The Chemours Company’s recent announcement of raising the prices of its fluoroproducts has garnered massive attention in fluoropolymer film market lately. Reportedly, the globally renowned chemicals-manufacturing firm plans to increase the costs of its full line of Capstone™ repellents and surfactants, Nafion™ Membranes and Dispersions, Teflon™ PTFE and Melts, Teflon™ coatings, and Viton™ FKM Fluoroelastomer products by 10% effective from April 1, 2018. The announcement can be viewed in the backdrop of rising global demand for high-quality fluoropolymers and the escalating costs of raw materials, which has resulted in major fluoropolymer film market players resorting to price adjustments.
U.S. fluoropolymer films market size, by end-user, 2013 - 2024 (USD Million)
Elaborating further, Chemours’ decision on raising the prices would ensure that it continues to offer a high level of product service, strengthen its capacity expansion plans, and pour in additional investments to intensify research & development programs. Of late, it has been observed that increasing the prices of flagship products has emerged as one of the chief strategies being adopted by prominent fluoropolymer film industry participants. Apparently, it would be prudent to mention that fluoropolymer film market has evolved to be a consumer-centric business vertical over the last few years.
Construction sector: The fastest growing end-user segment of fluoropolymer film industry
Owing to their high mechanical strength, UV stability, lower coefficient of friction, chemical inertness, and negligible moisture absorption, fluoropolymers have found massive popularity as the go to product for commercial, industrial, and residential construction projects. Moreover, fluoropolymers play a vital role in ensuring efficient and strong construction, given that they possess exceptional characteristics such as flame retardancy, thermal stability, and weatherability. Considering the aforementioned factors, it goes without saying that construction will apportion a major revenue share of the overall fluoropolymer film market in the forthcoming years.
Out of all the fluoropolymers, fluorine-based organic polymers are being utilized widely for producing fiberglass composites, anti-graffiti coverings, water-repellent architectural fabrics, and corrosion protection material. This has, in turn, had a favorable influence on fluoropolymer film industry share augmentation.
As the global construction sector demonstrates upward growth trajectory, the overall fluoropolymer film market is bound to advance with equal zest, making it one of the most lucrative verticals of polymers and advanced materials industry. In fact, as per a research report put together by Global Market Insights, Inc., construction segment seized the largest portion of the overall fluoropolymer film industry and is anticipated to register a commendable CAGR of around 5% over 2016-2014.
Asia Pacific: The most promising terrain for fluoropolymer film industry progression
By the virtue of being the leader in the global construction domain, the Asia Pacific region subsequently stands as one of the most profitable zone for fluoropolymer market participants. The two chief emerging economies of the APAC region, China and India, are anticipated to establish themselves as the major growth terrains for the rapid proliferation of fluoropolymer film industry. This can be predominantly accredited to the burgeoning construction sector in these nations.
As per estimates, India’s construction domain is expected to stand third largest across the globe by the year 2025 and scale greater heights in the ensuing years. Undoubtedly, this gargantuan leap could be attributed to the enormous infrastructure projects associated with road, railways, aviation, irrigation, ports, metros, smart cities, and more. On the other hand, China’s construction sector has also been registering exceptional growth over the past decade. As a consequence, this swift pace of infrastructural growth across developing countries would undeniably impel the APAC fluoropolymer film industry. Concurrently, it is quite imperative to state that Asia Pacific region commanded 30% revenue share of the overall fluoropolymer film market in the year 2016 and has been estimated to observe significant advancement by 2024.
Meanwhile, the leading chemical manufacturers have been expanding their production scales to incorporate high-grade technological innovations, given the recent fluctuations in the prices of raw materials. Consequentially, this has positively impacted the growth potential of the fluoropolymer film market.
Moreover, globally renowned manufacturers of fluoropolymers have been deploying extensive efforts to develop highly customized products to fulfill the ever-evolving and diverse requirements of end-user segments. Endowed with an application spectrum inclusive of industrial processing, transportation, pharmaceuticals, and Electrical & Electronics, fluoropolymer film industry is certain to exceed a total remuneration portfolio of USD 2 billion by 2024, according to authentic estimates.