Global Silicone Market: Industry Analysis and Forecast (2021-2027) by Type, End-use Industry, and Region

By 2027, the Global Silicone Market is expected to reach US $25.41 billion, thanks to growth in the industrial processes segment. The report analyzes silicone market dynamics by region and end-user industries.

Global Silicone Market Overview:

The global silicone market was valued at US $15.59 billion in 2020, and it is expected to reach US $25.41 billion by 2027 with a CAGR of 7.23% during the forecast period. A silicone, often known as polysiloxane, is a polymer composed of siloxane. Colorless oils or rubber-like compounds are the most common. Sealants, adhesives, lubricants, medications, culinary utensils, and thermal and electrical insulation all use silicones. Silicone oil, silicone grease, silicone rubber, silicone resin, and silicone caulk are some of the most prevalent types. Silicone shows vital properties like low chemical reactivity, low toxicity, thermal stability, water repellent, anti-microbial, and many others. To know about the Research Methodology :- Request Free Sample Report The report has covered the market trends from 2016 to forecast the market through 2027. 2020 is considered a base year however 2020's numbers are on the real output of the companies in the market. Special attention is given to 2020 and the effect of lockdown on the demand and supply, and also the impact of lockdown for the next two years on the market. Some companies have done well in lockdown also and specific strategic analysis of those companies is done in the report.

Global Silicone Market Dynamics:

Versatile and excellent properties of Silicone:

Silicones are one of the most versatile materials, with applications in a variety of industries. They feature distinctive properties such as durability, Di-electricity, adhesion, foam control, discharge safety, UV stability, glossiness, transparency, radiation resistance, hydrophobicity, heat resistance, and flexibility, allowing them to be employed in a variety of ways. This long-lasting, high-resistance material is best used at temperatures above 100°C (the limit of most other rubbers). Global Silicone Market Silicone rubber is non-toxic and widely consumed in the food industry. Silicone's exceptional qualities make it ideal for seals and gaskets that must be steamed or sterilized. It is also used in the electrical and electronics industries because of its high electrical resistance.

Global Silicone Shortage 2021:

Following are the key reasons that led to the global silicone shortage:

Demand: Demand for all types of silicone products is substantially higher than it was a year ago. As the world's economy opened up, demand began to rise in the fourth quarter of 2020. Even when the world was hit by the second and third waves of Covid, economies did not collapse as they did in the first and second quarters of 2020. Demand is currently the same or slightly higher as it was previous to the outbreak. Supply: Most raw material suppliers observed orders/demand drop by 15% to 40% in the first and second quarters of 2020. Because no one knew how long the pandemic would continue, businesses decreased their stocks to extremely low levels to save money. Turning on production once demand began to rise was not a simple task. Manpower: In the first and second quarters, employees were detained or laid off. Companies were unable to obtain the workforce required to make the product to fulfill demand as demand increased. The quarantine protocols used by Covid-19 have a considerable impact on the labor force. Over a 2-to-4-month period, many organizations reported that up to 5% to 10% of their employees were in obligatory quarantine. In addition, increased government unemployment benefits made returning to work less appealing. Logistics: Due to a lack of demand, many containers and cargo ships were pulled from the supply chain, and logistics companies had the same manpower/supply challenges as manufacturers, preventing them from returning these assets to service quickly enough. Because there were not enough longshoremen to offload containers once they arrived at the port, the ports were impacted by manpower shortages. Pricing: Pricing pressure is an undesirable consequence. This is true not only of silicones but of nearly every product/commodity manufactured, including food. Silicone companies have all announced price hikes ranging from 5% to 25%, with more increases expected later in 2021.

Automobile manufacturers are putting a greater emphasis on light-weighting:

Automotive OEMs' increased attention on light-weighting has opened up new potential for silicone. Silicone is a key component used to improve the performance of plastic, and the average plastic content of a car has increased significantly over the years. Also, as automotive components become smaller, there is a greater demand for silicone products in under-the-hood applications. The silicone market has a bright future ahead of it, thanks to rising silicone consumption per vehicle and a rapid rise in vehicle production. Despite their modest demand share, rising demand for renewable energy, notably solar and wind, is another key influencing driver for silicone.

Silicone is subject to stringent regulatory restrictions:

The majority of silicone products are unrestricted. However, in some countries, the usage of a few silicone products, particularly in the personal care and consumer goods and medical and healthcare industries, is restricted by regulatory agencies. For example, the UK Competent Authorities and the European Chemicals Agency (ECHA) have placed restrictions on the use of two silicone compounds used in personal care, cyclosilicates D4 and D5. In personal care products, these chemicals are likely to be limited to a concentration of 0.1% by weight. Their consumption is also limited in Canada and the United States, in addition to the United Kingdom. Silicones are only regarded medical-grade in the medical and healthcare industry if they are U.S. Pharmacopeial Convention (USP) Class V and VI approved. Before being commercialized, all medical-grade silicones must be approved by regulatory organizations. The Restriction of Hazardous Substances (RoHS), the Dodd-Frank Act, and the US government's International Traffic in Arms Restrictions are just a few of the regulations that companies must follow while producing silicone rubber for the medical industry in the United States (ITAR). All of these laws, as well as the approval process for them, take time, which limits the growth of the silicones market in these industries.

Anti-microbial silicone elastomer’s development:

Biocompatibility tests have been performed on medical-grade silicone elastomers, making them appropriate for use in the healthcare business. Silicone elastomers consumed in medical applications have a low risk of unfavorable biological reactions thanks to their low toxicity and have consequently found acceptance in food and medical applications. However, bacteria and other microbes can alter the characteristics of silicone elastomers. Biocides are used to combat these germs and inhibit the growth of hazardous bacteria, which could lead to contamination or infection transmission in people. Despite all of the precautions taken, the rate of hospital-acquired infections (HAIs) is rising over the world, demanding the development of stronger preventative approaches and technologies to minimize infection rates. Because of shifting health insurance rules in the United States, hospitals are forced to cover the costs of treating HAIs. As a result, medical device makers are looking for better solutions to assist minimize the growth of microbes on their products. Antimicrobials or biocides, as well as other additives, are used for this purpose. Antimicrobial silicone elastomers are used to improve the performance of final goods by decreasing elastomer microbial contamination. In several medical device applications, such as wound drains and catheters, microbial proliferation can impair the final products, causing bad odors, discoloration, and the formation of fungus. The growth of germs in or on the human body is controlled by antimicrobial silicone elastomer. As a result, the development of these elastomers is expected to present the market with lucrative growth prospects over the forecast period.

Volatile prices of the raw materials:

The constant fluctuation of raw material and energy prices is a major problem in the worldwide market. The steep rise in raw material prices, such as methyl chloride and silicon metal, from 2016 to 2018 has reduced silicone companies' profit margins indirectly. As a result, the price of silicone products as a whole rise. The global market is likely to be negatively impacted by growing raw material costs. Silicone producers are constantly faced with high and variable feedstock costs, which they are expected to pass on to end-users. For example, in March 2021, Wacker and Elkem, two key competitors in the silicone market, recently raised the prices of their silicone products to compensate for rising raw material and energy costs. As a result, fluctuating raw material and energy prices have become a key concern for silicone manufacturers.

Global Silicone Market Segment Analysis:

Based on Type, the global silicone market is segmented as follows, Elastomers, Resins, Fluids, Gels, and Others. In 2020, the elastomers segment was dominant and held more than xx% of the overall market share in terms of revenue. The rising consumption in various items, such as voltage line insulators, cooking, baking, and food storage products; undergarments, sportswear, and footwear; electronics; medical devices and implants; and home gaskets and O-rings, is attributable to the expansion of this segment. Silicone elastomers are also consumed in the production of sealants. Because of their physiological inertness, they are appropriate for application in the healthcare business, particularly in blood transfusions, artificial heart valves, and other prosthetic devices. Global Silicone Market Based on End-use Industry, the global silicone market is segmented as follows, Building & Construction, Transportation, Personal Care & Consumer Products, Medical & Healthcare, Electronics, Energy, Industrial Processes, and Others (Agriculture, Textile, Packaging, Aquaculture, and Sports Equipment). In 2020, the medical & healthcare segment was dominant and held more than xx% of the overall market share in terms of revenue. During the forecast period, the industrial process segment is expected to have the biggest market share. Silicone materials are in high demand in applications such as lubricants, anti-foaming agents in offshore drilling, paper manufacture, industrial coatings, and paint additives, and the market is continually expanding. Silicone-based sealants are consumed in high-pressure, high-temperature, and high-corrosion industrial operations that require adaptability to a variety of surfaces. They are not only used as polymers but they can also be used to improve the performance of polymers made from other materials.

Global Silicone Market Regional Insights:

In 2020, Asia Pacific led the silicone market with a market share of more than xx%, followed by North America and Europe. The constantly rising demand for silicone from end-use sectors, particularly electronics, building & construction, personal care & consumer items, and transportation, is driving market expansion in this area. Also, several silicone manufacturers, including Wacker Chemie AG and Shin-Etsu Chemical Co. Ltd., are establishing or expanding manufacturing facilities in this region to take advantage of low manufacturing and labor costs as well as high demand from end-use industries, driving the region's silicone market growth. Global Silicone Market The North American market is experiencing a resurgence in economic activity, as well as a major increase in output. The market is expected to increase at a moderate rate of xx% because most end-user applications, such as automotive, construction, and industrial operations, are linked to an economy's economic well-being and growth. Because of the region's poor economic growth, the Western European market is likely to grow at a slower rate of xx% than the North American market over the forecast period. However, the European market is expected to outperform the North American market in terms of absolute demand growth. The objective of the report is to present a comprehensive analysis of the global market to the stakeholders in the industry. The past and current status of the industry with the forecasted market size and trends are presented in the report with the analysis of complicated data in simple language. The report covers all the aspects of the industry with a dedicated study of key players that include market leaders, followers, and new entrants. PORTER, PESTEL analysis with the potential impact of micro-economic factors of the market have been presented in the report. External as well as internal factors that are supposed to affect the business positively or negatively have been analyzed, which will give a clear futuristic view of the industry to the decision-makers. The report also helps in understanding the global market dynamics, structure by analyzing the market segments and projecting the global market size. Clear representation of competitive analysis of key players by product, price, financial position, product portfolio, growth strategies, and regional presence in the global market makes the report investor's guide.

Global Silicone Market Scope: Inquire before buying

Global Silicone Market
Report Coverage Details
Base Year: 2020 Forecast Period: 2021-2027
Historical Data: 2016 to 2020 Market Size in 2020: US $ 15.59 Bn.
Forecast Period 2021 to 2027 CAGR: 7.23% Market Size in 2027: US $ 25.41 Bn.
Segments Covered: by Type • Elastomers • Fluids • Resins • Gels • Others
by End-use Industry • Industrial Process • Building & Construction • Personal Care & Consumer Products • Transportation • Electrical & Electronics • Medical & Healthcare • Energy • Others

Global Silicone Market, by Region

• North America • Europe • Asia Pacific • The Middle East and Africa • South America

Global Silicone Market Key Players

The Dow Chemical Company • Wacker Chemie AG • Shin-Etsu Chemical Co. Ltd. • Momentive Performance Materials Inc. • Elkem ASA • Allergan Inc. • 3M • Gelest Incorp. • Berkshire Hathaway Inc. • Sun Edison • Nitol Solar • Siltronic AG • SUMCO Corp. • Okmetic OY • SK Siltron Inc. • Others

Frequently Asked Questions:

1. What is the forecast period considered for the Silicone market report? Ans. The forecast period for the silicone market is 2021-2027. 2. Which key factors are hindering the growth of the Silicone market? Ans. The volatile price of the raw material is the only key factor expected to hinder the growth of the market during the forecast period. 3. What is the compound annual growth rate (CAGR) of the Silicone market for the next 6 years? Ans. The global silicone market is expected to grow at a CAGR of 7.23% during the forecast period (2021-2027). 4. What are the key factors driving the growth of the Silicone market? Ans. The versatile and unique properties of silicone and its consumption in various end-user industries are the key factors expected to drive the growth of the market during the forecast period. 5. Which are the worldwide major key players covered for the Silicone market report? Ans. The Dow Chemical Company, Wacker Chemie AG, Shin-Etsu Chemical Co. Ltd., Momentive Performance Materials Inc., Elkem ASA, Allergan Inc., 3M, Gelest Incorp., Berkshire Hathaway Inc., Sun Edison, Nitol Solar, Siltronic AG, SUMCO Corp., Okmetic OY, SK Siltron Inc., and Others.
1. Global Silicone Market: Research Methodology 2. Global Silicone Market: Executive Summary 2.1. Market Overview and Definitions 2.1.1. Introduction to Global Silicone Market 2.2. Summary 2.2.1. Key Findings 2.2.2. Recommendations for Investors 2.2.3. Recommendations for Market Leaders 2.2.4. Recommendations for New Market Entry 3. Global Silicone Market: Competitive Analysis 3.1. MMR Competition Matrix 3.1.1. Market Structure by region 3.1.2. Competitive Benchmarking of Key Players 3.2. Consolidation in the Market 3.2.1. M&A by region 3.3. Key Developments by Companies 3.4. Market Drivers 3.5. Market Restraints 3.6. Market Opportunities 3.7. Market Challenges 3.8. Market Dynamics 3.8.1. PORTERS Five Forces Analysis 3.8.2. PESTLE 3.8.3. Regulatory Landscape by region 3.8.3.1. North America 3.8.3.2. Europe 3.8.3.3. Asia Pacific 3.8.3.4. The Middle East and Africa 3.8.3.5. Latin America 3.8.4. COVID-19 Impact 4. Global Silicone Market (Value) by region: 4.1. Global Silicone Market, by Type 4.1.1. Elastomers 4.1.2. Resins 4.1.3. Fluids 4.1.4. Gels 4.1.5. Others 4.2. North America Silicone Market 4.2.1. North American Silicone Market, by Type 4.2.1.1. Elastomers 4.2.1.2. Resins 4.2.1.3. Fluids 4.2.1.4. Gels 4.2.1.5. Others 4.2.2. United States 4.2.3. Canada 4.2.4. Mexico 4.3. European Silicone Market 4.3.1. European Silicone Market, by Type 4.3.1.1. Elastomers 4.3.1.2. Resins 4.3.1.3. Fluids 4.3.1.4. Gels 4.3.1.5. Others 4.3.2. UK 4.3.3. France 4.3.4. Germany 4.3.5. Italy 4.3.6. Spain 4.3.7. Sweden 4.3.8. Austria 4.3.9. Rest Of Europe 4.4. Asia Pacific Silicone Market 4.4.1. Asia Pacific Silicone Market, by Type 4.4.1.1. Elastomers 4.4.1.2. Resins 4.4.1.3. Fluids 4.4.1.4. Gels 4.4.1.5. Others 4.4.2. China 4.4.3. India 4.4.4. Japan 4.4.5. South Korea 4.4.6. Australia 4.4.7. ASEAN 4.4.8. Rest Of APAC 4.5. The Middle East and Africa Silicone Market 4.5.1. The Middle East and Africa Silicone Market, by Type 4.5.1.1. Elastomers 4.5.1.2. Resins 4.5.1.3. Fluids 4.5.1.4. Gels 4.5.1.5. Others 4.5.2. South Africa 4.5.3. GCC 4.5.4. Egypt 4.5.5. Nigeria 4.5.6. Rest Of ME&A 4.6. Latin America Silicone Market 4.6.1. Latin America Silicone Market, by Type 4.6.1.1. Elastomers 4.6.1.2. Resins 4.6.1.3. Fluids 4.6.1.4. Gels 4.6.1.5. Others 4.6.2. Brazil 4.6.3. Argentina 4.6.4. Rest Of Latin America 4.7. Global Silicone Market, by End-use Industry 4.7.1. Building & Construction 4.7.2. Transportation 4.7.3. Personal Care & Consumer Products 4.7.4. Medical & Healthcare 4.7.5. Electronics 4.7.6. Energy 4.7.7. Industrial Processes 4.7.8. Others 4.7.8.1. Agriculture 4.7.8.2. Textile 4.7.8.3. Packaging 4.7.8.4. Aquaculture 4.7.8.5. Sport Equipment 4.8. North America Silicone Market 4.8.1. North American Silicone Market, by End-use Industry 4.8.1.1. Building & Construction 4.8.1.2. Transportation 4.8.1.3. Personal Care & Consumer Products 4.8.1.4. Medical & Healthcare 4.8.1.5. Electronics 4.8.1.6. Energy 4.8.1.7. Industrial Processes 4.8.1.8. Others 4.8.1.8.1. Agriculture 4.8.1.8.2. Textile 4.8.1.8.3. Packaging 4.8.1.8.4. Aquaculture 4.8.1.8.5. Sport Equipment 4.8.2. United States 4.8.3. Canada 4.8.4. Mexico 4.9. European Silicone Market 4.9.1. European Silicone Market, by End-use Industry 4.9.1.1. Building & Construction 4.9.1.2. Transportation 4.9.1.3. Personal Care & Consumer Products 4.9.1.4. Medical & Healthcare 4.9.1.5. Electronics 4.9.1.6. Energy 4.9.1.7. Industrial Processes 4.9.1.8. Others 4.9.1.8.1. Agriculture 4.9.1.8.2. Textile 4.9.1.8.3. Packaging 4.9.1.8.4. Aquaculture 4.9.1.8.5. Sport Equipment 4.9.2. UK 4.9.3. France 4.9.4. Germany 4.9.5. Italy 4.9.6. Spain 4.9.7. Sweden 4.9.8. Austria 4.9.9. Rest Of Europe 4.10. Asia Pacific Silicone Market 4.10.1. Asia Pacific Silicone Market, by End-use Industry 4.10.1.1. Building & Construction 4.10.1.2. Transportation 4.10.1.3. Personal Care & Consumer Products 4.10.1.4. Medical & Healthcare 4.10.1.5. Electronics 4.10.1.6. Energy 4.10.1.7. Industrial Processes 4.10.1.8. Others 4.10.1.8.1. Agriculture 4.10.1.8.2. Textile 4.10.1.8.3. Packaging 4.10.1.8.4. Aquaculture 4.10.1.8.5. Sport Equipment 4.10.2. China 4.10.3. India 4.10.4. Japan 4.10.5. South Korea 4.10.6. Australia 4.10.7. ASEAN 4.10.8. Rest Of APAC 4.11. The Middle East and Africa Silicone Market 4.11.1. The Middle East and Africa Silicone Market, by End-use Industry 4.11.1.1. Building & Construction 4.11.1.2. Transportation 4.11.1.3. Personal Care & Consumer Products 4.11.1.4. Medical & Healthcare 4.11.1.5. Electronics 4.11.1.6. Energy 4.11.1.7. Industrial Processes 4.11.1.8. Others 4.11.1.8.1. Agriculture 4.11.1.8.2. Textile 4.11.1.8.3. Packaging 4.11.1.8.4. Aquaculture 4.11.1.8.5. Sport Equipment 4.11.2. South Africa 4.11.3. GCC 4.11.4. Egypt 4.11.5. Nigeria 4.11.6. Rest Of ME&A 4.12. Latin America Silicone Market 4.12.1. Latin America Silicone Market, by End-use Industry 4.12.1.1. Building & Construction 4.12.1.2. Transportation 4.12.1.3. Personal Care & Consumer Products 4.12.1.4. Medical & Healthcare 4.12.1.5. Electronics 4.12.1.6. Energy 4.12.1.7. Industrial Processes 4.12.1.8. Others 4.12.1.8.1. Agriculture 4.12.1.8.2. Textile 4.12.1.8.3. Packaging 4.12.1.8.4. Aquaculture 4.12.1.8.5. Sport Equipment 4.12.2. Brazil 4.12.3. Argentina 4.12.4. Rest Of Latin America 4.13. Company Profile: Key Players 4.13.1. The Dow Chemical Company 4.13.1.1. Company Overview 4.13.1.2. Financial Overview 4.13.1.3. Global Presence 4.13.1.4. Type Portfolio 4.13.1.5. Business Strategy 4.13.1.6. Recent Developments 4.13.2. Wacker Chemie AG 4.13.3. Shin-Etsu Chemical Co. Ltd. 4.13.4. Momentive Performance Materials Inc. 4.13.5. Elkem ASA 4.13.6. Allergan Inc. 4.13.7. 3M 4.13.8. Gelest Incorp. 4.13.9. Berkshire Hathaway Inc. 4.13.10. Sun Edison 4.13.11. Nitol Solar 4.13.12. Siltronic AG 4.13.13. SUMCO Corp. 4.13.14. Okmetic OY 4.13.15. SK Siltron Inc. 4.13.16. Others

About This Report

Report ID 73842
Category Material & Chemical
Published Date Oct 2020
Updated Date Oct 2021
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