The increasing demand from end user industries (such as automotive, electrical, latex, adhesives, and construction) the global neoprene market is expected to reach 500 metric tons by the year 2020, according to a recent study by ReportBuyer.
Neoprene is a synthetic rubber which is artificially produced by free radical polymerization of Chloroprene. It consists of Carbon, Hydrogen and Chlorine polymers which are cross linked to give neoprene. It exhibits good chemical stability and maintains flexibility over a wide temperature range. Neoprene was accidently manufactured by the scientists of DuPont chemicals. It shows great chemical properties like Resistance to weathering, aging, heat, tearing, water, oils and other chemicals.
Neoprene is used in products like diving suits, surgical gloves, rubber aprons, injection ports, anesthesia masks, oral and nasal airways, endotracheal tubes, surgical masks, blood pressure cuffs, syringes, stethoscopes, balloons, rubber bands, erasers.
Asia Pacific and Latin America leads the Global Neoprene market due to their large demand for automobile component market which accounts for 20% of the global consumption of Neoprene. Also Asia Pacific has the highest rate of growth in Neoprene market with a CAGR of more than 3.4% through 2020.
The adhesive end user market accounts for the highest share of Neoprene market globally. In the recent years there has been a high demand of chloroprene since it has been replacing other elastomer technologies. However the Neoprene market also faces a great competition from other synthetic rubber and natural rubber alternatives.
DRIVERS:
Growth is largely fueled by increasing applications, technological advancements, and growing demand in the developing countries in Asia Pacific such as China, India due to the large setup of automotive industry which accounts for 20% of the global Neoprene consumption. Neoprene has been substituting other elastomer technologies due to its various chemical properties which are a key driver for the Neoprene market.
RESTRAINTS:
The constant push from regulatory authorities such as EPA (Environmental Protection Agency) and REACH (Registration, Evaluation, Authorization, and Restriction of Chemicals) will lessen the use of Neoprene in order to reduce the impact on the environment since Neoprene is non-recyclable and takes very long time for degradation. Apart from this the higher pricing of Neoprene than other elastomers and Economic cycles in any end-user industry affect the demand pattern for Neoprene. It may result in high demand for Neoprene in one industry and relatively weak demand in another industry, based on the phase of the economic cycle of that industry.