by The global Functional Films Market is estimated to be valued at US$ 9.02 Mn in 2023 and is expected to exhibit a CAGR of 5.6% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Functional films are thin materials applied to various substrates and surfaces to provide added functionality like protection from environmental factors, conductivity and UV protection. Some key functional films include conductive films, optically functional films, protection films and adhesive films. Conductive films provide electrical conductivity for applications in displays, touchscreens and solar panels. Optically functional films are used to enhance the optical properties like anti-reflective, anti-fog and anti-scratch functions. Protection films provide barrier against moisture, oxygen, chemicals and other corrosive substances to protect surfaces. Adhesive films are used as bonding agents in various applications requiring adhesion. Growing demand from end use industries like electronics, automotive and packaging is driving the functional films market.
Market key trends:
Increasing use in touch panels and displays: Functional films market find major application in the manufacturing of LCD, OLED and other advanced displays and touch panels used in various consumer electronics. Growing demand for larger and higher resolution displays is driving the demand for functional films that facilitate optical tuning, touch sensitivity and panel protection.
Rising scope in solar photovoltaics: Functional films provide anti-reflective, conductive and encapsulation functionality needed for manufacturing of crystalline silicon and thin film photovoltaic solar panels. Growth in the renewable energy sector is contributing to the rising demand for functional films from solar photovoltaics manufacturers.
Advancements in materials and production: Continuous innovation and development of new materials, compositions and production technologies are expanding the scope and capabilities of functional films. Focus on developing specialty films for niche applications through nanotechnology and thin film engineering will support the market growth over the forecast period.
Porter’s Analysis
Threat of new entrants: Low capital requirements and presence of established players make market tough for new entrants. Bargaining power of buyers: Presence of substitutes increases buyer power and price negotiation abilities. Bargaining power of suppliers: Large number of suppliers keeps supplier power in check. Threat of new substitutes: Emergence of new materials with similar functionality poses a threat. Competitive rivalry: Intense competition among key players leads to pricing pressure.
Key Takeaways
The global Functional Films market is expected to witness high growth, exhibiting CAGR of 5.6% over the forecast period, due to increasing demand from electronics and packaging industries. The Asia Pacific region is expected to dominate the global market during the forecast period, owing to easy availability of raw materials and rapid expansion of end-use industries in countries such as China and India.
Key players operating in the Functional Films market are 3M, Toray Industries, Inc., Nagase & Co. Ltd., Eastman Chemical Company, and Tatsuta Electric Wire & Cable Co., Ltd. The global Functional Films market size for 2023 is US$ 9.02 Mn. Regional analysis related content comprises Regional analysis related content
The Asia Pacific region is expected to dominate the global Functional Films market during the forecast period. Growing electronics and packaging industries and easy availability of raw materials in countries like China and India are some factors contributing to the high growth of the Functional Films market in Asia Pacific. North America and Europe are also anticipated to hold significant shares in the global market over the forecast period.
Key players operating in the Functional Films market are 3M, Toray Industries, Inc., Nagase & Co. Ltd., Eastman Chemical Company, and Tatsuta Electric Wire & Cable Co., Ltd. 3M is a leading player in the market, offering a wide range of functional films. Toray Industries, Inc. specializes in manufacturing barrier, optical and adhesive films. Nagase & Co. Ltd. provides high-performance films and tapes. Eastman Chemical Company offers window, surface protection and graphic films. Tatsuta Electric Wire & Cable Co., Ltd deals in anti-fogging and insulation films.
