TPC elastomers growing; demand from auto/substitution sectors

The thermoplastic copolyester (TPC) elastomers market is set to witness moderate to high growth in 2019, with demand expected to surpass 180,000 tonnes, with a CAGR of 4.5% between 2019 and 2027.


The demand is likely to benefit from broader developments in the automotive industry, especially the growing focus on improving fuel efficiency, says a latest report by Fact.MR.

Automotive manufacturers are rapidly moving towards TPC elastomers for production of new high-temperature resistant air ducts, facilitating manufacturers to produce air ducts in a single material and using a single process. Focus on weight and cost reduction, while improving process efficiency are among the key factors that will continue to support adoption of TPCs in end-use industries.

According to the study, demand for TPCs from the automotive industry will also be influenced by growing focus on passenger safety. Governments in various countries have mandated the inclusion of airbags in vehicles. Use of TPCs as a cost-effective material for airbag manufacturing will create significant opportunities for stakeholders.

The demand for TPC is expected to grow significantly in the US, Europe, and Japan, owing to the rising demand for high-performance materials. Further, China, Brazil, and India hold great potential for manufacturers due to the growing automobile market, along with the imposition of emission regulations on the automotive sector.

TPCs are rapidly replacing rubber and metals in electrical, consumer goods, and medical manufacturing. Medical device manufacturers are shifting towards non-latex solutions, owing to the ever-increasing environmental concerns, biohazard, and skin sensitization issues. This is driving the demand for TPCs, replacing other materials such as polyvinyl chloride (PVC) and silicone rubber used in medical devices.

North America is witnessing growing demand for TPCs in manufacturing lightweight and fuel-efficient cars, with significant applications in manufacturing hot charge air ducts and CVJ boots in automobiles.

The study says that North American growth will reach 65,000 tonnes in 2019. Regulatory requirements are becoming increasingly stringent in automotive, medical, and consumer goods industries in North America. This is driving the demand for recyclable and flexible raw material for manufacturing various products in these industries, thereby, resulting in growing demand.

Asia Pacific, excluding Japan, is also expected to account for significant share in the market owing to stellar growth in China. The automotive and footwear industries are among the leading consumers. However, complex production process and high technical requirements is keeping the operating rates at low levels in China, says the report.

The report also finds that the market may be impacted by the fluctuating raw material prices. Volatility in crude oil prices is hampering the growth of TPCs and making it difficult for manufacturers to maintain regular supply.