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APAC PP & EPDM In Electric Vehicles Market - Forecast(2023 - 2028)
APAC PP & EPDM In Electric Vehicles Market Overview
The APAC PP & EPDM In Electric Vehicles Market size is estimated to grow at a CAGR of 6.7% during the forecast period 2022-2027.
The PP & EPDM are thermoplastic elastomers that offer superior properties
such as low density, chemical resistance, water repellency and resistance from
stress and cracking. The demand for polypropylene (PP) & ethylene propylene
diene monomer (EPDM) is rising for various applications in cable insulation,
battery boxes, hoses, door & window seals and others in electric vehicles,
thereby acting as a driving factor in the APAC PP & EPDM In Electric Vehicles Market. In addition, the rise in the development of EV infrastructure
and production initiatives for electric vehicles is projected to offer significant growth in the industry. The incentives, subsidies and tax benefits offered by the government to boost the sales and demand for electric vehicles in major
countries such as India, China and others is also propelling the growth. The
covid-19 pandemic disrupted the growth of APAC PP & EPDM in the electric
vehicles market due to factors such as disruptions in electric vehicle production,
logistics disruptions and other lockdown regulations However, the robust
recovery and flourishing applications of PP & EPDM in electric vehicles in
APAC is anticipated to boost the growth in the APAC PP & EPDM In Electric Vehicles industry and contribute in the APAC PP & EPDM In Electric Vehicles Market size during the forecast period.
APAC PP & EPDM In Electric Vehicles Market Report Coverage
The “APAC PP & EPDM In Electric Vehicles Market Report – Forecast (2022-2027)” by
IndustryARC, covers an in-depth analysis of the following segments in the APAC PP & EPDM In Electric Vehicles Industry.
Key Takeaways
- China dominates the APAC PP & EPDM In Electric Vehicles Market, due to the established base for electric vehicle manufacturing facilities, rapid investment and development in EV charging infrastructure, thereby propelling the growth of this country in the APAC PP & EPDM in the Electric Vehicles industry.
- The flourishing battery electric vehicles (BEV) sector in APAC is propelling the demand for PP & EPDM in electric vehicles for a wide range of applicability in cable insulation, battery boxes, seals & gaskets and others, thereby boosting the APAC PP & EPDM In Electric Vehicles Market size during the forecast period.
- The cable insulation application of PP & EPDM in electric vehicles is rapidly growing in APAC owing to high demand from EV charging systems and significant advancements in EV charging infrastructure, which is propelling the demand for the APAC PP & EPDM in the electric vehicles industry.
- However, the availability of substitutes such as thermoplastic vulcanizates and issues in recyclability in EPDM acts as a challenge to the market.
Figure: China PP & EPDM In Electric Vehicles Market Revenue, 2021-2027 (US$ Billion)
APAC PP & EPDM In Electric Vehicles Market Segment Analysis – by Application
Cable insulation held the largest APAC PP & EPDM In Electric Vehicles Market share in 2021 and is forecasted to grow at a CAGR of 6.9% during the forecast period 2022-2027. The PP and EPDM have bolstered demand for cable insulation applications in the electric vehicles industry owing to superior properties such as low density, flexibility and chemical resistance. The electric vehicles sector, majorly the battery electric vehicles (BEV) sector is significantly growing owing to growth factors such as innovative development in EV charging systems and government initiatives on boosting EV production and fuel efficiency. For instance, according to the India Energy Storage Alliance (IESA), the Indian EV industry is projected to expand at a CAGR of 36% by 2030. The rise in government initiatives for bolstering EV production also boosts the applicability and demand for PP & EPDM. For instance, the Niti Ayog aims to achieve an electric vehicle sales penetration of 70% for commercial cars, 40% for buses, 30% for private cars and around 8% for two and three-wheelers EV in India by 2030. With the increase in EV production and battery charging infrastructure, the demand for PP & EPDM in cable insulation applications is growing rapidly, which, in turn, is anticipated to boost the growth prospects for cable insulation applications in the APAC PP & EPDM In Electric Vehicles Market and projected to provide positive APAC PP & EPDM In Electric Vehicles industry outlook during the forecast period.
APAC PP & EPDM In Electric Vehicles Market Segment Analysis – by End-Use Industry
The battery electric vehicles (BEV) segment
held a significant APAC PP & EPDM In Electric Vehicles Market share in 2021
and is forecasted to grow at a CAGR of 7.4% during the forecast period 2022-2027.
The PP & EPDM has flourishing demand in electric vehicles for major
applicability in various EV components such as hoses, electrical gaskets &
seals, cable insulation, window spacers and others. The battery-electric
vehicles sector is rapidly growing owing to factors such as declining prices of
battery manufacturing, emphasis on lowering carbon emissions and fuel
efficiency. For instance, according to the International Energy Agency (IEA), the
global electric vehicle stock increased from 4.1 million units in 2019 to 5.4
million units in 2020. The stock of battery-electric vehicles in US increased
from 1.1 million units in 2020 to 1.3 million units in 2021. Furthermore, the
Suzuki Motor Corporation plans to invest US$1.11 billion in the production of BEV
and BEV batteries in India by 2026. With the rise in battery electric vehicles
(BEV) production, the demand for PP & EPDM in electric vehicles for
applicability and others is anticipated to rise, which, in turn, is projected
to boost the growth for APAC PP & EPDM in battery electric vehicles sector
and offer a positive APAC PP & EPDM In Electric Vehicles outlook during the
forecast period.
APAC PP & EPDM In Electric Vehicles Market Segment Analysis – by Geography
China held the largest APAC PP & EPDM In Electric Vehicles Market share in 2021 up to 75%. The robust demand for PP& EPDM in the Electric Vehicles sector in this region is influenced by bolstering growth in manufacturing facilities for EVs, rapid development in EV charging infrastructure and government initiatives promoting the production and sales of electric vehicles. For instance, the Chinese central government planned to promote the EV charging infrastructure and set a target of 120,000 EV charging stations and 4.8 million charging posts by 2020. Furthermore, the growing electric vehicle production and sales trend is boosting the growth for PP & EPDM in electric vehicles. According to the China Automotive and Battery Innovation Alliance (CATL), BYD, an electric vehicle manufacturer in China, posted a sales jump of 164% in electric vehicles for the first four months of the year 2021. According to the International Energy Agency (IEA), the stock of battery electric vehicles (BEV) in China increased from 2.6 million units in 2019 to 3.5 million units in 2020. Furthermore, With the rapid production and growth in electric vehicles, the applicability and consumption of thermoplastic elastomers such as polypropylene (PP) and ethylene propylene diene monomer (EPDM) for cable insulation, hoses, electrical gaskets, bumpers, battery boxes and others are rising, thereby anticipated to offer strong demand for PP & EPDM in electric vehicles in China during the forecast period.
APAC PP & EPDM In Electric Vehicles Market Drivers
Increasing Production in Battery Electric Vehicle (BEV):
The APAC PP & EPDM In Electric Vehicles have growing applicability in the electric vehicles sector for hybrid
electric vehicles, battery electric vehicles and plug-in hybrid electric
vehicles due to their superior features such as weight reduction, vehicle
efficiency and low density. The battery-electric vehicles sector is
flourishing rapidly due to the high demand for fuel-efficient vehicles,
increasing initiatives for battery installation and growing charging
infrastructure. For instance, according to the International Energy Agency
(IEA), the Chinese battery electric vehicle (BEV) stock rose from 3.5 million
units in 2020 to 6.2 million units in 2021. Furthermore, according to India Energy
Storage Alliance (IESA), the EV battery sector in India will grow at a CAGR of
32% over 2020-2027. With the rise in battery electric vehicles production and
demand, the growth of APAC PP & EPDM In Electric Vehicles for a wide range
of applicability, including cable insulation, battery boxes, hoses and others
is growing, which, in turn, is driving and propelling the growth opportunities
in APAC PP & EPDM In Electric Vehicles Market and acting as a major factor
for the growing APAC PP & EPDM In Electric Vehicles Market size.
Bolstering Growth for Plug-in Hybrid Electric Vehicles:
Thermoplastic such as EPDM and polypropylene polymer has a growing demand
for a wide range of applicability in the plug-in hybrid electric vehicles sector
for hoses, electrical gaskets, cable insulation, cones, window and door seals,
battery boxes and others. The electric vehicles sector in APAC is fast-paced
owing to growth factors such as the rise in the government’s initiative for
lightweight and fuel-efficient vehicles, electric vehicles infrastructure
development and the latest EV technological innovation in APAC. For instance, according
to the International Energy Agency (IEA), plug-in hybrid electric vehicles (PHEV) stock in China rose from 0.8 million
units in 2020 to 1.0 million units in 2021. Furthermore, the stock of PHEVs in
Europe rose from 1.4 million units in 2020 to 2.5 million units in 2021. Thus, with rising plug-in hybrid electric vehicles sales and a rise in
penetration of EVs, majorly in APAC, the demand for thermoplastic elastomers
and polymers such as polypropylene and ethylene propylene
diene monomer (EPDM) is increasing, which, in turn, is driving the APAC PP & EPDM In Electric Vehicles industry and offering a positive APAC PP & EPDM In Electric Vehicles industry outlook.
APAC PP & EPDM In Electric Vehicles Market Challenge
Availability of Better Alternative for EPDM and Toxicity of PP:
The ethylene propylene diene monomer (EPDM)
polymer faces major competition from thermoplastic vulcanizates (TPVs) owing to
its advantages such as superior recyclability over the EPDM. The EPDM faces the
problem of non-recyclability. Moreover, polypropylene (PP) is considered
toxic due to the availability of toxins such as DEHP, vinyl chloride and others,
which is likely to cause major health effects. The better alternatives such as
TPVs infused with polyamide and others offer superior benefits such as cost-effectiveness,
well beyond recyclability, superior sealing performance and design freedom,
thereby acting as a major substitute and competition for EPDM. Thus, the
recyclability problems, the toxicity of PP and a threat from a better and more cost-friendly
substitute for ethylene propylene diene monomer (EPDM) act as major
challenging factor, which, in turn, also impacts the demand and applicability
in electric vehicles.
APAC PP & EPDM In Electric Vehicles Industry Outlook
Technology launches, acquisitions and R&D activities are key strategies adopted by players in the APAC PP & EPDM In Electric Vehicles Market. The top 10 companies in the APAC PP & EPDM in the Electric Vehicles industry are:
- ExxonMobil Corporation
- Mitsui Chemicals
- LANXESS
- Lion Elastomers
- The Dow Chemical Company
- Formosa Plastics
- Luci Intel
- Sumitomo Chemicals Co. Ltd.
- Polychem Co. Ltd.
- Kumho Polychem
Relevant Reports
Report Code: ATR
0007
Report Code: CMR
0031
Report Code: CMR 48561
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