World Demand for Silicones Rising, New Study Shows
According to studies from the Freedonia Group, Inc, the world demand for silicones is likely to rise 5.7 per cent per year up to $19.3 billion by 2019.
Silicone prices have seen a better outlook in recent years and the demand for the product in developing regions is rising due to economic advancement and an increase in penetration within the market.
The Freedonia Group, Inc., report indicates that the Asia and Pacific region will be a strong source of demand for silicones, mostly attributable to China.
“Although China’s silicone market will not maintain the extremely rapid pace of gains seen in recent years, growth will still continue to be well in excess of the global average,” said analyst Elliott Woo.
Other increases in demand include electrical and electronic products in the Asia and Pacific region, and construction activity in the US market. In Western Europe, Freedonia predicts a slow advance, with a demand for silicones in the health and personal care industry.
Urbanization and development in Africa and the Mideast will lead to a higher demand in that region, and in Central and South America, Freedonia expects a demand near the world average owing to motor vehicle production. In Eastern Europe, export based manufacturing activity will keep a demand steady, although slower than in some regions.
Regardless of where you are located, it is obvious that the demand for silicones is widespread around the world. All of this demand likely parallels demand for other industry products like barrier coatings, contrast enhancement materials, optical isolators, and more. Whether you are working with low gas permeability silicones or 2D and 3D packaging and temporary bonding material, various applications such as health care, commercial products, computing, and auto manufacturing will require various materials from the semiconductor industry, along with the growing demand for silicones.
If the Freedonia predictions are correct, silicones will be a very lucrative market in coming years, with no signs of slowing down. If your company or industry relies on silicones and other technical products relating to silicones, you may be facing more competition for the products you need in coming years.
Prepare yourself by setting up a great relationship with a supplier now, so that when the demand increases, you will not find yourself wondering how to get your hands on silicones and other products you require for your own success.