Thermoset Molding Compounds Market report, published by Allied Market Research, forecasts that the global market is expected to garner $12,298 million by 2022, registering a CAGR of 6.2% during the period. Unsaturated polyester resin is the largest segment by type and is expected to grow at a CAGR of 6.1% during the forecast period.
The thermoset molding compound market is in its growth stage due to need for weight reduction & safety in transportation and aerospace and increase in demand for thermally stable and corrosion resistant composites. It is emerged as a cost-effective substitute material for the heavy metal in different applications.
Factors that drive the growth of the global thermoset molding compound market are need for safety in transportation & aerospace industry, economically viable option than heavy metals, rise in need for thermally stable & corrosion resistant components, and ease in production of complex shape parts. Economic development in the emerging economies of regions such as Asia-Pacific and LAMEA are expected to provide significant growth opportunities to the industry players. However, factors such as volatility in crude oil prices and stringent regulation associated with thermoset resin may hamper the market growth during the forecast period.
In 2015, polyester resin was the leading segment, with almost one-third market share in terms of revenue, followed by phenolic, urea formaldehyde, and epoxy resin. Polyester resin molding compounds offer remarkable flexibility and it is used for diverse application needs from automotive body panel to a rugged underground utility box. It offers excellent resistance to broad range of chemicals at room temperature such as aliphatic hydrocarbons, gasoline, alcohols, glycols, and ethers. These resins are advantageous for the applications where high mechanical properties, corrosion resistance, and low weight are the foremost important factors. Further, its applications in airplanes, trucks, buses, as structural part in building, sanitary ware market, and cladding panels, roofing tiles, and pipes drives the growth of the market.
Electrical & electronics end-user segment generated the highest revenue in 2015, with almost half of the total market share, followed by automotive segment. Thermosetting molding compounds are used to encapsulate different types of electronic packages such as capacitors, transistors, central processing units (CPUs), memory devices, and others. Along with this, molding compound are also employed in different electrical appliances & circuits owing to its distinct properties, such as rigidity, toughness, resistance to several environmental factors, low cost, stability, and flame resistance.
Key Findings of the Thermoset Molding Compounds Market
In 2015, Asia-Pacific dominated the global market with around half of the share in overall market in terms of revenue.
Automotive is the fastest developing end-user industry growing at a highest CAGR of 6.9% in terms of revenue, from 2016 to 2022.
Polyester is the leading segment comprise of one-third share of the total market revenue in 2015.
In 2015, phenolic resin holds the largest market in terms of volume in the global market.
Melamine formaldehyde segment is expected to grow at a lucrative rate of 7.3% during the forecast period
In 2015, Asia-Pacific is the leading region owing to the increase in disposable income, rapid growth in urbanization, and rise in need for weight reduction in automotive components. Further, LAMEA is projected to be the fastest growing region, with a CAGR of 6.8% followed by Europe with 6.4% owing to the rapid industrialization and increase in demand from electrical & electronics industries.
The major companies profiled in the report include Ashland Global Holding Inc., BASF SE, Eastman Chemical Company, Evonik Industries AG, Hexion Inc., Huntsman Corporation, Kolon Industries Inc., Kyocera Chemical Corporation, Plastics Engineering Company (Plenco), Rogers Corporation.