Rubber Market Size was valued at USD 17.1 Billion in 2022. The Rubber industry is projected to grow from USD 17.98 Billion in 2023 to USD 26.98 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 5.20% during the forecast period (2023 - 2032). Increased demand for tires in the automotive industry and the expansion of the construction industry are the key market drivers enhancing the market growth.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
The market CAGR for rubber is being driven by the increasing demand for tires in the automotive industry. The automotive industry is continually expanding, with rising vehicle production and increasing consumer mobility, particularly in emerging markets. As more vehicles are manufactured and sold, there is a corresponding surge in the demand for tires. Tires are an essential component of every vehicle, ensuring safety, traction, and overall performance.
Beyond original equipment tires, the automotive industry generates ongoing demand for replacement tires due to regular wear and tear, which necessitates periodic replacements. The need for tire maintenance and replacements keeps the demand for rubber high throughout a vehicle's lifecycle. Automotive manufacturers and consumers alike are placing a greater emphasis on tire performance, fuel efficiency, and durability. To meet these expectations, tire manufacturers require high-quality rubber compounds and advanced tire technologies, which drives the demand for specific rubber formulations. The automotive industry's demand for innovation in tire design to improve performance, safety, and sustainability has led to the development of new tire types, such as eco-friendly and run-flat tires. These innovations often rely on specialized rubber compounds, further expanding the range of rubber products required. Major tire manufacturers, such as Bridgestone, Michelin, Goodyear, and Continental, are significant players in the rubber market. They are continually investing in research and development to create advanced tire technologies, relying heavily on rubber compounds to meet changing market demands.
The need for sustainable practices has prompted an increased focus on tire recycling and the use of recycled rubber in tire production. As environmental concerns become more prominent, there is growing interest in creating tires with a reduced environmental footprint, further influencing the rubber market. Developing economies are witnessing an increase in vehicle ownership, leading to a surge in the demand for tires. As these regions continue to urbanize and industrialize, the automotive market's growth potential is substantial, and with it, the demand for rubber.
The construction sector relies on rubber products for various applications, including roofing materials, seals, gaskets, and insulation, among others. As urbanization and infrastructure development continue worldwide, the demand for rubber in the construction industry rises, contributing significantly to the growth of the rubber market. Thus driving the Rubber market revenue.
The Rubber Market segmentation, based on type, includes Synthetic Rubber and Natural Rubber. The synthetic rubber segment dominates the market, accounting for the largest market revenue as synthetic rubber can be tailored to meet precise specifications, offering a level of customization and versatility that natural rubber cannot match. It is less susceptible to supply fluctuations and price volatility that can affect natural rubber production, providing greater stability to manufacturers. Synthetic rubber's diverse applications, spanning automotive tires, industrial goods, footwear, and more, make it the preferred choice for industries that require consistent quality and performance in their rubber-based products, thus driving its dominance in the Rubber Market. Further, natural rubber is anticipated to attain the fastest growth due to the demand for natural rubber in automotive applications and latex products.
The Rubber Market segmentation, based on application, includes Tire, Non-Tire Automotive, Footwear, Industrial Goods, and Others. The tire category dominates the market due to its sheer volume and critical role within the automotive industry. Tires, a primary end-use for rubber, experience constant demand from the global automotive sector, where millions of vehicles are produced annually. The need for high-performance, durable tires, coupled with the regular replacement cycle, ensures a continuous and substantial market for rubber compounds, making the tire industry the foremost driver of the rubber market. Furthermore, innovations in tire technology, including the development of eco-friendly and fuel-efficient tire solutions, continue to push the rubber market forward. Further, the non-tire automotive category is the second most dominant due to the production of gaskets, pads on pedals, floor mats, crap tube adhesives, and others.
Figure 1: Rubber Market, by Application, 2022 & 2032 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
By region, the study provides market insights into North America, Europe, Asia-Pacific, and the Rest of the World. The North American Rubber market area dominates this market due to its strong manufacturing base, extensive automotive and construction industries, and a robust demand for rubber products across diverse applications. Additionally, the region's focus on innovation and stringent quality standards in rubber production further solidify its leading position in the Rubber Market.
Further, the major countries studied in the market report are the US, Canada, Germany, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.
Figure 2: RUBBER MARKET SHARE BY REGION 2022 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Europe's Rubber market accounts for the second-largest market share due to the region's emphasis on manufacturing, automotive production, and stringent quality standards, resulting in consistent demand for rubber products across various industries. Further, the German Rubber market held the largest market share, and the UK Rubber market was the fastest-growing market in the European region.
The Asia-Pacific Rubber Market is expected to grow at the fastest CAGR from 2023 to 2032. This is due to the region's burgeoning automotive and construction industries, coupled with a growing demand for rubber-based products in manufacturing and infrastructure development. Moreover, China’s Rubber market held the largest market share, and the Indian 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 Rubber market grow even more. Market participants are also undertaking a variety of strategic activities to expand their global 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, the 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 global Rubber industry to benefit clients and increase the market sector. In recent years, the Rubber industry has offered some of the most significant advantages to the automotive industry. Major players in the Rubber market, including Arlanxeo (Saudi Arabian Oil Co.), Kumho Petrochemical Co. Ltd., LG Chem Ltd., Southland Holdings LLC, Sri Trang Agro-Industry Plc, TSRC Corporation, Unitex Rubber Co. Ltd., Vietnam Rubber Group, Von Bundit Co. Ltd., etc., and others, are attempting to increase market demand by investing in research and development operations.
GRT Rubber Technologies is a company specializing in the design, manufacture, and distribution of high-performance rubber products and solutions. Founded in 1962, GRT Rubber Technologies is based in Ohio, USA, and has established itself as a leading player in the rubber industry. The company's offerings include custom rubber products, rubber-to-metal bonding, gaskets, seals, and other engineered rubber components used in various applications, including automotive, aerospace, industrial, and medical sectors. On November 18, 2021, GRT Rubber Technologies, a leading manufacturer of engineered rubber products, announced the acquisition of Valley Rubber, a manufacturer of custom rubber solutions for tough mining and industrial applications. The two companies have significant overlap in complementary product offerings and channels, and the acquisition is expected to allow GRT to expand its geographic footprint and international presence.
Marco Rubber & Plastics is a well-established company that specializes in the distribution of high-quality rubber and plastic components. Founded in 1968 and headquartered in Seabrook, New Hampshire, Marco Rubber & Plastics has a reputation for providing a wide range of products tailored to meet the specific needs of customers across diverse industries, including aerospace, automotive, medical, and industrial sectors. On March 25, 2022, Marco Rubber & Plastics, a manufacturer and distributor of rubber and plastic products, announced the acquisition of Anchor Rubber Products, a value-added provider of O-rings, gaskets, and other specialty rubber products. The acquisition is expected to expand Marco's specialty product offering and strengthen its leadership position in North America.
May 2022: Michelin and General Motors announced a partnership to develop and commercialize sustainable tires for electric vehicles. The tires will be made with recycled materials and will be designed to reduce rolling resistance and improve fuel efficiency.
March 2022: Continental, a leading tire and automotive technology company, acquired Recogni, an AI company that develops software to detect and classify objects in real-time. The acquisition will help Continental develop new self-driving and advanced driver assistance systems.
November 2021: TorQuest Partners, a private equity firm, acquired North West Rubber, a leading manufacturer and distributor of recycled and virgin rubber matting and other flooring products. The acquisition will allow North West Rubber to continue to grow and expand its operations.
| Report Attribute/Metric | Details |
| Market Size 2022 | USD 17.1 Billion |
| Market Size 2023 | USD 17.98 Billion |
| Market Size 2032 | USD 26.98 Billion |
| Compound Annual Growth Rate (CAGR) | 5.20% (2023-2032) |
| Base Year | 2022 |
| Market Forecast Period | 2023-2032 |
| Historical Data | 2018- 2022 |
| Market Forecast Units | Value (USD Billion) |
| Report Coverage | Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends |
| Segments Covered | Type, Application, and Region |
| Geographies Covered | North America, Europe, Asia Pacific, and the Rest of the World |
| Countries Covered | The US, Canada, Germany, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil |
| Key Companies Profiled | Â Arlanxeo (Saudi Arabian Oil Co.), Kumho Petrochemical Co. Ltd., LG Chem Ltd., Southland Holdings LLC, Vietnam Rubber Group, Sri Trang Agro-Industry Plc, TSRC Corporation, Unitex Rubber Co. Ltd., Von Bundit Co. Ltd., etc. |
| Key Market Opportunities | ·      The expansion of the construction industry. |
| Key Market Dynamics | ·      Increased demand for tires in the automotive industry. |
Rubber Market Highlights:
Frequently Asked Questions (FAQ) :
The Rubber Market size was valued at USD 17.1 Billion in 2022.
The global market is projected to grow at a CAGR of 5.20% during the forecast period, 2023-2032.
North America had the largest share of the global market
The key players in the market are Arlanxeo (Saudi Arabian Oil Co.), Kumho Petrochemical Co. Ltd., LG Chem Ltd., Southland Holdings LLC, Sri Trang Agro-Industry Plc, TSRC Corporation, Unitex Rubber Co. Ltd., Vietnam Rubber Group, Von Bundit Co. Ltd., etc.
The synthetic category dominated the market in 2022.
The tire had the largest share in the global market.
Leading companies partner with us for data-driven Insights.
Kindly complete the form below to receive a free sample of this Report
Team Lead - Research With a technical background as bachelor's in mechanical engineering, with mba in operations management , swapnil has 6+ years of experience in market research, consulting and analytics with the tasks of data mining, analysis, and project execution. he is the poc for our clients, for their consulting projects running under the automotive/a&d domain. swapnil has worked on major projects in verticals such as aerospace & defense, automotive and many other domain projects. he has worked on projects for fortune 500 companies' syndicate and consulting projects along with several government projects.
Get in Touch
© 2024 Market Research Future ® (Part of WantStats Reasearch And Media Pvt. Ltd.)
