The global synthetic rubber market to grow at a CAGR of 5.16% during the period 2017-2021.
Global Synthetic Rubber Market 2017-2021, has been prepared based on an in-depth market analysis with inputs from industry experts. The report covers the market landscape and its growth prospects over the coming years. The report also includes a discussion of the key vendors operating in this market.
The latest trend gaining momentum in the market is Rising acceptance for green tires. Around 5-10 gallons of petroleum are required to manufacture a tire. The concept of manufacturing green tires mainly refers to the enhancements in fuel economy that is a result of reducing the rolling resistance of tires. It is generally achieved using special rubber formulations. Around 86% of the tire’s ecological impact hovers around how it impacts the fuel consumption. Green tires are those that have enhanced performance in terms of rolling resistance, mileage, road grip, and noise emissions.
According to the report, one of the major drivers for this market is Increasing preference over natural rubber. The market is witnessing an increasing demand for synthetic rubber over natural rubber mainly because of their significantly less price and a wide variety of options to meet the increasing demand. The development of synthetic rubber itself was due to the high price and less supply of natural rubber. The decline in the natural rubber supply coincided with World War I and II, prompting the need for low-cost products with steady supplies in order to make tires. This resulted in the production of SBR and butadiene rubbers. With time, more synthetic rubber products were developed and introduced into the market.
Further, the report states that one of the major factors hindering the growth of this market is Fluctuating raw material cost. Price fluctuations of raw materials that are used to manufacture synthetic rubber pose a major challenge to the synthetic rubber manufacturers. Naphtha monomers such as ethylene and propylene, the major raw materials for synthetic rubber, are manufactured from compounds such as ethane and propane. Over the past few years, the synthetic rubber market has witnessed monomer price volatility. The prices of these petrochemicals are dependent on the price of natural gas and crude oil. Due to the demand-supply imbalance and the volatile political situation in the Middle East, which has the major share of world oil supply, there has always been increased volatility in