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Bakelite Market Size
Bakelite Market is poised to grow at a lucrative rate from 2024 to 2032, owing to the increasing awareness about its myriad benefits like low density, high dimensional stability, surface hardness, and corrosion resistance. Of late, bakelite is gaining significant traction to produce electrical switches due to its insulating properties. Low flammability and other advantages are also contributing to the mounting product adoption across varied end-use industries, particularly automobiles.
Furthermore, the surging adoption of electric automotives mainly across APAC and European regions is likely to stimulate the market growth through 2032. For instance, the European Commission has aimed to have a minimum of 30 million electric vehicles on the road by the end of 2032, representing a significant increase in the number of EVs on European roads.
Despite a favorable growth environment, the market may encounter challenges to its steady growth, due to the hazardous nature of bakelite products to the environment and other medical concerns. For example, exposure to bakelite dust can cause various complications like mesothelioma and lung infections.
Bakelite Market Trends
Major bakelite manufacturers are strategically expanding their product portfolios and customer reach through online platforms. By launching dedicated websites, these firms are showcasing a diverse array of bakelite products for providing customers with comprehensive options and fostering greater awareness. This online presence is also facilitating global expansion and allowing companies to tap into emerging markets to meet the rising bakelite demand, further augmenting the industry outlook. For instance, in November 2023, Vaupell, a Sumitomo Bakelite Co., Ltd. group business, relaunched its website to align with its long-term growth target of extending the distribution of highly designed and creative products for delivering growing capabilities, and providing an enhanced customer experience.
Bakelite Market Analysis
In terms of type, the alcohol-soluble bakelite industry is projected to grow significantly through 2032 attributed to the strong electrical and thermal resistance capabilities, leading to the increasing preference for electrical insulators and molded items. Alcohol-soluble bakelite is gaining traction as a thermosetting phenolic resin in coatings, adhesives, and printing inks. Additionally, industries, such as automotive and electronics are prefering alcohol-soluble bakelite for its excellent adhesion, chemical resistance, and durability. With the rising demand for environmentally friendly and efficient solutions, the adoption of alcohol-soluble bakelite is likely to grow.
With regards to end-user, the bakelite market from the automotive segment is estimated to witness growth between 2024 and 2032, driven by the increasing demand for lightweight, durable, and heat-resistant materials. The exceptional properties of bakelite, including high mechanical strength and electrical insulation are surging its adoption for manufacturing components like handles, knobs, and electrical connectors in automobiles. Moreover, the cost-effectiveness and versatility offered by bakelite will also contribute to its rising prominence in the automotive sector.
From a regional perspective, the Asia Pacific bakelite industry is set to exhibit robust growth during 2024-2032 attributed to the burgeoning demand for durable and versatile thermosetting plastics across the region. The presence of robust manufacturing sector coupled with the increased industrialization is fueling the adoption of bakelite in various applications, such as electrical insulators, automotive components, and consumer goods. Rapid economic development in countries, such as China and India, and the rising middle-class population is also driving the use of bakelite in diverse industries, further accelerating the regional market expansion.
Bakelite Market Share
Strategic mergers and acquisitions, business expansions, and new product launches are among the varied initiatives essayed by bakelite industry players to sustain their share in the global market space. To illustrate, Hexion Inc. stands out as a key industry player for its leadership in thermosetting resins. The company's expertise and product offerings are making way for industry advancements.
The competitive landscape of the bakelite market comprises companies, such as:
- Sigma Laminates
- Romit Resins Pvt. Ltd.
- Hexion Inc.
- Sumitomo Bakelite Co., Ltd.
Bakelite Industry News
• In October 2023, Sumitomo Bakelite, a leading Japanese chemical manufacturing firm acquired 90% shares of a new company formed by dividing Asahi Kasei Pax's film division.
• In August 2023, Bakelite Synthetics decided to buy Canada-based LRBG Chemicals, to strengthen its presence and provide superior service to the northeastern parts of Canada and the U.S.