Polyaryletherketone (PAEK) Market Size, Share & Trends Analysis Report By Type (PEK, PEEK, PEKK), By Application (Automotive, Aerospace, Electricals & Electronics), By Region, And Segment Forecasts, 2020 - 2026

Industry Insights

The global polyaryletherketone (PAEK) market size was valued at USD 876.24 million in 2019 and is anticipated to grow at a compound annual growth rate (CAGR) of 7.1% from 2020 to 2026. PAEK is expected to witness significant gains as it exhibits properties such as excellent performance at higher temperatures and friction resistance. Increasing usage of polyether ether ketone (PEEK) in the aerospace industry on account of being a polymer with high glass transition temperature is expected to propel market demand.

Growing automotive production and rising number of OEM companies catering to the domestic aftermarket in China, India, Thailand, Indonesia, and Malaysia are likely to drive the industry over the next few years.

Mexico has emerged as a tier II automobile manufacturing hub owing to its proximity to the U.S. market and government support to boost production output at a domestic level. This is anticipated to fuel demand for polyaryletherketone. Carbon-reinforced and glass grades of PEEK are high-performance grades that find utility at high temperatures. The carbon-filled type forms find usage in medical, automotive, and aerospace applications.

On the other hand, unfilled grades are highly resistant to chemically aggressive environments, including high-pressure steam, and find application in cable and wire coatings, film, valve parts and pumps, and automotive engine parts. Growing consumption of different polyaryletherketone types in various applications including automotive, industrial and general engineering, aerospace, electrical and electronics, and medical are anticipated to drive industry growth.

On the flip side, rising demand for substitutes such as PPS and PEI in the construction and automotive sectors is expected to restrain market growth over the forecast period.  PPS is a high-performance engineering plastic with various properties, such as high creep resistance, excellent temperature properties, and excellent chemical resistance. Increasing PPS demand for manufacturing automotive parts such as speed sensors, bulb sockets, and fuse cases is anticipated to challenge the demand for PEEK over the forecast period.

Ongoing expansion activities by Bombardier, a Canadian aerospace company, along with the presence of OEMs such as Honeywell and Boeing in Mexico, is likely to drive the aviation sector. The growing aerospace sector in China, India, South Korea, Singapore, and Malaysia, on account of increasing government investments, is further expected to propel the PAEK market.

Polyaryletherketone Market Trends

The replacement of metals with PEEK has been a major driver for PAEK market. Metals that are widely replaced by PAEK products include aluminum, carbon steel, bronze, stainless steel, brass, titanium, and magnesium. Stringent environmental regulations are forcing automotive industry to improve fuel efficiency, reduce maintenance needs, and lower the noise levels in a vehicle. Such factors are driving the need to reduce the weight of vehicles. PEEK has emerged as one of the alternatives to metals that not only helps in reducing the emission levels but also helps in increasing the fuel economy. The overall reduction in the weight of a vehicle can be achieved by reducing the weight of gears that lower the moment of inertia and, thus increases the efficiency level.

PAEK is widely used in aerospace sector and used as structural components that are made from high-performance polymeric foam ducting system for use in aerospace applications. PAEK is also used in the production of critical aerospace components in Airbus A350-900 aircraft and in aircraft interior applications. PAEK offers excellent dimensional accuracy, radiation & hydrolysis resistance, and superior temperature performance in various aircraft components including ribs, ducting, brackets, seat frames, panels, and fasteners.

PEEK is emerging as an efficient and environment-friendly solution on account of extremely lower carbon emissions as compared to other polymers including ABS, polyester laminate, polyvinyl chloride, polystyrene, and polysulphone. PEEK helps in enhancing the service life of products in which it is used and also offers corrosion resistance. The polymer is capable of performing under high heat and high temperatures for a longer period. It is one of the most versatile product as it enables manufacturing design freedom resulting in lesser labor efforts.

PAEK is classified as a high-performance thermoplastic due to its resistance to high temperatures and excellent mechanical properties. However, there are various other high-performance thermoplastics, including polyphenylene sulfide (PPS), polycarbonate (PC), polysulfone (PSU), and polyetherimide (PEI), with similar functional properties for use in applications such as automotive and industrial. These polymers also act as substitutes for PAEK thermoplastics.

PPS is one of the fastest-growing substitute products for PEEK. It is a high-performance engineering plastic, semi-crystalline with various properties, such as excellent temperature properties, high stiffness & strength, creep resistance, and good chemical resistance, that makes PPS the preferred alternative to metals or thermosets. The application of PPS in general industries, such as cooking appliances, hair dryer components, and grills is expected to augment the demand for PPS in the next eight years.

Type Insights

Polyether ether ketone (PEEK) was the most extensively used type, which accounted for 83.5% of the global polyaryletherketone (PAEK) market revenue in 2018. The segment is expected to witness high gains as a result of remarkable properties such as extreme inherent purity, good tensile strength, tensile modulus, precise machinability, thermal stability, fire, smoke, and toxicity resistance, and chemical resistance.

PAEK is further segmented into PEEK, PEK, PEKK, and others, wherein PEEK dominated the market. Demand for PEEK is anticipated to rise over the next few years on account of its application in electronics and electrical as well as general engineering.

Polyether ketone (PEKK) has a continuous service temperature of over 300°C and possesses outstanding electrical resistance. These characteristics, along with high compressive strength, are likely to augment demand for PEKK in the oil and gas industry.

Other applications propelling demand for PEKK are gear, bushes, and friction bearing in the automotive industry, body implants, dental tools, and drug delivery components in the medical sector, and electrostatic and cookware in the coatings industry.

Application Insights

The automotive segment was valued at USD 370.83 million in 2019 and is expected to witness steady gains on account of the rising need for metal alternatives in automobiles to reduce fuel consumption and accelerate fuel efficiency. Replacing metals with PEEK polymer for automotive applications owing to its excellent hydrolysis resistance and superior insulating properties is expected to spur industry size.

Various automobile manufacturers are using PEEK to make rotor arms, seals and thrust washer, shock absorber bearings, and alternator covers. Therefore, on account of the rising usage of metal alternatives to reduce weight and conserve energy, automobile manufacturers tend to increase the use of PAEK, profoundly augmenting demand.

Buyers located in upstream petroleum and chemical processing industries use PEEK as it offers beneficial properties such as high wear resistance, high fatigue resistance, excellent dimensional accuracy, and excellent thermal stability. These features, along with low permeability and outstanding electrical properties, are expected to augment PAEK demand in oil and gas and chemical processing industries over the next few years.

Regional Insights

Europe dominated the Polyaryletherketone (PAEK) Market and accounted for the largest revenue share of 43.49% in 2019. Europe is a hub for PAEK-producing companies including Evonik Industries AG, Ensinger GmbH, Quadrant AG, Caledonian Industries Ltd., Arkema Group, Solvay S.A., and Victrex plc. In addition, the region has been one of the leading producers of automobiles and this trend is likely to continue over the upcoming years. Presence of major automotive manufacturers such as Audi, Mercedes-Benz, Jaguar, Volvo, Aston Martin, Volkswagen, BMW, Fiat, Ferrari, Lamborghini, and Porsche in the region is projected to drive automobile industry, which, in turn, will boost the demand for PAEK over the forecast period.

North America is expected to register substantial revenue gains, exhibiting a CAGR of 7.6% from 2020 to 2026. Prominent PAEK manufacturers in the region include Jrlon, Inc.; Tri-Mack Plastics Manufacturing Corporation; and RTP Company. Robust manufacturing base and rapid growth of the automotive industry in the U.S. will augment demand for vehicle production, which in turn, is projected to drive demand for PAEK in the coming years.

Mexico is currently the world’s seventh-largest producer of automobile components. Thus, Mexico has been the primary focus of global automotive manufacturers as they are constantly looking for untapped growth opportunities. It is the fourth largest exporter of automobiles to the global automotive industry and is listed after Germany, Japan, and South Korea. Growing automobile production in the country is anticipated to drive demand for PAEK through 2026.

Asia Pacific witnessed the highest growth rate over the forecast period. Increasing automotive manufacturing base in Japan, China, and India and the growing sales of passenger vehicles are anticipated to augment the market growth in the near future. Furthermore, increasing FDI and initiatives, such as the ­– Make in India, implemented by the Government of India, and are expected to create opportunities for automobile industry in the country, which, in turn, is likely to trigger the growth of PAEK industry.

The Asia Pacific accounted for 16.90% of the overall revenue in 2019 and is expected to witness significant gains over the forecast period. A strong customer base in the automotive, electronics and medical equipment sectors in China is expected to increase the penetration of new construction projects and thus, promote product demand.

Japanese automotive industry is one of the most important industries in the world. The presence of major automobile manufacturing companies, such as Honda, Nissan, Mitsubishi, Toyota, Suzuki, Daihatsu, Subaru, and Isuzu, is likely to boost Japanese automotive industry, which, in turn, is expected to drive the market demand. The production of lightweight cars exhibited a strong growth of 11% in 2015 and is expected to witness high growth over the upcoming years. This factor is, therefore, expected to drive the demand for PEEK over the upcoming years.

Key Companies & Market Share Insights

The global market comprises prominent and well-established players, especially in the U.S., Japan, Germany, U.K., and China. The industry is dominated by numerous key participants including Victrex Plc, Solvay S.A., Arkema Group, JK Overseas, Quadrant AG, Gharda Chemicals Ltd., and Evonik Industries AG.

High to moderate entry barriers, owing to strict registration processes and extensive requirement of capital investment, are likely to induce fierce competition among manufacturers. Companies are increasing spending to ensure optimum business growth through effective strategies. As a result, they are forming strategic alliances with regional distributors, along with providing technological expertise for automotive and electrical and electronics sectors.

In February 2017, Solvay launched a new specialty polymer resin-based unit in Augusta in Georgia, U.S. The particular resin processing facility, together with a site presence in Asia, was aimed at expanding its PEEK production capacity as well as gaining a significant foothold in the market.

In June 2017, The Ensinger Korea Ltd., an Ensinger GmbH subsidiary, opened a stock shapes warehouse and sales office in South Korea to supply different types of PAEK to customers across the country. This branch is expected to attract customers in food processing, general engineering, and the aviation industry.

Polyaryletherketone (PAEK) Market Report Scope

Global Polyaryletherketone (PAEK) Market Segmentation

This report forecasts revenue and volume growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2014 to 2026. For this study, Grand View Research has segmented the global PAEK market report based on type, application, and region:

• Type Outlook (Volume, Tons; Revenue, USD Million, 2014 - 2026)

  • PEEK

  • PEK

  • PEKK

  • Others

• Application Outlook (Volume, Tons; Revenue, USD Million, 2014 - 2026)

  • Automotive

  • Industrial and General Engineering

  • Aerospace

  • Electrical & Electronics

  • Medical

  • Others

• Regional Outlook (Volume, Tons; Revenue, USD Million, 2014 - 2026)

  • North America

    • The U.S.

  • Europe

    • Germany

    • U.K.

  • Asia Pacific

    • China

    • India

  • Central & South America

    • Brazil

  • Middle East & Africa