Silicon Tetrachloride Market Growth
Silicon tetrachloride, also known as tetrachlorosilane, is an inorganic
compound with the formula SiCl4. It is a colorless volatile liquid used in the
production of high-purity polycrystalline silicon, which is further processed
to manufacture solar photovoltaic cells and panels. Silicon tetrachloride plays
a vital role in the production of polysilicon, which is the essential raw
material used to manufacture solar cells. The rapid growth of the solar
industry globally has been a key factor fueling the demand for silicon
tetrachloride in recent years. Additionally, silicon tetrachloride also finds
applications in the production of silicone polymers and rubbers, which are used
across various end-use industries such as construction, automotive, aerospace,
etc. The rising expenditure on infrastructure development and growing
automotive production are positively impacting the silicon tetrachloride
market.
The global
silicon tetrachloride market is estimated to be valued at US$ 3.33 Bn in 2024
and is expected to exhibit a CAGR of 3.7% over the forecast period from 2024 to
2031.
Key Takeaways
Key players operating in the Silicon
Tetrachloride Market Growth are Tokuyama Chemicals Co. Ltd, Evonik
Industries, PCC Group, Shandong Xinlong Group Co Ltd, Air Products and
Chemicals, Inc, Momentive Specialty Chemicals Inc., Merck KGaA, Dow Corning,
ATCO, Hemlock Semiconductor Corporation, Reade International Corp, Alfa Aesar,
Vizag Chemicals, Ennore India Chemicals, and RX CHEMICALS. These players
account for a significant market share and are engaged in expansion strategies
such as mergers & acquisitions and new production facility construction to
strengthen their market presence.
The increasing global solar PV installations due to supportive government
policies promoting renewable energy present significant growth opportunities
for silicon tetrachloride manufacturers. Global solar PV installation was
around 139 GW in 2021 and is projected to reach over 300 GW by 2030. This rapid
installation of solar panels will propel the demand for polysilicon and boost
the silicon tetrachloride market.
Expanding the global production footprint allows market players to serve the
growing international demand efficiently. Leading manufacturers such as Hemlock
Semiconductor have production facilities located in the US, Korea, Taiwan, and
Virginia to cater to the strong global demand. New production units are also
being established by market players in top solar PV markets such as China,
India, and the Middle East & Africa.
Market Drivers
Rapid growth of the global solar PV industry: Silicon tetrachloride serves as a
key feedstock material for the production of polysilicon that is used to
manufacture solar photovoltaic cells and panels. The strong market outlook for
solar PV installations globally will drive the demand for silicon tetrachloride
over the coming years.
Silicon tetrachloride serves as a key feedstock material for the production of
polysilicon that is used to manufacture solar photovoltaic cells and panels.
The strong market outlook for solar PV installations globally will drive the
demand for silicon tetrachloride over the coming years. Applications in
silicones production: Silicon tetrachloride is also utilized in the
manufacturing of silicones and silicone products that have wide usage across
construction, automotive, consumer goods, and other industries. The prosperous
growth of end-use sectors will positively influence the silicon tetrachloride
market.
Market Restraints
Stringent environmental regulations: Production of silicon tetrachloride
involves complex manufacturing processes that release harmful emissions. Strict
environmental norms towards reducing carbon footprint may restrain the growth
of silicon tetrachloride production facilities.
Volatility in raw material prices: Fluctuations in the prices of key feedstock
materials including tricholorosilane and hydrochloric acid may unstable the
silicon tetrachloride production costs, thereby impacting the market revenue in
the short term.
Segment Analysis
The silicon tetrachloride market is dominated by the semiconductor grade
segment. This segment accounted for over 60% share in 2024. Semiconductor grade
silicon tetrachloride finds wide application in the semiconductor industry for
manufacturing of integrated circuits and other advanced electronics. It is used
as a raw material for manufacturing polysilicon which is further used for
manufacturing solar panels and silicon wafers. The continually growing demand
for electronics and semiconductor components from various end use industries
such as automotive, consumer electronics is driving the demand for
semiconductor grade silicon tetrachloride.
Global Analysis
The Asia Pacific region dominated the global silicon tetrachloride market in
2024 and accounted for around 55% of the overall sales. China held the largest
share within the region primarily due to presence of robust electronics and
semiconductor manufacturing industry. Taiwan and South Korea are other major
countries driving the demand for silicon tetrachloride in Asia Pacific. North
America and Europe are other major regions for silicon tetrachloride market.
The demand in these regions is expected to be driven by growing solar panel
installations and electronics manufacturing industry. Latin America and Middle
East & Africa are expected to witness fastest growth during the forecast
period with expanding electronics and semiconductor industries in countries
like Brazil, Mexico, Turkey and GCC countries.
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Tetrachloride Market