Sheet Molding Compound and Bulk Molding Compound Market Size

Market Size Snapshot

Note – Market size depicts the revenue generated over the financial year

In the present day, the world market for sheet moulding compounds (SMC) and bulk moulding compounds (BMC) is estimated to be worth some $ 5.5 billion in 2023, and is forecast to grow to $ 7.6 billion by 2030. This represents a CAGR of a healthy 8.0% for the forecast period from 2023 to 2030. The growing demand for lightweight and durable materials in many industries, notably the automobile and aeronautical industries, is the main driving force for this expansion. In addition, the growing trend towards sustainable manufacturing is boosting the market for SMC and BMC, which offer greater recyclability and lower life-cycle costs than traditional composites. The main players in the SMC and BMC markets, such as BASF, Owens Corning and Continental Structural Plastics, are taking strategic measures to ensure they are able to take full advantage of this growth. These include entering into joint ventures to develop new formulations and investing in advanced manufacturing techniques. Moreover, the launch of new products with high performance applications is also contributing to market growth. In the future, as industry continues to seek solutions that combine high performance with a low carbon footprint, the SMC and BMC markets will continue to develop.

Regional Market Size

Regional Deep Dive

The market for sheet moulding compounds (SMC) and bulk moulding compounds (BMC) is growing strongly across the world, driven by the increasing demand for lightweight materials in the automobile, aeronautics and construction industries. The market is also being shaped by technological developments, the trend towards more sustainable materials and the stricter regulations driving the use of composites. Each region has its own special characteristics. North America is the most advanced in technological terms, Europe is the most sustainable, Asia-Pacific is growing rapidly, the Middle East and Africa are developing their construction industries and Latin America is gradually adopting advanced composite materials.

Europe

• Europe is a leading region in terms of its commitment to sustainability. In addition, many European countries have introduced stricter regulations on carbon emissions, which is driving the use of SMC and BMC in many applications. In Europe, companies like BASF and Sika are at the forefront in developing sustainable composite solutions.
• The European Union's Green Deal aims to make Europe climate-neutral by 2050, which is expected to significantly boost the demand for lightweight and sustainable materials, including SMC and BMC, across multiple sectors.

Asia Pacific

• In the Asia-Pacific region, a rapid industrialization is taking place, especially in China and India, which leads to a high demand for SMC and BMC in the automobile and construction industries. These products are manufactured by Toray Industries and Mitsubishi Chemical.
• Government initiatives promoting infrastructure development and urbanization are further driving the market, as SMC and BMC are increasingly used in building materials and automotive components.

Latin America

• Brazil and Mexico are already deploying SMC and BMC technology in their car and construction industries. Local firms are beginning to join forces with international companies to enhance their manufacturing and product offerings.
• Government programs aimed at boosting the manufacturing sector are expected to create opportunities for SMC and BMC, as industries seek to modernize and improve efficiency.

North America

• In North America, SMC and BMC are experiencing a strong surge in demand as a result of the automobile industry’s drive towards lightweight materials in order to reduce fuel consumption and emissions. The big players, such as Continental Structural Plastics and Owens Corning, are investing heavily in research and development to improve the performance and the long-term viability of their products.
• Recent regulatory changes, such as the Corporate Average Fuel Economy (CAFE) standards, are pushing manufacturers to adopt advanced composite materials, thereby driving the growth of the SMC and BMC market in the region.

Middle East And Africa

• In the Middle East and Africa, the market for SMC and BMC is driven by the great investments in construction, especially in the Gulf Cooperation Council (GCC) countries. In the construction and automobile industry, companies like SABIC are working on developing advanced composite materials.
• The region's unique climatic conditions and the need for durable materials are influencing the adoption of SMC and BMC, as these materials offer excellent resistance to environmental factors.

Did You Know?

“Did you know that SMC and BMC materials can reduce the weight of automotive components by up to 30% compared to traditional materials, significantly improving fuel efficiency?” — Automotive Composites Market Report, 2023

Segmental Market Size

The market for sheet molding compounds (SMC) and bulk molding compounds (BMC) is an important market segment for composite materials and is currently experiencing stable growth due to increasing demand for these materials in the automobile and aeronautical industries. The demand for lightweight materials to improve fuel economy and reduce exhaust gas emissions are a major driving force for this market. Also, the development of new production methods, such as automation, is boosting demand. The current use of SMC and BMC is at a mature stage of development. Companies such as Continental Structural Plastics and BASF are the most advanced in the development of new applications. These materials are used mainly for automobile components, electrical enclosures and household appliances. Among the main drivers of the market are the trend towards the use of sustainable and recyclability. These trends are enabling the use of new production methods and the development of new material properties.

Future Outlook

The market for sheet moulding compounds and bulk moulding compounds is expected to grow from $5.5 billion in 2023 to $7.2 billion in 2030, registering a robust compound annual growth rate of 8%. This is largely due to the growing demand for lightweight and durable materials in various industries, such as automobiles, aeronautics, and construction. In addition, as manufacturers pay more attention to energy conservation and the environment, SMC and BMC are becoming increasingly popular, thanks to their excellent mechanical properties and recyclability, which meets the world's highest environmental standards. In addition, the development of high-performance formulations and the automation of the manufacturing process will further enhance the market's prospects. In addition, the popularity of electric vehicles is expected to drive the demand for composite materials, which will make a significant contribution to the energy-saving and driving range. Moreover, government support for the circular economy and the use of sustainable materials will further increase the penetration of these products, especially in industries where innovation and sustainability are the highest. In short, the market for SMC and BMC is expected to grow, mainly driven by technological innovation, government support, and changes in consumer preferences.