Thermoplastic Polyester Elastomer Market Trends

Growth Drivers

• Increased Adoption of Sustainable and Eco-friendly Materials – Sustainability of the environment is increasingly a concern for consumers and regulatory authorities. Compared to traditional materials such as PVC or rubber, TPEE is a recyclable material which makes it an environmentally friendly option. In addition, TPEE production requires less energy and produces less greenhouse gas emissions than other materials, contributing to the overall carbon footprint of the production process. The growing preference for products made from sustainable materials is being driven by the increasing awareness of environmental issues among consumers. To meet TPEE market needs, they are compelled to adopt environmentally friendly materials such as TPEE in response to this shift in consumer behavior.
• Growing Use in the Electrical & Electronics Industry - The market is expanding faster as a result of the electrical and electronics industries' growing need for TPEE. TPEE is a good material for cables, connections, and other electronic components because of its exceptional electrical insulating qualities and tolerance to high temperatures. Also, TPEE is lightweight, which is advantageous for portable electronic devices including smartphones, tablets, laptops, wearable devices, Bluetooth speakers, and others where weight reduction is desirable without compromising on durability or performance. Therefore, the growing penetration of these products is also propelling the growth of the TPEE market. As per a report, for the first time since 2018, the anticipated 2022 global smartphone penetration rate was 68%.
• Rising Technological Advances in the Production of TPEE - As the demand for thermoplastic polyester elastomer foams that exhibit outstanding mechanical properties, eco-friendliness, and affordability, the companies are striving to develop advanced TPEE. To reduce dependency on fossil fuels and promote environmental sustainability, research & development of bio-based TPEE formulations derived from renewable sources such as biodiesel or biodegradable additives is also being undertaken. For instance, through supercritical carbon dioxide (scCO2) foaming, an institute created a lightweight, environmentally friendly TPEE foam system with adjustable cellular textures and superior performance. Also, advanced processing technologies, such as injection molding of multiple components foam extrusion, and 3D printing have been adopted to produce composite TPEE products with enhanced performance and flexibility in their design.

Challenges

• Fluctuating Raw Material Prices - Volatility in the prices of raw materials used in TPEE production, such as polyesters and polyether, can impact the overall cost production of manufacturing and subsequently affect market growth.
• Intense Competition from Alternatives may Hinder Market Growth
• Limited Awareness in Developing Regions may Hamper Market Growth