Industrial Rubber Products Market to Reach $17.7 Billion in 2014

The US market for industrial rubber products is expected to recover from the declines registered during the 2004-2009 period, increasing 6.0 percent per year to $17.7 billion in 2014.  Rebounding levels of motor vehicle production will support demand increases, as will accelerating output in the machinery industry.  Continued growth in both aerospace equipment production and nonresidential building construction expenditures will also benefit manufacturers of industrial rubber products.  However, competition from suppliers in low-cost countries and moderating raw material costs will hold back price increases, limiting value gains to some degree.  In addition, industrial rubber products will continue to face competition from less expensive plastic goods in a number of applications. These and other trends, including market share and product segmentation, are presented in Industrial Rubber Products, a new study from The Freedonia Group, Inc., a Cleveland-based industry market research firm.

Sales of mechanical rubber goods will post strong increases through 2014 and will continue to account for the largest share of overall demand.  Demand for mechanical rubber goods -- including body seals, vibration control products, wiper blades and a range of miscellaneous products -- will be boosted by rebounding motor vehicle production.  With the exception of rubber roofing, every major product category is forecast to improve from its 2004-2009 performance.  Sales of industrial hose and belt products will post healthy gains, boosted by the wide diversity of uses for these products.  The machinery market, including both industrial machinery and off-road equipment, will continue to account for the largest share of industrial rubber product demand through 2014. 

The motor vehicle market is forecast to register the fastest gains through 2014, boosted by a strong recovery in US motor vehicle production.  Automotive manufacturers utilize a variety of industrial rubber products, including mechanical goods, hoses, belts and miscellaneous other items.  However, automobile production is forecast to outpace output of light trucks, vans and SUVs, which will restrain market advances to some degree as smaller vehicles tend to utilize less rubber on a per vehicle basis.  Growth will also be tempered by the significant pricing pressures exerted by the large automotive companies. 

The Freedonia Group is a leading international business research company, founded in 1985, that publishes more than 100 industry research studies annually. This industry analysis provides an unbiased outlook and a reliable assessment of an industry and includes product segmentation and demand forecasts, industry trends, demand history, threats and opportunities, competitive strategies, market share determinations and company profiles.