The Global Epoxy Resin Market was estimated at USD 7.91 billion in the year 2020, and is expected to reach USD 11.50 billion by 2027. The market is growing with a CAGR of 5.5%, in the forecast period (2017-2027).
Increasing demand for lightweight material along with growing usage of composites are the prominent factors driving the growth of the Global Epoxy Resin Market.
The major factor attributing to the growth in epoxy resin market is the rising demand for decorative and high-performance flooring such as colored aggregate flooring, chip flooring and terrazzo flooring. Epoxy resins act as a binder for coating applications on floors and enhances its durability. The use of epoxy resins in coatings offer several properties such as durability, chemical resistance and strength among many others. Thus, epoxy resins play a vital role in meeting the standards needed for high performance flooring. Therefore, it is widely used in demanding environments such as hospitals and food processing plants, where clean and hygienic floors are highly important. In these industries, epoxy resin coatings are immensely preferred as they permit the use of more effective and stronger cleaning agents.
Moreover, epoxy resin offers several environmental advantages which is responsible for boosting its growth. The use of epoxies in automotive industry helps in reducing the weight of several finished part. Vehicles with lighter weight helps in reducing the fuel consumption and overall operating costs. The reduced fuel consumption thus results in fewer emissions in the environment. In addition, epoxy resins help in providing longer life to vehicles and improving the vehicle’s carbon footprint. Apart from automotive sector, high demand of epoxy resins from railways is also majorly driving the epoxy industry. Railways widely uses epoxy resins for replacing steel in gear casings and several other parts. This helps in reducing the weight and improving service life of trains by preventing damage from corrosion or debris. According to the Epoxy Resin Committee, an initiative of Epoxy Europe, the European transport sector consumes 49,000 tonnes of the total epoxy resins annually that produced by the ERC members.
In spite of such strong growth factors, the global epoxy resin market has faced certain challenges. The increasing popularity about alternative resins and fluctuating prices of raw materials are posing certain treats in the growth of epoxy resin market. However, the increasing adoption bio-based epoxy resin is offering immense opportunity in the epoxy resin industry. In addition, rapidly growing wind energy industry in developing economies such as China and India, is also expected to provide opportunity to epoxy resin market players.
Global Epoxy Resin Market by Region Outlook (Revenue, USD Billion, 2021-2027)
Based on region, Asia-Pacific region is expected to exhibit highest growth rate and dominate the global epoxy resin market during the forecast period. The blooming wind power industry in the region, especially in China is driving the epoxy resin market growth in this region. According to the Global Wind Energy Council (GWEC), in 2020, China broke the world record for installing most wind power capacity in a single year by installing 52 gigawatts (GW) of new capacity. Epoxy resins is widely used in wind turbines and are largely employed in adhesives and composites that are needed to manufacture wind motor blades and other structural elements. Therefore, favorable growth wind energy plants is expected to positively impact the epoxy resin industry in the region.
The growth is also attributed to the well-established electronics and electrical industry in the region. Japan is one of the leading electrical and electronics industries in the world. The country is the leading producer and supplier of compact discs, video cameras, computers, fax machines, photocopiers, cell phones, and several other key computer components. In addition, China is the world’s largest manufacturing hub and is a world leader in electronic products, such as OLED TVs, smartphones and tablets among many others. Epoxy resins is commonly used in electronics industries due to their excellent mechanical and electrical properties, along with their ability to offer protection against high temperatures and chemicals. Due to this, the increasing demand of electrical and electronics industry is thereby expected to majorly drive the epoxy resin market.
The Global Epoxy Resin Industry Segmentation:
Key Findings:
Company Profiles and Competitive Intelligence
The key players operating in the epoxy resin market are:
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