EUROPE THERMOPLASTIC ELASTOMERS MARKET FORECAST 2023-2032

The Europe thermoplastic elastomers market growth analysis covers an in-depth study of Germany, the United Kingdom, France, Italy, Spain, and Rest of Europe. The thermoplastic elastomers (TPE) market in the United Kingdom is experiencing robust growth, primarily driven by the increasing disposable income of individuals and a rising demand for passenger cars, both for private and commercial purposes. The country’s tire market is also benefiting from the growing adoption of electric vehicles and the demand for smart tires, which presents promising opportunities for future growth. With over 30 manufacturers producing more than 70 different types of vehicles in the United Kingdom, the automotive industry holds a prominent position globally. 

On the other hand, the German automotive industry stands as one of the largest globally. Within Europe, Germany accounts for 30% of total passenger car manufacturing and 20% of all new car registrations; notably, 21 out of the top 100 automotive suppliers globally are German. Although the country has witnessed a decline in automotive production in recent years due to high costs and production shifts to countries like China, there remains significant demand from the automotive aftermarket. This demand is expected to contribute to the consumption of thermoplastic elastomers during the projected period. Despite the slow pace of sales growth, the German automotive industry recorded a turnover of over EUR 350 billion in 2022, representing approximately 20% of the total revenue generated by the industry. Hence, these factors are set to fuel the thermoplastic elastomers market growth in Europe during the forecast period.

The Europe thermoplastic elastomers market is segmented into material type and end-user. The material type segment includes polystyrene, polyolefin, elastomeric alloy, polyurethane, polyamide, and other material types. Thermoplastic polyolefin elastomers offer distinct advantages over most thermoset rubbers due to their quicker molding cycles, enhanced precision in manufactured components, reduced energy consumption, and lighter weight. 

Within the automotive industry, thermoplastic polyolefin dominates the airbag cover market. It has replaced styrene TPEs in this application due to easier production processes and lower costs. Foamed thermoplastic polyolefins have also displaced foamed polyurethanes in steering wheels and seatbelt refractors, offering cost benefits and improved visual appearance. Additionally, polyolefins find application in various automotive components such as central cable covers, light gaskets, glass channels, certain flexible trims, and steering wheel/column covers.

Leading players operating in the Europe thermoplastic elastomers market include Covestro AG, BASF SE, Evonik Industries AG, etc.

Covestro AG, headquartered in Germany, is a major polymer company that is engaged in the production of high-tech polymer materials. Its product portfolio includes adhesives, caustic soda, additives, composites, multiwall sheets, coatings, elastomers, flexible foam, films, integral skin foam, hydrochloric acid, and laminated sheets.