Thermoset Molding Compound Market Global Report 2026

The thermoset molding compound market size has grown strongly in recent years. It will grow from $11.71 billion in 2025 to $12.84 billion in 2026 at a compound annual growth rate (CAGR) of 9.7%. The growth in the historic period can be attributed to increasing demand for durable molded components, growing use of thermoset materials in electrical and electronics applications, rising demand for thermal-resistant components, expanding automotive component production, and increasing adoption of high-strength composite materials.

The thermoset molding compound market size is expected to see strong growth in the next few years. It will grow to $18.31 billion in 2030 at a compound annual growth rate (CAGR) of 9.3%. The growth in the forecast period can be attributed to increasing demand for lightweight automotive components, rising adoption of thermoset compounds in electric vehicles, growing demand for advanced electrical insulation materials, increasing use of high-performance composites in aerospace applications, and expanding demand for sustainable thermoset formulations. Major trends in the forecast period include increasing demand for high-temperature-resistant molding compounds, growing adoption of flame-retardant thermoset molding compounds, rising use of lightweight reinforced molding compounds, increasing development of high-strength molding compounds, and growing demand for electrically insulating molding compounds.

The expansion of the automotive industry is expected to propel the growth of the thermoset molding compound market in the coming years. The automotive industry refers to the sector involved in the design, manufacturing, assembly, marketing, and sale of motor vehicles and their components. The automotive industry is expanding due to rising vehicle demand, as increasing consumer needs for personal mobility, commercial transportation, and replacement vehicles encourage automakers to increase production and invest in new manufacturing capacity. The automotive industry drives demand for thermoset molding compounds through the increasing use of lightweight, durable, heat-resistant, and electrically insulating materials in engine components, electrical systems, and vehicle interiors to improve fuel efficiency, performance, and safety. For instance, in April 2026, according to the International Organization of Motor Vehicle Manufacturers, a France-based trade association, global vehicle production increased from 92.7 million units in 2024 to 96.4 million units in 2025, marking a 3.9% rise, while global sales grew from 95.3 million to 99.8 million units, reflecting a 4.7% increase. Therefore, the expansion of the automotive industry is driving the growth of the thermoset molding compound market.

Major companies operating in the thermoset molding compound market are focusing on developing advanced products such as fire-resistant phenolic molding compounds to enhance battery safety, thermal runaway resistance, and fire protection in electric vehicle (EV) applications. Fire-resistant phenolic molding compounds are thermosetting composite materials that provide superior flame retardancy, thermal stability, and structural integrity under extreme temperatures, helping prevent melting, suppress flame propagation, and improve safety compared with conventional engineering thermoplastics used in EV battery components. For instance, in October 2024, Sumitomo Bakelite Co. Ltd., a Japan-based chemical and materials manufacturer, developed PM-5820, a high fire-resistance phenolic molding compound for EV batteries. The material is engineered to withstand continuous exposure to a high-intensity torch burner for up to 10 minutes while significantly suppressing deformation and charring, thereby delaying thermal runaway propagation. It also provides excellent injection moldability for manufacturing complex battery components and offers greater design flexibility than conventional fire-resistant thermoplastics, sheet molding compounds (SMC), and inorganic insulation materials. These advancements highlight the growing adoption of high-performance thermoset molding compounds to improve the safety, durability, and reliability of next-generation electric vehicle battery systems.

In May 2023, Idemitsu Kosan Co., Ltd., a Japan-based energy and petrochemical company specializing in developing thermoset molding compounds, partnered with KUMHO Petrochemical Co. Ltd. and Sumitomo Corporation to establish a long-term bio-based material supply chain in Asia. Through this collaboration, Idemitsu Kosan Co., Ltd., KUMHO Petrochemical Co., Ltd., and Sumitomo Corporation aim to develop sustainable polymers and chemicals by producing bio-based styrene monomer (bio-SM) and bio-solution styrene butadiene rubber (bio-SSBR) using the mass balance method, while reducing carbon emissions, expanding the bio-material market, and strengthening ESG-focused supply chain cooperation. Sumitomo Corporation is a Japan-based diversified trading and investment company, while KUMHO Petrochemical Co. Ltd. is a South Korea-based manufacturer of synthetic rubber and petrochemical products.

Major companies operating in the thermoset molding compound market are BASF SE, Mitsubishi Chemical Corporation, Celanese Corporation, Evonik Industries AG, Kyocera Corporation, DIC Corporation, Huntsman Corporation, Ashland Inc, Sumitomo Bakelite Co Ltd, KCC Corporation, Kolon Industries Inc, Rogers Corporation, Chang Chun Group, Bakelite Synthetics, Scott Bader Company Ltd, Ercros SA, Shikoku Chemicals Corporation, Plastics Engineering Company, Resinoid Engineering Corporation, Cosmic Plastics Inc, Amity Thermosets Pvt Ltd, Amod Industries.

North America was the dominant region in the thermoset molding compound market in 2025. Asia-Pacific is expected to be the rapidly growing region in the forecast period. The regions covered in the thermoset molding compound market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

The countries covered in the thermoset molding compound market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

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