Synthetic rubber market forecast at $39.9 billion by 2030

Dublin, Ireland – The synthetic rubber market size has grown steadily in recent years. It will grow from $31.73 billion in 2025 to $33.16 billion in 2026 at a compound annual growth rate (CAGR) of 4.5% according to a study from Research and Marketing. The growth in the historic period can be attributed to growing demand from automotive tire manufacturing, increasing industrialization across emerging economies, rising use of synthetic rubber in construction materials, expansion of footwear manufacturing industries, increasing need for chemical and heat resistant materials.
Synthetic Rubber Market

The synthetic rubber market size is expected to see steady growth in the next few years. It will grow to $39.95 billion by 2030 at a compound annual growth rate (CAGR) of 4.8%. The growth in the forecast period can be attributed to growing adoption of electric vehicles, increasing demand for sustainable elastomer materials, rising investments in advanced industrial manufacturing, expansion of infrastructure and construction activities, growing use of specialty rubber compounds in electronics and healthcare. Major trends in the forecast period include increasing demand for high-performance heat-resistant rubber materials, rising adoption of chemical-resistant elastomers in industrial applications, growing development of lightweight rubber compounds for automotive components, expansion of synthetic rubber usage in advanced tire manufacturing, rising preference for durable and abrasion-resistant elastomer solutions.

The rising demand from the automotive industry is expected to propel the growth of the synthetic rubber market going forward. The automotive industry is the field that produces and supports vehicles such as cars, trucks, and motorcycles, along with their parts and services. The automotive industry is growing due to increasing consumer demand for convenient and flexible personal transportation. Synthetic rubber supports the automotive industry by providing durable, flexible materials used in tires, seals, and vibration components. It improves vehicle safety, performance, and resistance to wear under varying conditions. For instance, in January 2025, according to the China Association of Automobile Manufacturers (CAAM), a China-based nonprofit industry association, in 2024, China produced about 31.282 million vehicles, up 3.7% over 2023. Therefore, the rising demand from the automotive industry is driving the growth of the synthetic rubber market.

Key companies operating in the synthetic rubber market are focusing on developing innovative solutions, such as bio-based elastomer portfolio, to reduce reliance on petroleum feedstocks, lower carbon emissions, and enhance the sustainability of tire and industrial rubber applications. A bio-based elastomer portfolio is a set of flexible rubber materials made from renewable feedstocks designed to replace petroleum-based rubbers with more sustainable alternatives. In August 2025, ARLANXEO, a Netherlands-based rubber manufacturing company, launched an ISCC PLUS-certified Keltan Eco rubber portfolio in India. It includes Eco-B and Eco-BC grades derived from bio-based and bio-circular feedstocks respectively, featuring resistance to oxygen, ozone, heat, and radiation. The portfolio employs a mass balance approach for certification, ensuring the volume of Eco-labelled products corresponds with sustainable source feedstock volumes, thereby providing supply chain transparency and enabling customers to verify sustainability claims in downstream applications such as automotive components, wires, and cables.

In June 2025, Gemspring Capital Management LP, an Ireland-based private equity firm, acquired the synthetic rubber division of Goodyear Tire & Rubber Company for $650 million. Through this acquisition, Gemspring Capital Management intends to develop Goodyear’s synthetic rubber division into an independent leader in specialty polymers via organic growth, bolt-on acquisitions, and strengthened innovation capabilities. The Goodyear Tire & Rubber Company is a US-based tire manufacturer offering synthetic rubber products.

Major companies operating in the synthetic rubber market are Exxon Mobil Corporation, Reliance Industries Limited, LG Chem Ltd., Bridgestone Corporation, The Goodyear Tire & Rubber Company, Asahi Kasei Corporation, SIBUR Holding PJSC, Sumitomo Chemical Co. Ltd., Tosoh Corporation, Kuraray Co. Ltd., Kumho Petrochemical Co. Ltd., Denka Company Limited, Zeon Corporation, Synthos S.A., LCY Chemical Corp., TSRC Corporation, China National Petroleum Corporation (CNPC), China Petroleum & Chemical Corporation (Sinopec), Dynasol Group, UBE Corporation.

Asia-Pacific was the largest region in the synthetic rubber market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the synthetic rubber market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the synthetic rubber market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The synthetic rubber market consists of sales of butyl rubber, halogenated butyl rubber, hydrogenated nitrile rubber, and acrylic rubber. Values in this market are ‘factory gate’ values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products