The global rubber transmission belt market size is expected to reach at USD 4.41 billion by 2025. It is anticipated to expand at a CAGR of 3.0% from 2017 to 2025. The market is witnessing increased demand due to infrastructure development, particularly in Asia Pacific, and rapid industrialization and urbanization across the globe. Furthermore, governments of various countries are implementing strategies to attract investment in mining sector, which in turn, is projected to increase the demand for rubber transmission belt over the forecast period.
Infrastructure development and increasing mining and industrial sector in Brazil, Chile, Mexico, Russia, Ukraine, Poland, and Africa are projected to augment the demand for rubber transmission belt. Furthermore, governments of certain countries in South America are forcing on the development of mining industry. For instance, Brazilian government created the National Mining Agency, which focuses on implementing transparent strategies to increase investments in mining sector.
Inclination towards development of clean and green cities is expected to provide growth opportunity for the rubber transmission belt industry over the forecast period. Various municipal corporations are investing in green and waste-free cities to reduce carbon footprint. For instance, investment in the Smart Cities initiatives by Indian Government has resulted in increased investments from domestic and internal players in the regional market.
In 2017, solid woven conveyor belt segment held 50.5% revenue share in the global rubber transmission belt market. This type of transmission belt is widely used in harsh environments and underground mines. Increasing mining activities in Asia Pacific and South America regions are projected to fuel the demand for solid conveyor belts over the coming years.
Companies operating in the market are investing in product development to gain competitive edge. Companies are using synthetic polymers, such as PVG nitrile, which provide low temperature capabilities. The all-polyester, single-ply interwoven carcass provides low stretch, good fastener retention and tear resistance, all at an economical price.
Industrial application segment led the market in 2017, accounting for 53.7% of the overall revenue share. High investments in food and beverage, chemical, and pharmaceutical industries are projected to increase demand for rubber transmission belt. For instance, implementation of the National Chemical policies by the government of India to increase investments in chemical sector will offer new growth opportunities.
Furthermore, chemical and pharmaceutical manufacturers are shifting their manufacturing facilities to India, Japan, and china on account of the presence of cost-effective and skilled labor. This is projected to propel the rubber transmission belt market demand in the APAC region.
Asia Pacific is projected to expand at a CAGR of 3.4% from 2017 to 2025. Increasing mining activities in India, China, Japan, and Australia are expected to drive the regional market. Furthermore, high concentration of conveyor belt manufactures is expected to play crucial role in continuous product supply in the region. Moreover, presence of raw material suppliers in the region has led to increased production, thereby fueling region’s growth.
Many companies in the market are focusing on increase capacity expansion to gain competitive edge. For instance, Sempertrans Poland invested Euro 46 million for capacity expansion in Belchat?w, Poland due to strong demand for high-quality products.
These companies are also investing in new product development. ContiTech AG, Fenner PLC and Semperit are some of the key companies in the market. ContiTech led the India rubber transmission belt industry in 2017while Semperit held more than 18% of the Europe regional market.