Increasing Demand for Protective Gear from Aerospace and Defense Industry to Drive Growth

The increasing demand for protective gear and equipment from the aerospace and defense industry, coupled with the high demand for a durable material to make fuel-efficient vehicles in the automotive industry is anticipated to drive the ultra-high molecular weight polyethylene industry growth. In addition, the increasing military spending among nations is predicted to further strengthen the demand for UHMWPE. For instance, as per an article published on the World Economic Forum, in 2017, the military expenditure worldwide was estimated to reach USD 1739 billion. However, the high cost associated with the product is projected to hinder the growth of UHMWPE.

The Ultra-High Molecular Weight Polyethylene Industry report offers an in-depth evaluation of the chemical industry and the demand drivers for chemicals by highlighting information on several aspects of the industry, including drivers, trends, opportunities, and challenges. In addition to this, the report sheds light on the industry developments by key players, which are contributing to the expansion of this industry. Information given in the research report pertains to different technological advancements introduced in recent years, which allows for a meticulous analysis of the industry and offers a more comprehensive understanding to the readers. These advancements will help companies to gain decisive advantage in the competitive landscape of the industry. Companies are also adopting diverse strategies to stay ahead of their competitors. These strategies include: mergers and acquisitions, partnerships, collaborations, and new product developments, among others.

According to Fortune Business Insights The global ultra-high molecular weight polyethylene (UHMWPE) industry size is estimated to showcase eminent growth owing to the increasing demand from the aerospace and defense industry, Ultra-High Molecular Weight Polyethylene Industry Size, Share & Covid-19 Impact Analysis, By Form (Sheets & Films, Rods & Tubes, Fibers, Tapes, and Others), By End-Use (Automotive, Aerospace & Defense, Medical, Chemical, Electronics, and Others) and Regional Forecast, 2020-2027.” The industry size was USD 1,691.2 million in 2019 and is anticipated to reach USD 3,319.0 million by 2027, exhibiting a CAGR of 10.1% during the forecast period.

Highlight Points of the Report:

In order to prepare this report, we have captured data on the revenue of several key players through secondary sources such as company websites, corporate filings, annual reports, and investor presentations. We have conducted extensive interviews with key industry experts, such as CEOs, VPs, directors, and executives in order to track and analyze competitive developments such as partnerships, mergers & acquisitions, new product launches, and research & development activities. Our next step included the bottom-up procedure to arrive at the overall size of the industry.

Drivers & Factors

Sheets & Films Segment to Dominate Due to Increasing Utilization

Based on the form, the sheets & films segment is estimated to dominate the global ultra-high molecular weight polyethylene industry. The segment held the largest share in 2019, which is attributed to the extensive utilization of UHMWPE as sheets & films in various materials including bunkers, dump trucks, lining silos, and rail wagons. Based on the end-use, the chemical segment has grown significantly with a global industry share of 9.7%. On the other hand, the segment secured a total share of 9.2% in the U.S. Industry.

Industry Developments-

• In October 2020, Celanese Corporation announced the introduction of its new production line, which will be used to produce GUR ultra-high molecular weight polyethylene at a Texas manufacturing facility. This expansion will increase the company’s GUR engineered materials portfolio.

Increasing Production Capacity to Aid Key Players Expand Customer Bases

Prominent players operating in the global ultra-high molecular weight polyethylene industry are focusing on expanding their production capacities. This will help them fill the demand-supply gap and expand their customer base. For instance, in November 2019, Honeywell increased the production capacity of Spectra fiber made from UHMWPE that is used in the high-performing and lightweight armor. This helped the company serve the demands from militaries and law enforcement applications.

Increasing Demand for Electric Vehicles in U.S. to Help North America Dominate

North America is projected to dominate the global ultra-high molecular weight polyethylene industry share with a value of USD 646.6 million in 2019. The increasing demand for electric vehicles in the U.S. is projected to drive the growth of ultra-high molecular weight polyethylene in the region. For instance, according to the U.S. International Trade Commission, there has been a 67% increase in EV sales between 2017 and 2019.

The industry in Europe is estimated to showcase robust growth during the forecast period. The increasing demand for impact-resistant sheets & films and fibers from industries including aerospace & defense, medical, and automotive is predicted to strengthen the demand for UHMWPE in the region.