Thermal Conductive Polymer Material Market Size, Share & Share & COVID-19 Impact Analysis, By Type (Polyamide, Polybutylene Terephthalate, Polycarbonate, Polyphenylene Sulfide, Polyetherimide, and Others), By Application (Electrical & Electronics, Industrial, Automotive, Healthcare, Aerospace, and Others), and Regional Forecast, 2023-2030

The global thermal conductive polymer material market size was valued at USD 139.3 million in 2022. The market is projected to grow from USD 154.9 million in 2023 to USD 359.6 million by 2030, exhibiting a 12.8% CAGR during the forecast period. North America dominated the thermal conductive polymer materials market with a market share of 45.23% in 2022. Moreover, the thermal conductive polymer materials market size in the U.S. is projected to grow significantly, reaching an estimated value of USD 153.4 million by 2032, driven by substantial demand for consumer electronics

Thermal conductive polymers possess the properties to replace metal, ceramic, and conventional plastics in thermal management applications. These polymers are added to composite materials to increase their thermal conductivity. They are lighter in weight and have a lower density; hence, they find application in several end-use industries such as automotive, electrical/electronics, and medical. The demand for thermal conductive polymer material is expected to increase, owing to their greater impact strength, lower cost, processability, and ability to mold into different shapes.

COVID-19 IMPACT

Increased Operating Cost and Raw Material Shortage Caused by COVID-19 Hindered the Thermal Conductive Polymer Material Market Growth

In the wake of the COVID-19 pandemic, the thermal conductive polymer material demand from the automotive and electric/electronics industries has declined substantially. The electric and electronics industries were impacted by COVID-19, which hampered the market. The electronic industry was already affected by component shortages, which were further exaggerated by COVID-19 effects on the supply chain. The decreased freight capacity has limited the transportation of raw materials, which has decreased the production of thermally conductive polymer materials. Despite the downward trend in the electronics market, the microelectronics market reflected favorable results. The demand was bolstered by the demand for remote working devices and crowd computing. The demand from consumer electronics and electronics for the home office has increased post COVID-19, which, in turn, boosted the demand for thermally conductive polymers. Further, the adoption of advanced polymeric materials due to the miniaturization of electronic devices has also increased.

LATEST TRENDS

Increasing Demand due to Expanding Electric Vehicle Industry is the Key Trend

Among the biggest challenges facing Electric Vehicles (EVs) in the industry is related to thermal control. Poor thermal management can lead to inferior product performance, a shorter lifecycle, and a severe risk of thermal runaway. Thermal management plays a critical role in increasing the efficiency of electric vehicles, including charging systems, LEDs, battery packs and enclosures, housings for Advanced Driver Assistance Systems (ADAS), and Phase Change Materials (PCM) for battery cooling. Recent developments in thermally conductive polymer materials address such problems where thermal conductivity is regarded as a key attribute.

The new fast charging method for electric vehicles is built around polymeric insulated wire with good thermal performance and high ampacity. Advanced polymer materials with good thermal and electrical properties to improve the performance of EV charging cables have been produced extensively in recent times. With rising demand for EV and thermal management systems in the automotive industry, product development is expected to create multiple opportunities for the global thermal conductive polymer material and plastics market.

DRIVING FACTORS

Changing Electronics Industry Trends to Increase the Demand

Factors, such as electronic device miniaturization, thermal conductivity, space constraints, and technological advancement, in the electronic device industry have prompted material demand for thermally conductive polymers in the electrical and electronics industries. Thermal conductive polymers are challenging traditional materials, such as ceramics, metal and conventional plastics, as they provide a variety of benefits such as being lighter in weight compared to metal, having reduced component counts, being easy to mold, being resistant to scratching and abrasion, having impact strength, and costing less than metal.

Thermally conductive polymer composites, which are flexible and light in weight, are used in electronics to dissipate heat generated to the surrounding area. Using fillers with specific orientations that promote heat flow results in efficient heat dissipation. For applications where heat management is crucial, such as Light Emitting Diodes (LED), photovoltaics, and automotive electronics, thermally conducting and electrically insulating plastics are of greater interest.

Thermally conductive polymer materials are used as thermal paste in laptops, phones, and others. The rising electronics production is anticipated to escalate the market growth during the forecast period.

RESTRAINING FACTORS 

Lack of Thermal Properties and Processing Difficulties to Suffocate Demand

Plastic’s limited thermal conductivity restricts its range of use. The size of electronic components has decreased massively in recent times due to the rapid development of integration and assembly technology in the electric field, necessitating the use of insulating packaging materials with good heat dissipation.

Thermally conductive polymers are neither pure plastic nor metal. Plastic has excellent mechanical and corrosion-resistant qualities but poor thermal conductivity compared to other metals. For instance, the thermal conductivity of high-density polyethylene with maximum thermal conductivity is only 0.44 W/mK, whereas the thermal conductivity of aluminum and its alloys ranges from 88 to 251 W/mK.

Thermally conductive polymer materials possess certain processing challenges that dampen the production process. Such as

• Thermal conductive polymers are heavier due to the filler content, creating concerns while processing these products.


• Due to the substantial volume of solid, granular filler, there may be settling during transportation and storage, necessitating mixing before use.


• To provide low viscosity for processing and chemical curing for stiffness and strength, many thermally conductive polymers are created as two-component systems. The mix ratio must be tested and monitored regularly within a tight window for proper curing.

SEGMENTATION

By Type Analysis

Polyamide Segment Leads the Market Due to its Lower Cost and Exceptional Thermal Conductivity

On the basis of type, the market is segmented into polyamide, polybutylene terephthalate (PBT), polycarbonate, polyphenylene sulfide, polyetherimide, and others. The polyamide segment accounted for a significant market share owing to its exceptional thermal conductivity and lower cost. The polyamide segment was followed by the polycarbonate segment, which grew at a significant rate. Polycarbonates are thermally stable up to almost 135°C and are used in applications that demand thermal stability.

Polybutylene terephthalate is one of the thermoplastic polymers with high thermal conductivity. Properties, including high strength, rigidity, resistance to thermal deformation, and high dimensional stability, characterize polycarbonates. Polyphenylene sulfide is a polymer with exceptional chemical and thermal resistance. It is highly employed in applications that need thermal stability. It is a precursor to thermal conductive polymers and materials and can be converted to semiconducting by oxidizing or using dopants.

Polyetherimide, a high-performance engineering plastic, is one of the new classes of polymers that exhibit exceptional properties such as thermo-oxidative stability, high strength-to-weight ratio, high-temperature resistance, and others. However, the demand for polyetherimide is comparatively lower owing to its high price.

By Application Analysis

Demand from Electric & Electronic Industry to Increase the Demand

In terms of application, the market is segmented into electrical & electronics, industrial, automotive, healthcare, aerospace, and others. Thermal conductive polymers find applications in electrical and electronics as the industry always needs new and advanced solutions. Due to the need for thermal management in devices, there has been a significant increase in demand for heat sinks, heat removal devices, electric battery housing, and LED enclosures. Growing demand for electronics and electrical equipment, in turn, is boosting the thermally conductive plastics market.

The electrical and electronics segment held the largest share in 2022. Plastic compounds are comparatively lower in cost, moldable, and customizable, and they offer high thermal stability, impact strength, scratching, and abrasion resistance. The adoption of such materials owing to their exceptional properties is expected to bolster the demand for thermally conductive polymer materials.

In the automotive sector, thermal conductive polymer materials are used in various automotive components. Heat dissipation is one of the most critical aspects of the performance and reliability of automotive systems. Growing demand from all-electric vehicles, multifaceted automotive and large commercial LED lighting, battery modules, and brackets is driving the segment’s growth.

Thermal conductive polymer materials are used in general industrial applications owing to their chemical and thermal stability, versatility, and cost-effectiveness. In the healthcare industry, conductive thermoplastic compounds are employed in manufacturing minuscule, high-strength components. These polymer materials can withstand sterilization procedures, such as autoclaves, and are thus employed in healthcare applications.

REGIONAL INSIGHTS

The thermal conductive polymer material market share of North America is dominant and was valued at USD 63 million in 2022. North America is estimated to hold the largest market share during the forecast period owing to the high adoption rate of thermally conductive polymers. A high focus on research & development activities is a prime reason driving the regional market. Besides, the presence of major manufacturers, including Avient Corporation (PolyOne Corporation), RTP Company, and DuPont, in the U.S. is expected to aid growth in the region.

Followed by North America, Europe is expected to show significant growth by the end of the forecast period. Europe is a well-established automotive market. The growing adoption of thermally conductive polymer materials for automotive applications, including battery modules, brackets, and others is boosting the demand for thermal conductive polymer materials in European countries.

In the Asia Pacific region, rapid industrial expansion and intensive research activities are expected to bolster thermal conductive polymer material growth. Electric two and three-wheeler vehicles account for approximately half of China’s sales. The rapidly growing charging infrastructure in China compared to other regions is driving the growth of Asia Pacific. Additionally, the booming electrical and electronics industries in India, South Korea, and Japan are creating demand for conductive polymer materials.

Latin America is a swiftly advancing region in terms of urbanization and technological advancement. Industrial development activities are the key driving factors. Thermal conductive polymer materials are widely used in automobiles, EVs, machineries, and other applications. The shifting preference of consumers toward versatile and flexible materials for various end-use applications is bolstering the demand.

In the Middle East & Africa, increasing demand from countries, such as Saudi Arabia, the UAE, Bahrain, and Kuwait, is expected to bolster market growth. The rapidly growing industrial sector in Middle Eastern countries such as Egypt, Turkey, Iran, and others is driving market growth.

KEY INDUSTRY PLAYERS

Key Players are Focusing on Merger & Acquisitions and Providing Customized Products

Several manufacturers provide customized products to cater to the emerging market’s demands. For instance, the Nytex Composites Co., Ltd. focuses on strategic choices to increase overall sales volume. With an extensive product offering coupled with product innovation, the company is catering to the demand from the latest and emerging industries such as electric vehicles, WIFI 6, thermal conductive materials, and green energy storage systems.

The adoption of EVs is one of the latest trends in the market. Developing products specialized for EV applications is significantly benefitting market players. At the same time, many players are engaging in mergers & acquisitions and expanding production capacity at various manufacturers across the globe to cater for the increasing demand.

LIST OF KEY COMPANIES PROFILED: 

• SABIC (Saudi Arabia)


• RTP Company (U.S.)


• Avient Corporation (U.S.)


• Celanese Corporation (U.S.)


• Covestro AG (Germany)


• DSM (Netherlands)


• MITSUBISHI ENGINEERING-PLASTICS CORPORATION (Japan)


• HELLA GmbH & Co. KGaA (Germany)


• TORAY INDUSTRIES, INC. (Japan)


• DuPont (U.S.)


• LANXESS (Germany)


• LATI Industria Termoplastici S.p.A. (Italy)


• Ensinger Group (Germany)


• Lehmann&Voss&Co (Germany)


• Nytex Composites Co., Ltd (Taiwan)


• KANEKA CORPORATION (Japan)


• LOTTE Chemical Corporation (South Korea)


• BASF SE (Germany)


• Ovation Polymers, Inc. (U.S.)

KEY INDUSTRY DEVELOPMENTS:

• December 2022: The Ensinger PolyTech, Inc. a group subsidiary, acquired the assets of Poly-Tech Industrial, Inc. that includes production facility and high-performance material knowledge.


• September 2022: X2F has joined a collaboration with Covestro AG to develop a thermally conductive automotive heat-sink with in-mold electronics using X2F’s transformative controlled viscosity molding technology as new heat-sink molded of Makrolon polycarbonate (PC) is approximately half as heavy as the typical aluminum part. 


• May 2021: TORAY INDUSTRIES, INC. developed a technology for carbon fiber-reinforced plastic (CFRP), high thermal conductivity technology, which assists in easing the heat-dissipating properties of CFRP. Such technology finds application in electronic devices to boost the performance while suppressing battery degradation.

REPORT COVERAGE

The global thermal conductive polymer material market research report provides a detailed analysis of the market and focuses on crucial aspects such as leading companies, product types, and applications. Also, the report offers insights into market trends and dynamics, highlighting vital industry developments. In addition to the insights mentioned above, the report encompasses various factors driving the growth of the market in recent years.

REPORT SCOPE & SEGMENTATION