Global Silicon Carbide Market to Witness High Growth as a Result of Strong Demand From Steel and Energy Sectors

Growing demand for steel processing and steel manufacturing along with recycling units is a key factor expected to drive silicon carbide market over the next five years. Increasing applications in major end-use industries including aerospace and aviation, electronics and semiconductor, steel and energy, military and defence, and medical and healthcare is anticipated to augment global silicon carbide market growth in near future. Silicon carbide also finds application in automotive industry.

Growing automotive industry in china is likely to boost the market demand in Asia Pacific region over the foreseeable future. Silicon carbide is produced synthetically and posses properties such as oxidation resistance, low density, high strength, high temperature strength, high thermal shock resistance, low thermal expansion, and good chemical resistance.

These tangible properties are expected to be a major factor for the market development. Replacement of pure silicon semiconductors with silicon carbide technology semiconductors is anticipated to have positive impact on the market over the next five years. Low tolerance level coupled with high manufacturing cost due to low manufacturing volumes and yields are expected to restrain the market growth over the forecast period.  

Product Insights:

Based on products, silicon carbide is segmented into types such as black, green, coated, refractory, metallurgical briquettes, metallurgical, and micro grit. Among all, green and black are the major product segments and are anticipated to experience stagnant growth in near future. Demand for black silicon carbide is likely to boost over the forecast period on account of its increasing usage in ceramic, refractory and steel industries.

End-Use Insights:

Steel and energy dominates the application segment and is expected to be the fastest growing segments over the foreseeable future. Silicon carbide finds application in abrasive cloths and paper products and in grinding wheels owing to its superior properties such as high thermal resistance, hardness, and high temperature strength.

Substituting pure silicon with silicon carbide in semiconductors is a key factor expected to drive the demand for silicon carbide in semiconductor and electronics industry. Electronics devices manufactured using silicon carbide reduces electricity losses owing to switching and conduction thereby offering high efficiency. This factor is anticipated to impact the market positively over the foreseeable future. Silicon carbide also finds application in automotive industry as an oil additive and ceramic brake discs. Growing automotive sector across the globe is expected to augment the market growth in near future.

Regional Insights:

Asia Pacific was the dominant regional market in 2014 and is expected to experience significant growth over the next five years owing to growing steel and energy industry in the region. Growing electronics and semiconductors market is anticipated to have positive impact on the market in Asia Pacific region. Automotive industry has been witnessing rapid growth particularly in China is expected to be the major factor driving the market growth in the region over the foreseeable future. Rapid industrialization and increasing infrastructure spending in the region is further likely to boost silicon carbide market in near future. North America silicon carbide market is anticipated to witness rapid growth on account of growing medical and healthcare industry in the region. Furthermore, growing military and defence industry in U.S. is likely to complement the market growth in North America region. Increase in healthcare spending by regional government is projected to drive silicon carbide market in Europe region.