Global plastic dielectric films market share will witness considerable growth over 2021-2027, as a result of the burgeoning product demand from electrical and electronics sectors and renewable energy systems. Plastic dielectric films are used widely used as insulating materials in various applications like electronic packaging and capacitors due to their high thermal stability, ease of processing and favorable electrical attributes.
The rapid growth of the solar PV industry worldwide is a major trend powering plastic dielectric films market growth over 2021-2027. According to estimates from the EIA, shipments of solar PV modules in the U.S. reached a record level of 21.8 million kW in 2020. Since plastic dielectric films demonstrate strong potential in renewable energy systems, this growth is expected to contribute greatly to industry growth over the years ahead. Properties like compact size, refractory operating temperatures and high power density are among the key properties that make plastic dielectric films suitable for use in solar applications.
PP (polypropylene) is expected to emerge as a major product segment for the plastic dielectric films industry by 2027, since these products possess beneficial attributes like low dissipation factors, high insulation resistance and low dielectric absorption. PP dielectric films are used extensively in hybrid EVs, oil & gas exploration and power grids, among other applications.
From a regional standpoint, North America will emerge as a prominent revenue pocket for the plastic dielectric films market, given the presence of strong industrial sectors like automotive in nations like the US. According to NADA (National Automobile Dealers Association) estimates, new light-vehicle sales were expected to reach 16.3 million units for 2021, based on Q1 sales statistics during the year, which could in turn boost demand for polymeric dielectric films, given their usage as insulation materials in automotive applications.
Major players operating in the plastic dielectric films industry include Toray Industries, Inc., SABIC., Mitsubishi Chemical Corporation, Steiner GmbH & CO. KG and DuPont Teijin Film. These players are undertaking several strategic initatives like collaborations, product launches and mergers and acquisitions, among others to establish a firm presence in the global business landscape.
The onset of the COVID-19 crisis has created an unprecedented impact on various sectors of the global economy, due to disruptions in demand, supply and production. The production of consumer goods took a hit during the peak of the pandemic due to these reasons, which may have in turn affected plastic dielectric films market dynamics as well to a certain extent. On the other hand, solar PV additions in the United States grew by nearly 25% from 2019-2020, which could aid in industry growth over the forecast spell, given the key role of these films in solar applications.