Market Overview
The aramid fiber market is expected to grow at a significant rate during the forecast period owing to the use in aerospace and military applications attributing to the ballistic properties. Aramid fiber is a class of fibers which are heat resistant and strong structural strength. These fibers are used in different application including reinforcement in composites such as sport goods, military vehicles, aircraft, and others.
The global aramid fiber market is segmented by type, application, and geography. On the basis of type the market is classified into para-aramid fiber and meta-aramid fiber. During the forecast period it is expected that the para-aramid fiber will contribute largest share in the market. This is attributed to the growing demand for these fibers in the use of protective equipment such as helmets, gloves, bulletproof vests, and vehicle armor. Some of para-aramid fiber are Kelvar, Twaron, and Taparan. The meta-aramid fiber is expected to witness a substantial growth owing to increase in use for these materials in electrical insulation, filtration, and rubber equipment.
Based on application, the aramid fiber market is categorized into security and protection, frictional materials, optical fibers, rubber reinforcement, tire reinforcement, aerospace, electrical insulation, and others. The others include composites, filtration, ropes and cables, and recreational goods. During the forecast period, the optical fiber market is expected to be the fastest growing application. This is attributed to the need for the fibers from the IT sector such as internet and telecommunications, where there is a need for laying the optical cables for transmission of information. All these factors are expected to drive the growth of the aramid fiber market.
Market Dynamics
Growth drivers
The major growth drivers identified in the aramid fiber market is the increasing demand from industries such as security, automotive, and protection. There has been increasing investment from the government of countries such as China, U.S., Russia, and India for providing protection to the military force. These governments have started to increase the budget allocation for the production of bullet-proof vests, protective gloves, motorcycle protective clothing, and other equipment. These fibers are also used in the production of electromechanical cables, demand for which is growing in oil and gas industry. All these factors are driving the growth of the market.
Restraints
High cost of production and investment in the research and development (R&D) is one of the factor which is restraining the growth of the aramid fiber market. These fibers are relatively new innovation and there in ongoing development activities for preparing new and improved fibers. However, these R&D activities are time consuming and require huge investment, leading to the slow growth of the market. Additionally, it is seen that there are low cost alternatives such as glass fibers and carbon fibers which are easily available in the market. Thus, these factors are restraining the growth of the aramid fiber market.
Opportunities
Growing industrialization and urbanization in countries such as China and India are creating an ample opportunity for the aramid fiber market. With the rise in the economic development in these areas, people are now moving towards the urban areas which is leading to the construction of new infrastructure projects. The construction workers in these projects require personal protection equipment such as safety boots, helmets, and jackets. This equipment requires these fibers in the production process. The growing use of these protection equipment in the infrastructure projects is expected to create an demand side opportunity in the market.
Insights by geography
On the basis of geography, the market is divided into North America, Europe, Asia-Pacific (APAC), Latin America (LATAM), and Middle East and Africa (MEA). APAC region is expected to be the fastest growing region for the aramid fiber market. In this region, there the industrialization and urbanization activity going in China and India which is leading to the boost in demand for personal protection equipment, which are made by these fibers. This in turn driving the growth of the market in APAC region.
Competitive Landscape
Some of the major players operating in the global aramid fiber market are Teijin Aramid B.V., DowDuPont Inc., Yantai Tayho Advanced materials Co. Ltd, KOLON Industries Inc., Huvis, Kermel, JSC Kamenskvolokno, China National Bluestar (Group) Co. Ltd., Hyosung Corp., and Toray Chemicals South Korea Inc.
