EPDM Market by Application (Automotive, Building & Construction, Plastic Modification, Tires & Tubes, Wires & Cables and Lubricant Additives), Manufacturing Process, Region (North America, Europe, APAC, MEA, and South America) - Global Forecast to 2028
The EPDM market size is estimated to be USD 3.9 billion in 2023, and it is projected to reach USD 5.2 billion by 2028 at a CAGR of 5.9%. One of the key factors expected to propel the growth of the EPDM market is the increasing usage of EPDM in automotive and construction & building application areas. Additionally, growth potential in emerging economies in the Asia Pacific region offers opportunities for the EPDM market.
EPDM Market Size, Dynamics & Ecosystem
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EPDM Market Dynamics
Driver: Increasing use of EPDM polymer in blended products
EPDM, an elastomer renowned for its resilience against ozone, UV radiation, temperature fluctuations, and weathering, does not, however, possess resistance to hydrocarbon fuels. To augment its performance, it is often combined with other chemical compounds. When bolstered with butyl rubber (IIR), EPDM gains strength and resilience against ozone and heat, making it ideal for tire inner tubes. In various tire applications, EPDM blends with natural rubber and styrene-butadiene rubber (SBR). The tire industry, buoyed by the steady recovery of the automotive sector, is expected to drive demand for EPDM in this domain.
Restraint: Availablity of substitutes of EPDM
EPDM rubber stands out for its exceptional resistance to ozone, UV radiation, and weathering, boasting an extended product lifespan compared to other elastomers. However, it does exhibit limitations such as
- EPDM demonstrates inadequate resistance to non-polar solvents and petroleum-based fuels.
- For sheet roofing applications, EPDM primarily comes in black.
- Recycling is difficult.
In response, companies are directing efforts toward crafting products with heightened performance and sustainability. They're exploring diverse thermoplastic elastomers like TPV and TPO, which are gradually replacing EPDM rubber in automotive and construction applications.
Opportunity: Development of environment-friendly technology for production of EPDM
Companies are concentrating their efforts on developing environmentally friendly technologies and products across various end-use industries to minimize CO2 footprints. By utilizing renewable raw materials in production processes, they aim to enhance sustainability. This technology is anticipated to yield substantial revenue streams as it not only conserves energy but also increases production rates by significantly reducing the number of manufacturing steps required for EPDM. Moreover, operational costs and time are further reduced as the catalyst stage is eliminated from the manufacturing process. Arlanxeo, based in the Netherlands, is at the forefront of this movement, producing bio-based EPDM under the product grade name Keltan ECO. Derived from sugarcane, ethylene is obtained from ethanol to produce this EPDM, which boasts a bio-based content of up to 70%.
Challenges: Difficulty in recycling of EPDM
EPDM stands as a thermoset elastomer, created from ethylene and propylene monomers, which facilitates cross-linking or vulcanization at elevated temperatures using cross-linking agents such as sulfur or peroxides. While thermoset rubbers exhibit enhanced performance in terms of temperature and chemical resistance, they pose challenges in recycling compared to thermoplastic elastomers. This recycling difficulty arises from the presence of the cross-linked structure inherent in thermoset rubbers.
ECOSYSTEM OF EPDM MARKET
EPDM Market Segmentation & Geographical Spread
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“Automotive segment emerges as the fastest growing by application segment in the EPDM market.”
Categorized on the basis of application, the EPDM market includes segments such as automotive, building & construction, plastic modifications, tires and tubes, wire & cables, lubricant additives, and other applications. Notably, the automotive segment emerges out as a fastest-growing segment within this market. Moreover, with the continuous improvement in living standards and the ongoing development of new technologies, the market is poised for further expansion in the near future.
“Solution Polymerization process is fastest growing segment by form in the EPDM market.”
In terms of the manufacturing process, the solution polymerization process emerges as the largest and most rapidly expanding segment of EPDM during the forecast period. Current polymerization and catalyst technologies offer the capability to tailor polymers to meet precise and challenging application and processing requirements.
“APAC is the speediest-growing market for EPDM market.”
The Asia Pacific region stands out as the largest and most rapidly expanding market for EPDM, closely followed by North America and Europe. The growth of the EPDM market in Asia Pacific is fueled by heightened demand across various end-use industries within the region. Key areas driving this demand include construction and building, automotive, plastic modifications, tires and tubes, wire and cables, lubricant additives, and others. The market's momentum in this region is propelled by the automotive sector's recovery in countries such as China, India, and Southeast Asian nations. The shift towards the development of New Energy Vehicles (NEVs) to mitigate carbon emissions is poised to further drive the automotive industry which supports the growth of EPDM in the forecast period.
Key Market Players
Key stakeholders steering the trajectory of the EPDM market include ARLANXEO (Netherlands), DOW (US), Exxon Mobil Corporation (US), Kumho Polychem (South Korea), PetroChina Company Limited (China), Versalis S.p. A.(Italy), SK geo centric Co., Ltd. (South Korea), ENEOS Holdings, Inc. (Japan), and Mitsui Chemicals, Inc. (Japan. To solidify their positions in this competitive market, these industry frontrunners have judiciously employed a range of growth strategies. This encompasses acquisitions, diversifying their product lineup, geographical expansions, and others. Through these strategic maneuvers, they aim to cater to the escalating demand for EPDMs, particularly from dynamic emerging markets.
Read More: EPDM Companies
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Get online access to the report on the World's First Market Intelligence Cloud
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- Competitor Analysis with Interactive dashboard
- Latest News, Updates & Trend analysis
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Report Metric |
Details |
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Years Considered |
2017–2028 |
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Base year |
2022 |
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Forecast period |
2023–2028 |
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Unit considered |
Value (USD Million/Billion) |
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Segments |
Manufacturing Process, Application, and Region |
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Regions |
Asia-Pacific, North America, Europe, South America, and Middle East & Africa. |
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Companies |
The major players are ARLANXEO (Netherlands), Exxon Mobil Corporation (US), DOW (US), Kumho Polychem (South Korea), PetroChina Company Limited (China), Versalis S.p. A. (Italy), SK geo centric Co., Ltd. (South Korea), Mitsui Chemicals, Inc. (Japan), Lion Elastomers LLC (US), ENEOS Holding, Inc. (Japan), SABIC (Saudi Arabia), and others are covered in the EPDM market. |
This research report categorizes the global EPDM market on the basis of Type, End-use Industries, and Region.
EPDM Market, By Manufacturing Process
- Solution Polymerization Process
- Slurry/Suspension Process
- Gas-phase Polymerization Process
EPDM Market, By Application
- Automotive
- Building & Construction
- Plastic Modifications
- Tires & Tubes
- Wire & Cables
- Lubricant Additives
- Other Applications
EPDM Market, By Region
- Asia Pacific (APAC)
- North America
- Europe
- South America
- Middle East & Africa
The market has been further analyzed for the key countries in each of these regions.
Recent Developments
- In June 2023, ARLANXEO has partnered with Qingdao University of Science and Technology, to invest in enriching the local talent, which further helps to support the upgradation of the synthetic rubber industry in China.
- In February 2023, Lion Elastomers signed a distribution agreement with Prime Plastics to distribute its products in the EU market.
- In November 2022, Lion Elastomers signed a distribution agreement with ChemSpec Canada Inc. to distribute its products in Canada.
- In October 2022, Lion Elastomers collaborated with ARISAN, to sell the company’s product in Turkey.
- In August 2022, Lion Elastomers invested USD 22 million to construct a new multi-level production building housing two new finishing lines at its elastomeric polymer manufacturing facility in Ascension Parish
- In March 2022, ARLANXEO has increased the annual capacity of the EPDM plant by 15%. This helps to meet the rising demands for EPDM across the country.
Frequently Asked Questions (FAQ):
What growth prospects does the EPDM market present?
Increasing urbanization, improving living standards, and increasing disposable income, led to a rise in the demand for automotive vehicles which drives the demand for EPDM. Apart from this, increasing demand from several application areas such as building & construction, plastic modifications, tires & tubes, etc. also propel the demand for EPDM.
What are the major catalysts used in production of EPDM?
Ziegler-Natta catalyst and Metallocene catalysts are catalyst, mainly used in production of EPDM.
Which application predominantly utilizes EPDM?
On the basis of application, the market is segmented into the following applications such as construction and building, automotive, plastic modifications, tires and tubes, wire and cables, lubricant additives, and others. The automotive segment holds the largest market share, where EPDMs are used in making seals, gaskets, hoses, tubing, weatherstrips, etc.
Which companies are at the forefront of the EPDM market?
The major manufacturers of EPDM are ARLANXEO (Netherlands), DOW (US), Exxon Mobil Corporation (US), Kumho Polychem (South Korea), PetroChina Company Limited (China), Versalis S.p. A. (Italy), SK geo centric Co., Ltd. (South Korea), ENEOS Holdings, Inc. (Japan), and Mitsui Chemicals (Japan).).
What are the prime factors that are poised to influence the market in the forecast period?
Growing automotive industry, construction activities, and technological advancements help to propel the demand for EPDM in the forecast period. Apart from this, raising sustainability concerns, which focuses on the development of New Energy Vehicles (NEVs) to mitigate carbon emissions. This also helps to boost the demand for EPDM in the forecast period. .
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This research involved the use of extensive secondary sources and databases, such as Factiva and Bloomberg, to identify and collect information useful for a technical and market-oriented study of the EPDM market. Primary sources included industry experts from related industries and preferred suppliers, manufacturers, distributors, technologists, standards & certification organizations, and organizations related to all segments of the value chain of this industry. In-depth interviews have been conducted with various primary respondents, such as key industry participants, subject matter experts (SMEs), executives of key companies, and industry consultants, to obtain and verify critical qualitative and quantitative information as well as to assess growth prospects.
Secondary Research
In the secondary research process, various sources such as annual reports, press releases, and investor presentations of companies; white papers; and publications from recognized websites and databases have been referred to for identifying and collecting information. Secondary research has been used to obtain key information about the industry's supply chain, the total pool of key players, market classification and segmentation according to the industry trends to the bottom-most level, regional markets, and key developments from both market- and technology-oriented perspectives.
Primary Research
The EPDM market comprises several stakeholders in the supply chain, which include suppliers, processors, and end-product users. Various primary sources from the supply and demand sides of the markets have been interviewed to obtain qualitative and quantitative information. The primary participants from the demand side include key opinion leaders, executives, managers, directors, and CEOs of companies in the EPDM market. Primary sources from the supply side include associations and institutions involved in the EPDM industry, key opinion leaders, and processing players.
Following is the breakdown of primary respondents—
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Market Size Estimation
Both top-down and bottom-up approaches were used to estimate and validate the size of the global EPDM market. The research methodology used to estimate the market size includes the following:
- The key players in the industry were identified through extensive secondary research.
- The supply chain of the industry and market size, in terms of value, were determined through primary and secondary research.
- All percentage shares split, and breakdowns were determined using secondary sources and verified through primary sources.
- All possible parameters that affect the markets covered in this research study were accounted for, viewed in extensive detail, verified through primary research, and analyzed to obtain the final quantitative and qualitative data.
- The research includes the study of reports, reviews, and newsletters of key industry players along with extensive interviews with key officials, such as directors and marketing executives.
Market Size Estimation: Bottom-Up Approach
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Market Size Estimation: Top-Down Approach
Data Triangulation
After arriving at the total market size from the estimation process explained above, the overall market was split into several segments and subsegments. To complete the overall market size estimation process and arrive at the exact statistics for all segments and subsegments, the data triangulation and market breakdown procedures have been employed, wherever applicable. The data have been triangulated by studying various factors and trends from both the demand and supply sides. In addition, the market size has been validated by using both the top-down and bottom-up approaches.
Market Definition
Ethylene propylene diene monomer or EPDM is a copolymer of ethylene, propylene, and non-conjugated diene monomers. EPDM is a synthetic rubber that is an M-class rubber under ASTM standard D-1418. It is a saturated elastomer that provides resistance against polar solvents. The major catalysts used in the production of EPDM are Ziegler–Natta catalysts or Metallocene catalysts. The major processes used in the manufacturing of EPDM are slurry (suspension), gas-phase, and solution. The solution polymerization process is usually used in the commercial production of EPDM. EPDM rubber provides resistance against heat, aging, UV, and ozone. However, EPDM shows poor resistance against hydrocarbon fuel and solvents.
Key Stakeholders
- Government, and consulting firms
- End User
- Research and Development Organizations
- EPDM manufacturers, dealers, traders, and suppliers.
Report Objectives
- To define, describe, and forecast the global EPDM market in terms of value.
- To provide insights regarding the significant factors influencing the growth of the market (drivers, restraints, opportunities, and challenges)
- To analyze and forecast the market based on manufacturing process, application, and region
- To forecast the market size, in terms of value, with respect to five main regions: North America, Europe, Asia Pacific, South America, and Middle East & Africa.
- To analyze the opportunities in the market for stakeholders and provide details of the competitive landscape.
- To strategically profile key players in the market.
- To analyze competitive developments in the market, such as new product launches, capacity expansions, and mergers & acquisitions.
- To strategically profile the leading players and comprehensively analyze their key developments in the market.
Available Customizations:
Along with the given market data, MarketsandMarkets offers customizations as per the specific needs of the companies. The following customization options are available for the report:
Product Analysis:
- Product Matrix which gives a detailed comparison of the product portfolio of each company
Regional Analysis:
- Further breakdown of the Rest of the APAC EPDM market
- Further breakdown of the Rest of Europe’s EPDM market
Company Information:
- Detailed analysis and profiling of additional market players (up to 5)
Generating Response ...
Growth opportunities and latent adjacency in EPDM Market