Increasing demand for butyl rubber in pharmaceutical industry

Pharmaceutical industry is rapidly growing, owing to the growing investments in R&D, increasing incidence in chronic diseases, which include diabetes and cancer, as well as increasing focus of manufacturers on launching various branded as well as generic medicines. These factors, in turn, create demand for pharmaceutical packaging, thereby driving market growth. According to the data published by the European Federation of Pharmaceutical Industries and Associations, in 2017, the world pharmaceutical market at ex-factory prices was estimated to be USD 852 billion. Moreover, manufacturers have to comply with stringent regulations relating to the contact of rubber articles with pharmaceuticals. Butyl rubber ensures appropriate protection against external contamination during storage and use of sterile pharmaceutical products, thereby meeting with the stringent government regulation and sterilization requirements. This factor is in turn expected to surge the growth of the market.

Increasing demand for butyl rubber in automotive applications

Increasing demand for automobiles especially in Asia due to the growing standard of living of people and increasing disposable incomes. Its lightweight is the major factor that influences the use of novel automotive components, as they reduce the weight of an overall vehicle and helps in increasing its efficiency. The use of 50% glass reinforced polyamide plastic for engine brackets that improves NVH in the powertrain of the Mercedes 2017 E-Class Coupe forms an example of such market movement. Additionally, in thermal management, research and development activities to replace conventional materials with light-weight materials, such as charge air hoses cooling and heating systems, air induction systems, etc. is expected to drive the growth of the butyl rubber market globally.

Various properties of butyl rubber include high impermeability to gas and resistance to weather and heat changes among others. All these properties for butyl rubber are expected to drive the market growth. Halobutyl rubber is produced in a continuous process by reacting bromine or chlorine with butyl rubber. It offers much greater curing levels and allows co-vulcanization with other diene rubbers such as styrene-butadiene rubber (SBR), natural rubber, and butadiene rubber without affecting the desirable impermeability and fatigue characteristics. All these properties are expected to drive the market for halobutyl rubber.

One of the most common uses of butyl rubber is in the production of automotive tires. Owing to complications associated with plantation and extraction of natural rubber, along with escalating rubber prices, the tire sector has been gravely affected. However, the invention of synthetic rubber gave an extra boost to the tire industry all across the globe, thus bringing stability. Tire sector holds nearly 40% share in the global butyl rubber market. Automotive and construction is one of the major sectors where hoses are extensively used to transfer water, other liquids, air or other gases. Additionally, O-rings comes in different diameters, hardness, and materials. Butyl rubber is one of the most solid elastomers for chemical and decontaminating agents. Therefore, it is used as a closure material or seal in gas masks and other protective apparel. Moreover, Butyl rubber adhesives are used in roof membranes, roof repair, and damp proofing across the edges as most of the leakages take place around the edges. In the others segment, products such as electrical appliances packaging and sports sector as ball bladders. Food grade butyl rubber is also used in the production of chewing gum.

The maturity of demand across the countries will limit development in the manufacturing of rubber-consuming products. However, profits in the manufacture of tires will support the demand for butyl rubber. Increasing share of the automotive and transportation sector in Europe implies that the demand for tire and non-tire products shall witness increased uptake over the estimated period of forecast; hence, will uplift the demand for butyl rubber, especially halo-butyl rubber in this region.

Western Europe is projected to show sluggish growth in butyl rubber market over the forecast period. Western Europe's tire industry has been affected by manufacturers moving activities outside its region, which will restrict the region's capacity to rescue tire factories from the latest financial turmoil by permanently closing down tire factories. UK, France, Russia, and Italy are projected to show optimistic growth over the forecast period, among which the UK and Russia are projected to witness the fastest growth. Germany and Russia show exactly opposite traits when it comes to import and export of butyl rubber. In the robustly increasing synthetic rubber sector, Sibur and Reliance Industries Ltd have established a conglomerate to grab chances, creating a joint venture with the name Reliance Sibur Elastomers Private Limited. Additionally, Strong import and export network across the U.S and Canada are anticipated to aid in the growth of butyl rubber across North America.

The global butyl rubber market is constantly striving to obtain a greater market share only by partnerships and product portfolio improvements, which has transformed the industry into a big industry. Also, leading players are involved in creating a global presence by offering partnerships and expanding product portfolios through research & innovation is expected to drive the market growth.