Phase Change Materials Market Based on Type (Inorganic PCM, Organic PCM, Bio-Based PCM), Based on Application (HVAC, Cold Chain & Packaging, Thermal Energy Storage, Electronics, Textile, Building & Construction, Refrigeration & Equipment, Shipping & Transportation, Others), By Geography, Segment revenue estimation, Forecast, 2021-2030

Industry Report and Statistics (Facts & Figures) - Material Volume (Metric Ton), Price, Demand & Sales Analysis by Type & Application

The global phase change materials market will witness a robust CAGR of 15%, valued at $1.66 billion in 2021, expected to appreciate and reach $5.1 billion by 2030, confirms Strategic Market Research. Europe accounted for a sizeable market share of over 30% in the year 2020 and held the largest market value in the market. A phase change material which can also be stated as PCM, is a substance that, during a phase transition, releases or absorbs enough energy to deliver useful heating or cooling. Typically, the change will occur between the solid and liquid states, the first two fundamental states of matter. The phase transition may also occur between states of matter that are not classical, such as the conformance of crystals, where material changes from adhering to one crystalline structure to another that may have a greater or lower energy level. Phase change material absorbs and releases heat by liquefying and solidifying at set temperatures.

 

The natural latent heat property of phase change material helps maintain the structure's temperature and prevent sudden external changes. Fluctuations in ambient temperature recharge phase change material, making them suitable for everyday applications. KULR Technology Group, Inc., a pioneer in developing next generation lithium ion battery safety & thermal management technologies, announced today that Lockheed Martin Corporation, a major aerospace and defence company, had placed a follow-on order for its space-developed phase change material ("PCM") heat sink technology. Phase change material heat sink technology lowers system temperature excursions and increases the lifespan of important thermal storage componentry. Compact, high-performance devices that need short bursts of processing power are most suited for using the solution. 

 

Phase change material is applied and used in myriad number of industries like solar power plants and solar cooling, photovoltaic electricity systems, waste heat recovery system, space industry and also in preservation of pharmaceutical and food products. Phase change material use and adopt the principle and policy of latent heat thermal storage. It absorbs energy in large quantity when it is in surplus and releases it when there is a paucity of it. This astonishing technology has already been implemented in plethora of construction projects.

 

 

Market Drivers - Rising Sustainable Infrastructure, Surge in Demand for Thermal Energy Storage & Increasing Need for PCMS in The Drug Delivery

• The global focus on energy efficiency and sustainability is a significant driver for the PCM market. The rapid demand for energy consumption has led to the depletion of resources & given rise to environmental issues like increased CO2 emissions, global warming & air pollution. Buildings report 40% of global energy consumption, causing greenhouse gas emissions and global warming. Sustainable renewable energy systems and Energy Storage Systems (ESSs) are developed to manage high energy demand and climate change using PCM. PCMs store and release energy based on the environment's temperature, providing heat during cold times and absorbing heat during higher temperatures. By incorporating PCMs into construction materials like walls, roofs, and windows, indoor temperature fluctuations can be minimized, reducing the need for active heating and cooling systems and decreasing energy consumption and carbon emissions. The sustainable building material market is growing with a stable CAGR of 7.89% and is projected to reach $520 billion by 2030. The rising prevalence of sustainable building materials fuels the demand for PCM in buildings.

 

• Renewable energy technologies need lower costs to compete with traditional energy sources. Energy storage technology, such as thermal energy storage (TES), can increase utilization & reduce the costs of renewable energy technology. TES systems provide a solution by storing excess energy generated during peak production and releasing it during periods of high demand. PCMs are used in TES systems as they efficiently store and release thermal energy. PCM enables the storage of large amounts of energy within a small volume. They can deliver it at a constant temperature, making them an ideal choice for grid-scale and off-grid energy storage applications. The TES market is growing with a stable CAGR of 7.9%, projected to reach $53 billion by 2030. This ever-increasing market for TES is fuelling the demand for PCM.

 

• The increasing need for PCMs to deliver drugs, vaccines, medicines and therapeutic hypothermia using PCMS in rheumatic and new born illnesses can act as a key market driver. Phase change material is cost effective, sustainable and one of the most reliable options for drug and vaccine transportation. PCM’s can be used myriad number of times, are renewable and is also fuel and engine independent. The cartridge of the PCM is stored & conditioned at a warehouse where the temperature is kept at -25 or below. Post this is done, the cartridge could be utilized for secondary, tertiary and last mile deliveries without any obstruction and hindrances and at the same time maintaining the temperature for more than 10 hours. Tessol has played a critical role in the distribution of vaccines by imparting support with their PCM solution for vaccines and pharmaceuticals. Their solution called PACK N SHIP includes pharmaceutical shippers which are multi and single use. These shippers are PCM based with no strict SOP’s. They can be utilized for biological and vaccines along with a temperature range of -20 to +15.

 

Market Restraints - High Initial Cost and Lack of Awareness

• Phase change materials often have higher initial costs than traditional insulation materials. High cost restrains potential users from adopting PCM-based solutions, particularly in cost-sensitive industries or regions with limited financial resources. For example, paraffin, the most commonly used PCM which constitutes 60% of the market, costs between $20-40/kWh, making it expensive to build infrastructure. 

 

• PCM technology is still at a nascent stage, and due to less demand, the PCM market is not commercialized worldwide. Many phase change materials are presently under the research and development phase. Lack of awareness & education about the benefits and applications restrains the adoption of PCM.

 

Market Opportunities: -

• The demand for highly effective and innovative construction material has increased due to the increased emphasis on green building and energy conservation. As a result, advanced phase change materials are used in various applications, including thermally efficient concrete, PCM-filled glass windows, and under-floor electric heating systems. Plasterboards or Wallboards are most conducive components for subsuming phase change materials. They are highly affordable and used extensively to minimize and reduce variations in internal air temperature in building applications especially light weight constructions. The expansion and proliferation of the building & construction sector is anticipated to be the main driver of the market for advanced phase change materials.

 

• As encapsulation technologies continue to progress, various innovative methods for incorporating PCM into various products have been introduced into the market. Encapsulation is known to incorporate phase change material (PCM) into final products, including construction materials, textile fibres, and other items. PCM can be subsumed into a final product using advanced techniques like microencapsulation and macroencapsulation. Phase change materials with diverse melting points and in various forms, from fibres to raw powder, are now widely used due to the expanding utilization of these types of encapsulations. It is anticipated that during the review period, new opportunities will arise due to these cutting-edge industry developments and the continued investments made by key  companies.

 

• The demand for phase change materials will be boosted in the upcoming years by the growing acceptance of biobased materials due to their advantages in terms of safety and the environment.

 

 

Market Analysis Of Different Segments Covered in the Report

Based on Type

• Inorganic PCM

• Organic PCM 

• Bio-Based PCM

 

Based on Application

• HVAC

• Cold Chain & Packaging

• Thermal Energy Storage

• Electronics

• Textile

• Building & Construction

• Refrigeration & Equipment

• Shipping & Transportation

• Others

 

Regional Coverage Analysis

North America

• Mexico

• United States of America

• Canada

 

Europe

• Spain

• France

• Italy

• United Kingdom

• Germany

• The United Kingdom.

• Rest of the Europe

 

Asia Pacific

• Japan

• China

• South Korea

• India

• Rest of Asia Pacific

 

LAMEA

• South Africa

• Argentina

• Brazil

• Rest of LAMEA

 

 

Regional Analysis & Insights

Based on Region, from a survey by SMR, it can be concluded that in 2020, Europe held the greatest market share of over 30% for phase change materials market, and the market share is expected to rise at an annual growth rate of 16% during this forecasted period. Europe is a developing market for phase change materials, mostly due to the continent's strong economic growth and extensive investment in sectors including oil and gas, transportation, infrastructure, chemicals, and electronics. The need for phase change material was fuelled by the region's improved energy efficiency and strict building codes. Significant demand for smart apparel and textiles for usage in both hot and cold temperatures is partly caused by the varying climatic conditions in Europe. These elements collectively fuel the European market.

 

North America Market is the fastest growing regional market for phase change material, with a growing CAGR of 17%, projected to reach a $1.5 billion revenue share by 2030. Factors such as rising demand for sustainable building material market, government initiatives for developing decarbonized energy sector by 2030, and cold pharmaceutical chain transportation applications are fuelling the market for PCM in North America.

 

The APAC region is poised to garner robust growth because countries like India and China have initiated the use of PCM in transportation, packaging, and shipping applications. In China, Phase Change Material is used in multiple application sectors like construction, packaging, electronics, and other industries. The Chinese government has implemented various initiatives that focus on rapid urbanization and green development of the country. All these factors are destined to augment the growth of the APAC region.         

 

Application Analysis & Insights

Based on application, the Building & Construction segment is poised to dominate the market. PCMs are employed in the building sector for various systems, including waste heat recovery, solar water heating, space heating and cooling, phase change material filled glass window, thermally efficient concrete, etc. Phase Change Material plays a pivotal role in the construction industry in order to ensure green and clean future along with the agenda of saving energy. Due to the introduction of strict guidelines for energy efficient construction, the overall demand for highly advanced and efficient thermal insulation materials has increased considerably.

 

Type Analysis & Insights

Based on type, the bio-based segment is expected to hold the highest market growth in this forecasted time span. The demand for bio-based phase change materials has grown over the past several years due to growing environmental consciousness and increased emphasis on adopting green technology and reducing the footprint of carbon. In the area of bio-based phase change materials, many companies have intensified their R&D efforts. Manufacturers are concentrating on creating sophisticated phase change materials that meet the demands of modern thermal efficiency. Biobased phase change materials are the main category of additional phase change material oils. They are a form of organic fatty acid ester compounds or materials which are made from the renewable and underutilized feedstock, such as animal fats and vegetable oils. They are a new class of organic based PCM’s and are less flammable as compared to paraffins.  Biobased PCMs can offer better price/performance ratios than paraffin-based PCM chemicals. Entropy solutions recently developed shape stabilized versions of Pure Temp Biobased phase change material. The gelled PCM’s tend to maintain their shape even when the PCM moves and cycles between liquid and solid form. It absorbs, stores and releases thermal energy as needed in temperature control applications. The potential usage includes shipping containers, underfloor electric heating system and building material.

 

Phase Change Materials Market Report Coverage

Report Attribute	Details
Forecast Period	2021 - 2030
Market size value in 2021	USD 1.66 Billion
The Revenue forecast in 2030	USD 5.1 Billion
Growth rate	15%
The base year for estimation	2021
Historical data	2017 - 2020
Quantitative units	Revenue in USD million/billion and CAGR from 2021 to 2030
Report coverage	Revenue forecast, , competitive landscape, company ranking, growth factors, and trends
Segments covered	Application, Type, Region
Regional scope	Europe, Asia Pacific, North America, LAMEA
Country scope	US, Canada, Mexico, Germany, UK, France, United Kingdom, Rest of Europe, China, Japan, South Korea, India, South Africa, Brazil, Middle East, Rest of LAMEA
Key companies profiled	BASF SE, DuPont de Nemours, Inc., Croda International PLC, DuPont de Nemours, Inc., Henkel AG & Co. KGaA, Honeywell International Inc., Cryopak, Microtek Laboratories Inc., Rubitherm Technologies GmbH, Outlast Technologies LLC, Phase Change Energy Solutions Inc, DowDuPont, Chemours Company.

 

Global Phase Change Materials Market Competitive Landscape Analysis

The industry is comparatively competitive, with several domestic and international suppliers throughout the value chain. The key PCM production companies are mentioned below:

• BASF SE

• DuPont de Nemours, Inc.

• Croda International PLC

• DuPont de Nemours, Inc.

• Henkel AG & Co. KGaA

• Honeywell International Inc.

• Cryopak

• DowDuPont

• Phase Change Energy Solutions Inc.

• Rubitherm Technologies GmbH

• Outlast Technologies LLC

• Microtek Laboratories Inc.

• Chemours Company

 

 

Recent Developments

• On May 2023, Researchers from Texas A&M University developed foundational design principles for composite phase change materials to store thermal energy rapidly. This breakthrough simplifies the design process, allowing near-optimal composite phase change materials to be calculated without computational fluid dynamic calculations or extensive iterative design. The theoretical framework, funded by the Office of Naval Research, provides three merits for designing cylindrical composites, assessing performance & accounting for thermal loads specific to thermal storage applications.

 

• On March 2023, A research team from the Dalian Institute of Chemical Physics (DICP) developed Spatiotemporal Phase Change Materials (STPCMs) for long-term storage and controllable thermal energy release. STPCMs can expel thermal energy in a controlled manner via cold crystallization during reheating and maintain their cold-crystallization temperature and enthalpy by adding EDTA-4Na. The supercooled PCMs can maintain their latent heat release at room temperature for up to two months.

 

• On March 2023, BioLife Solutions launched Ultraguard, the first-ever non-toxic, non-hazardous, and non-flammable -70°C phase change material (PCM) for ultra-low temperature (ULT) protection. Currently, ultraguard is used for two applications, a temperature holdover where ULT freezers are without power and another in benchtop biological material storage, an alternative to dry ice.

 

Various Products that Market Leaders are Manufacturing:

Name	Feature	Key Player
CrodaTherm 21	It is an organic Phase change material which is water insoluble and is extracted from plant based feedstocks. Depending on the temperature it can be of the form of oily liquid or crystalline wax. It is suitable for the use in construction materials, HVAC Applications as well as Thermal Packaging. It has low flammability and possesses a higher renewable carbon content.	Croda International PLC
HI-FLOW Phase Change Materials	Hi Flow gives the same handling to Bergquist Sil Pad materials at the room temperature, but at its phase change temperature which is designed, it flows like a grease. It is a phase change compound which is thermally conductive.	Henkel AG & Co. KGaA
Phase 5	Most frequently utilized for applications requiring refrigeration but not freezing. 5 °C is the phase change temperature. The phase change materials are appropriate for situations when precise temperature control in narrow range is required for a long period of time. It gives thermal protection when shipping is done of a 2 to 8°C product. When it is used  as a liquid, it protects  products from  falling below the 2°C temperature limit. When solid, it provides necessary protection from exceeding temperature limit of 8°C.	Cryopak