Global Fluorinated Ethylene Propylene (FEP) Market - 2023-2030

Overview

Global Fluorinated Ethylene Propylene (FEP) Market reached US$ 1.1 billion in 2022 and is expected to reach US$ 1.7 billion by 2030, growing with a CAGR of 8.2% during the forecast period 2023-2030.

Low-toxicity and environmentally less harmful materials are being employed as a result of increased awareness of safety and environmental restrictions. With regard to its low toxicity and inertness, FEP is used to meet regulatory requirements. The continuous development of novel FEP formulations or modifications improves its characteristics and broadens its potential applications.

FEP is a great for use in the electrical, telecommunications and electronics industries due to its impressive dielectric strength. With a dielectric strength that generally falls between 20 to 30 kV/mm, it is the perfect fit for applications that demand high voltage insulation. FEP can be easily processed to create a wide range of products including coatings, films, sheets and tubes. Its versatility when it comes to manufacturing techniques makes it an incredibly effective option.

Asia-Pacific is anticipated to witness substantial growth in the global FEP market, with projections indicating that it will account for approximately 1/4th of the total market share by 2022. The expansion is attributed to the thriving electronic manufacturing sector present in nations such as India, Japan and China. A report by the Japan Electronics and Information Technology Industries Association reveals that in January 2023, Japan imported a staggering 365 thousand flat-panel display TVs.

Dynamics

Excellent Properties of FEP

The expansion of the global FEP market is primarily attributed to its capacity for enduring corrosive substances such as acids, bases organic solvents and other compounds. Consequently, this material has gained significant traction in diverse sectors including chemical processing due to its exceptional resistance against chemicals, solvents and oils. It can also withstand strong bases like NaOH or strong acids like H2SO4 and HCL.

FEP is not sticky but has low friction properties that make it suitable for applications that do not require high friction such as gaskets, linings and cookware coatings. The nonstick qualities are highly valued in applications that call for easy release and cleanup. FEP's nonstick characteristics serve industries like food processing, packaging and manufacturing by reducing sticking and facilitating smooth production operations.

High Electrical Insulation of FEP

FEP coatings are especially suitable for applications in the semiconductor industry, where they are utilised to make wafer carriers, tubing, fittings and pump parts that are ideal for transferring high-purity chemicals. Special grades of FEP coatings are being developed to suit the stringent requirements of the semiconductor sector, which manufactures electronic equipment such as personal computers, cell phones, LCD, plasma and LED displays.

Global demand for cellphones is expanding at a rapid pace. According to TelefonaktiebolagetLM Ericsson, the total number of smartphone subscriptions will reach 6,259 million in 2021, up from 5,924 million the previous year. Furthermore, subscriptions are expected to reach 7,690 million during the following three years, boosting market development.

High Costs and Environmental Concerns

FEP is relatively expensive in comparison to other polymers, which limits its use in particular applications or sectors. The cost aspect limits its adoption, especially in price-sensitive areas. Working with skilled HVAC technicians and adhering to manufacturer requirements can provide significant insights and guarantee proper maintenance practices are implemented. Fluoropolymers generated from fluorocarbons are known to have a harmful effect on the environment.

With the rising stringent environmental restrictions, the usage and disposal of FEP and other fluoropolymers become more difficult. PFCs, particularly those generated by FEP, are well known for their environmental persistence. It has the ability to accumulate in organisms and to survive for long periods of time in soil, water and air. Furthermore, a lack of favourable reimbursement scenarios and technological penetration will likely hamper market growth.

Segment Analysis

The global fluorinated ethylene propylene (FEP) market is segmented based type, application and region.

FEP Coatings' Ability to Withstand High Temperature

During forecast period, coatings will account for around 1/3rd of the global market in 2022, fueling the sector's expansion. As FEP doesn't degrade in the sun, it is utilised as jacketing fabric for optical fibre cables and as insulation for outdoor electrical lines. It is employed in the manufacturing of electrical equipment as a semiconductor. As it can transport and store harsh chemicals, FEP is a crucial coating material that is needed in a variety of sectors for production operations.

The FEP nonstick coatings, capable of enduring temperatures as high as 500°F, are gradually taking over the previous Teflon-like nonstick cookware coatings. It is due to the fact that FEP coatings exhibit greater resistance against oxidation and wear. Fluorinated ethylene propylene, an exceptional insulator possessing unique mechanical, chemical and thermal properties, can be utilized as a substitute for Teflon, PTFE and PFA sheets.

Geographical Penetration

High Demand from Electronics in North America

North America dominated the global fluorinated ethylene propylene market in 2022, holding more than 1/3rd share of total market. Growth in the region is due to the rising need for FEP across industries such as oil & gas extraction, food manufacturing, fiber optic cables and chemical processing. Noteworthy food processing companies like PepsiCo, Tyson Foods and Nestle are actively promoting market growth in this region.

The food processing industry in North America is experiencing a significant boom driven by the increasing dependence on packaged foods and the presence of numerous food processing companies. Meanwhile, expansion anticipated within U.S. seems positive owing to considerable flourishing electronics demand. Projections from the Consumer Technology Association foresee retail sales of consumer gadgets in U.S. climbing from an estimated US$ 461 billion in 2021 to US$ 505 billion in 2022, creating high demand.

Competitive Landscape

The major global players in the market include 3M Company, Ametek Inc., AGC Inc., INOFLON, Solvay SA, Saint Gobain Performance Plastics, RTP Company, Merck KGaA, Dow and Daikin Industries Ltd.

COVID-19 Impact Analysis

As nations implemented lockdowns, travel restrictions and other measures to stop the virus from spreading, global supply lines were disrupted. The delays could have hampered raw material and finished FEP product manufacture and transportation. The epidemic caused economic uncertainty, decreased consumer expenditure and disruptions in a variety of end-use businesses.

Changes in demand for components such as wires and cables, gaskets and linings may have occurred depending on the precise applications of FEP. FEP is utilized in a variety of industries, including electronics, automotive, chemical processing and building. The magnitude of the FEP market impact would be determined by the growth of these end-use sectors during the pandemic. A slowdown in automobile production or construction, for example, has an impact on the FEP demand.

Russia- Ukraine War Impact

Russia and Ukraine are both major participants in the chemical industry and any conflict in the region has the potential to interrupt the supply chain for raw materials needed in the production of FEP. Commodity price volatility and uncertainty can be exacerbated by geopolitical conflicts. Volatility may impact raw material costs and, as a result, FEP pricing in the global market.

Uncertainty and instability cause businesses to be cautious, affecting investment decisions and market growth. Political tensions may lead to trade restrictions and penalties, hurting goods mobility and the export and import of FEP-related products. To reduce geopolitical risks, companies will rethink their supply chain policies and consider diversifying suppliers or shifting industrial facilities.

By Type

• Films and Sheets
• Pellets and Granules
• Tubes
• Coatings
• Others

By Application

• Cookware and Food Processing
• Chemical
• Oil & Gas
• Electrical and Electronic
  • Photovoltaic
  • Optical Fibers
  • Other
• Medical
• Others

By Region

• North America
  • U.S.
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Russia
  • Rest of Europe
• South America
  • Brazil
  • Argentina
  • Rest of South America
• Asia-Pacific
  • China
  • India
  • Japan
  • Australia
  • Rest of Asia-Pacific
• Middle East and Africa

Key Developments

• In December 2020, AGC Chemicals began developing new products and technologies using fluorine technology.

Why Purchase the Report?

• To visualize the global fluorinated ethylene propylene (FEP) market segmentation based on type, application and region, as well as understand key commercial assets and players.
• Identify commercial opportunities by analyzing trends and co-development.
• Excel data sheet with numerous data points of fluorinated ethylene propylene (FEP) market-level with all segments.
• PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
• Product mapping available as excel consisting of key products of all the major players.

The global fluorinated ethylene propylene (FEP) market report would provide approximately 53 tables, 52 figures and 182 pages.

Target Audience 2023

• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies