Silica Sol Market Expected to Reach $1.3 Billion by 2031—Allied Market Research

According to a new report published by Allied Market Research, titled, “Silica Sol Market," The silica sol market was valued at $0.8 billion in 2021, and is estimated to reach $1.3 billion by 2031, growing at a CAGR of 5.0% from 2022 to 2031.

Silica sol, also known as colloidal silicic acid, is a stable suspension of hydroxylated, spherical silicon dioxide (SiO2) nanoparticles in a liquid. In nearly every industrial sector, colloidal silicic acid is present. Sol silicate paint requires silica sol as a necessary ingredient. Sol silicate paint is produced by combining silica sol with potassium silicate as the major binder. It is also offered in biocide-free or low-biocide solutions. Silica sol decreases the binder's solubility and pH, improves the weather resilience of paint, and reduces alkalinity. In addition, it improves film characteristics and reduces internal stress and adhesion which is a critical issue in inorganic coatings.

During the forecast period, the market for silica sol is expected to be driven by China's rapidly expanding electronics and semiconductor industries. In China, prominent manufacturers of silica sol are increasing their investments in the development of this product to meet the demands of end-use applications. The admission of numerous Small and Medium-Sized Businesses (SMBs) into the country will be a major driver for market growth. The global demand for silica sol is expected to increase substantially as the use of electronic items grows. Approximately 28 electronic items, such as personal computers, electronic readers, mobile phones, and televisions are utilized by the average American household, as per the Environmental Protection Agency (EPA).

The global construction sector is expanding at a rapid rate, which is increasing the demand for a variety of construction materials. Cement is one of the most important components in the construction process, and silica sol is used to densify cement, concrete, and other construction materials. Need for silica sol is predicted to increase over the next few years as a result of the growing demand for a variety of construction materials, which will create potential prospects for the market. However, the high price volatility of the raw materials used in the production of the product, as well as the severe laws and policies related to the product's use, are anticipated to serve as major restraints on the growth of the global silica sol market during the forecast period.

The global silica sol market is segmented into application, end-use industry, and region. Depending on the application, the market is classified into a binder, surface modification, flocculant, catalyst, and others. On the basis of the end-user industry, it is categorized into chemicals, foundry, pulp and paper, plastics, electrical & electronics, textile, and others. Region-wise, the market is studied across North America, Europe, Asia-Pacific, and LAMEA.

On the basis of application, the silica sol market is categorized into a binder, surface modification, flocculant, catalyst, and others. Other applications are projected as the fastest-growing segment and catalyst application has garnered the highest share in the silica sol market.

On the basis of the end-use industry, the silica sol market is categorized into chemicals, foundry, pulp and paper, plastics, electrical & electronics, textile, and others.  Other industries are projected as the fastest-growing segment and the chemical industry has garnered the highest share in the silica sol market.

Region-wise, Asia-Pacific is projected to register robust growth during the forecast period, due to the increased demand for silica sol from the textile and electrical & electronics industries.

The major players operating in the global silica sol market are ADEKA CORPORATION, AMS Applied Material Solutions, Cabot Corporation, Ecolab Inc., Evonik Industries AG, Gelest, Inc., Merck KGaA, Nissan Chemical Corporation, Sterling chemicals, W. R. Grace & Co.-Conn. Other players operating in the market are Nouryon, Visa Chemical Industries, and Qingdao FSK Foundry Materials CO., LTD.

COVID-19 impact analysis on the silica sol market

• The automobile industry is increasing after the pandemic which automatically increased the demand for the silica sol market as it is used in paints and coatings of automotive parts.
• The production of automobiles increases in 2021 as compared to 2020. According to the International Organization of Motor Vehicle Manufacturers, the production of automobiles increased as it was $77 million in 2020 and $80 million in 2021.
• Many end-use industries such as paper & pup and electronics are expanding which will drive the silica sol market in the forecast years.

Key findings of the study

• On the basis of application, the other segment is expected to grow at a CAGR of 5.8%, in terms of revenue, during the forecast period.
• Depending on the end-use industry, the other segment is expected to grow at a CAGR of 7.2%, in terms of revenue, during the forecast period.
• Region wise, Asia-Pacific contributed 48.04 % market share in 2021 and is projected to grow at a CAGR of 5.9% during the forecast period.