Silicone Sealants Market Size, Share, Global Market Research and Industry Forecast Report, 2025 (Includes Business Impact of COVID-19)

                                          
Industry Insights, Market Size, CAGR, High-Level Analysis: Silicone Sealants Market


The global silicone sealants market size was estimated at USD 3.39 billion in 2018 and is projected to witness a CAGR of 5.7% from 2019 to 2025. The market growth is majorly driven by the growing consumption of silicone sealants in the construction industry. The increasing demand is owing to the superior chemical & physical properties of the product such as resistance to chemicals, high & low temperatures, and weathering; along with durability and strength.

Silicone sealants used in construction sector are viscous and have ability to tolerate shear force. The phenomenal properties of silicone are further enhanced by additives during the production of sealants. The additives help in improving thermal, electrical, and mechanical resistance, and add characteristics such as improved adhesion, UV resistance, and pigmentation.

Application of silicone sealants in the construction industry is beneficial in various ways. Their use helps in achieving durability of exterior paints & coatings, long-term maintenance and appearance of facade, reinforcement of natural strength and weather-ability of old joints and structures, and improved energy efficiency of the building. As a result, the growth of the building & construction industry is anticipated to have a positive influence on the demand of silicone sealants during the forecast period.

Certain favorable features of the product boost its consumption in various construction projects. For example, Cornish College of the Arts in Seattle utilized DOWSIL silicone sealant for unit sealing in the construction of their new residence and academic building. The product was chosen taking into consideration challenges such as improvement in thermal performance, Seattle Building Code, extreme weather conditions in the region, etc.

Growing popularity of lightweight automobiles and electric vehicles is further expected to drive the market growth. Utilization of silicone sealants in the automotive industry helps in weight reduction of vehicles and in improving weather resistance and mechanical performance. According to the International Energy Agency, the number of electric vehicles on the road are expected to reach 125 million by 2030 from 3.1 million in 2017. This is a positive sign for the global silicone sealants market.

Technology Insights of Silicone Sealants Market

Based on technology, the market is segmented into room temperature vulcanizing (RTV), thermoset or heat cured, radiation cured, and pressure sensitive. RTV was the largest segment in 2018, accounting for a volume share of 65.4%. The demand for RTV is majorly driven by increasing penetration of acetoxy, alkoxy, and oxime silicone sealants in structural applications in building & construction and automotive industries.

Thermoset or heat cured is anticipated to be the fastest growing segment, in terms of revenue. It is expected to register a growth rate of 6.2%, over the forecast period. Thermoset silicone sealants are cross-linked polymeric resins that are cured with the help of high temperature. Their ability to withstand high temperature makes them applicable in machinery and assembly applications in various industries including aerospace and automotive.

In terms of revenue, radiation cured segment is anticipated to register a growth rate of 5.7%, during the forecast period. Radiation cured sealants are cured using UV light or electron beam. Utilization of UV light or electron beam technology for curing improves the quality of product and reduces manufacturing cost. Also, these sealants offer high cure speed at low temperatures. Such characteristics are anticipated to boost the segment growth over the forecast period.

Application insights

Based on application, the market is segmented in construction, insulating glass, automotive, industrial, and others. Construction segment is expected to grow at a CAGR of 6.0%, in terms of revenue, during 2019-2025. The product is used in construction industry for various purposes such as bathroom & kitchen fittings, floor gap sealing, fire rated joints around pipes, electrical conduits, ducts and electrical wiring within building walls and ceilings.

The growing use of the product in the construction industry is propelling major manufacturers to increase their production capacity. For example, in April 2018, Wacker Chemie AG announced opening a new production site for silicones in South Korea, where silicone sealants for the construction industry and specialty silicone elastomers for electronic applications will be produced in different facilities.

Insulating glass is anticipated to be the fastest growing segment of the market. It is expected to grow at a CAGR of 5.8% during the forecast period, in terms of volume. The product is applied as a secondary seal in insulating glass. The demand for insulating glass is increasing due to factors such as energy efficiency, acoustic insulation, and growth in economic conditions of developing countries. This is anticipated to boost the consumption of silicone sealants in the application segment.

Regional Insights of Silicone Sealants Market

North America is expected to register a CAGR of 4.0%, in terms of volume, during the forecast period. The demand for insulating glass is increasing in the region, owing to growing concerns pertaining to energy consumption. According to U.S. Green Building Council, buildings in the U.S. account for a share of 41% of total energy consumption of the country. This in turn is expected to increase the consumption of insulating glass in the country, which will have a positive impact on the demand of silicone sealants.

Europe held the second largest share of 29.8% in 2018, in terms of revenue. The product growth in the region is attributable to its increasing demand in construction and automotive industries. Although, the overall vehicles production decreased in Europe from 2017 to 2018, few countries witnessed high demand. For example, vehicle production increased in countries such as Austria, Portugal, Russia, and France by 69.7%, 67.7%, 13.9%, and 2.0% respectively.

Asia Pacific held the largest volume share of 54.8% in 2018. The large share of the region is attributable to the growing end-use industries in the developing economies. Government initiatives and schemes in India, Vietnam, Thailand, Indonesia, and other Southeast Asian countries are likely to foster silicone sealants market growth in several expanding industries.

Global


Market Share Insights of Silicone Sealants Market

The market is dominated by major players such as Dow, Wacker Chemie Ag, the 3M Company, H.B. Fuller, Bostik, Sika AG, and Henkel Corporation. Increasing production capacity and new product developments are amongst the key strategies adopted by most players of the industry.

For example, in March 2017, Dow Corning introduced new silicone technologies for the construction industry. Dow Corning 121 Structural Glazing Sealant is one of the products of the portfolio.

p2 Segments covered in the report

This report forecasts revenue and volume growth at country & regional levels, and provides an analysis of the industry trends in each of the sub-segments from 2014 to 2025. For the purpose of this study, this market research report has segmented the global silicone sealants market report on the basis of technology, application, and region:

Technology Outlook (Revenue, USD Million; Volume, Kilotons; 2014 - 2025)

  
Room temperature vulcanizing (RTV)
  
Thermoset or Heat cured
  
Radiation cured
  
Pressure sensitive

Application Outlook (Revenue, USD Million; Volume, Kilotons; 2014 - 2025)

  
Construction
  
Insulating glass
  
Automotive
  
Industrial
  
Others