The increasing demand for electronic devices globally is propelling the requirement for liquid crystal polymers. Smartphones, computers, LED TVs, and microwaves have become part of almost every urban household due to the increasing per capita income and growing population in nations such as India, China, Indonesia, and Brazil. Liquid crystal polymers have aided in the development of these products as they have advanced electrical and mechanical properties. Thus, the growth in the demand for consumer electronics has motivated chemical companies to market their liquid crustal polymers to the electronics sector.
Essentially, the demand for high material strength at extreme temperatures and perfect dimensional stability are playing the key role in the advance of the liquid crystal polymer market around the world. All these properties have made these materials an optimal electronic substrate, therefore, a popular packaging material for the high-frequency circuit boards that are utilized in semiconductors, which are, in turn, integrated into consumer electronic products. Therefore, among all industries, the demand for these materials is the highest in the semiconductor sector.
Moreover, of the two types of this material, thermotropic variants are consumed in the higher quantities. This is majorly due to the fact that thermotropic liquid crystal polymers are wildly utilized as display materials, optical couplers, information storage materials, and blend additives. This is because they are highly compatible with other semiconductor materials, which is why the surging electronics industry is the primary reason behind the growing demand for them.
In turn, the key factor propelling the requirement for electronic components and semiconductors is the growing automotive, aerospace and defense, home appliances, building automation, power and energy, and almost all other industries. For instance, in the more-advanced vehicles, especially those with in-vehicle connectivity and autonomous driving features, semiconductors are essential, as is the case with fire-and-forget missiles and precision-guided bombs. Similarly, all automated home appliances, such as smart TVs and HVAC systems, have semiconductor-driven operation controllers.
Therefore, in the preceding years, the liquid crystal polymer market was led by APAC, due to the presence of numerous semiconductor manufacturing hubs in countries such as China, Japan, and Taiwan. The demand for semiconductors is rising owing to the rapid growth in the consumer electronics industry in India and Vietnam. Additionally, most of the major manufacturers of liquid crystal polymers, including Celanese Corporation, Polyplastics Co. Ltd., Toray Industries Inc., and Sumitomo Chemical Co. Ltd., either have manufacturing plants or their very headquarters in the region.
These companies are increasingly catering to domestic automotive, weaponry, and home appliance manufacturers. Some of the most-iconic companies across these industries, such as Sony, Toshiba, Samsung, Videocon, LG, Tata, Blue Star, Asus, Haier, and Hitachi, are headquartered and have numerous manufacturing plants in regional countries. Moreover, TSMC, the largest semiconductor foundry in the world, is based in the region. The presence of all these companies directly or indirectly drives the requirement for liquid crystal polymers in the APAC region.
Therefore, the soaring manufacturing of electrical products will lead to a continuous increase in the demand for liquid crystal polymer in the coming years.