Impregnating Resins Market Forecasts to 2028 - Global Analysis By Type (Solvent Based Resins, Solvent Less Resins and Other Types), By Resin Type (Phenol Formaldehyde Resins, Melamine Formaldehyde Resins and Urea Formaldehyde Resins), By Thermal Class, By

Impregnating Resins Market Forecasts to 2028 - Global Analysis By Type (Solvent Based Resins, Solvent Less Resins and Other Types), By Resin Type (Phenol Formaldehyde Resins, Melamine Formaldehyde Resins and Urea Formaldehyde Resins), By Thermal Class, By Application, By End User and By Geography

According to Stratistics MRC, the Global Impregnating Resins Market is accounted for $1498.0 million in 2022 and is expected to reach $2248.1 million by 2028 growing at a CAGR of 7% during the forecast period. In the manufacturing sector, impregnating resins and metal enamels are both used in the production of transformers, motors, and generators. Wire windings, laminated cores, and insulating materials requiring impregnating resins are some of the various parts used in the electrical industry.

According to the Semiconductor Sector Association (SIA), worldwide semiconductor industry sales totaled USD 49.7 billion in November 2021, up by 23.5% from USD 40.2 billion in November 2020 and 1.5% higher than USD 49.0 billion in October 2021.

Market Dynamics:

Driver:

Rising automotive production and need for efficient insulation processes

The increasing demand for long-lasting engines with the highest power density and the lowest noise emissions has resulted in a rapid adoption of impregnating resins. Impregnating resins offer one- and two-component, low-viscosity, high-thermal-class solutions for trickle and roll-dip impregnation. These options are appropriate for the majority of common processes used to create automotive parts. In order to provide mechanical stability, climate protection, and electrical insulation, impregnating resins—often referred to as secondary insulators—are essential. It is widely used in the manufacture of many automotive components, including motors, automotive and electrical components. Moreover, impregnating resins also provide better heat dissipation for copper windings and coils, mechanical stability, and coating protection from environmental factors.

Restraint:

High cost of premium quality raw materials

Through increased demand and a lowering of quality standards, the growth of the automotive and electric industries in developing nations is planning to open up new market opportunities. Improving the quality of impregnating resins is challenging due to fluctuating raw material costs. For instance, BASF was forced to abruptly increase the price of all of its impregnating resins in Europe by USD 29.93 per metric tonne as a result of changes in the price of raw materials. Unexpected changes resulting from shortages could have an impact on both customers and suppliers. Due to the high price of high-quality raw materials, suppliers prefer to use lower-grade raw materials. Over the course of the projection period, these factors are anticipated to impede market growth.

Opportunity:

Increasing adoption of impregnating resins

By combining electrical UV and hot dipping processes with monomer-free or low-emission resins, solutions that are highly effective and operate at a high level are produced. Additionally, as EV usage and production have increased, impregnating resins have been widely used because they offer superior performance at competitive prices. For the production of impregnating resins, many companies in the automotive and electronics industries use renewable raw materials. Therefore, they are focusing on creating low-emission impregnating resins that will allow motor manufacturers to produce more efficient and smaller motors by allowing standard design motors to run at lower temperatures, which is anticipated to propel market growth.

Threat:

Increased total cost and low efficiency of solvent-based resins

The final cost of production and eventually the cost of the finished product rise as a result of the use of impregnating resins. There is a rising trend to adopt alternative, more affordable methods of providing the same insulation as impregnating resins, but at a lower cost. Due to the inferior heat resistance of solvent-based impregnating resins compared to their counterparts, which results in their poor performance, this may restrict market growth. There are also concerns about solvent-based resins in the external environment, which results in diminished performance quality.

Covid-19 Impact:

Due to the decline in demand for end-user industries like the automotive industry and other industries due to the pandemic, COVID-19 had a significant impact on the overall growth of impregnating resins. In 2020, the automotive industry experienced a decline of about 19%, and the total number of vehicles produced fell to 8.82 million from over 10.89 million in 2019. As a result, the growth of the market for impregnating resins has been negatively impacted by a significant decrease in production rates. The output rates of the other manufacturing sectors have also decreased.

The solvent less resins segment is expected to be the largest during the forecast period

Because of the increasing demand for maintaining secondary insulation, the solventless segment is anticipated to experience the largest revenue share during the forecast period. Up to temperature class 200, solventless resins are used to coat the electrical machine windings of medium-voltage equipment, direct current equipment, electromagnetic coils, potential transformers, and traction motors, among others. Additionally, to enable quick and thorough impregnation of rotating machines, manufacturers of electrical equipment frequently use solventless impregnating resins. Moreover, impregnating resins are also used in a variety of applications by electronic component manufacturing facilities because of their superior composition stability, low medium loss, bonding strength, and simplicity of preparation.

The phenol formaldehyde resins segment is expected to have the highest CAGR during the forecast period

Owing to the demand for products with good thermal insulation, low density, and exceptional durability, the phenol formaldehyde segment is anticipated to have lucrative growth in the global market over the forecast period. One of the affordable structural adhesives is a phenol-formaldehyde condensation product, which is a synthetic polymer made by reacting phenols or substituted phenols with formaldehyde. They also serve as a crucial component in the production of circuit boards and are frequently used in the production of moulded products like pool cues, coatings, adhesives, and lab counters. Additionally, the rate of corrosion-induced deterioration of carbon steel was significantly slowed by the use of phenol-formaldehyde resins in acid solutions.

Region with largest share:

Because of the growing presence of significant market players, including Kyocera Corporation and Showa Denko K.K., among others, which are fueling market revenue growth, the Asia Pacific region is anticipated to account for the largest revenue share in the global market during the forecast period. Additionally, the demand for impregnated resins to provide superior electrical insulation has increased due to countries like China and Japan's increased production of household appliances and electronic components. Another significant factor driving market revenue growth is the increase in demand for high-quality electrical components as a result of the implementation of strict regulations by regulators to reduce emissions.

Region with highest CAGR:

Due to a rising number of industries and technological advancements, the North American region is anticipated to grow at a rapid pace during the forecast period. Other factors influencing the growth of the market's revenue include the long-standing industrial base in North America and the rising demand for fibreglass reinforced with resin. Additionally, there is high government funding available for the use of impregnated resins in applications like electrical insulation, improved heat transfer, and filament winding in electrical components, which has led to an increase in the use of these materials. Moreover, it is anticipated that replacement of the region's outdated transmission and distribution infrastructure will increase demand for impregnating resins.

Key players in the market

Some of the key players in Impregnating Resins market include Axalta Coating Systems, 3M, ALTANA, Bodo Möller Chemie GmbH, Vuki A.S., Kyocera Corporation, Von Roll Holding AG, Hitachi Chemical Co., Ltd., Wacker Chemie AG, Robnor ResinLab Ltd, Momentive, Huntsman International LLC, Sichuan EM Technology Co. Ltd, AEV Ltd and Polycast Industries Inc.

Key Developments:

In June 2019, AEV Company acquired the whole 100% equity shares of a Hungarian manufacturer, Korax Kft. They are manufacturers of Epoxy and Polyurethane Casting resins used for the electrical and electronic industry.

In October 2018, Kyocera Corporation announced that they will begin the construction of their manufacturing plant in Kanagawa, Japan, and open the facility in April 2020. The facility reportedly will increase the company’s capacity by 50% for conductive and insulation pastes utilized in semiconductors, digital devices, automotive electronics, and energy products, among others.

Types Covered:
• Solvent Based Resins
• Solvent Less Resins
• Other Types

Resin Types Covered:
• Phenol Formaldehyde Resins
• Melamine Formaldehyde Resins
• Urea Formaldehyde Resins

Thermal Classes Covered:
• Less than 130 Degree Celsius
• 130 Degree Celsius - 180 Degree Celsius
• More than 180 Degree Celsius

Applications Covered:
• Motors & Generators
• Home Appliances
• Transformers
• Other Applications

End Users Covered:
• Electric Components
• Automotive Components

Regions Covered:
• North America
US
Canada
Mexico
• Europe
Germany
UK
Italy
France
Spain
Rest of Europe
• Asia Pacific
Japan
China
India
Australia
New Zealand
South Korea
Rest of Asia Pacific
• South America
Argentina
Brazil
Chile
Rest of South America
• Middle East & Africa
Saudi Arabia
UAE
Qatar
South Africa
Rest of Middle East & Africa

What our report offers:
- Market share assessments for the regional and country-level segments
- Strategic recommendations for the new entrants
- Covers Market data for the years 2020, 2021, 2022, 2025, and 2028
- Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
- Strategic recommendations in key business segments based on the market estimations
- Competitive landscaping mapping the key common trends
- Company profiling with detailed strategies, financials, and recent developments
- Supply chain trends mapping the latest technological advancements