Global Silicone Potting Compounds Market to Generate $1,540 Million by 2031, Owing to An Increase in Demand for Energy-Efficient Devices

Silicone potting compounds are materials used to provide insulation or conceal electronic circuits and electrical components so as to avoid short circuits and unwanted electrical discharges. Silicone potting compounds are mostly used during the testing phases of electronic devices and are mainly manufactured using silicone rubber, a soft and flexible material. Silicone potting compounds also provide mechanical strength to electronic devices while at the same time offering protection from environmental and climatic mishaps.

Forecast Analysis:

In recent years, there has been a steady increase in demand for energy-efficient devices in the construction industry which is predicted to be the primary growth driver of the global silicone potting compounds market in the forecast period. Additionally, increasing applications of silicone potting in electronic devices is anticipated to push the market forward. Along with this, a rapid rise in demand for high-performance materials is projected to offer numerous growth and investment opportunities to the market in the analysis timeframe. However, the high cost of silicone potting compounds is estimated to create hurdles in the full-fledged growth of the silicone potting compounds market in the coming period.

Regionally, the silicone potting compounds market in the Asia-Pacific region is expected to be the most dominant by 2031. The growing expanse of the automotive sector has led to an increase in demand for silicone potting which is expected to be the leading factor behind the growth of the market in this region.

According to the report published by Research Dive, the global silicone potting compounds market is expected to gather a revenue of $1,540 million by 2031 and grow at 5.0% CAGR in the 2022–2031 timeframe. Some prominent market players include Dow Silicones Corporation, Master Bond Inc., MG Chemicals, Dymax Corporation, LORD Corporation, CHT Group, Henkel AG & Co. KGaA, Novagard Solutions, Hernon Manufacturing, INC., Elantas, and many others.

Covid-19 Impact on the Silicone Potting Compounds Market

The outbreak of the Covid-19 pandemic has had a massive negative effect on almost all industries and businesses across the world. The silicone potting compounds market, too, faced a negative impact of the pandemic. The disruptions in the global supply chains immensely affected the manufacturing of silicone potting compounds as the production cycles were hampered. Moreover, the import-export restrictions reduced the demand for silicone potting compounds. Both these factors affected the growth rate of the market substantially.

Significant Market Developments

The significant companies operating in the industry are adopting numerous growth strategies & business tactics such as partnerships, collaborations, mergers & acquisitions, and launches to maintain a robust position in the overall market, thus helping the silicone potting compounds market to flourish. For instance:

• In April 2021, Master Bond Inc., a leading epoxy adhesives manufacturer, announced the launch of a new silicon potting compound viz., MasterSil 153AO. This new product is designed to offer high mechanical strength to electronic devices apart from providing insulation to the circuitry. This product launch is expected to push the market share of the company in the next few years.
   
• In April 2022, Shin-Etsu Chemical Co., Ltd., a Japanese chemical company, announced the launch of new thermal silicone rubber sheets designed specifically for electric vehicles. This new product is developed to offer protection to the high-voltage electronic devices that are used in electric vehicles. The product launch is anticipated to help the company to consolidate its position as the leader of the chemicals industry in the coming period.