Supplies must reduce pricing in emerging automotive markets

Self-reinforced plastics (SRP) suppliers should reduce their cost structures and tailor their pricing to maximise the take up of this emerging technology, particularly in the automotive industry, according to Frost & Sullivan.

SRPs combine low weight, high stiffness, impact resistance and easy recyclability. Automotive OEMs are currently assessing the materials in structural and semi-structural parts, it notes in the report European Markets for Self-Reinforced Plastics.

The automotive industry offers SRP suppliers “the best opportunity to gain critical volumes of business at an early stage”, said Dr Brian Balmer, F&S industry analyst. However, price pressure is high in volume automotive markets.

SRPs currently cost around E6 to E10/kg, but end users see E4 to E6/kg as a more viable price range, according to Balmer. This, he said, would make them more competitive with materials such as glass mat and long glass fibre-reinforced thermoplastics.

SRP makers should target applications on low-to-medium volume cars such as crossbeams or A-pillars, continued Balmer. There is also significant commercial potential for SRP in roof liners and various under-body parts, he said.

The F&S report also identifies many niche non-automotive applications for SRPs. These include orthopaedic braces and ballistics protection equipment, personal protective equipment, machine housings, transport containers and industrial cladding.