The global nanosilica market is forecasted to reach USD 5.95 Billion by 2027, according to a new report by Reports and Data. Increasing demand for the product from various end-use industries is driving the market growth. The rubber industry finds extensive uses for nanosilica as the product finds many applications in the automotive industry. Nanosilica also finds applications in other industries, such as concrete, electronics, plastics, agriculture, and battery, among others.
Higher Demand Due to R&D Developments
The market is growing due to the increasing awareness regarding the environment, which is leading to higher consumption of biodegradable products. Renewable feedstock provides cost reduction opportunities and higher penetration in regulated markets to the manufacturers. The nanosilica market is witnessing a higher product demand due to the increasing investments in research and development. Heavily regulated regions, such as Asia-Pacific and North America, are continuously investing in innovations of the product.
Nanosilica is also used in hydrophobic coating applications that provide a low sliding angle and a high-water contact angle, which leads to superhydrophobicity in coating formulations. Nanosilica applications have even begun in industries such as healthcare and medicine in recent times. Stringent regulations regarding the use of nanosilica in various end-use industries can hamper the market demand.
The COVID-19 Impact
The COVID-19 pandemic has led to lockdowns in major countries of the world. This has led to the operations of many industries being halted. Industries that find applications for nanosilica, such as the rubber, coating, and cosmetics industries, are also not operating in the current situation. This has led to a decline in the demand for the product. Major manufacturers involved in the market have also halted operating currently, which has led to a reduction in the supply.
It is anticipated that once the COVID-19 pandemic is over and the situation becomes normal, the industries start operating again, the demand for the product will rise. Also, major manufacturers, who have currently halted operations due to the pandemic, are involved in innovations in nanosilica. This would help them capture a larger market share in the future. This will also create a greater overall market size.
Source: Reports and Data