Sheet Molding Compound Market Trends

Drivers

Increase in Number of Vehicles

• Growing demand for commercial passenger vehicles is another key driver for market revenue growth. In 2022, about 57.5 million passenger cars were purchased worldwide, an increase of about 1.9% compared to the previous year. China emerged as the largest regional car market by 2022, with sales reaching almost 23.6 million units. Sheet molding compound (SMC) is an attractive solution to reduce weight while maintaining system integrity due to its excellent strength to weight ratio Fuel efficiency and emissions considerations regulations are forcing the auto industry to look for lightweight materials including SMC to achieve these goals.

Restraints

• Recycling barriers to hamper growth

High cost associated with infrastructure along with increasing complexity and recycling issues are likely to be the restraining factors for the growth of the market for sheet molding compound (SMC) within the forecast period described above. Easy availability of product choice which will be the biggest challenge and priority for the growth of the market.