Advanced Materials Market Size, Share Report, Analysis, Trends, Growth 2030

Advanced Materials Industry Prospective:

The global advanced materials market size was worth around USD 59.5 billion in 2022 and is predicted to grow to around USD 98.4 billion by 2030 with a compound annual growth rate (CAGR) of roughly 6.5% between 2023 and 2030.

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Advanced Materials Market: Overview

The complicated scientific discipline of advanced materials encompasses a wide range of areas and applications. According to Advanced Materials 101, advanced materials are any new substance that has been actively made by humans. It's a convenient means to refer to them all at once. It usually refers to novel materials that have been produced in the recent few decades and have high-tech uses. The multidisciplinary process of researching and developing novel advanced materials for industrial applications can benefit from knowledge in a variety of domains, including chemistry, physics, nanotechnology, ceramics, metallurgy, and biomaterials.

Key Insights

• As per the analysis shared by our research analyst, the global Advanced Materials market is estimated to grow annually at a CAGR of around 6.5% over the forecast period (2023-2030).
• In terms of revenue, the global Advanced Materials market size was valued at around USD 59.5 billion in 2022 and is projected to reach USD 98.4 billion, by 2030.
• The growing demand from end-use industries such as automotive, aerospace, and others is expected to propel the Advanced Materials market over the projected period.
• Based on the product type, the Ceramics segment is expected to hold a prominent market share over the forecast period.
• Based on the application, the automotive segment is expected to dominate the market during the forecast period.
• Based on region, the Asia Pacific is expected to dominate the market during the forecast period.

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Advanced Materials Market: Growth Drivers

Growing demand from various end-use industries drives market growth

The advanced materials industry has more prospects in aerospace, which needs emerging items like carbon fiber reinforced polymer (CFRP), which is utilized in large amounts alongside metal in aircraft buildings. The requirement for pollution restrictions and fuel economy has increased the use of sophisticated materials in the automation industry, such as high-strength steels, composites, and non-ferrous alloys, which will reduce vehicle weight.

The exponential rise of the consumer goods industry, particularly computers, smart vehicles, and smartphones, is also an opportunity for advanced materials investors. Thus, driving the advanced materials market growth over the projected period.

Advanced Materials Market: Restraints

The high cost of advanced materials hampers market growth

The primary hindrance to the global expansion of the advanced materials industry is their expensive nature. Most advanced material categories, including nanoparticles and carbon fibers, are substantially more costly than their ordinary equivalents. The cost of resources varies greatly depending on the raw supplies. However, the cost of nanoparticles and other cutting-edge materials is greatly increased by the underlying design technology.

In 2019, the price of a gram of pure gold was US$ 58; however, the price per gram of gold nanoparticles was US$ 80,000. Furthermore, nanotechnology is a costly field of research that is primarily limited to industrialized nations. It limits the growth of the market for nanomaterials in emerging and less developed nations.

Advanced Materials Market: Opportunities

Growing product launches provide a lucrative opportunity for market growth

The growing product launches are expected to offer a lucrative opportunity for the advanced materials industry growth during the forecast period. For instance, in April 2023, A ground-breaking solution was introduced by PETRONAS to solve the recurring corrosion-related issues that threaten asset integrity. ProShield+ is an ultra-high barrier advanced material paint additive designed for use on steel buildings. It is formulated with graphene. ProShield+, an internal product, has been shown to increase coatings' resilience to inclement weather and shield assets from corrosive substances.

Overall, the composition helps to increase adhesion as well as resistance against abrasion and ultraviolet (UV) light. It has three times the water barrier qualities of traditional epoxy paint. Additionally, compared to traditional epoxy paint, it has demonstrated an up to three-fold increase in abrasion resistance. Major paint systems can benefit from the addition of ProShield+, which doubles the typical surface coating longevity to up to 16 years. It may be applied in the same manner as previous paint coats and doesn't require any modifications to the current paint mixing procedure.

Advanced Materials Market: Challenges

Regulatory concerns pose a major challenge to market growth

The advanced materials business frequently encounters regulatory problems about safety, environmental impact, and standard compliance. Companies must negotiate and comply with complicated regulatory systems, which can hinder the adoption of advanced materials.

Advanced Materials Market: Segmentation

The Global Advanced Materials industry is segmented based on product type, application, and region.

Based on the product type, the global Advanced Materials market is bifurcated into Metal & Alloys, Polymers, Composites, Glasses and Ceramics. The Ceramics segment is expected to hold a prominent market share over the forecast period. With their unique properties, advanced ceramics including alumina, zirconia, silicon carbide, aluminum nitride, silicon nitride, and titania-based materials provide a high-performance, cost-effective substitute for traditional materials like glass, metals, and plastics. When selecting a material, physical characteristics like toughness, resilience to wear and tear, corrosion resistance, and thermal stability are taken into account. Based on the selection of material, each of these may be optimized. For their mechanical, electrical, thermal, and/or chemical qualities, several ceramic materials are preferred and have a track record of effectiveness.

Based on the application, the global Advanced Materials industry is categorized into Automotive, Medical Devices, Electricals & Electronics, Industrial, Power, Aerospace and Others. The automotive segment is expected to dominate the market during the forecast period. The main market for Advanced Materials has been the automotive industry. China is the biggest fuel user in Asia and the second largest globally, after the United States. According to the BP Statistical Review of World Energy, China's proportion of global oil consumption was 14%, while the United States' share was 20%. The automobile sector is now dealing with the growing demands for increased pollution control and fuel efficiency. As a result, there is a lot of interest in producing lightweight automobiles using innovative materials including metal matrix and carbon fiber composites, non-ferrous alloys like titanium and aluminum, and new high-strength steels. The need for lightweight automobiles is growing, which will propel the growth of the advanced materials market.

Advanced Materials Market: Report Scope

Regional Analysis

The Asia Pacific is expected to dominate the advanced materials market during the forecast period

The Asia Pacific is expected to dominate the advanced materials industry during the forecast period due to the expansion of production and the number of industries in the expanding nations of the area, such as China and India. While many areas of advanced materials, such as composites, biomaterials, metal alloys, polymers, ceramics, and semiconductors, are already widely recognized. The advanced materials market is being driven by the use of end products in sectors like electronics and automotive, among others. The use of safety-related electronics technologies in the automobile industry has skyrocketed. Microcontrollers (MCUs), sensors, and memory are among the many semiconductor components used in automobiles.

Besides, North America is expected to grow at a steady rate over the forecast period owing to the strong aerospace and defense industry. The aerospace and defense sector in North America has been a major driver of advanced materials adoption. Lightweight and high-strength materials are in demand for aircraft and spacecraft manufacturing, contributing to fuel efficiency and improved performance.

For instance, the Department of Defense (DoD) has a budget authorization of about USD 722 billion for FY 2022, up USD 17 billion from USD 705 billion in 2020. The President's budget request for FY 2023 called for USD 773 billion for the DoD. The budget is largely focused on innovations to bolster the nation's competitive edge and upgrade capabilities in the air, sea, and ground warfighting domains.

Advanced Materials Market: Competitive Analysis

The global Advanced Materials market is dominated by players like:

• BASF SE
• 3M Company
• Cerion LLC
• DuPont de Nemours Inc.
• ExxonMobil Corp.
• INEOS Group Ltd.
• Huntsman Corp.
• Hanwha Group
• LG Chem Ltd.
• LyondellBasell Industries N.V.
• Materion Corp.
• Akzo Nobel N.V.
• Mitsubishi Chemical Holdings Corp.
• Perpetuus Advanced Materials
• Owens Corning
• Saudi Basic Industries Corp.
• SINOPEC Shanghai Petrochemical Co. Ltd.
• Solvay SA and Toray Industries Inc.

The global Advanced Materials market is segmented as follows:

By Product Type

• Metal & Alloys
• Polymers
• Composites
• Glasses
• Ceramics

By Application

• Automotive
• Medical Devices
• Electricals & Electronics
• Industrial
• Power
• Aerospace
• Others

By Region

• North America
  • The U.S.
  • Canada
• Europe
  • France 
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Southeast Asia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • South Africa
  • Rest of Middle East & Africa