The global precipitated silica market size was estimated at USD 2,151.7 million in 2022 and is projected to reach USD 3,716.0 million by 2030, expanding at a CAGR of 7.1% from 2023 to 2030. A major driver for this market growth is the increasing demand from key industries such as rubber, agrochemicals, and oral care.

The demand for precipitated silica in the production of fuel-efficient tires is expected to grow in line with the global push to reduce automotive fuel consumption and promote vehicle electrification. Governments worldwide are introducing policies to encourage the adoption of fuel-saving tires. For example, in May 2022, the Indian government announced a new star rating rule for tires, which will evaluate tires based on fuel-saving capacity, skid resistance, and safety performance.

The surge in electric vehicle (EV) production presents a promising growth opportunity for the precipitated silica market. In the first quarter of 2022, global EV sales reached 2 million units. This upward trend in EV demand is anticipated to positively impact the market. For instance, Honda Motor Investment Co Ltd announced in January 2022 that Dongfeng Honda Automobile Co Ltd would establish a new EV manufacturing plant in Hubei Province, China, with production beginning in 2024 and a capacity of 120,000 units annually. Similarly, in November 2021, Volkswagen revealed its plan to build a modern EV manufacturing facility in Wolfsburg, Germany.

Tire manufacturers are increasingly investing in the development of sustainable and more fuel-efficient tires. In 2020, Goodyear committed to creating tires made entirely from sustainable materials. The company also announced plans to develop sustainable carbon black, which is expected to reduce carbon emissions while improving tire performance.

Key Market Trends & Insights

• Regionally, Asia Pacific emerged as the largest revenue-generating market in 2022.

• Country-wise, Spain is forecasted to record the highest CAGR from 2023 to 2030.

• By segment, rubber contributed USD 1,136.8 million in revenue in 2022.

• Other Applications is the fastest-growing application segment during the forecast period.

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Market Size & Forecast

• 2022 Market Size: USD 2,151.7 Million

• 2030 Projected Market Size: USD 3,716.0 Million

• CAGR (2023–2030): 7.1%

• Asia Pacific: Largest regional market in 2022

Given that tires represent the largest application area for precipitated silica, the market is closely tied to global automotive industry trends. Rising disposable incomes in the Asia Pacific region have led to a surge in automobile production, reinforcing the region’s dominance as the world’s largest automotive manufacturer and a key market for precipitated silica.

Regional Insights

Asia Pacific accounted for 42.7% of the market revenue in 2022 and is expected to maintain its lead over the forecast period. Factors such as rapid industrialization, rising tire production, and substantial infrastructure spending are driving demand in this region.

China was the leading consumer of precipitated silica in 2022 and is projected to maintain its dominance due to increasing investments in EVs and strong demand across industries like rubber, food, and oral care.

North America was the second-largest regional market in 2022. The growing demand for tires is significantly fueling rubber applications, particularly in EV passenger cars and trucks. Rising tire shipments are expected to boost precipitated silica consumption in the region.

The U.S. automotive sector's increasing production of heavy commercial vehicles has elevated the demand for high-performance rubber tires. This trend is likely to support precipitated silica demand. For example, in September 2021, Ford Motor Company announced plans to build two new campuses in Tennessee and Kentucky for electric F-Series trucks and batteries, with production slated to begin in 2025.

Key Companies & Market Share Insights

Leading players in the precipitated silica market are expanding production capacities, launching new facilities, and forming strategic alliances with tire manufacturers. In September 2022, Evonik Industries partnered with Phichit Bio Power Co., Ltd. and Pörner Group to supply sustainable tires using precipitated silica, aimed at significantly reducing carbon footprints. Major companies in the global market include:

• Anten Chemical Co. Ltd.
• Huber Engineered Materials
• Evonik Industries
• PPG Industries Incorporated
• IQE Group
• Solvay SA
• PQ Corporation
• MLA Group
• Tosoh Silica Corporation
• R. Grace & Co.
• Madhu Silica Pvt. Ltd.

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Conclusion

The global precipitated silica market is on a robust growth trajectory, fueled by escalating demand across the rubber, automotive, and EV industries. The push for sustainability and energy efficiency, especially in tire manufacturing, further accelerates the adoption of precipitated silica. With strong regional markets like Asia Pacific and growing technological investments, the industry is well-positioned to capitalize on future opportunities and contribute meaningfully to a more sustainable industrial ecosystem.