Chloroprene Rubber Market Size, Share & Trends Analysis Report By Application (Textile, Automotive, Electrical & Electronics, Construction), By Region (North America, Europe, APAC, SA, MEA), And Forecasts, 2021 - 2028

Report Overview

The global chloroprene rubber market size was valued at USD 985.17 million in 2020 and is expected to expand at a compound annual growth rate (CAGR) of 4.6% from 2021 to 2028. The growth of this market is directly proportional to the growth of the automotive and construction industries. The increased usage of chloroprene rubber pads in reinforced concrete structures in the construction sector is expected to boost the market growth over the forecast period. The use of optical fiber cables in the telecommunication industry is expected to drive the market for cable jackets. Due to its various characteristics, including low weight, dielectric capability, high-temperature resistance, and high impact quality, the electrical & electronic industry has an increasing demand for chloroprene rubber.

Moreover, the COVID-19 pandemic drove a shift to remote working and increased voice traffic and high residential broadband & mobile data usage. The telecom industry responded favorably to this challenge with several operational improvements to ensure the user experience stayed positive. The rapid development of various end-use industries, such as automotive, construction, electrical & electronics, and textile, in Asia Pacific, Europe, North America, and the Middle East is expected to propel the product demand. The growing middle-class population and the availability of low-cost labor and other resources supplement the growth of the automotive manufacturing industry in the Asia Pacific region, which is expected to contribute significantly to the market growth.

Chloroprene rubber exhibits superior properties, such as flexibility and chemical stability, over a broad range of temperatures, contributing to its widespread usage in various applications, including as a raw material in modifying adhesives. In the post-forming and high-pressure laminate industry, they are used to construct building panels, where wood, plastic sheets, and metal are laminated to form a composite panel using a chloroprene adhesive formulation.

Application Insights

The automotive application segment dominated the market in 2020 and accounted for more than 35% of the overall revenue share. Chloroprene rubber exhibits toughness and excellent resistance to abrasion, chemicals, fuels, and flame, which make it suitable to manufacture tire sidewalls, O rings, fan belts, and automotive trims. The increasing demand for Electric Vehicles (EVs) and the rising disposable income levels are anticipated to fuel the product demand during the forecast period.

The product is also widely used in the healthcare sector due to its good tensile strength and resistance to chemicals, which is expected to stimulate the demand for medical glove production. Also, increasing awareness about contagious diseases coupled with a rise in medical diagnostics facilities is anticipated to drive the product demand in the medical sector.

Rapid urbanization has resulted in the emergence of new trends in the clothing sector. This is expected to drive the market for textiles. The evenly distributed gas bubbles provide the thermal insulation property in chloroprene rubber. The property makes it suitable to be used in winter clothing. Moreover, it exhibits good water resistance and is thus used to manufacture wet suits for swimming, surfing, and diving activities. Also, the Tokyo Olympics 2020 created a drive for water-based sporting activities, which is anticipated to boost market growth.

Regional Insights

Asia Pacific was the dominant regional market in 2020 and accounted for more than 50.0% of the overall market revenue. It is also estimated to register the fastest CAGR over the forecast period. China and India are the leading economies in the manufacturing sector in the Asia Pacific region, which is expected to propel the product demand in the automotive, construction, electrical & electronics, textile, and other industries. Chloroprene is used as an insulating material in the electrical and electronics sector. The growing electronics sector in South Korea, Taiwan, and China is expected to drive the market in the Asia Pacific. The rapidly growing medical sector in India will also boost the regional market growth.

Chloroprene rubber exhibits good chemical resistance and excellent tensile strength and is highly durable, which drive its demand in medical application. The rise in hospitalization cases due to the COVID-19 outbreak is expected to drive the demand for PPE kits globally. India is the second-largest manufacturer of PPE in the world. The market in North America is expected to be driven by the rapid digitalization and Artificial Programming Interface (API) expansion in the region. This is expected to drive the product demand in the manufacturing of cable jackets for telecommunication applications.

Key Companies & Market Share Insights

Leading market players compete based on their product development capabilities and new technologies used in product formulations. Established manufacturers are implementing different strategic initiatives to enter into the elastomer manufacturing business. For instance, in February 2020, Armenian Economic Minister Tigran Khachatryan announced the Armenian government’s interest in investment offers on the Nairit Chemical Plant and reviving the chloroprene rubber production. Some of the prominent players operating in the global chloroprene rubber market are:

• Tosoh Corp.

• Denka Company Ltd.

• ARLANXEO

• Sedo Chemicals Neoprene GmbH

• QingDao Nova Rubber

 Chloroprene Rubber Market Report Scope

Segments Covered in the Report

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2017 to 2028. For the purpose of this study, Grand View Research has segmented the global chloroprene rubber market report on the basis of application and region:

• Application Outlook (Volume, Kilotons; Revenue, USD Million, 2017 - 2028)

  • Automotive

  • Electrical & Electronics

  • Construction

  • Textile

  • Others

• Region Outlook (Volume, Kilotons; Revenue, USD Million, 2017 - 2028)

  • North America

    • U.S.

  • Europe

    • Germany

  • Asia Pacific

    • China

    • India

    • Japan

  • Central & South America

  • Middle East & Africa