Ethylene and propylene are the major raw materials in the production of EPDM and any change in the demand and supply of these raw materials could have a major impact on the EPDM industry. EPDM market is in a state of high production capacity utilization and this kind of situation leads to a market price rise and offers wide scope to manufacturers for new capacity addition.
The global market for EPDM in terms of revenue was estimated to be worth around US$4.2 bln in 2011 and is expected to reach US$6.5 bln by 2017, growing at an estimated CAGR of 6.9% from 2012 to 2017, as per MarketsandMarkets. Asia-Pacific is the largest EPDM market, which is expected to rise due to robust growth in end-user industries such as automotive, wire & cables, and lubricant additives in China and India. Key market participants in the global EPDM market are LANXESS AG (Germany), ExxonMobil Chemical Corp. (U.S.), Dow Elastomer (U.S.), Mitsui Chemical (Japan), Kumho Petrochemical (South Korea), Lion Copolymer (U.S.), Versalis (Italy), JSR Corporation (Japan), Jilin Chemical (China), SK Global Chemical (Japan), Nizhnekamskneftekhim Inc. (Russia), Sumitomo (Japan), etc.
EPDM are synthetic rubber and are known for their high-quality performance in various industrial applications for their resistance properties to heat, ozone and weather, polar substances, and electrical insulation. They are used in the manufacturing of seals, washers, glass-run channels, radiators, garden and appliance hose, tubing, pond liners, belts, electrical insulation, vibrators, O-rings, solar panel heat collectors, electrical cable jackets, roofing membranes, etc.