Silicone In Electric Vehicles Market

Silicone In Electric Vehicles Market Overview

The global silicone in electric vehicles market size was valued at USD 5.95 billion in 2023. The market is anticipated to grow from USD 6.45 billion in 2024 to USD 12.66 billion by 2032, exhibiting a CAGR of 8.8% during the forecast period.

Silicone In Electric Vehicles Market Trends

Reduce Greenhouse Gas Emissions

As awareness of climate change and its impacts grows, the pressure to decrease greenhouse gas emissions is increasing. Electric vehicles (EVs) are a greener alternative to conventional cars with internal combustion engines, as they produce no tailpipe emissions when in operation. Governments around the world are actively encouraging the adoption of EVs by providing incentives and subsidies. These measures, such as tax credits, grants, and rebates, aim to reduce the cost of EVs for consumers.

Innovations

The electric vehicle market is witnessing significant advancements in the utilization of silicone. With the increasing demand for electric vehicles and the need to comply with legal regulations, manufacturers are intensifying their endeavors to enhance the performance, durability, and safety of EV components through the incorporation of silicone-based materials. As a result, it is expected that silicone will play a prominent role in the electric vehicle industry in the foreseeable future.

Silicone In Electric Vehicles Market

Size, by Product, - (USD Billion)

Liquids

Resins

Elastomers

Other Products

The Market will Grow

At the CAGR of:

8.8%

The Forecast Market

Size for in USD:

$6.45 BillionB

Silicone In Electric Vehicles Market Dynamics

Drivers

Increasing Use of Silicone in EV Due to Its Thermal Stability Projected to Spur Product Demand.

The growing utilization of silicone in electric vehicles (EVs) is primarily motivated by its exceptional thermal stability, which plays a crucial role in various components within EVs. Silicone is a key element in lithium-ion batteries, which are the main power source for many electric vehicles. The use of silicone-based materials can enhance the performance, safety, and lifespan of these batteries. These materials are incorporated in the manufacturing of battery electrodes, electrolytes, and battery pack sealants. Electric vehicles produce heat during operation, especially in the battery pack and power electronics. Silicone-based thermal interface materials (TIMs) are employed to efficiently manage heat transfer. These TIMs aid in dissipating heat from critical components, ensuring optimal performance and longevity. Silicone rubber is highly resistant to extreme temperatures, moisture, and chemicals, making it ideal for sealing battery compartments, electrical connections, and other sensitive areas in EVs to prevent water ingress, corrosion, and electrical shorts. This characteristic of silicone has led to its increased usage in electric vehicles and has resulted in a significant surge in the analysis of silicone in the electric vehicles industry.

Silicone rubber serves as an outstanding electrical insulator and is utilized to insulate wires and cables in electric vehicles. It provides protection against high voltages, extreme temperatures, and environmental hazards. Silicone materials are integrated into the design and production of charging connectors for electric vehicles. Silicone seals and gaskets guarantee waterproofing and prevent dust and debris from infiltrating the connector interface. Silicone-based materials can also be utilized as coatings or potting compounds for electric motor components. These materials offer protection against moisture, chemicals, and high temperatures, thereby enhancing the durability and reliability of electric motors and contributing to the growing market share of silicon in electric vehicles.

Restraints

High Cost and Long-Term Reliability

Silicones' higher cost relative to other materials could impede their extensive use in the electric vehicle (EV) industry. Cost-efficiency plays a crucial role. Despite silicone's reputation for durability, concerns about its long-term performance in certain EV applications may arise.

Silicone In Electric Vehicles Market

Share, by end user, (USD Billion)

5.95 Billion%

PHEVs

BEVs

Other End-Users

6.45 Billion

Total Market Size

USD (Billion),

8.8%

CAGR

-

Silicone In Electric Vehicles Market Segments

• Segmentation by type

1. Liquids
2. Resins
3. Elastomers

• Segmentation by application

1. Plugin Hybrid Electric Vehicle (PHEV)
2. Battery Electric Vehicle (BEV)

• By Vehicle Type

1. Light Motor Vehicles
2. Commercial Motor Vehicles

Silicone In Electric Vehicles Market Key Players

• Elkem Silicones
• H.B. Fuller Company
• Nexeon Limited
• ACC Silicones Ltd.
• KCC Corporation
• Rogers Corporation
• LORD Corporation
• Shin-Etsu Chemical
• Dow chemical company
• Evonik Industries AG
• Nexeon Limited
• Primasil Silicone
• CHT Group
• Wacker Chemie AG

Silicone In Electric Vehicles Market Recent Development

In Feb 2024, The WACKER Group presented product solutions utilizing silicone materials tailored to distinct industrial sectors. Silicone gels utilized in wound care, non-post curing liquid silicone rubber implemented in the food industry and medical technology, and self-adhesive liquid silicone rubber grades capable of adhering to polycarbonate and other high-performance polymers were areas of particular interest. Also prominent were products designed for electromobility applications and silicones that conserved resources.

In December 2023, Panasonic agreed with the US startup Sila to acquire silicon for incorporation into electric vehicle (EV) batteries, aiming to enhance its position in the EV industry through this partnership. By integrating Sila's silicon anodes into batteries at its global factories, Panasonic seeks to improve the performance and efficiency of EV batteries, thereby advancing the development of electric vehicles.

March 2023, Shin-Etsu Chemical developed a silicone rubber composition specifically designed for molding, with the purpose of serving as the best insulating coating material for high-voltage wires found in cars.

Silicone In Electric Vehicles Market

Size, by Product, - (USD Billion)

The Market will Grow

At the CAGR of:

8.8%

The Forecast Market

Size for in USD:

$6.45 BillionB

Silicone In Electric Vehicles Market Conclusion

The global silicone in electric vehicles market is poised for significant growth, driven by the increasing demand for electric vehicles (EVs) and the exceptional properties of silicone materials. Silicone's thermal stability, durability, and electrical insulation capabilities make it a crucial component in various EV applications, including lithium-ion batteries, thermal interface materials, and electrical insulation. These properties enhance the performance, safety, and lifespan of EV components, contributing to the market's expansion.

The shift towards reducing greenhouse gas emissions and the push for greener alternatives further bolster the adoption of silicone in EVs. Government incentives and subsidies are encouraging the transition to electric mobility, while advancements in silicone technology continue to drive innovation in the sector. However, the high cost of silicone and concerns about its long-term reliability in certain applications present challenges that need to be addressed.

Despite these challenges, the market offers promising opportunities for growth, especially with the rising demand for sustainable and efficient materials in the EV industry. Key players are investing in research and development to optimize silicone applications and capitalize on the burgeoning electric vehicle market. As manufacturers continue to innovate and improve the performance of silicone materials, the market is expected to witness robust growth in the coming years.

Silicone In Electric Vehicles Market TO (USD BN)

CAGR OF

8.8%

Silicone In Electric Vehicles Market

6.45 Billion%