According to Future Market Insights, the global market for polybutadiene rubber is projected to increase at a CAGR of 6.2% in the forecast period from 2023 to 2033 As of 2023, the market is expected to be valued at US$ 7.2 billion, and in 2033 at US$ 13.14 billion.
The growth in the market is associated mainly due to the rubber in tires, chemicals, and the usage of solid PBR rubber in other areas like footwear products, manufacturing of industrial goods, etc. Due to this, the growing demand for improved performance and low-rolling tires is anticipated to provide growth opportunities in the market.
| Data Points | Key Statistics |
|---|---|
| Expected Market Value in 2023 | US$ 7.2 billion |
| Projected Market Value in 2033 | US$ 13.14 billion |
| Growth Rate | 6.2% CAGR |
| Forecast Period | 2023 to 2033 |
The major factors driving the market are mainly the growth in demand from the automobile industry and more especially because the automotive tire market is therefore witnessing expansion, where it is accounted to have the largest share of the overall PBR market largely used due to its toughness, cold resistance, durability, high resilience, etc. Also, high vinyl and high trans polybutadiene are said to arise in lower quantities and are utilized in smaller quantities. The usage of high vinyl polybutadiene in high-quality tires is to increase the rebound resilience, whereas, high trans polybutadiene, is utilized in golf balls' outer coating. Therefore, as new markets emerge, new and higher-performance polybutadiene grades will be required, that will employ both alkyl lithium and Ziegler systems.
But the concern regarding environmental sustainability during the manufacturing of polybutadiene is a major factor, that is expected to restrain the market growth. During their lifespan, PBMs such as polybutadiene can be released into the environment from various sources. General littering, dumping of undesired waste products, migration from landfills, and emission during refuse collection are the main routes of introduction into the environment. PBMs are generally broken down in the environment by photodegradation processes, however, the recipient environment can be exposed to a variety of macro, and micro-sized polymer fragments, leached additives, and subsequent breakdown products due to their complex chemical makeup. In the absence of sunshine, the degradation of most PBMs is minimal. Oceans have also been discovered as a key sinks for macro PBMs, which pose a threat to marine life due to entanglement and ingestion.
According to FMI, the Asia Pacific market is anticipated to account for the largest revenue share in the global market during the forecast period. This is due to expanded growth in tire manufacturing industries coupled with massive demand for polybutadiene as an impact-modifying agent in various polymer industries. Polybutadiene rubber imports from South Korea and other countries have not only been expensive but also are maintaining strong price dynamics in the region's domestic market. Hence, all of these factors are responsible for driving the market revenue growth of the region. Secondly, the North American market is also assumed to register a rapid revenue growth rate over the forecast period, which is attributed to strong cost pressure from upstream feedstock and stable demand from downstream industries.
Some of the key players in the polybutadiene rubber market are-
DuPont
Developments-
ARALNXEO
Strategies-
The growth of the market is attributed to major applications of this rubber in tires, chemicals and the use of solid PBR rubber in other applications such as polymer modification, sporting goods, industrial rubber goods manufacturing, and footwear products is also driving its consumption. The growing demand for improved performance and low rolling-resistance tires is expected to provide growth opportunities for the market.
Major factors driving the market are the growing demand from the automotive industry, and more specifically because of the automotive tire market that is witnessing expansion. It accounted for the largest share of the overall PBR market. This rubber is widely used in tire manufacturing due to its toughness, good abrasion resistance, cold resistance, high tensile strength, high resilience, tear resistance, and durability.
However the demand of PBR was hampered significantly in the year 2020 due to COVID-19 crisis. Owing to the pandemic scenarios, several countries around the world went into lockdown to curb the spreading of the virus. Major tire manufacturers have shut down plants due to low demand as automotive production and sales plunged.
Asia Pacific region is anticipated to remain the fastest growing region all over the globe. With the substantially growing automotive sector in this region especially in China, South Korea, Japan, India etc., the growth rate of this region is projected to remain high during the forecast period. APAC is expected to account for the largest value share of the global polybutadiene market in 2021. The market is primarily driven by the strong demand from the automotive tire manufacturing sector.
China is expected to boost the demand for polybutadiene rubber during the forecast period. Various manufacturers from developed regions are shifting their manufacturing units to APAC because of the availability of raw materials, low labor cost, and favorable government policies in emerging markets such as India, Indonesia, and Thailand. Furthermore, economic growth, rising population, and growing urbanization are the important drivers of the global polybutadiene market in APAC region.
The presence of large petrochemical firms in North America along with the expansion of the downstream industry is driving market expansion. Consumption in the North America has been greatly affected by the supply of butadiene in that region. Demand in this region is supposed to grow at a moderate pace due to the slowdown in production in end use industries.
The capacity additions in the region of USA and Canada are an indicator of increasing demand in the market over the outlook period. The presence of major automakers in the USA and a renewed focus on domestic component manufacturing is projected to prove beneficial for the polybutadiene rubber market in North America. The escalating number of new cracking capacity region is a big boost for manufacturers as it is predicted to streamline the supply of butadiene.
Some of the leading manufacturers and suppliers of polybutadiene rubber include
Several key market participants are focusing on new & innovative product development to cater the growing demand from the end use sector. Key players are investing an enormous amount in research and development to introduce new products and they are also investing to manufacture products in a sustainable way, by minimizing carbon emission.
Key players are also focusing on acquisitions of small and medium size players and collaborations with other market participants either for the R&D or to manufacture the product at a large scale.
The Polybutadiene rubber report is a compilation of first-hand information, qualitative and quantitative assessment by industry analysts, inputs from industry experts and industry participants across the value chain. The report provides in-depth analysis of parent market trends, macro-economic indicators and governing factors along with market attractiveness as per segments. The report also maps the qualitative impact of various market factors on market segments and geographies.
Increasing demand from the automotive industry is one of the major factors driving the global polybutadiene market. The automotive industry is one of the key end-user industries of this rubber. The automotive sector in the market contributes the maximum share in terms of volume consumption.
PBR is used in the industry to produce tires for all types of vehicle categories. The properties exhibited by PBR such as high resilience, enhanced abrasion resistance, and increased cut growth resistance makes it a suitable material to produce tires.
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