Vietnam 49 GW Silicone Market Regional Insights
The Asia Pacific area, notably China, has dominated the Silicone sector. China is a vital hub for electronics production, producing a significant share of the world's electronic devices. Silicone is a fundamental material in semiconductor manufacturing, and the demand for electronic gadgets in China has driven significant Silicone consumption. China's rapid industrialization and economic growth have increased the overall demand for Silicone across various sectors, including construction, automotive, and manufacturing. South Korea dominates the memory chip market, with domestic firms Samsung Electronics and SK Hynix holding close to 70% of the overall market share. South Korea aims to be one of the top three AI powerhouses in the world by 2032. Samsung invested over 300 trillion Korean won ($228) in a new South Korean semiconductor factory. Japan has a well-established semiconductor and electronics industry, which contributes to its production and export of Silicone. Japanese semiconductor businesses are well-known for their technological foresight. They frequently help to develop cutting-edge semiconductor technology such as memory chips, microprocessors, and integrated circuits. Japan has expertise in producing Silicone and semiconductor manufacturing materials such as photoresists or etching gas and remains critical to the fabrication process. Japan also wants to implement stricter export controls for chips and materials needed to make them, especially as they're considered a sensitive industry that enables the manufacturing of equipment for both civilian and military use. To reduce its dependence on China, the United States is now looking to Japan to serve as a manufacturing hub for its high-tech industries.Silicone Market Segment Analysis
Based on Type, the Elastomer Segment has held a dominant position in the global silicone market in 2024. The dominance of the segment is driven by driven by its versatile applications across various industries. Silicone elastomers are highly valued for their exceptional properties, including high thermal stability, flexibility, and resistance to UV radiation and extreme temperatures. These elastomers withstand temperature ranges from -60°C to 250°C, making them ideal for applications in the automotive, aerospace, and electronics sectors. For instance, in the automotive industry, silicone elastomers are used in gaskets, seals, and hoses, where they must endure temperatures up to 200°C under the hood. Additionally, in the medical field, silicone elastomers are employed in a variety of devices and implants due to their biocompatibility and resistance to sterilization processes, ensuring safety and durability. The increasing demand for high-performance materials that meet stringent regulatory standards further solidifies the dominance of the elastomer segment in the silicone market. Silicone wafers are thin slices of semiconductor material, typically used as a substrate for microelectronics and integrated circuits. Elkem Silicone Materials is one of the world’s leading suppliers of metallurgical Silicone with three production plants in Norway. High-performance Silicone refers to Silicone materials engineered for advanced applications demanding enhanced properties such as conductivity and durability. High-performance Silicone is integral to semiconductor manufacturing processes, especially in the production of advanced nodes for integrated circuits. In the renewable energy sector, high-performance Silicone is employed in power electronics for efficient energy conversion and management.Silicone Market Competitive Landscape
The competitive landscape of the Silicone market is Rapid and shaped by the presence of key players, their strategies, and the developing global demand for Silicone-based products. Asian companies, especially those in China and South Korea, have become major players in the Silicone market. Companies like China National Offshore Oil Corporation (CNOOC) and Samsung Electronics have a significant impact on the Silicone market Growth. Sustainability has become a key focus in the Silicone market. Companies are adopting environmentally friendly production practices, and some are investing in the development of sustainable Silicone alternatives. 1. Wacker Chemie AG, a Siliconee manufacturer, declared an investment of USD 160.34 million (EUR 150 million) in September 2024 to increase its Siliconee production facilities in China. The plant can produce Siliconee fluids, Siliconee emulsions, and Siliconee elastomer gels. 2. Elkem ASA declared the launch of their new specialized facility on Timberland Court in October 2022. The new 18,000-square-foot facility manufactures high-purity medical Siliconee products for the MedTech and Pharma markets. 3. Shin-Etsu Chemical Co., Ltd. declared the development of a new thermal interface Siliconee rubber sheet series for use in electric vehicle (EV) components in April 2022. These thermal interface Siliconee materials can be employed as heat dissipation measures for electric car component components with growing high voltage needs. New technologies like Silicone carbide and gallium nitride are likely to replace Silicone in some applications. This development is projected to open up new chances for companies developing new technology. Sustainability has become a key focus in the Silicone market. Companies are adopting environmentally friendly production practices, and some are investing in the development of sustainable Silicone alternatives.Silicone Industry Ecosystem
Silicone Market Scope: Inquiry Before Buying
Silicone Market Report Coverage Details Base Year: 2024 Forecast Period: 2025-2032 Historical Data: 2019 to 2024 Market Size in 2024: USD 22.88 Bn. Forecast Period 2025 to 2032 CAGR: 6.1% Market Size in 2032: USD 36.57 Bn. Segments Covered: by Type Fluids Gels Resins Elastomers Others By End-User Industries Transportation Construction Materials Electronics Healthcare Industrial Processes Personal Care and Consumer Products Others Silicone Market, by Region:
North America (United States, Canada, and Mexico) Europe (UK, France, Germany, Italy, Spain, Sweden, Austria, and the Rest of Europe) Asia Pacific (China, South Korea, Japan, India, Australia, Indonesia, Malaysia, Vietnam, Taiwan, Bangladesh, Pakistan, and the Rest of APAC) Middle East and Africa (South Africa, GCC, Egypt, Nigeria, and the Rest of ME&A) South America (Brazil, Argentina Rest of South America)Silicone Market, Key Players
1. Elkay Chemicals 2. Supreme Siliconees 3. Shin-Etsu Chemical Co., Ltd. 4. Silchem Inc. 5. Silteq Ltd 6. Amul Polymers 7. Wacker Chemie AG 8. Specialty Siliconee Products, Inc. 9. Illinois Tool Works Inc. 10. Evonik Industries AG 11. Hutchinson 12. Kemira Oyj 13. Dow Inc. 14. Nano Tech Chemical Brothers Private Limited 15. Elkem ASA 16. SilicoFAQs:
1. What is the study period of the market? Ans. The Global Silicone Market is studied from 2024-2032. 2. What is the growth rate of the Silicone Market? Ans. The Silicone Market is growing at a CAGR of 6.1 % over the forecast period. 3. What is the market size of the Silicone Market by 2032? Ans. The market size of the Silicone Market by 2032 is expected to reach USD 36.57 Bn. 4. What is the forecast period for the Silicone Market? Ans. The forecast period for the Silicone Market is 2025-2032. 5. What was the Global Silicone Market size in 2024? Ans: The Global Silicone Market size was USD 22.88 Billion in 2024.
1. Silicone Market Introduction 1.1. Study Assumption and Market Definition 1.2. Scope of the Study 1.3. Executive Summary 2. Global Silicone Market: Competitive Landscape 2.1. MMR Competition Matrix 2.2. Competitive Landscape 2.3. Market share analysis of major players 2.4. Products specific analysis 2.5. Key Players Benchmarking 2.5.1. Company Name 2.5.2. Company Location 2.5.3. Product Segment 2.5.4. End-user Segment 2.5.5. Revenue (2023) 2.5.6. Growth Rate (Y-O-Y in %) 2.5.7. Key Development 2.5.8. Market Share 2.6. Industry Ecosystem Analysis 2.7. Market Structure 2.7.1. Market Leaders 2.7.2. Market Followers 2.7.3. Emerging Players 2.8. Consolidation of the Market 2.8.1. Strategic Initiatives and Developments 2.8.2. Mergers and Acquisitions 2.8.3. Collaborations and Partnerships 2.8.4. Product Launches and Innovations 3. Silicone Market: Dynamics 3.1. Silicone Market Trends 3.2. Silicone Market Dynamics 3.2.1.1. Drivers 3.2.1.2. Restraints 3.2.1.3. Opportunities 3.2.1.4. Challenges 3.3. PORTER’s Five Forces Analysis 3.3.1. Threat of New Entrants 3.3.2. Threat of Substitutes 3.3.3. Bargaining Power of Suppliers 3.3.4. Bargaining Power of Buyers 3.3.5. Intensity of Competitive Rivalry 3.4. PESTLE Analysis 3.5. Supply Chain Analysis 3.6. Technology Analysis 3.7. Regulatory Landscape 3.7.1. Tariffs Related to the Silicone Market 3.7.2. Regulatory Bodies, Government Agencies, and other organizations 3.8. Patent Analysis 3.9. Trade Analysis 3.9.1. Import Scenario 3.9.2. Export Scenario 3.10. Pricing Analysis 3.10.1. Average Selling Price Trend by Key Players 3.10.2. Average Selling Price by Region 4. Silicone Market: Global Market Size and Forecast by Segmentation (by Value in USD Billion) (2024-2032) 4.1. Silicone Market Size and Forecast, by Type (2024-2032) 4.1.1. Fluids 4.1.2. Gels 4.1.3. Resins 4.1.4. Elastomers 4.1.5. Others 4.2. Silicone Market Size and Forecast, by End-User Industries (2024-2032) 4.2.1. Transportation 4.2.2. Construction Materials 4.2.3. Electronics 4.2.4. Healthcare 4.2.5. Industrial Processes 4.2.6. Personal Care and Consumer Products 4.2.7. Others 4.3. Silicone Market Size and Forecast, by Region (2024-2032) 4.3.1. North America 4.3.2. Europe 4.3.3. Asia Pacific 4.3.4. Middle East and Africa 4.3.5. South America 5. North America Silicone Market Size and Forecast by Segmentation (by Value in USD Billion) (2024-2032) 5.1. North America Silicone Market Size and Forecast, by Type (2024-2032) 5.1.1. Fluids 5.1.2. Gels 5.1.3. Resins 5.1.4. Elastomers 5.1.5. Others 5.2. North America Silicone Market Size and Forecast, by End-User Industries (2024-2032) 5.2.1. Transportation 5.2.2. Construction Materials 5.2.3. Electronics 5.2.4. Healthcare 5.2.5. Industrial Processes 5.2.6. Personal Care and Consumer Products 5.2.7. Others 5.3. North America Silicone Market Size and Forecast, by Country (2024-2032) 5.3.1. United States 5.3.1.1. United States Silicone Market Size and Forecast, by Type (2024-2032) 5.3.1.1.1. Fluids 5.3.1.1.2. Gels 5.3.1.1.3. Resins 5.3.1.1.4. Elastomers 5.3.1.1.5. Others 5.3.1.2. United States Silicone Market Size and Forecast, by End-User Industries (2024-2032) 5.3.1.2.1. Transportation 5.3.1.2.2. Construction Materials 5.3.1.2.3. Electronics 5.3.1.2.4. Healthcare 5.3.1.2.5. Industrial Processes 5.3.1.2.6. Personal Care and Consumer Products 5.3.1.2.7. Others 5.3.2. Canada 5.3.2.1. Canada Silicone Market Size and Forecast, by Type (2024-2032) 5.3.2.1.1. Fluids 5.3.2.1.2. Gels 5.3.2.1.3. Resins 5.3.2.1.4. Elastomers 5.3.2.1.5. Others 5.3.2.2. Canada Silicone Market Size and Forecast, by End-User Industries (2024-2032) 5.3.2.2.1. Transportation 5.3.2.2.2. Construction Materials 5.3.2.2.3. Electronics 5.3.2.2.4. Healthcare 5.3.2.2.5. Industrial Processes 5.3.2.2.6. Personal Care and Consumer Products 5.3.2.2.7. Others 5.3.3. Mexico 5.3.3.1. Mexico Silicone Market Size and Forecast, by Type (2024-2032) 5.3.3.1.1. Fluids 5.3.3.1.2. Gels 5.3.3.1.3. Resins 5.3.3.1.4. Elastomers 5.3.3.1.5. Others 5.3.3.2. Mexico Silicone Market Size and Forecast, by End-User Industries (2024-2032) 5.3.3.2.1. Transportation 5.3.3.2.2. Construction Materials 5.3.3.2.3. Electronics 5.3.3.2.4. Healthcare 5.3.3.2.5. Industrial Processes 5.3.3.2.6. Personal Care and Consumer Products 5.3.3.2.7. Others 6. Europe Silicone Market Size and Forecast by Segmentation (by Value in USD Billion) (2024-2032) 6.1. Europe Silicone Market Size and Forecast, by Type (2024-2032) 6.2. Europe Silicone Market Size and Forecast, by End-User Industries (2024-2032) 6.3. Europe Silicone Market Size and Forecast, by Country (2024-2032) 6.3.1. United Kingdom 6.3.1.1. United Kingdom Silicone Market Size and Forecast, by Type (2024-2032) 6.3.1.2. United Kingdom Silicone Market Size and Forecast, by End-User Industries (2024-2032) 6.3.2. France 6.3.2.1. France Silicone Market Size and Forecast, by Type (2024-2032) 6.3.2.2. France Silicone Market Size and Forecast, by End-User Industries (2024-2032) 6.3.3. Germany 6.3.3.1. Germany Silicone Market Size and Forecast, by Type (2024-2032) 6.3.3.2. Germany Silicone Market Size and Forecast, by End-User Industries (2024-2032) 6.3.4. Italy 6.3.4.1. Italy Silicone Market Size and Forecast, by Type (2024-2032) 6.3.4.2. Italy Silicone Market Size and Forecast, by End-User Industries (2024-2032) 6.3.5. Spain 6.3.5.1. Spain Silicone Market Size and Forecast, by Type (2024-2032) 6.3.5.2. Spain Silicone Market Size and Forecast, by End-User Industries (2024-2032) 6.3.6. Sweden 6.3.6.1. Sweden Silicone Market Size and Forecast, by Type (2024-2032) 6.3.6.2. Sweden Silicone Market Size and Forecast, by End-User Industries (2024-2032) 6.3.7. Austria 6.3.7.1. Austria Silicone Market Size and Forecast, by Type (2024-2032) 6.3.7.2. Austria Silicone Market Size and Forecast, by End-User Industries (2024-2032) 6.3.8. Rest of Europe 6.3.8.1. Rest of Europe Silicone Market Size and Forecast, by Type (2024-2032) 6.3.8.2. Rest of Europe Silicone Market Size and Forecast, by End-User Industries (2024-2032) 7. Asia Pacific Silicone Market Size and Forecast by Segmentation (by Value in USD Billion ) (2024-2032) 7.1. Asia Pacific Silicone Market Size and Forecast, by Type (2024-2032) 7.2. Asia Pacific Silicone Market Size and Forecast, by End-User Industries (2024-2032) 7.3. Asia Pacific Silicone Market Size and Forecast, by Country (2024-2032) 7.3.1. China 7.3.1.1. China Silicone Market Size and Forecast, by Type (2024-2032) 7.3.1.2. China Silicone Market Size and Forecast, by End-User Industries (2024-2032) 7.3.2. S Korea 7.3.2.1. S Korea Silicone Market Size and Forecast, by Type (2024-2032) 7.3.2.2. S Korea Silicone Market Size and Forecast, by End-User Industries (2024-2032) 7.3.3. Japan 7.3.3.1. Japan Silicone Market Size and Forecast, by Type (2024-2032) 7.3.3.2. Japan Silicone Market Size and Forecast, by End-User Industries (2024-2032) 7.3.4. India 7.3.4.1. India Silicone Market Size and Forecast, by Type (2024-2032) 7.3.4.2. India Silicone Market Size and Forecast, by End-User Industries (2024-2032) 7.3.4.3. India Silicone Market Size and Forecast, by End-User (2024-2032) 7.3.5. Australia 7.3.5.1. Australia Silicone Market Size and Forecast, by Type (2024-2032) 7.3.5.2. Australia Silicone Market Size and Forecast, by End-User Industries (2024-2032) 7.3.6. ASEAN 7.3.6.1. ASEAN Silicone Market Size and Forecast, by Type (2024-2032) 7.3.6.2. ASEAN Silicone Market Size and Forecast, by End-User Industries (2024-2032) 7.3.7. Rest of Asia Pacific 7.3.7.1. Rest of Asia Pacific Silicone Market Size and Forecast, by Type (2024-2032) 7.3.7.2. Rest of Asia Pacific Silicone Market Size and Forecast, by End-User Industries (2024-2032) 8. Middle East and Africa Silicone Market Size and Forecast by Segmentation (by Value in USD Billion) (2024-2032) 8.1. Middle East and Africa Silicone Market Size and Forecast, by Type (2024-2032) 8.2. Middle East and Africa Silicone Market Size and Forecast, by End-User Industries (2024-2032) 8.3. Middle East and Africa Silicone Market Size and Forecast, by Country (2024-2032) 8.3.1. South Africa 8.3.1.1. South Africa Silicone Market Size and Forecast, by Type (2024-2032) 8.3.1.2. South Africa Silicone Market Size and Forecast, by End-User Industries (2024-2032) 8.3.2. GCC 8.3.2.1. GCC Silicone Market Size and Forecast, by Type (2024-2032) 8.3.2.2. GCC Silicone Market Size and Forecast, by End-User Industries (2024-2032) 8.3.3. Rest of ME&A 8.3.3.1. Rest of ME&A Silicone Market Size and Forecast, by Type (2024-2032) 8.3.3.2. Rest of ME&A Silicone Market Size and Forecast, by End-User Industries (2024-2032) 9. South America Silicone Market Size and Forecast by Segmentation (by Value in USD Billion) (2024-2032 9.1. South America Silicone Market Size and Forecast, by Type (2024-2032) 9.2. South America Silicone Market Size and Forecast, by End-User Industries (2024-2032) 9.3. South America Silicone Market Size and Forecast, by Country (2024-2032) 9.3.1. Brazil 9.3.1.1. Brazil Silicone Market Size and Forecast, by Type (2024-2032) 9.3.1.2. Brazil Silicone Market Size and Forecast, by End-User Industries (2024-2032) 9.3.2. Argentina 9.3.2.1. Argentina Silicone Market Size and Forecast, by Type (2024-2032) 9.3.2.2. Argentina Silicone Market Size and Forecast, by End-User Industries (2024-2032) 9.3.3. Rest Of South America 9.3.3.1. Rest Of South America Silicone Market Size and Forecast, by Type (2024-2032) 9.3.3.2. Rest Of South America Silicone Market Size and Forecast, by End-User Industries (2024-2032) 10. Company Profile: Key Players 10.1. Elkay Chemicals 10.1.1. Company Overview 10.1.2. Business Portfolio 10.1.3. Financial Overview 10.1.4. SWOT Analysis 10.1.5. Strategic Analysis 10.1.6. Scale of Operation (small, medium, and large) 10.1.7. Details on Partnership 10.1.8. Regulatory Accreditations and Certifications Received by Them 10.1.9. Awards Received by the Firm 10.1.10. Recent Developments 10.2. Supreme Siliconees 10.3. Shin-Etsu Chemical Co., Ltd. 10.4. Silchem Inc. 10.5. Silteq Ltd 10.6. Amul Polymers 10.7. Wacker Chemie AG 10.8. Specialty Siliconee Products, Inc. 10.9. Illinois Tool Works Inc. 10.10. Evonik Industries AG 10.11. Hutchinson 10.12. Kemira Oyj 10.13. Dow Inc. 10.14. Nano Tech Chemical Brothers Private Limited 10.15. Elkem ASA 10.16. Silico 11. Key Findings & Analyst Recommendations 12. Global Silicone Market: Research Methodology 12.1. Top Down Approach 12.2. Bottom Up Approach
