Precipitated Silica Market Size & Analysis, Sector / Industry Report & Analysis 2020, & Forecast 2021-2026 (Includes Business Impact of COVID-19)

                                          
Abstract, Snapshot, Market Analysis & Market Definition: Global Precipitated Silica Market


The global Precipitated Silica market size is projected to reach US$ 3.6 billion by 2026, from US$ 2.28 billion in 2020, at a CAGR of 7.9% during 2021-2026. Rising demand from rubber, agrochemicals, and oral care industries is the major factor driving the growth of the industry.

Tires is the largest application of precipitated silica. Therefore, the market is significantly driven by the dynamics of the global automotive market. Rising disposable income in Asia Pacific has led to huge production of automobiles in the region. Asia Pacific is the biggest manufacturer of automobiles in the world with an estimated production of 53.5 million units in 2017. This makes Asia Pacific a significant market for precipitated silica.

When combined with tire rubbers, precipitated silica helps improves the tire grip while simultaneously decreasing its rolling resistance. Therefore, tires manufactured with this product, reduces the fuel consumption of an automobile by as much as 7%. Such tires are called green tires. Consumption of the product in green tires is twice that of in normal tires. The share of green tires was estimated at 15.0% in 2011 and extended to 45.0% in 2018. This positive trend of green tires is anticipated to continue owing to supportive government regulations for green tires.

Carbon black is one of the major substitutes of the product and acts as a restraint for the market growth. Carbon black is also used as a reinforcing agent in tires, and in multiple types of boots, pads, wiper blades, and conveyor wheels. However, recent trend indicates tire manufacturers replacing carbon black with precipitated silica on account of eco-friendly benefits and stronger performance deliver by the latter.

Market Segmentation, Outlook & Viewpoint: Global Precipitated Silica Market

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

  
Rubber
  
Agrochemicals
  
Oral care
  
Food
  
Others

Key Players, Recent Developments & Regional Insights: Global Precipitated Silica Market

Rubber led the precipitated silica market with 52.7% revenue share in 2018. The product is extensively used in rubber industry, particularly as a reinforcement filler in tires. Tire manufacturers are currently focused on increasing green tire production owing to increasing pressure on vehicle makers to meet rising fuel-economy targets and reduce vehicle emissions. This is anticipated to propel the product demand in the forthcoming years. Non tire applications of the product include silicone rubber, footwear soles, and industrial rubber.

Agrochemicals application is forecasted to register a CAGR of 7.3% over the forecast period. Precipitated silica is used in liquid agrochemicals to provide visco-elastic properties. It is utilized rheology modifier and as an anti-settling additive. It prevents the agglomeration of active ingredients in liquid formulations to avoid sedimentation. In addition, the product is used as a process aid, free-flowing aid, milling aid, and anti-cracking aid in solid agrochemicals.

Growing awareness regarding oral hygiene across the globe is expected to stimulate the product demand especially from toothpaste industry. Precipitated silica is used in the manufacturing of transparent and medicated toothpaste, wherein it acts as a cleaning, polishing, and whitening agent. Rising consumer awareness regarding healthy lifestyle, wellness, and hygiene is expected to propel the product demand in oral care application over the forecast period.
Other applications include paints and coatings, defoamers, plastics, and adhesives and sealants. The product is extensively utilized in paints and coatings, wherein it acts as anti-settling, matting, thickening, and thixotropic agent. The silica grade of products for paints and coatings is utilized to provide enhanced efficiency in medium polar and non-polar solvents.

Regional Insights

Asia Pacific led the market with a revenue share of 43.4% in 2018. Furthermore, it is estimated to be the fastest growing regional market over the forecast period. The massive industrialization, huge construction spending, and increasing production of automotive tires in the region is expected to drive the product demand.
North America was the second largest contributor with a revenue share of 21.3% in 2018. Rising demand for tires is significantly driving rubber application in U.S. For instance, according to the U.S. Tire Manufacturers Association (USTMA), tire shipments for passenger cars and trucks in the country are poised to register significant growth over the next few years. This is anticipated to propel the product demand in North America.

Europe is poised to register a steady CAGR over the forecast period. The European construction output recorded a volume growth of approximately 2.8% in 2018 and is expected to grow at an average rate of 1.6% from 2019 to 2021, owing to rising construction spending on residential and non-residential infrastructure. Eastern Europe is anticipated to record a massive growth in construction by 9.1% in 2019. These developments are estimated to provide a suitable platform for the product demand in the region for applications such as paints and coatings and adhesives and sealants.

Central and South America is estimated to witness steady growth owing to the increasing automotive production and investments in housing and public sector in the forthcoming years. South America witnessed significant growth in the total motor vehicle production by 20.3% from 2016 to reach 3,211,348 units in 2017. This is estimated to drive the regional market over the forecast period.

Precipitated Silica Market Share Insights

Key market players include Evonik Industries, W.R. Grace & Co., Huber Engineered Materials, Solvay SA, PPG Industries Incorporated, Tosoh Silica Corporation, Madhu Silica Pvt. Ltd, and PQ Corporation. Capacity extension is the key strategy adopted by the companies to cater to the product demand and to gain greater market share.
Companies are extending their existing manufacturing capacities or setting up new plants to cater to the demand from tire manufactures. For instance, in October 2018, Evonik Industries invested about USD 120 million and started a precipitated silica plant for the tire industry in South Carolina, U.S. Moreover, in October 2016, PPG completed the project of expanding the precipitated silica production capacity at Delfzijl, Netherlands to meet the growing global demand.

Key Insights Covered: Global Precipitated Silica Market

1. North America, Europe, Asia Pacific, Middle East & Africa, Latin America market size (sales, revenue and growth rate) of Precipitated Silica industry.
2. Global major manufacturers operating situation (sales, revenue, growth rate and gross margin) of Precipitated Silica industry.
3. Global major countries (United States, Canada, Germany, France, UK, Italy, Russia, Spain, China, Japan, Korea, India, Australia, New Zealand, Southeast Asia, Middle East, Africa, Mexico, Brazil, C. America, Chile, Peru, Colombia) market size (sales, revenue and growth rate) of Precipitated Silica industry.
4. SWOT analysis, New Project Investment Feasibility Analysis, Upstream raw materials and manufacturing equipment & Industry chain analysis of Precipitated Silica industry.
5. Global market size (sales, revenue) forecast by regions and countries from 2019 to 2024 of Precipitated Silica industry.

Research Methodology: Global Precipitated Silica Market

  
Data collection and base year analysis is done using data collection modules with large sample sizes. The market data is analyzed and forecasted using market statistical and coherent models. Also market share analysis and key trend analysis are the major success factors in the market report. To know more please Request a Sample Report.
  
Demand Side Primary Contributors: OEMs, Industrial Professionals, Researches, Suppliers and Distributors, Group Purchasing Organizations, Associations, Insurers, Universities, Technological Writers, Scientists, Promoters, Investors among others.
  
Supply Side Primary Contributors: Product Managers, Marketing Managers, C-Level Executives, Distributors, Market Intelligence, Regulatory Affairs Managers among other