Nitrite butadiene rubber Market

• Large scale demand from the automotive industry is driving the market growth

Market CAGR for nitrile Butadiene rubber is being driven by the rising demand for rubber in various industries. NBR is widely utilised in the automotive sector, where it is most commonly found in cables, belts, and O-rings. NBR provides superior abrasion and low rolling resistance, which ensure high performance and are reasons why it is utilised in tyre treads and sidewalls. NBR is an upgraded version of natural rubber that is less expensive than natural rubber, in addition to these advantages. Consequently, the automotive sector has an impact on the development of the NBR market.

The APAC region's construction, food and beverage, medical, aerospace, and automotive industries are all expanding quickly.

Although NBR is affordable, has good water swell resistance, tear strength, and oil & grease resistance, as well as compression set resistance and resilience, there are alternatives with the same qualities. Thermoplastic elastomers (TPE), fluoroelastomers, and natural rubber are examples of elastic materials that can be utilised in place of NBR in a variety of applications. For instance, NBR has just a modest level of ozonization resistance. Consequently, TPE or fluoroelastomers can be used in its stead in aeronautics applications.

In comparison to NBR, fluoroelastomers may operate more effectively in the border temperature range, and they are extremely resistant to a wide range of organic solvents and chemicals, aliphatic, aromatic, and chlorinated hydrocarbons, as well as oils, greases, and other similar substances.

One of the main issues the NBR market is facing is the volatility of raw material costs. Due to the intense competition on the NBR market, even little shifts in the supply and demand equations have an impact on the product's pricing. Crude oil producers were compelled to lower their prices because the oil that Saudi Arabia and Nigeria sold to the US is now competing for the Asian market. Refining businesses and the upstream oil and gas industry have both been impacted by this price decline. As a byproduct of crude oil, this has impacted the market for NBR.

For instance, Nitrile Butadiene rubber (NBR) market growth will be influenced by the growing demand for NBR products from the automotive industry. The primary factors driving market expansion are the growing public awareness of radiation prevention and the rising safety concerns in healthcare. Other factors driving the nitrile Butadiene rubber (NBR) market include rising automotive applications and soaring demand for NBR gloves. Thus, this is driving the Nitrile Butadiene Rubber market revenue.

The Global Nitrile Butadiene Rubber Market Industry experiences a notable surge in demand from the automotive sector, primarily due to the increasing production of vehicles. Nitrile Butadiene Rubber is utilized in various automotive applications, including tires, seals, and gaskets, owing to its excellent abrasion resistance and durability. In 2024, the market is projected to reach 2.39 USD Billion, reflecting the automotive industry's recovery and growth. Furthermore, as manufacturers focus on enhancing vehicle performance and safety, the demand for high-quality rubber compounds is likely to rise, contributing to the overall expansion of the Global Nitrile Butadiene Rubber Market Industry.

By Region, the study provides the market insights into North America, Europe, Asia-Pacific and Rest of the World. The North American Nitrile Butadiene Rubber Market area will dominate this market, owing to an increase in the number of automotive industries which prefer using nitrile Butadiene rubber for their needed parts. In addition, the growing number of need for oil sealing caps will boost market growth in this region.

Further, the major countries studied in the market report are The U.S., Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure2: Nitrile Butadiene RUBBER MARKET SHARE BY REGION 2022 (%) Source: Secondary Research, Primary Research, Market Research Future Database and Analyst Review

Europe Nitrile Butadiene Rubber market accounts for the second-largest market share owing to the high consumption of nitrile rubber in industrial & medical gloves and automobile markets. Further, the German Nitrile Butadiene Rubber market held the largest market share, and the UK Nitrile Butadiene Rubber market was the fastest-growing market in the European region

The Asia-Pacific Nitrile Butadiene Rubber Market is expected to grow at the fastest CAGR from 2023 to 2032. This is due to increasing demand from several end-use industries such as automotive, oil & gas, footwear, metallurgy & mining, construction, medical, and others. Moreover, China’s Nitrile Butadiene Rubber market held the largest market share, and the Indian Nitrile Butadiene Rubber market was the fastest-growing market in the Asia-Pacific region.

Leading market players are investing heavily in research and development in order to expand their product lines, which will help the Nitrile Butadiene Rubber market, grow even more. Market participants are also undertaking a variety of strategic activities to expand their footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, Nitrile Butadiene Rubber industry must offer cost-effective items.

Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the Nitrile Butadiene Rubber industry to benefit clients and increase the market sector. In recent years, the Nitrile Butadiene Rubber industry has offered some of the most reliable and best-quality o-rings in the automotive industry. Major players in the Nitrile Butadiene Rubber market, including ARLANXEO, Zeon Chemicals L.P., NITRIFLEX, SIBUR, PetroChina Company Limited, Dynasol Group, Synthos S.A., and others, are attempting to increase market demand by investing in research and development operations.

SIBUR is one of the world's fastest-growing petrochemical corporations and the largest integrated petrochemicals firm in Russia. Purchases of hydrocarbons are made by the company, which processes them into plastics, rubbers, and other high-value goods.

On the Russian and worldwide markets, the Group sells its petrochemical goods through two business divisions: Olefins & Polyolefins (polypropylene, polyethylene, BOPP films, etc.), Plastics & Intermediates (EPS, PET, etc.), and Elastomers. The majority of the feedstock used by SIBUR's petrochemicals business comes from its Midstream division, which manufactures it from by-products that it purchases from oil and gas businesses. In 2022, SIBUR has launched production with design capacity 45 ktpa production of a maleic anhydride (MAN) production facility at SIBUR Tobolsk. MAN was previously not produced in Russia and domestic demand was covered by import.

LG Chem Ltd. often referred to as LG Chemical, is the largest Korean chemical company[1] and is headquartered in Seoul, South Korea. According to sales, it was the tenth-largest chemical corporation in the world in 2017.[Reference required] It was first founded as the Lucky Chemical Industrial Corporation, which produced cosmetics. Since the consumer products sector was separated into LG Household & Health Care, the firm is now only business-to-business. The corporation operates a network of 29 business locations across 15 countries, including eight factories in South Korea.

In 2020, LG Chem unveiled its plan to publicly list its energy division under the name of LG Energy Solution by December.