High-Performance Fluoropolymers Market: Current Analysis and Forecast (2022-2028)

High-Performance Fluoropolymers Market: Current Analysis and Forecast (2022-2028)

The global high-performance fluoropolymers market is likely to showcase a growth of around 7% during the forecast period. High-performance fluoropolymers are versatile in nature as a result found usage in a wide range of diversified industries including industrial processing, transportation, electrical & electronics, medical, and others. Further, due to their superior properties over conventional polymers, companies are increasingly preferring high-performance fluoropolymers owing to increased demand for better quality products among consumers. Further, increasing investment in electrical & electronics and the healthcare sector is fueling the market growth. However, in light of COVID-19, the industry witnessed a fall in polymer demand. Due to the Covid-19 pandemic, supply chains were disrupted, companies suffered from scarcity of labor, logistics hurdles, and ailing financial health. This reduced the demand for high-performance fluoropolymers significantly.

Based on type, the market is categorized into PTFE, FEP, PFA, ETFE, and others. PTFE held a lucrative share in the market and is expected to showcase robust growth during the forecast period owing to large and growing application areas. Due to its vast range of properties, it is widely used in aerospace and defense, industrial, cookware, and automotive. Further, PTFE is among the most preferred organic material in 5G networking equipment, as it has one of the lowest dielectric constants among organic materials. Therefore, with the increasing deployment and advancement in 5G technology, the demand for PTFE would also increase.

Based on application, the market is categorized into coatings & liners, components, films, additives, and others. Among these, coatings & liners held a prominent share of the market. Over the years, industrial production has increased manifold owing to the growing population, urbanization, and improving the standard of living. This has created a demand for products which does not only suffice the general requirement but are also safe and provide high performance. Owing to which companies are focusing on fluoropolymer coatings in order to meet consumer expectations and provide value addition in the final product. Fluoropolymer coating has non-stick, chemical resistance, non-wetting, and corrosion resistance properties. It also has very low dielectric and dissipation factors that provide superior signal insulation to data transmission networks. Therefore, in the era of the digital world, where low latency is a must in order to deal with complex data, thus with increasing digitalization demand for fluoropolymer coating is expected to see robust growth from the semiconductor industry.

Based on end-user, the market is categorized into industrial processing, transportation, electrical & electronics, medical, and others. Electrical & electronics is expected to showcase robust growth during the forecast period. In light of COVID-19, people started working from remote locations. This has created a surge for electronic devices; however, the industry is falling short of meeting the growing demand due to a shortage of semiconductors. Therefore, in order to build a strong supply-demand bridge, the industry has taken several steps including facility expansion. This, in turn, increases the production capacity manifold in foreseeable future. For instance, in 2022, Intel Corporation announced plans for an initial investment of more than USD 20 billion in the construction of two new chip factories in Ohio, US. Fluoropolymer is used in semiconductor manufacturing for a range of purposes. Thus, with the growth in semiconductor production, the demand for coating would also grow. In addition, large investments in the 5G deployment and advancement in technology would also play a key role in the growing demand for high-performance fluoropolymers

Asia-Pacific accounted for a prominent share in the global high-performance fluoropolymers market owing to the large base of the end-use industry including electrical & electronics, building and construction, cookware, industrial, and automotive. Further, a large and growing population coupled with rapid urbanization is supporting industrial production in the region. Besides large demographic, improving per-capita income and disposable income is encouraging consumers to purchase high-quality products, thereby increasing the demand for high-performance fluoropolymers. Further, the region is expected to showcase robust growth during the foreseeable future as well due to semiconductor industry facility expansion in order to deal with growing demand. Government favorable policies to support the semiconductor industry are luring international companies to open their manufacturing facility in the regional country. For instance, the Government of India envisioned a comprehensive program for developing the semiconductors and display manufacturing ecosystem in India with a budget of over USD 10.2 billion (INR 76,000 crore).

The key players with a considerable market share in the global market include Solvay S.A., Arkema S.A., Rochling SE & Co. AG, The Chemours Company, Daikin Industries Inc., The 3M Company, AGC Inc., Shandong Dongyue Polymer Material Co. Ltd., Gujarat Fluorochemicals Limited, and Fluorseals S.p.A.