Thermoplastic Elastomers: India Market Scenario, Trends, Opportunity, Growth and Forecast, 2020-2030

Market Definition

Elastic Rubber and Thermoplastic Material are crosslinked to create Thermoplastic Elastomers (TPE), a subclass of copolymers. Stretchability, chemical resistance, and great performance at both low and high temperatures are all characteristics of thermoplastic elastomers. Styrenic Block Copolymers (SBC), Thermoplastic Olefins (TPO), Thermoplastic Polyurethanes (TPU), Thermoplastic Vulcanizate (TPV), Copolyester Ether Elastomers (COPE), and Others, such as Polyether Block Amide Elastomers, Melt Processable Rubbers, etc., are examples of different types of thermoplastic elastomers.

Market Insights

The use of thermoplastic elastomers in place of PVC for production purposes is a priority for Indian manufacturers in the automotive, consumer durables, and medical sectors. TPE is frequently used as an environmentally friendly alternative to PVC because of its capacity to perform well without having any negative effects on consumers or the environment. The Government of India’s adoption of ecologically friendly policies has a favourable impact on the nation’s strong growth in demand for thermoplastic elastomers. Increasing use of eco-friendly copolymers, like thermoplastic elastomers, which may benefit a wide range of end users economically is anticipated to boost the India thermoplastic elastomers market through 2030.

The Indian thermoplastic elastomers market is anticipated to expand at a CAGR of 6.30% in volume terms between 2024 and 2030 as a result of the country’s significant automotive industry growth. The potential of thermoplastic elastomers to give plastic-based products more flexibility and wear-and-tear resistance is also anticipated to increase their demand in the nation.

Another significant reason propelling the expansion of the thermoplastic elastomers market in India is the numerous uses of thermoplastic elastomers in the consumer goods, industrial, and medical sectors. Through 2030, India’s growing industrial sector and increasing consumer awareness of the benefits of using environmentally friendly products are predicted to increase demand for thermoplastic elastomers.

In 2022, SBC dominated the India thermoplastic elastomers market with a volume share of 46.76%. The segment is anticipated to maintain its dominance through 2030 as well owing to its wide range of applications in automotive, consumer goods and medical industries. Apart from these applications, SBCs are also used in building & construction sector. By the end of 2030, the share of SBC in India thermoplastic elastomers market is expected to reach 47.89%, in volume terms.

The automotive industry of India is the largest end user of thermoplastic elastomers. In 2022, automotive sector accounted for a volume share of 51.08% of India TPE market. The industry is expected to maintain its dominance through 2030 due to expanding automotive production in the country. Easy availability of skilled labour, lower capital investment and raw material availability at economical prices is compelling the global automotive manufacturing companies to shift their production bases from Western countries to India. India is low-cost manufacturing base for automotive sector, due to which the country has experienced a strong growth in production of automobiles.

Market Dynamics: Drivers

Expanding Automotive Industry

India’s thermoplastic elastomer (TPE) market is anticipated to expand at a rapid rate during the forecast period as a result of the nation’s rising automotive production and the rising demand for light-weight automobiles. The demand for thermoplastic elastomers from the country’s automotive industries is also anticipated to rise during the forecast period as a result of the relocation of automotive manufacturing bases from Western nations to India and the growing efforts of automakers to reduce greenhouse gas emissions by developing fuel-efficient light-weight vehicles.

Advancements in Medical Industry

The medical business in India is becoming a developing arena for TPEs in the nation as a result of growing technological improvements in production techniques. Prior to the use of TPE, the medical sector produced medical devices such syringes, IV bags, medical tubing, etc. using thermosets, rubber, PVC, etc. TPEs are now being used in place of conventional polymers by medical device producers due to tightening government requirements and rising patient safety concerns. The absence of any harmful ingredients in TPEs, as opposed to traditional polymers, minimises the possibility of health risks, driving up demand for TPE in India’s medical sector.

Market Dynamics: Challenges

Highly Fragmented Industry

India TPE market is highly fragmented and competitive due to the presence of large number of domestic as well as global players. In order to counter the negative impacts of fragmented market, players operating in India TPE market are compelled to sell their products at competitive pricing with lower profit margins. In a fragmented market, the bargaining power of suppliers is always lower than the bargaining power of buyers. As a result, TPE manufacturers in India launch TPEs with premium quality at high price in India.

Market Segmentation

• Based on Type, the India Thermoplastic Elastomers market is segmented into
  • Styrenic Block Copolymer
  • Thermoplastic Polyolefins
  • Thermoplastic Vulcanizates
  • Thermoplastic Polyurethane
  • Copolyester Ether Elastomers
• Based on End Use, the India Thermoplastic Elastomers market is segmented into
  • Automotive
  • Building & Construction
  • Footwear
  • Engineering
  • Wire & Cables
  • Medical
  • Others
• Based on Region, the India Thermoplastic Elastomers market is segmented into
  • East India
  • West India
  • North India
  • South India

• All market revenue has been given in US Dollar, while the market volumes are given in tons.

Historical Year: 2020-2021
Base Year: 2022
Estimated: 2023
Forecast- 2024-2030

Key Questions this Study will Answer

• What are the key overall market statistics or market estimates (Market Overview, Market Size- By Value, Market Size-By Volume, Forecast Numbers, Market Segmentation, Market Shares) of India Thermoplastic Elastomers Market?
• What is the region wise industry size, growth drivers and challenges key market trends?
• What are the key innovations, opportunities, current and future trends and regulations in the India Thermoplastic Elastomers Market?
• Who are the key competitors, what are their key strength and weakness and how they perform in India Thermoplastic Elastomers Market based on competitive benchmarking matrix?
• What are the key results derived from the market surveys conducted during India Thermoplastic Elastomers Market study?