Heat Shrink Tubing and Sleeves Market

Key Points Covered

• Market estimates and forecast 2016-2031
• Key drivers and restraints impacting market growth
• Segment-wise, Country-wise, and Region-wise Analysis
• Competition Mapping and Benchmarking
• Brand share and Market Share Analysis
• Key Product Innovations and Regulatory Climate
• COVID-19 Impact on Heat Shrink Tubing and Sleeves Market and How to Navigate
• Recommendation on Key Winning Strategies

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2016-2020 Global Heat Shrink Tubing and Sleeves Market Outlook Compared to 2021-2031 Forecast

Rising demand for safer alternatives for electronic components used in automotive, aerospace, telecommunications and other end-use industries is driving sales of heat shrink tubing and sleeves.

As per FMI’s analysis, the global heat shrink tubing and sleeves market is projected to grow at 5.9% CAGR between 2021 and 2031, in comparison to a sluggish 1.3% CAGR registered during 2016-2020.

Rapid urbanization and increasing population across the globe are spurring demand for electricity distribution in residential and commercial projects. Such developments in the energy sector are anticipated to propel sales of heat shrink tubing and sleeves market in the forthcoming years.

Heat shrink tubing and sleeves find applications in a myriad of high-growth potential industries such as telecommunications, automotive, transport, oil & gas, and electric and electronic. Expansions of these industries will continue spurring demand for heat shrink tubing and sleeves over the forecast period.

Leading players operating in the heat shrink tubing and sleeves market are focusing on expanding their product portfolio by investing in research & development activities for new products with improved durability. Apart from this, expansions of OEM channels and customization in products offered by market players will continue augmenting market growth through 2031.

What are the Key Factors Driving Adoption of Heat Shrink Tubing and Sleeves?

Heat shrink tubing and sleeves are used in a variety of industries such as automotive, electronics, telecommunications, and transportation. The main purpose of their application is to improve protection, maintenance, and lifetime of wires in a circuit.

In low impact situations, wires and cables are subjected to abrasion, scuffing, cutting, and over-heating. Heat shrink tubing acts as cable entry seal that can potentially protect cables and wires from external environmental factors such as oils, water, acids, and atmospheric factors such as humidity and overwhelming temperature.

With technological advancements and innovations, manufacturers have been able to design effective heat shrink tubing and sleeves that can operate at even at -65°C to +260°C, providing efficient protection against water and moisture.

In addition to insulating connected wires, heat shrink tubing and sleeves are used as an additional protective layer that reduces strain and external tension that might reduce the life span of wires. The durable nature of provides mechanical support to wires and reduces external strain on connector pins.

In some cases, heat shrink tubing and sleeves are also used as rust protective hardware in metal piping and welded joints. The insulation coating of stainless-steel tubes might get depleted during welding; hence, heat shrink tubes provide protection and eliminate rusting in joints and piping. The adhesive layer in heat shrink tubing merges with the metal surface of piping, protecting it from rust and other damaging factors.

Backed by the aforementioned benefits of heat shrink tubing and sleeves, demand for the same is anticipated to surge at a steady pace over the forecast period.

What Is the Impact of COVID-19 Crisis on Global Heat Shrink Tubing and Sleeves Market?

The unprecedented COVID-19 outbreak has impacted the global economy in numerous ways, by directly influencing manufacturing and demand, disrupting the supply chain, and restrictions in movement and distribution of non-essential products.

Negative impacts of the pandemic have been felt in the global heat shrink tubing and sleeves market, as manufacturers were facing short-term supply and demand uncertainties from end-use industries. Therefore, the short and medium-term outlook for high-cost producers, smallholders and high-debt businesses appears to be more challenging than ever.

Inefficient, heavily indebted businesses can experience liquidity crisis, with some of them being forced out of business. Some large firms may change or accelerate their diversification plans in other segments, leading to a change in business model.

However, with expedited vaccine drives and resumption in production operations in the end-use industries, recovery of the global heat shrink tubing and sleeves market is on card. FMI projects the market to experience year-over-year growth by 4.7% between 2020 and 2021.

Country-wise Insights

How Will the Heat Shrink Tubing and Sleeves Market Expand Across the U.S.?

The U.S. is expected to account for nearly 67% of the North America heat shrink tubing and sleeves market through 2031. Growing demand for heat shrink tubing and sleeves from industries such as aerospace, automotive, electric, and electronic will continue fostering sales of heat shrink tubing and sleeves during the assessment period.

Besides this, the presence of key market players and emergence of new OEMs, along with expansion of the plastic industry  are  anticipated to boost demand for heat shrink tubing and sleeves.

What Will be the Demand Outlook for Heat Shrink Tubing and Sleeves in China?

China is one of the key exporters and producers of heat shrink tubing and sleeves. As per FMI’s analysis, the Chinese heat shrink tubing and sleeves market is poised to expand at a 6.1% CAGR during the forecast period.

Increasing demand from countries such as the U.S., India, Germany, and the U.K.  is anticipated to shape the demand outlook for heat shrink tubing and sleeves positively.

How Will Heat Shrink Tubing and Sleeves Sales fare Across Europe?

Europe is anticipated to account for over 21.4% of the global heat shrink tubing and sleeves market, opines FMI.

Increasing demand for heat shrink tubing and sleeves in countries such as Germany, France, UK and Russia will continue boosting sales of heat shrink tubing and sleeves in Europe through 2031. In addition, Europe is home to key players operating in automotive, defense and consumer electronic goods industries, which is further anticipated to augment heat shrink tubing and sleeves growth in the forthcoming years.

Category-wise Insights

Polyolefin to Emerge as the Most-Preferred Material Type

Based on material type, Polyolefin is anticipated to dominate the category, accounting for nearly 18% of the market volume share and 13.2% of the market value share in 2021. Rising demand from automotive and aerospace industries will continue propelling sales of polyolefin-based heat shrink tubing and sleeves through 2031.

Demand for Tubes to Gain Traction

In terms of product type, the tubes segment is anticipated to create approximately US$ 659.5 Mn incremental opportunity for the global heat shrink tubing and sleeves market in 2021.

Increasing production in automotive, defense and aerospace sectors is spurring demand for pipes with different diameters for various applications. This factor is ushering development of new and innovative products in the tubes segment, thereby propelling sales of the same.

Standard Length Heat Shrink Tubing and Sleeves to Remain Highly Sought-After

The standard (1.2 meter) segment is estimated to create around US$ 489.57 Mn incremental opportunity during the assessment period. The versatility and easy availability of standard-length heat shrink tubing and sleeves is anticipated to drive sales of the same for usage in various end-use sectors.

Applications of Heat Shrink Tubing and Sleeves in the Energy Sector to Continue Rising

As per FMI’s analysis the energy sector is estimated to hold 14.9% of the global heat shrink tubing and sleeves market in 2021. Expansion of the energy sector across the globe, coupled with high demand for adequate energy supply from industries such as oil & gas, telecommunications and transportations will continue driving applications of heat shrink tubing and sleeves over the forecast period.

Sales of Heat Shrink Tubing and Sleeves through OEMs to Remain High

Based on sales channel, the OEM segment is projected to capture 59% of the total heat shrink tubing and sleeves market share. Improvements in distribution network, customization services, and high-quality products and services offered by OEMs are anticipated to usher advancements in this segment.

Competitive Landscape

Key players operating in the global heat shrink tubing and sleeves market are focusing on strategic collaborations, mergers, and acquisitions to strengthen their product portfolios and global footprint. The recent development from the key players include:

• In June 2021, ABB and Axpo partnered on a project aimed at making green hydrogen more accessible and affordable. The company signed an agreement to co-develop a pilot project in Italy.

• In April 2021, 3M launched new silicone adhesives which help improve medical devices intended for people with fragile skins.

The leading companies operating in the market are:

• HellermannTyton
• Molex Electronic Solutions
• Panduit
• Shrink Sleeves Ltd.
• TE Connectivity
• ABB Ltd.
• The 3M Company
• Wurth Elektonik Company
• Techflex
• Artilabo International
• Gremtek SAS
• PEXCO
• DSK-CANUSA
• WKK Nederland’s B.V.
• Essentra PLC
• Plastpolymer Prom LLC
• Don-Polymer Ltd.

*The list is not exhaustive, and only for representational purposes. Full competitive intelligence with SWOT analysis available in the report.

Scope of Report

Key Questions Answered in the Report

• What is the current heat shrink tubing and sleeves market value?

  The global heat shrink tubing and sleeves market is projected to total US$ 1,879 Mn in 2021.

• At what rate did the heat shrink tubing and sleeves market grow between 2016 and 2020?

  The global heat shrink and tubing sleeves market experienced sluggish growth, expanding at a 1.3% CAGR between 2016 and 2020.

• What are the key trends driving heat shrink tubing and sleeves sales?

  Rising demand for eco-friendly materials, coupled with expansions of OEM distribution channels are anticipated to drive sales of heat shrink tubing and sleeves.

• Who are the leading players in the heat shrink tubing and sleeves market?

  Leading players operating in the heat shrink tubing and sleeves market include ABB, 3M, TE Connectivity, Essentra plc and Wurth Elektronic GmbH.

• What will be the demand outlook for North America heat shrink tubing and sleeves market?

  North America heat shrink tubing and sleeves market is projected to expand at a steady 5.9% CAGR over the assessment period.

• What is the market share of leading players in the global heat shrink tubing and sleeves market?

  Leading players operating in the global heat shrink tubing and sleeves market are anticipated to account for 52% of the total market share.

• What will be the heat shrink tubing and sleeves market share in Europe?

  The heat shrink tubing and sleeves market is projected to expand at a 5.5% CAGR during the assessment period.

• What is the contribution of Japan and South Korea towards the global heat shrink tubing and sleeves market?

  Japan and South Korea will collectively account for 14% of the total heat shrink tubing and sleeves market share.

• Which is the highest grossing global heat shrink tubing and sleeves market? 

  East Asia is estimated to account for over 23% of the global heat shrink tubing and sleeves market, reaching US$ 411.1 Mn in 2021.

• Which is the leading application of global heat shrink tubing and sleeves?

  The energy sector is expected to dominate the market over the forecast period, generating revenue of US$ 535.9 Mn by 2031 due to growing need for heat shrink tubing and sleeves for protection and insulation of electrical components and wires.

Global Heat Shrink Tubing and Sleeves Market by Category

By Material Type:

• Polyolefin (POE)
  • LDPE
  • HDPE
• Ethylene Vinyl Acetate (EVA)
• Polytetrafluoroethylene (PTFE)
• Fluorinated  Ethylene Propylene (FEP)
• Perfluoroalkoxy Alkane (PFA)
• Ethylene Tetrafluoroethylene (ETFE)
• Polyethylene Terephthalate (PET)
• Polyether Ether Ketone (PEEK)
• Silicone

By Length:

• Spool
• Standard  (1.2 Meter)
• Non-Standard Cut Pieces
• Custom

By Product Type:

• Tubes
• Sleeves
• Other Accessories

By Sales Channel:

• Original Equipment Manufacturer (OEM)
• Aftermarket

By Applications:

• Automotive
• Aerospace
• Railways
• Telecommunication
• Energy
  • Power System
  • Oil and Gas
• Electrical Engineering Goods and Components
• Home Appliances
• Defense/Armaments
• Others (Medical, Industrial Equipment)

By Region:

• North America
• Latin America
• Europe
• East Asia
• South Asia Pacific
• Middle East and Africa