World Abrasives Industry Worth $40 Billion by 2017, Says A New Research Report at iAbrasive.com

World demand to rise nearly 6% annually through 2017

Worldwide demand for abrasives is forecast to expand nearly six percent per annum through 2017 to just under $40 billion, an acceleration over the 2007- 2012 pace. Abrasives sales are expected to improve greatly in North America and Western Europe. The Africa/Mideast region, Central and South America, and Eastern Europe will perform much better through 2017 as well. In contrast, gains in the Asia/Pacific region are expected to decelerate modestly between 2012 and 2017, after more than a decade of rapid abrasives demand growth. However, the Asia/Pacific abrasives market will still outperform all other regions during this time. In terms of products, paper and other coated abrasives are expected to see the fastest gains through 2017, followed by metallic products and superabrasives. Transportation equipment and fabricated metals will be the best performing end use markets during this period.

China to account for more than half of all new demand 

About 55 percent of all additional abrasives demand generated between 2012 and 2017 will be attributable to China, the world’s leading consumer of these products. Abrasives sales in the country are projected to rise 10 percent per year through 2017. As the Chinese abrasives market matures, however, growth is expected to decelerate noticeably from the breakneck pace of the last decade. Massive gains in manufacturing activity, rising living standards, and additional foreign investment will stimulate product demand in China. As the country’s durable goods industries become more sophisticated, the intensity of abrasives use — relative to GDP, manufacturing value added, and population size — will increase noticeably.

Coated, metallic, & superabrasives to gain ground 

The coated abrasives segment is projected to remain the leading product type through 2017, growing at an above average pace. Healthy advances in manufacturing and construction activity, together with large consumer product demand gains, will stimulate paper and other coated abrasives consumption. Metallic abrasives, which are largely used in metalworking plants, foundries, and machine tool factories, are forecast to be the second fastest growing product through 2017 because these and similar industries will grow significantly. Finally, end users will require more advanced and specialized abrasives in the future, as their operations become more sophisticated. This trend will greatly boost global demand for superabrasives.

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