Market Trends of Polyaryletherketone (PAEK) Industry
Automotive Segment to Dominate the Market
- Polyaryletherketone (PAEK) is widely used in a variety of applications in industries. However, the demand for PAEK in the automotive industry has seen a major boost in recent times due to the properties exhibited by the material.
- PAEK is utilized in the automobile industry in areas such as drive-train, engine assembly, brake systems, gears, bearings, and under-the-hood piston units. This is due to its distinct features, which include superior creep resistance, wear endurance, and temperature resistance. These PAEK properties improve the consistency of automotive components.
- According to the Organization Internationale des Constructeurs d'Automobiles (OICA), roughly 85 million vehicles were built in 2022, representing a 6% increase over overall production in the previous year. Cars accounted for 71% of total output, while commercial vehicles accounted for the remaining 29%.
- Additionally, the Society of Motor Manufacturers and Traders estimated that over 775,000 cars would be manufactured in the United Kingdom in 2022. Aside from that, around 68,600 cars were manufactured in the United Kingdom in January 2023.
- With the advancement in technology, especially in electric vehicles, the demand for polyaryletherketone (PAEK) is also expected to grow exponentially due to its high strength-to-weight ratio and resistance to heat and electricity.
- According to the World Economic Forum, approximately 4.3 million new battery-powered electric vehicles (BEVs) and plug-in hybrid electric vehicles (PHEVs) were sold globally in the first half of 2022. Furthermore, BEV sales increased by almost 75% year on year, while PHEV sales increased by 37%. Furthermore, global electric car sales exceeded 5.7 million units in the first eight months of 2022, and the plug-in electric car market share climbed by about 15%.
Therefore, this rising number of vehicle production and the increasing usage of PAEK in electric vehicles due to their numerous advantages are driving the demand for the studied market forward.
Understand The Key Trends Shaping This Market
Download Sample
Asia-Pacific to Dominate
- The Asia-Pacific region dominated the market for polyaryletherketone (PAEK) market due to rising demand and increasing investments in industries such as automotive, electrical and electronics, oil and gas, and aerospace, among others, in countries such as China, India, and Japan.
- China has been the largest and most dominant nation in terms of vehicle production and sales of all types. According to the Chinese Association of Automobile Manufacturers (CAAM), China's automotive production increased by 3.4% in 2022 over the previous year. In 2022, roughly 27 million vehicles were produced, up from 26.08 million units in 2021.
- Moreover, China was also the major producer of electric vehicles, covering half of the market production, According to CAAM, approximately 7 million new energy vehicles were produced in 2022, almost double the production in the previous year. The country has already produced close to 1 million new energy vehicles in the first two months of 2023.
- Furthermore, India has been working on the country's electric vehicle industry for several years. According to a report by the Centre for Energy Finance (CEEW), India has a USD 206 billion opportunity for electric vehicles by 2030, which will necessitate an expenditure of USD 180 billion in vehicle manufacturing and charging infrastructure.
- Seals, compressor rings, valve parts, gears, bearings, and wire coatings are other applications for PAEK in the oil and gas industry. It is utilized in medical equipment because of its exceptional resistance to hydrolysis and because it does not degrade when sterilized. PAEK is also frequently utilized in the electronics sector as insulators and coatings for wire and motors.
- According to ZVEI, the Asian electro market was worth EUR 3,106 billion (USD 3,674 billion) in 2021, representing a 10% increase. The market grew by 13% in 2022 and is expected to expand by 7% in 2023. China's market is the world's largest, even larger than the combined markets of all developed nations. The Chinese market contributed EUR 2,069 billion (USD 2,447 billion) or 41.6% of the global market in 2021. Additionally, the Chinese electronic industry expanded by 14% in 2022 and is predicted to grow by 8% in 2023.
- According to the Japan Electronics and Information Technology Industries Association (JEITA), the total production value of Japan's electronics sector was more than JPY 10.1 trillion (84.5 USD billion) by November 2022, representing approximately 100.7% of the previous year's figure.
- Hence, with the rapidly growing end-user industries in countries of the Asia-Pacific region, the region is expected to dominate the global market during the forecast period.
Get Analysis on Important Geographic Markets
Download Sample
