FREEDONIA MARKET RESEARCH STUDY ANALYZES NANOCOMPOSITES DEMAND

As commercial interest has moved beyond pilot programs and niche applications, it appears that nanocomposites are finally ready for a breakthrough in markets such as motor vehicles and packaging.  By 2011, nanocomposites demand will more than double, reaching 300 million pounds.  Growth will be fueled by declining prices of nanomaterials and composites, as production levels increase and more companies enter the industry.  Additionally, demand will benefit as the technical issues concerning the dispersion of additives in nanocomposites are overcome.  By 2025, it is expected that nanocomposites will be a $9.5 billion market, with volumes nearing five billion pounds. These and other trends, including market share and company profiles, are presented in US Nanocomposites, a new study from The Freedonia Group, Inc., a Cleveland-based industry research firm.

While thermoplastics currently comprise virtually all demand for nanocomposites, compounds based on thermoset resins will eventually become a substantial part of the market, accounting for 20 percent of demand in 2025.  Over the near term, the most rapid gains will be seen in higher-priced resins such as engineering plastics.  Looking forward, however, nanocomposites based on commodity plastics, such as polypropylene, polyethylene and PVC, will become more important products. 

Packaging and motor vehicles have been two key early markets for nanocomposites, and will continue to account for nearly half of total demand in 2011.  In packaging, nanoclay-based composites have found commercial success in barrier applications such as beer bottles and food containers.  Clay nanocomposites have penetrated a number of motor vehicle exterior and interior applications, while nanotube composites are becoming more widely used for static dissipation and electrostatic painting of motor vehicle parts.  By 2025, the electrical and electronics market will gain in prominence, as nanotube-based composites will find use in numerous applications as a substitute for other conductive materials.  Construction will also emerge as a significant market, as nanocomposites begin to replace fiber-reinforced plastics in a number of applications.  Consumer markets for nanocomposites -- which are currently limited to high-end sporting equipment -- will also expand as material prices continue to decline.

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.