Global Potting and Encapsulating Compounds Market – Industry Trends and Forecast to 2030

Global Potting and Encapsulating Compounds Market, By Type (Epoxy, Polyurethane, Silicone, Polyester System, Polyamide, Polyolefin, and Others), Substrate Type (Glass, Metal, Ceramic, Others), Function (Electrical Insulation, Heat Dissipation, Corrosion Protection, Shock Resistance, Chemical Protection, Others), Curing Technique (Room Temperature Cured, High Temperature or Thermally Cured, UV Cured), Distribution Channel (Offline, Online), Application (Electronics, Electrical) and End-User industry (Transportation, Consumer, Electronics, Energy and Power, Telecommunication, Healthcare, Others)  – Industry Trends and Forecast to 2030.

Potting and Encapsulating Compounds Market Analysis and Size

From small personal devices to automated industrial plants, electronics are allowing to improve people's lives and produce better services and products, which must be progressively well protected. This is mainly true when used in products that cannot fail, such as electrically powered transport vehicles, to avoid risk to people's lives. Hence, potting and encapsulating compounds protect critical and sensitive electronic components from diverse threats, such as corrosive chemical aggression, vibrations, dust, harsh environmental and climatic conditions, and exposure to heat and fire.

Data Bridge Market Research analyses that the potting and encapsulating compounds market is expected to reach USD 4,884,404.669 thousand by 2030, which is USD 3,305,957.34 thousand in 2022, registering a CAGR of 5.00% during the forecast period of 2023 to 2030. In addition to the insights on market scenarios such as market value, growth rate, segmentation, geographical coverage, and major players, the market reports curated by the Data Bridge Market Research also include in-depth expert analysis, geographically represented company-wise production and capacity, network layouts of distributors and partners, detailed and updated price trend analysis and deficit analysis of supply chain and demand.

Potting and Encapsulating Compounds Market Scope and Segmentation

Market Definition

Potting is filling a complete electronic assembly with a gelatinous or solid compound such as silicone, acrylic or resins to improve shock resistance and vibration and protect against dampness and corrosive substance. In contrast, encapsulation uses a reusable mold to create a frame around the product and fill the gap between the object and the frame with chemicals. The primary function of encapsulation is to build a protective shell around the electronic assembly.

Global Potting and Encapsulating Compounds Market Dynamics

Drivers

• Increasing demand for potting and encapsulating compounds in the electronic industry

The growing demand for potting and encapsulating compounds in the electronic industry is expected to propel the market's growth. In the electronics industry, potting fills total electronic assembly with thick or strong compounds for high-voltage gatherings without gaseous phenomena such as corona discharge. In the potting procedure, an electronic assembly is placed in a mold filled with insulating liquid compound that hardens and lastingly protects the assembly. As a result of all these factors, the demand for potting and encapsulating compounds in the electronic industry increase, eventually enhancing the market growth rate.

• Growing demand for technologically advanced products

Consumers are now highly concerned about product durability, which boosts the potting and encapsulating of electrical components. As a result of improper handling of the component, consumer electronics are more vulnerable to external harm. Thus, people seek more advanced technological, long-lasting, and durable products that will likely propel the growth of the potting and encapsulating compounds market.

 Opportunities

• Growth and expansion of the electronics industry

The electronics industry is expected to grow significantly in the coming years. It will generate lucrative opportunities for market growth because of the rising demand for electronic devices, such as transformers, semiconductors, capacitors, and solenoids. For instance, India will likely have a digital economy of around USD 1 trillion by 2025. India's Electronics System Design and Manufacturing (ESDM) sector will likely create above USD 100 billion in economic value by 2025. Hence, due to these factors, the application of potting and encapsulating compounds in electronics will likely dominate the market during the forecast period.

• High demand for silicon potting and encapsulating compounds potting from the automotive industry

Silicone potting and encapsulating compounds are extensively used in the automotive sector because automotive vehicles are now highly equipped with electronic devices. These devices help in entertainment, communication, and visualization. As these devices need more protection from temperature, shock, moisture, and vibration, potting and encapsulating compounds are widely used. Hence, these factors are expected to boost the demand for silicone potting and encapsulating compounds and further create ample opportunities for market growth in the upcoming years.

 Restraints/ Challenge

• Silicone potting and encapsulating compounds can out-gas after preserving

Silicone potting and encapsulating compounds continue to out-gas after preserving, which leads to the deposition of a microscopic layer of silicone rubber on the adjacent components. This may affect the solderability and paintwork and can also interfere with the electrical contacts. Furthermore, the bonding performance of silicone potting and encapsulating compounds is slightly less, restraining the market growth.

• The risk associated with the usage of potting and encapsulating compounds

Two major risks are associated with potting and encapsulating compounds, which will likely hamper the market growth. The first one is that the heat generated by curing reaction will harm fragile components. Another factor is that the potting compound shrinkage during curing may be haem sensitive components. As a result of these factors, the potting and encapsulating compounds market will likely hinder market growth.

This potting and encapsulating compounds market report provides details of new recent developments, trade regulations, import-export analysis, production analysis, value chain optimization, market share, impact of domestic and localized market players, analyses opportunities in terms of emerging revenue pockets, changes in market regulations, strategic market growth analysis, market size, category market growths, application niches and dominance, product approvals, product launches, geographic expansions, technological innovations in the market. To gain more info on the potting and encapsulating compounds market contact Data Bridge Market Research for an Analyst Brief, our team will help you take an informed market decision to achieve market growth.

Impact and Current Market Scenario of Raw Material Shortage and Shipping Delays

Data Bridge Market Research offers a high-level analysis of the market and delivers information by keeping in account the impact and current market environment of raw material shortage and shipping delays. This translates into assessing strategic possibilities, creating effective action plans, and assisting businesses in making important decisions.

Apart from the standard report, we also offer in-depth analysis of the procurement level from forecasted shipping delays, distributor mapping by region, commodity analysis, production analysis, price mapping trends, sourcing, category performance analysis, supply chain risk management solutions, advanced benchmarking, and other services for procurement and strategic support.

Expected Impact of Economic Slowdown on the Pricing and Availability of Products

When economic activity slows, industries begin to suffer. The forecasted effects of the economic downturn on the pricing and accessibility of the products are taken into account in the market insight reports and intelligence services provided by DBMR. With this, our clients can typically keep one step ahead of their competitors, project their sales and revenue, and estimate their profit and loss expenditures.

Recent Developments

• In 2021, Master Bond Inc. introduced a new product named MasterSil 153AO, an adding cured two-part silicone with a self-priming property. This product has an electrically insulating and thermally conductive structure. This product was launched to add variety to their product portfolio.
• In 2020, Electrolube revealed the achievement of its ER2221 resin, which safeguards the electric vehicle batteries in India's most popular two-wheeler cars. This product launch was employed to help their Indian customers to improve thermal management issues.
• In 2020, Epoxies Etc. formulated a new epoxy product, 20-3305. This new epoxy product was developed to meet high-voltage electronic needs and protect the electronic assemblies from stress and heat cycling. This product was launched to add variety in their product portfolio regarding thermal shock resistance.

Global Potting and Encapsulating Compounds Market Scope

The potting and encapsulating compounds market is segmented on the basis of type, substrate type, function, curing technique, distribution channel, application, and end-user. The growth amongst these segments will help you analyze meagre growth segments in the industries and provide the users with a valuable market overview and market insights to help them make strategic decisions for identifying core market applications.

Type

• Epoxy
• Polyurethane
• Silicon
• Polyester System
• Polyamide
• Polyolefin
• Others

 Substrate Type

• Glass
• Metal
• Ceramic
• Others

Function

• Electrical Insulation
• Heat Dissipation
• Corrosion Protection
• Shock Resistance
• Chemical Protection
• Others

Curing Technique

• Room Temperature Cured
• High Temperature or Thermally Cured
• UV Cured

Distribution Channel

• Offline
• Online

Application

• Electronics
• Surface Mount [Package
• Beam Bonded Components
• Memory Devices and Microprocessors
• High Power Devices
• Electrical
• Capacitors
• Transformers
• Cable Points
• Industrial Magnets
• Solenoids
• Others

 End-User industry

• Transportation
• Automotive
• Aerospace
• Marine
• Consumer Electronics
• Energy and Power
• Solar Power
• Others
• Telecommunication
• Healthcare
• Others

Potting and Encapsulating Compounds Market Regional Analysis/Insights

The potting and encapsulating compounds is analyzed and market size insights and trends are provided by country, type, substrate type, function, curing technique, distribution channel, application, and end-user as referenced above.

The countries covered in the potting and encapsulating compounds market report are U.S., Canada and Mexico in North America, Germany, France, U.K., Netherlands, Switzerland, Belgium, Russia, Italy, Spain, Turkey, Rest of Europe in Europe, China, Japan, India, South Korea, Singapore, Malaysia, Australia, Thailand, Indonesia, Philippines, Rest of Asia-Pacific (APAC) in the Asia-Pacific (APAC), Saudi Arabia, U.A.E, South Africa, Egypt, Israel, Rest of Middle East and Africa (MEA) as a part of Middle East and Africa (MEA), Brazil, Argentina and Rest of South America as part of South America.

Asia-Pacific is expected to dominate the potting and encapsulating compounds market owing to the growing demand for consumer electronics products in this region. Moreover, easy manufacture and installation of potting and encapsulating compounds with superior quality raw materials will further boost the market's growth in this region.

North America is expected to be the fastest developing region during the forecast period of 2023-2030 because of the increasing demand for potting and encapsulating compounds used in high-power devices in this region. Furthermore, the growing demand for eco-friendly potting and encapsulating compounds from the transportation industry will further boost the market growth in this region.

The country section of the report also provides individual market impacting factors and changes in market regulation that impact the current and future trends of the market. Data points like down-stream and upstream value chain analysis, technical trends and porter's five forces analysis, case studies are some of the pointers used to forecast the market scenario for individual countries. Also, the presence and availability of global brands and their challenges faced due to large or scarce competition from local and domestic brands, impact of domestic tariffs and trade routes are considered while providing forecast analysis of the country data.   

Competitive Landscape and Potting and Encapsulating Compounds Market Share Analysis

The potting and encapsulating compounds market competitive landscape provides details by competitor. Details included are company overview, company financials, revenue generated, market potential, investment in research and development, new market initiatives, global presence, production sites and facilities, production capacities, company strengths and weaknesses, product launch, product width and breadth, application dominance. The above data points provided are only related to the companies' focus related to potting and encapsulating compounds market.

Some of the major players operating in the potting and encapsulating compounds market are:

• 3M (U.S.)
• DuPont (U.S.)
• PARKER HANNIFIN CORP (U.S.)
• Momentive (U.S.)
• Henkel AG and Co. KgaA (Germany)
• Solvay (Belgium)
• Avantor, Inc. (U.S.)
• ELANTAS (Germany)
• Electrolube (U.K.)
• Epoxies, Etc. (U.S.)
• Dymax (U.S.)
• Master Bond Inc. (U.S.)
• Owens Corning (U.S.)
• DELO (U.S.)
• RBC Industries, Inc. (U.S.)
• Hernon Manufacturing (U.S.)
• ITW Performance Polymers (U.S.)
• Creative Materials (U.S.)
• United Resin, Inc. (U.S.)
• Epic Resins (U.S.)