Liquid Synthetic Rubber Market

Market Definition

The market includes the production and use of rubber materials in liquid form, primarily synthesized through solution or emulsion polymerization. It includes variants such as liquid isoprene, liquid butadiene, and liquid styrene-butadiene rubber, often tailored by molecular weight and viscosity. 

These materials are used in adhesives, sealants, tire compounds, coatings, and industrial rubber goods due to their flexibility and processability. The report provides a comprehensive analysis of key drivers, emerging trends, and the competitive landscape expected to influence the market over the forecast period.

Liquid Synthetic Rubber Market Overview

The global liquid synthetic rubber market size was valued at USD 11.32 billion in 2024 and is projected to grow from USD 11.72 billion in 2025 to USD 15.30 billion by 2032, exhibiting a CAGR of 3.79% during the forecast period. 

The growth of the market is driven by the expansion of the adhesives and sealants industry, which increasingly relies on versatile rubber materials for improved performance. Additionally, advancements in polymer modification technologies enhance the properties of liquid synthetic rubber, supporting its wider adoption across various applications.

Major companies operating in the liquid synthetic rubber industry are Evonik Industries AG, Kuraray Co., Ltd., Dow, Kumho Petrochemical Co., Ltd., NIPPON SODA CO., LTD., TER HELL & Co. GmbH, Asahi Kasei Corporation, Lion Elastomers, JSR Corporation, ZEON CORPORATION, Arlanxeo Holding B.V., H.B. Fuller Company, Wacker Chemie AG, Saudi Arabian Oil Co., and Momentive.

The growing use of liquid synthetic rubber in tire formulations is significantly contributing to the growth of the market. These materials improve performance by enhancing rolling resistance, grip, and fuel efficiency. 

Tire manufacturers are increasingly incorporating liquid rubber to meet regulatory standards and consumer preferences for high-performance tires. This is accelerating adoption across major automotive manufacturing hubs, boosting the market across original equipment and replacement segments.

Key Highlights

1. The liquid synthetic rubber industry size was valued at USD 11.32 billion in 2024.
2. The market is projected to grow at a CAGR of 3.79% from 2025 to 2032.
3. Asia Pacific held a market share of 35.03% in 2024, with a valuation of USD 3.97 billion.
4. The isoprene segment garnered USD 3.76 billion in revenue in 2024.
5. The industrial rubber segment is expected to reach USD 4.20 billion by 2032.
6. North America is anticipated to grow at a CAGR of 4.27% during the forecast period.

Market Driver

Expansion of the Adhesives and Sealants Industry

The growth of the adhesives and sealants industry is a key factor driving demand for liquid synthetic rubber. Its favorable properties including low viscosity, high elasticity, and strong bonding capability make it suitable for a wide range of industrial applications. 

In sectors such as automotive, construction, and electronics, manufacturers are increasingly adopting liquid rubber formulations to enhance performance under varying environmental conditions and ensure durable adhesion. This growing reliance is contributing to the expansion of the liquid synthetic rubber market in multiple industrial verticals.

• In December 2024, SIBUR, a leading Russian petrochemical company, announced its initiative to replace natural rubber in tires with synthetic alternatives. Collaborating with tire manufacturers, SIBUR is finalizing tests on approximately 300 prototype tires made using synthetic isoprene rubber. Preliminary results indicate that these synthetic rubber tires demonstrate performance comparable to standard models. The company aims to reduce dependence on natural rubber imports, which currently account for about 25% of tire production materials, by potentially replacing up to 80% with synthetic alternatives.

Market Challenge

Environmental and Regulatory Pressure

The liquid synthetic rubber market faces significant challenges due to increasing environmental regulations and the pressure to reduce hazardous emissions and waste. Strict government mandates targeting the environmental footprint of chemical production are prompting manufacturers to implement cleaner processes, reformulate products, and invest in sustainable raw materials.

To address this, key players are investing in greener production methods, such as developing bio-based and sustainable rubber materials. They are also enhancing their compliance processes by adopting advanced monitoring technologies and working closely with regulatory bodies. These efforts help manufacturers reduce their environmental footprint while meeting regulatory requirements, supporting sustainable growth in the market.

Market Trend

Advancements in Polymer Modification Technologies

Innovation in polymer chemistry and formulation processes is enabling the creation of more specialized liquid synthetic rubber variants. These include materials with improved thermal stability, molecular weight control, and tailor-made viscosity. 

Such advancements are making liquid rubber more suitable for high-precision industrial applications. This technological progress is supporting product diversification and deeper market penetration, contributing to the expansion of the liquid synthetic rubber market.

• In May 2024, WACKER Chemie AG introduced biomethanol-based liquid and solid silicone rubber grades under its ELASTOSIL eco line at NPE2024 in Orlando, Florida. These materials are derived from plant-based methanol and offer enhanced thermal stability and viscosity control, making them suitable for high-precision industrial applications. 

Liquid Synthetic Rubber Market Report Snapshot

Segmentation	Details
By Product	Isoprene, Butadiene, Styrene Butadiene, Others
By Application	Adhesives, Industrial Rubber, Tires, Polymer Modification, Others
By Region	North America: U.S., Canada, Mexico
	Europe: France, UK, Spain, Germany, Italy, Russia, Rest of Europe
	Asia-Pacific: China, Japan, India, Australia, ASEAN, South Korea, Rest of Asia-Pacific
	Middle East & Africa: Turkey, U.A.E., Saudi Arabia, South Africa, Rest of Middle East & Africa
	South America: Brazil, Argentina, Rest of South America

Market Segmentation

• By Product (Isoprene, Butadiene, Styrene Butadiene, Others): The isoprene segment earned USD 3.76 billion in 2024 due to its superior elasticity and versatility, making it highly suitable for diverse applications like tires, adhesives, and medical products.
• By Application (Adhesives, Industrial Rubber, Tires, Polymer Modification, Others): The industrial rubber segment held 27.44% of the market in 2024, due to its broad use in manufacturing durable, high-performance products like seals, hoses, and belts that are essential across multiple heavy industries.

Liquid Synthetic Rubber Market Regional Analysis

Based on region, the market has been classified into North America, Europe, Asia Pacific, Middle East & Africa, and South America.

The North America liquid synthetic rubber market share stood at 35.03% in 2024 in the global market, with a valuation of USD 3.97 billion. Asia Pacific hosts a high concentration of global tire manufacturing plants, especially in countries with low-cost labor and strong export networks. The growing production of commercial and passenger vehicle tires in the region is boosting the demand for liquid synthetic rubber, especially in performance and eco-friendly tire segments. 

Moreover, the presence of a well-integrated petrochemical and synthetic rubber supply chain in this region ensures uninterrupted production and availability of feedstock like butadiene and isoprene. This infrastructure enables local producers to manufacture liquid synthetic rubber at competitive costs. 

The ease of raw material access and established industrial ecosystems in the region continue to support the stable production of liquid synthetic rubber, thereby driving market growth.

• In April 2025, Kuraray received ISCC PLUS certification for its thermoplastic elastomers SEPTON and HYBRAR, as well as liquid rubber produced at its Kashima Plant in Ibaraki Prefecture, Japan. This certification ensures that certified products, including biomass and recycled raw materials, are appropriately handled throughout their supply chains, aligning with sustainable practices in the production of synthetic rubber materials.

North America liquid synthetic rubber industry is poised for significant growth at a robust CAGR of 4.27% over the forecast period. The region is witnessing a rise in demand for high-performance adhesives and sealants, especially in the automotive, aerospace, and construction sectors. 

Liquid synthetic rubber is used to improve bonding strength, weather resistance, and flexibility in low-temperature conditions. Manufacturers are incorporating it into advanced formulations to meet strict industry specifications, which is fueling the growth of the market.

Regulatory Frameworks

• In the U.S., the Environmental Protection Agency (EPA) regulates the liquid synthetic rubber industry under the Clean Air Act (CAA) and Effluent Guidelines. The National Emission Standards for Hazardous Air Pollutants (NESHAP) and New Source Performance Standards (NSPS) control emissions of volatile organic compounds and hazardous pollutants from rubber manufacturing.
• The European Union enforces the REACH (Registration, Evaluation, Authorisation and Restriction of Chemicals) regulation for all chemicals, including those in liquid synthetic rubber. Manufacturers must register chemical substances, provide data on hazards, and assess environmental and health risks. REACH also restricts substances of very high concern and requires authorisation for continued use. These requirements compel liquid rubber producers to maintain high levels of transparency and chemical safety compliance across the EU market.
• Japan regulates synthetic rubber under the Chemical Substances Control Law (CSCL), which requires the evaluation of chemical substances for environmental and human health impacts. The law mandates pre-manufacture notification and risk assessments for both new and existing chemicals. Liquid synthetic rubber producers must ensure compliance with substance classification, hazard identification, and management practices, especially if exporting or manufacturing at scale, aligning with Japan’s strict standards for safe chemical use in industrial applications.

Competitive Landscape

Market players are adopting strategies such as the development of bio-based rubber grades, tailored silicone solutions for electric vehicles, and the enhancement of product portfolios through continuous R&D. In addition, companies are entering into strategic partnerships and collaborations with OEMs and material suppliers to accelerate innovation and improve supply chain efficiency. 

These approaches help meet evolving demands in sectors like automotive, infrastructure, and electronics. Together, these strategies are contributing to improved sustainability, performance, and market reach.

• In July 2024, Dow introduced NORDEL REN Ethylene Propylene Diene Terpolymers (EPDM), a bio-based alternative to its traditional EPDM rubber, at the German Rubber Conference (DKT) 2024. This material is designed for use in automotive, infrastructure, and consumer products. Dow also showcased its SILASTIC Solutions for Electric Vehicles (EV), featuring High Consistency Rubbers (HCR) and Liquid Silicone Rubbers (LSR) aimed at enhancing fire safety and connectivity in EVs and supporting lower tailpipe emissions.

List of Key Companies in Liquid Synthetic Rubber Market:

• Evonik Industries AG
• Kuraray Co., Ltd.
• Dow
• Kumho Petrochemical Co., Ltd.
• NIPPON SODA CO., LTD.
• TER HELL & Co. GmbH
• Asahi Kasei Corporation
• Lion Elastomers
• JSR Corporation
• ZEON CORPORATION
• Arlanxeo Holding B.V.
• B. Fuller Company
• Wacker Chemie AG
• Saudi Arabian Oil Co.
• Momentive

Recent Developments (Partnerships/Expansion/Product Launch)

• In May 2025, Cariflex inaugurated its new polyisoprene latex plant on Jurong Island, Singapore. With a USD 355 million investment, this facility is the largest globally and will greatly increase Cariflex’s production capacity to meet the rising demand for high-quality synthetic latex in medical and protective applications.
• In July 2024, Asahi Kasei presented high-performance materials for automotive uses at the German Rubber Conference (DKT). The company introduced its newly developed hydrogenated solution styrene butadiene rubber (HSBR). Through selective hydrogenation, this material delivers an exceptional blend of properties. The functionalized and selectively hydrogenated SBR expands possibilities across applications such as performance tires and non-tire products like belts, hoses, and other rubber goods that demand improved durability and performance.
• In February 2024, Lion Elastomers partnered with Emulco NV to develop water-based EPDM emulsion products. Utilizing Lion's Trilene 65 liquid EPDM, this collaboration aims to reduce VOC emissions, offering an eco-friendly alternative for various applications.