Chlorinated Polyethylene (CPE)
Chlorinated Polyethylene (CPE) is a soft, rubbery, inexpensive variation of polyethylene, where chlorine is substituted for some of the hydrogen atoms with chlorine content ranging from 30-40%.
In terms of Chlorinated Polyethylene demand by applications, the market is segmented into Impact Modifier, Roofing Membranes, Wire & Cable Jacketing, Geo membranes and Coatings. Impact modifier dominates the market accounting for more than 60% of the market share, followed by Roofing membranes accounting for 10% and Wire & Cable Jacketing with 5% market share. CPE impact modifiers are used in a variety of applications, including automotive, construction, and electrical industries. These impact modifiers improve the impact strength of thermoplastics, making them more resistant to cracking and breaking under stress. CPE can be blended with other polymers to improve their properties, making it a versatile material for a range of applications.
The COVID-19 pandemic had a major impact on Chlorinated Polyethylene markets because major economies of the world were completely under lockdown due to the pandemic. Due to the lockdown, the consumer market has started to see a decline in purchasing goods. One of the major difficulties, the Chlorinated Polyethylene market is facing are the shutdown of all kinds of transportation. Global crisis was hit by slowing demand in the production of goods and exports had hindered the Chlorinated Polyethylene market.
Asia Pacific market is the largest and fastest growing market owing to strong demand from construction and transportation industries, especially from countries such as India and China. Chlorinated polyethylene imparts superior properties such as impact resistance, welding strength, and weather resistance.
Key Chlorinated Polyethylene (CPE) Manufacturers Globally
Rising demand from the Wire & Cable Jacketing segment
The growing demand for Chlorinated Polyethylene in the wire & cable jacketing segment is driving the market growth and is anticipated to boost the market in the forecast period. Chlorinated Polyethylene has excellent mechanical properties and cost-effectiveness because of which it is commonly preferred for insulation applications in the electronics industry, which is boosting the market growth. In addition, the high flexibility of Chlorinated Polyethylene is boosting their use with Polyvinyl Chloride (PVC) and Ethylene Vinyl Acetate (EVC) which is leading to the development of products with high stability, thereby boosting the Chlorinated Polyethylene growth.
The growing demand for low-voltage power and power control cables with excellent fire redundant properties is boosting the CPE market growth. As various research activities are initiated by leading companies, chlorinated polyethylene with high processibility and oil resistant properties are developed, which is expected to fuel the market growth. Moreover, the increasing attempts to boost the cost-efficiency of the development of chlorinated polyethylene is anticipated to significantly contribute to the industry growth in the forecast period.
Health and Environmental concerns
Chlorinated Polyethylene is a synthetic polymer that is not biodegradable, which raises environmental concerns about its disposal. Therefore, the government has imposed several rules and regulations on the usage of Chlorinated Polyethylene. CPE can release chlorine gas when burned, which can be harmful to health and can damage the respiratory system.
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