CAGR: 6.32%Current Market Size: USD 30.80 billionFastest Growing Region: North America
Largest Market: APACProjection Time: 2022-2028Base Year: 2021
Global epoxy composites market is expected to reach USD 46.92 billion by 2028, at a CAGR of 6.32% from 2022 to 2028. This growth of the epoxy composites market is significantly driven by the rising use of light materials in the manufacturing automotive and construction industries. The increasing demand for such materials in several application has led to high sales in the past few years. The developing countries are the major end-users of epoxy composites owing to the expansion of the semiconductor and construction industry.
Epoxy composites are polymer materials type that involves the use of epoxy for the creation of the polymer matrix. This particular polymer matrix made from epoxy is of high strength and also lasts longer. The epoxy composites have a lower density in comparison to the metals, which results in a substantial amount of fuel savings in the automotive and aerospace industries. The epoxy composite-based materials are superior to the conventional construction materials. These epoxy composites are resistant to rotting, spalling and corrosion. The viscosity of the material can be lowered with the help of epoxy composites, owing to their lightweight. The low viscosity helps in maximizing the adhesion in between the reinforcing fiber and polymer matrix. The epoxy composites can be tailored to the exact requirements of the application.
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Market Dynamics
Drivers:
The increase in construction activities has led to the high use of epoxy composites. The developing countries have a high demand for advanced construction materials which can help in decreasing the weight of the infrastructure. Due to the expansion of urbanization and industrialization, the construction industry is keen on using materials that can help in resisting corrosion and rotting. The epoxy composites provide freedom of design and effective processing in wind energy infrastructure installments.
Sports products should be light in weight and high on strength. Thus, manufacturers have found that epoxy composites are beneficial to manufacture in golf equipment, table tennis boards, bats, hiking equipment, etc. The use of such materials helps in providing high tensile strength to the product. There are many companies that are willing to use epoxy composite in the manufacturing of various sports equipment in order to make them durable.
Restraints:
The epoxy composites market's expansion is being hampered by the variable cost of raw materials necessary for product development. The total costs are influenced by the raw material prices connected with the development of epoxy composites. The upstream price of raw materials has an impact on the production's final price. As a result, the shifting cost of raw materials has an impact on the market expansion of epoxy composites companies.
Opportunities:
Several end-user industries are opting for low-cost materials for manufacturing processes. The use of cost-effective materials leads to huge savings for the end-users. Epoxy composites are low-cost and have all the beneficial properties such as high strength, low weight, and ease of processing. The use of such cost-effective materials helps the manufacturers to deploy their processing costs elsewhere. Thus, the manufacturers present in electronics and electrical, consumer goods, sports, construction industry, are willing to source bulk amount of epoxy composites.
Challenges
The epoxy composites require extensive research and development processes in order to be launched in the market. The technology used for the manufacturing of epoxy composites is rigorous and requires the use of high-end equipment. Further, the process is also lengthy and thus this leads to delay in the commercialization of the product.
Segmentation Analysis
The global epoxy composites market has been segmented based on manufacturing technology, fiber type, application, distribution channel, and regions.
By Manufacturing Technology
The manufacturing technology segment includes compression molding, lay-up, filament winding, resin injection, resin transfer molding, pultrusion, and others. The compression molding segment led the epoxy composites market with a market share of around 29.17% in 2021. Compression molding is one of the most used technologies used for manufacturing epoxy composites. The raw material is placed inside the heated cavity. This particularly heated cavity is closed with a plug on top and then compressed by a hydraulic press. This process results in the formulation of uniform epoxy composites which can be used in multiple applications.
By Fiber Type
The fiber type segment includes carbon, glass, and others. The glass segment led the epoxy composites market with a market share of around 64.95% in 2021. The use of glass fiber provides desired ratio of strength and weight in various applications. Marine and automotive applications demand the use of glass fiber-based epoxy composites owing to their low cost. Glass fibers provide efficiency of fuel in the automotive application and hence the end-users are keen to use such material. Glass fibers are also easily available and can be processed effectively according to the requirements.
By Application
The application segment includes electronics and electrical, marine, automotive and transportation, wind energy, aerospace and defense, sporting and consumer goods, construction, and others. The automotive and transportation segment led the epoxy composites market with a market share of around 26.02% in 2021. Automotive and transportation requires the use of a lightweight and durable raw materials for the manufacturing of different components. Epoxy resin provides structural strength to the automotive components which increase their durability and thus are considered to be one of the most effective materials for automotive and transportation applications. Further, they also increase the fuel efficiency which attracts a huge number of manufacturers to use them in manufacturing.
By Distribution Channel
The end-user segment includes online and offline. The offline segment led the epoxy composites market with a market share of around 78.43% in 2021. Epoxy composites are majorly used by the end-users of construction, marine, electric and electronics, aerospace, and automotive industries. Thus, the end-users usually buy the product in bulk quantity, as it is used in the manufacturing of various equipment and component. Manufacturers would prefer to check the quality in accordance with their requirements.
By Regional Analysis:
The regions analyzed for the epoxy composites market include North America, Europe, South America, Asia Pacific, and the Middle East, and Africa. The Asia-Pacific region dominated the epoxy composites market and held the 36.82% share of the market revenue in 2021.
Key Industry Players Analysis
To increase their market position in the global epoxy composites business, top companies are focusing on tactics such as adopting new technology, mergers & acquisitions, product developments, collaborations, and partnerships, joint ventures, etc.
Latest Development
In July 2019, a known global manufacturer, Aditya Birla Chemicals India Ltd., had announced the acquisition of a Recyclamine technology, of the Connora Technologies Inc. The recyclamine technology is a zero-waste manufacturing and easy recyclability, for the epoxy composite manufacturers.
In October 2021, Retrac Group has introduced various sustainable types of epoxy composites. The objective of this new line of composites is to provide the customer with more choices coupled with effective performance products along with better sustainability.
In September 2021, Norplex had announced Norplex Advanced Composites, which is a cost-effective solution for high and mid-volume applications. The product portfolio of Norplex Advanced Composites includes unidirectional and fabric glass epoxy resins. The newly launched product portfolio is suitable for different applications such as medical, aerospace, transportation, renewable energy goods, etc.
Report Metrics
Report Attribute |
Details |
Study Period |
2018-2028 |
Base Year |
2021 |
Projection Period |
2022-2028 |
Market Share Unit |
USD Billion |
Segments Covered |
Manufacturing Technology, Fiber Type, Application and Distribution Channel |
Regions Covered |
North America, Europe, Asia-Pacific, South America and Middle-East and Africa |
Major Players |
Toray Industries, Gurit Holdings AG, Park Electrochemical Corporation, Teijin Limited, Cytec Solvay Group, Hexcel Corporation, Huntsman Corp. LLC, SGL Carbon, Arkema, Avient Corp., Olin Corp., Axiom Materials Inc., Koninklijke Ten Cate NV., Mitsubishi Rayon Co. Ltd., Rotec Composite Group B.V., Gordon Composites, Inc. |
Scope of the Report
Global Epoxy Composites Market by Manufacturing Technology:
Global Epoxy Composites Market by Fiber Type:
Global Epoxy Composites Market by Application:
Global Epoxy Composites Market by Distribution Channel:
Global Epoxy Composites Market by Region:
Global epoxy composites market is expected to reach USD 46.92 billion by 2028, at a CAGR of 6.32% from 2022 to 2028.
The regions analyzed for the epoxy composites market include North America, Europe, South America, Asia Pacific, and the Middle East and Africa.
The global epoxy composites market has been segmented based on manufacturing technology, fiber type, application, distribution channel, and regions.
Leading market players active in the global epoxy composites market are Toray Industries, Gurit Holdings AG, Park Electrochemical Corporation, Teijin Limited, Cytec Solvay Group, Hexcel Corporation, Huntsman Corp. LLC, SGL Carbon, Arkema, Avient Corp., Olin Corp., Axiom Materials Inc., Koninklijke Ten Cate NV., Mitsubishi Rayon Co. Ltd., Rotec Composite Group B.V., Gordon Composites, Inc. among others.
Rising demand for use of high strength, low weight, and durable products, in the manufacturing of construction, automobile, and aerospace components, is primarily driving the growth of the epoxy composites market.
The pandemic has significantly affected several industries and has caused a worldwide economic slowdown. Many regions imposed various lockdowns during the fiscal year 2020. These lockdowns led to the closure of the regional industries and all types of manufacturing facilities, which has led to a shortage of supply in the market. Additionally, all the end-users industries were temporarily closed during this period, which in turn has decreased the sales for epoxy composites.
Manufacturers in the epoxy composites market are using advanced production technologies to incorporate better results and performance of the whole process. In addition, the rising number of investments will contribute to demand for epoxy composites.
Based on the sales revenue, product offering, and regional presence, the companies are selected.
Political- Stringent environment regulations have led to an increase in R&D activities and the development of eco-friendly products, which is also expected to boost market growth in the years to come. Several regions also witnessed significant growth, owing to the growing demand for epoxy composites for lightweight materials, primarily in fuel-efficient automotive designs, due to the implementation of strict environmental regulations in the country.
Economic- The epoxy composites market's expansion is being hampered by the variable cost of raw materials necessary for product development. The total costs are influenced by the raw material prices connected with the development of epoxy composites. The upstream price of raw materials has an impact on the production's final price. As a result, the shifting cost of raw materials has an impact on the market expansion of epoxy composites companies.
Social- The increasing production of automobiles and electric and electronic products has led to a rise in demand for epoxy composites. The countries such as China, India, Japan, Malaysia, and Singapore are the major end-users of epoxy composites. The increasing industrialization and urbanization, is providing lucrative opportunities to the market growth of epoxy composites. Further, the presence of multiple manufacturers in the regional countries have increased the supply of product. The increasing use of private jets, helicopters, etc., and the rise in the number of air passengers has led to the high demand of epoxy composites Moreover, USA and Canada are some of the key countries for the epoxy composites market in North America region. Further, the rising defense spending is fueling up the market growth.
Technological-The epoxy composites require extensive research and development processes in order to be launched in the market. The technology used for the manufacturing of epoxy composites is rigorous and requires the use of high-end equipment. Further, the process is also lengthy and thus this leads to delay in the commercialization of the product.
Environmental- Governments in countries of regions such as Asia-Pacific, Europe, and North America have imposed stringent environmental regulations to reduce greenhouse gas emissions. This has led to the shift towards renewable energy for energy generation. Wind energy capacity installation is increasing at a rapid pace in these regions to reduce carbon emissions. Manufacturers of wind turbines prefer lightweight materials such as epoxy composite for the production of wind turbine parts such as turbine blades, nacelles, and hubs.
Legal- In July 2019, a known global manufacturer, Aditya Birla Chemicals India Ltd., had announced the acquisition of a Recyclamine technology, of Connora Technologies Inc. The recyclamine technology is a zero-waste manufacturing and easy recyclability, for the epoxy composite manufacturers. In September 2021, Norplex had announced Norplex Advanced Composites, which is a cost-effective solution for high and mid-volume applications. The product portfolio of Norplex Advanced Composites includes unidirectional and fabric glass epoxy resins. The newly launched product portfolio is suitable for different applications such as medical, aerospace, transportation, renewable energy goods, etc.
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