Sheet Molding Compound and Bulk Molding Compound Market Size

Sheet Molding Compound and Bulk Molding Compound Market Growth Projections and Opportunities

The utilization of sheet molding and bulk molding compounds in automotive and aerospace sectors stands as a pivotal driver propelling the global market's growth. These compounds find extensive application in crafting transportation components, contributing significantly to the manufacturing processes of trains and trams. Additionally, their widespread use in the electrical & electronics sector remains another influential factor. The escalating production and sales of electrical & electronics items, attributed to increased purchasing power and technological advancements, are expected to further drive market growth.

However, the market's growth trajectory might encounter obstacles due to the volatility in raw material prices during the forecast period. Nevertheless, the industry's focus on research and development geared towards bio-based semi-finished SMC products presents a promising avenue for market players to overcome these challenges and foster growth.

The market segmentation, based on type, application, and region, delineates the market dynamics comprehensively. The differentiation between glass fibers and carbon fibers within the fiber type segment showcases the glass fiber segment's significant value, estimated at USD 2,299.16 million in 2020, projected to ascend to USD 4,128.30 million by the forecast period's conclusion.

Further segmenting the market by application reveals its diversified usage across various sectors such as automotive, electrical & electronics, building & construction, marine, agriculture, and others. In 2020, the automotive application accounted for 41.18% of the market, amounting to USD 1,187.63 million, and is anticipated to witness a robust CAGR of 6.86% during the forecast period, indicating its substantial growth potential.

The Asia-Pacific region emerged as the leading and fastest-growing segment, commanding 41.72% of the global market share in 2020. Forecasts predict this region to exhibit the highest CAGR of 7.15% during the assessment period. The rapid industrialization witnessed in countries like India, South Korea, and Thailand significantly fuels the region's growth. Furthermore, factors such as the availability of low-cost raw materials, economical production and labor costs, and an increasing awareness of the advantages offered by sheet molding and bulk molding compounds contribute to the region's substantial market expansion. This growth trajectory positions Asia-Pacific as a key contributor to the global sheet molding and bulk molding compound market.