In-depth Research Report on the Flame Retardant PP Glass Fiber Tape Market

As a distinctive segmented category of glass fiber-reinforced polypropylene (PP) composites, flame-retardant PP glass fiber tape integrates the lightweight and chemical resistance of PP materials, the high-strength advantage of glass fibers, and the fire safety performance endowed by flame retardants. It is indispensable in fields such as electronics and electrical appliances, automotive, construction, and rail transit that have dual requirements for fire rating and mechanical properties. This report comprehensively analyzes the market of flame-retardant PP glass fiber tapes from dimensions including market size and growth trends, core driving factors, regional distribution characteristics, downstream application scenarios, competitive landscape, as well as industry challenges and trends.

Market Size and Growth Trends

The market size of flame-retardant PP glass fiber tapes is highly correlated with the overall growth of the glass fiber-reinforced PP composite market. Driven directly by the upgrading of downstream fire safety standards, it presents the characteristics of "overall expansion and segmented leadership."

From a global perspective, according to the "Glass Fiber-Reinforced Polypropylene (PP) Market Report" released by Grand View Research in 2024, the global market size of glass fiber-reinforced PP reached USD 2.34 billion in 2023 and is expected to increase to USD 3.63 billion by 2032, with a compound annual growth rate (CAGR) of 5.0%. As a high-end segmented product, flame-retardant PP glass fiber tape has a significantly higher growth rate than the overall market due to rigid demand from industries such as electronics and electrical appliances and new energy vehicles. Its global market size was approximately USD 350 million in 2023 and is projected to exceed USD 720 million by 2032, with a CAGR of 8.5%. By region, the North American market was about USD 90 million (accounting for 25.7%) in 2023, Europe was USD 80 million (22.9%), and the Asia-Pacific region became the largest regional market with USD 140 million (40%).

The domestic market has shown even stronger performance. According to statistics from the Modified Plastics Professional Committee of China Synthetic Resin Association in 2024, the domestic market size of glass fiber-reinforced PP reached RMB 8.5 billion in 2023, a year-on-year increase of 12.5%. Among them, the market size of flame-retardant PP glass fiber tapes was RMB 1.2 billion, a year-on-year increase of 18%, far outpacing the overall market. This growth is mainly attributed to the industrial cluster advantages of domestic electronics and electrical appliances, the rising penetration rate of new energy vehicles, and the stricter building fire safety standards. In terms of segmented demand, the electronics and electrical appliances sector contributed RMB 540 million (45%), the automotive sector RMB 360 million (30%), and the construction sector RMB 180 million (15%). It is expected that the domestic market size of flame-retardant PP glass fiber tapes will exceed RMB 2 billion by 2025, with a CAGR of over 15% between 2023 and 2025, among which the annual growth rate of demand related to new energy vehicles will reach 28%.

In terms of product structure, high flame-retardant grade (e.g., UL94 V0) and low-smoke zero-halogen (LSZH) flame-retardant PP glass fiber tapes are growing faster due to their adaptability to high-end application scenarios. According to UL (Underwriters Laboratories) China certification data in 2023, 62% of domestic flame-retardant PP glass fiber tape products have obtained UL94 V0 certification, among which LSZH products account for 45%. In terms of corresponding market size, high flame-retardant LSZH products accounted for approximately 45% of the domestic flame-retardant PP glass fiber tape market in 2023, achieving sales of RMB 540 million; ordinary flame-retardant products accounted for 55% with sales of RMB 660 million. It is expected that the proportion of high flame-retardant LSZH products will rise to 55% by 2025, with a market size exceeding RMB 1.1 billion, becoming the mainstream product in the market.

Core Driving Factors

1. Upgrading of Downstream Fire Safety Standards Drives Demand Release

The increasing stringency of global and domestic fire safety regulations across industries is the core driver for the growth of the flame-retardant PP glass fiber tape market. In the electronics and electrical appliances sector, standards such as the EU’s Restriction of Hazardous Substances (RoHS) Directive and China’s GB 4943.1-2022 "Information Technology Equipment - Safety - Part 1: General Requirements" explicitly require connectors, heat dissipation modules, and other components to use materials with a flame-retardant grade of no less than UL94 V0, directly promoting the substitution application of flame-retardant PP glass fiber tapes in this field. In the automotive sector, the rapid development of new energy vehicles has significantly increased fire safety requirements for battery packs and motor insulation components. China’s GB 38031-2021 "Safety Requirements for Power Batteries for Electric Vehicles" stipulates that battery pack materials must have excellent flame-retardant performance. Flame-retardant PP glass fiber tapes, with both lightweight and flame-retardant properties, have become an ideal choice. In the construction sector, GB 8624-2012 "Classification of Burning Behavior of Building Materials and Products" classifies the flame-retardant grade of building insulation and decorative materials into three levels: A, B1, and B2. The application demand for flame-retardant PP glass fiber tapes in scenarios such as curtain wall insulation and pipeline cladding continues to grow.

2. Rapid Development of New Energy and Electronic Information Industries Provides Growth Engines

The explosive growth of the new energy vehicle industry is an important growth pole for flame-retardant PP glass fiber tapes. According to data from the China Association of Automobile Manufacturers, domestic sales of new energy vehicles reached 9.495 million units in 2023, a year-on-year increase of 35.8%, with a penetration rate rising to 31.6%. Among them, sales of pure electric vehicles were 5.912 million units, and plug-in hybrid electric vehicles were 3.583 million units. The usage of flame-retardant PP glass fiber tapes varies by vehicle type. According to calculations by automakers, the single-vehicle usage of pure electric passenger vehicles is approximately 3.5 kg, plug-in hybrid passenger vehicles about 3 kg, and new energy commercial vehicles about 8 kg, with an average industry-wide single-vehicle usage of 3-5 kg. Based on 2023 sales, the total demand for flame-retardant PP glass fiber tapes in the new energy vehicle sector was approximately 33,000 tons, corresponding to a market size of RMB 360 million, accounting for 78% of the total demand in the automotive sector. With mechanical properties enhanced by fibers (short glass fiber type has a tensile strength of 65-90 MPa, and long glass fiber type 120-180 MPa) and UL94 V0 flame-retardant effect, flame-retardant PP glass fiber tapes have become a substitute for traditional metals and ordinary PP materials, with the substitution rate increasing from 15% in 2020 to 32% in 2023.

The upgrading of the electronic information industry has also driven demand. According to the "5G Development White Paper" released by the Ministry of Industry and Information Technology in 2024, the total number of 5G base stations in China reached 3.377 million in 2023, a net increase of 1.745 million year-on-year. The average usage of flame-retardant PP glass fiber tapes per 10,000 5G base stations is approximately 30 tons, leading to an annual demand of 10,100 tons in this field. In the data center sector, according to data from the China Academy of Information and Communications Technology, the scale of domestic data center racks exceeded 7 million standard racks in 2023, a year-on-year increase of 21.7%. Each standard rack uses an average of 12 kg of flame-retardant PP glass fiber tapes, corresponding to an annual demand of 8,400 tons. In addition, the smart home sector had a demand of 5,500 tons in 2023, and the consumer electronics sector 4,000 tons. Comprehensive calculations show that the total demand for flame-retardant PP glass fiber tapes in the electronic information sector reached 28,000 tons in 2023, with the combined annual demand of 5G base stations and data centers exceeding 18,000 tons, accounting for over 64%.

3. Advances in Material Modification Technology Enhance Product Competitiveness

The collaborative innovation of flame retardant technology and glass fiber reinforcement processes has supported the performance upgrading and cost optimization of flame-retardant PP glass fiber tapes. Although traditional brominated flame retardants have excellent flame-retardant effects (oxygen index up to 32%), they pose environmental risks. In recent years, halogen-free flame-retardant technologies (such as phosphorus-based and nitrogen-phosphorus synergistic flame retardancy) have achieved rapid breakthroughs. According to 2023 test data from the Institute of Chemistry, Chinese Academy of Sciences, PP glass fiber tapes adopting a nitrogen-phosphorus synergistic halogen-free flame-retardant system have an oxygen index of 30%, maintain a flame-retardant grade of UL94 V0, control mechanical property loss within 10% (tensile strength retention rate 92%, impact strength retention rate 90%), and meet environmental standards such as RoHS and REACH. In terms of processes, long glass fiber reinforcement technology offers significant performance advantages over short glass fiber reinforcement: according to data from Kingfa Technology’s laboratory, long glass fiber-reinforced products have an impact strength of 80-120 kJ/m², 25%-40% higher than short glass fiber products of the same specification; flexural modulus reaches 3000-4500 MPa, an increase of 15%-20%, adapting to the needs of more complex structural parts and further expanding the application scope.

Regional Distribution Characteristics

1. Domestic Market: Dominated by East and South China, with Accelerated Rise of Central and Western China

Domestic production and consumption of flame-retardant PP glass fiber tapes are highly concentrated in East and South China, accounting for over 80% of the national market share. According to the 2024 regional market report by the China Synthetic Resin Association, the East China market size reached RMB 660 million in 2023 (55% of the national total), with Shanghai, Jiangsu, and Zhejiang contributing RMB 210 million, RMB 240 million, and RMB 210 million in demand respectively. Meanwhile, it gathers core manufacturers such as Kingfa Technology and Polytech Material, with production capacity accounting for over 60%. Among them, Kingfa Technology’s Ningbo base has a production capacity of 15,000 tons/year, and Polytech Material’s Shanghai base 8,000 tons/year. The South China market size was RMB 300 million in 2023 (25% of the national total), with Guangdong Province contributing RMB 250 million in demand. Enterprises such as Guangdong Polystone Chemical and Dongguan Hongyuan New Materials have established production bases here, with a combined production capacity of 12,000 tons/year.

In recent years, driven by cost pressures and industrial transfer policies, production capacity has gradually extended to central and western regions. According to data from the Henan Chemical Industry Association, the production capacity of flame-retardant PP glass fiber tapes in Henan Province reached 3,000 tons/year in 2023, with a market size of RMB 80 million; Chongqing’s production capacity was 2,000 tons/year, with a market size of RMB 60 million. These regions have attracted enterprises to build new production bases by virtue of lower labor and land costs (labor costs 30%-40% lower than the Yangtze River Delta) and the rise of new energy vehicle supporting industries (e.g., Changan New Energy in Chongqing sold 386,000 units in 2023, and Yutong New Energy commercial vehicles in Zhengzhou sold 123,000 units). It is expected that the market size of flame-retardant PP glass fiber tapes in central and western China will exceed RMB 300 million by 2025, accounting for 15% of the national market, with a CAGR of 62.5% between 2023 and 2025. Chongqing and Henan will contribute over 70% of the central and western market demand.

2. International Market: High-End Market Dominated by Europe and North America, Growth Led by Asia-Pacific

In the international market, developed regions such as the United States and Europe are major consumers of high-end flame-retardant PP glass fiber tapes, accounting for over 50% of the global market in 2023. Industries such as electronics and electrical appliances and aerospace in these regions have stringent requirements for material flame-retardant grades and environmental performance. For example, the European aerospace industry requires materials to meet UL94 V0 grade with low smoke density, driving demand for high-end flame-retardant PP glass fiber tapes. Enterprises such as SABIC and Mitsubishi Chemical dominate this region.

The Asia-Pacific region is the fastest-growing market for flame-retardant PP glass fiber tapes globally, accounting for 40% of the global market in 2023. The transfer of electronic manufacturing and popularization of new energy vehicles in China, India, Southeast Asia, and other countries and regions are the main growth drivers. China is the core market in the Asia-Pacific region, not only with a large consumption scale but also an important production and export base. In 2023, China’s export volume of flame-retardant PP glass fiber tapes was approximately 25,000 tons, mainly to Southeast Asia, Europe, and other regions.

In-depth Analysis of Downstream Application Scenarios

1. Electronics and Electrical Appliances Sector: Largest Application Scenario with Prominent High-End Demand

The electronics and electrical appliances sector is the largest application scenario for flame-retardant PP glass fiber tapes, accounting for 45% of the domestic market in 2023. It is mainly used in connector housings, server heat dissipation modules, charging pile housings, transformer insulation layers, and other components. In the consumer electronics field, connectors for smartphones and laptops require materials with both flame-retardancy and insulation. Flame-retardant PP glass fiber tapes have replaced some traditional flame-retardant ABS materials due to their good formability and moderate cost. In the communication equipment field, filter and power amplifier module housings of 5G base stations need to withstand high temperatures and have fire resistance, making UL94 V0 grade flame-retardant PP glass fiber tapes the mainstream choice. In the data center field, the flame-retardant grade requirements for server cabinets and cable cladding materials have been upgraded to UL94 V0, further driving demand growth.

2. Automotive Sector: Driven by New Energy, Fastest-Growing Segmented Market

The automotive sector is the fastest-growing application scenario for flame-retardant PP glass fiber tapes, accounting for 30% of the domestic market in 2023, with new energy vehicles contributing over 70% of the growth. Specific applications include battery pack casings, battery module separators, motor insulation covers, and wire harness cladding tapes. According to test data from BYD’s laboratory, battery pack casings adopting long glass fiber-reinforced flame-retardant PP are more than 30% lighter than traditional aluminum alloy casings (from 85 kg to 59.5 kg), with a flexural modulus of 3000-4500 MPa and tensile strength of 120-180 MPa. They can withstand 800℃ high-temperature combustion for 30 seconds without ignition in the early stage of battery thermal runaway, effectively improving battery safety. For motor insulation covers, the dielectric strength of flame-retardant PP glass fiber tapes can reach over 20 kV/mm, and the volume resistivity is 10¹⁴ Ω·cm, far exceeding motor insulation requirements (dielectric strength ≥15 kV/mm, volume resistivity ≥10¹² Ω·cm). In terms of market substitution, the substitution rate of flame-retardant PP glass fiber tapes in new energy vehicle battery pack casings reached 45% in 2023, an increase of 28 percentage points from 2020. With the continuous rise in new energy vehicle penetration, it is expected that the demand share of the automotive sector for flame-retardant PP glass fiber tapes will exceed 35% by 2025, with a market size of RMB 700 million.

3. Construction and Chemical Sectors: Steady Growth with Segmented Breakthroughs

The construction sector accounted for approximately 15% of the domestic market in 2023, mainly used in building insulation material cladding, curtain wall decorative panels, pipeline cladding tapes, etc. In the building insulation field, flame-retardant PP glass fiber tapes, as a protective material for insulation layers, can improve the fire rating of insulation systems to B1, meeting the dual needs of building energy conservation and fire safety. In the pipeline field, cladding materials for chemical pipelines and ventilation ducts need to have corrosion resistance and flame-retardancy. Flame-retardant PP glass fiber tapes have better chemical corrosion resistance than traditional flame-retardant PVC materials, and their application in chemical parks and high-rise buildings is gradually expanding.

4. Rail Transit and Other Sectors: Niche but High Value-Added

The rail transit sector has extremely stringent requirements for material flame-retardancy, low smoke, and zero halogen (e.g., meeting smoke density and toxicity requirements of GB/T 2408-2021). Flame-retardant PP glass fiber tapes are used in interior components of high-speed rail and subway (such as seat frames and air duct components), accounting for about 5% of the market in 2023. Although the scale is small, the products have high added value, with a gross profit margin 10-15 percentage points higher than ordinary flame-retardant PP glass fiber tapes. In addition, flame-retardant PP glass fiber tapes have achieved small-batch applications in fields such as medical devices and shipbuilding due to their lightweight and flame-retardant advantages.

Competitive Landscape Analysis

1. Domestic Enterprises: Significant Local Advantages and Breakthroughs in High-End Fields

The domestic flame-retardant PP glass fiber tape market presents a pattern of "leading enterprises dominating and small-to-medium enterprises supplementing." Leading enterprises occupy a dominant position relying on technological R&D and economies of scale.

Kingfa Technology: A leading domestic new material enterprise with a comprehensive layout in the field of flame-retardant PP glass fiber tapes. It has a series of products such as halogen-free flame-retardant and long glass fiber-reinforced tapes. Among them, the UL94 V0 grade halogen-free flame-retardant PP glass fiber tapes have a fiber content of 45%-70%, suitable for high-end scenarios such as electronics and electrical appliances and new energy vehicles. In 2023, it accounted for about 20% of the domestic market, supplying core customers such as BYD, Huawei, and ZTE.

Shanghai Polytech Material: Focusing on automotive modified materials, its independently developed high-strength flame-retardant long glass fiber PP tapes have passed new energy vehicle battery pack casing tests, with a flame-retardant grade of UL94 V0 and impact strength exceeding 100 kJ/m². It has successfully supported automakers such as Mercedes-Benz, BMW, and BYD, accounting for over 25% of the automotive sector market in 2023.

Guangdong Polystone Chemical: Specializing in halogen-free flame-retardant materials, its flame-retardant PP glass fiber tapes focus on the electronics and electrical appliances sector, passing certifications such as UL and RoHS, and supplying electronic enterprises such as Foxconn and TCL. In 2023, it accounted for about 10% of the domestic market, with strong regional advantages in South China.

Cluster of Small-to-Medium Enterprises: Enterprises such as Dongguan Hongyuan New Materials and Changzhou Hongfa New Materials mainly produce mid-to-low-end flame-retardant PP glass fiber tapes, which are used in scenarios such as construction and ordinary electronic components. Relying on cost advantages, they occupy 30%-40% of the market share, but their products are highly homogenized with low gross profit margins (about 10%-15%).

2. International Enterprises: Technological Leadership and Monopoly in High-End Markets

International enterprises have significant technological advantages in the field of high-end flame-retardant PP glass fiber tapes, mainly occupying high-end markets in Europe and North America and some high-end application scenarios in China.

SABIC: A global chemical giant, its flame-retardant PP glass fiber tapes adopt nitrogen-phosphorus synergistic halogen-free flame-retardant technology, with a flame-retardant grade of UL94 V0, low smoke density, and low toxicity, suitable for scenarios such as aerospace and high-end electronics. In 2023, it accounted for about 18% of the global market, with stable customers in the domestic high-end electronics and electrical appliances sector.

Mitsubishi Chemical: A leading Japanese chemical enterprise focusing on environmentally friendly flame-retardant PP glass fiber tapes. Its products have the characteristics of flame-retardancy, UV resistance, and aging resistance, and are applied in high-end scenarios such as new energy vehicle motor components and rail transit interiors. In 2023, it accounted for about 12% of the Asia-Pacific market.

Owens Corning: A global leader in the glass fiber field, its supplied flame-retardant PP glass fiber tapes adopt Advantex® special glass fibers, with excellent mechanical properties and flame-retardant stability. It has close cooperation with mainstream European automakers and electronic enterprises, accounting for about 15% of the European market in 2023.

Industry Challenges and Development Trends

1. Key Challenges

Risk of Raw Material Price Volatility: The core raw materials of flame-retardant PP glass fiber tapes include polypropylene resin, glass fiber, and flame retardants, accounting for 45%, 30%, and 15% of the production cost respectively. According to price monitoring data from Shengyishe, the average price of polypropylene resin (T30S) was RMB 8,900/ton in 2023, a year-on-year increase of 8%; the average price of alkali-free glass fiber yarn (2400tex) was RMB 7,800/ton, a year-on-year increase of 5%; the average price of phosphorus-based flame retardants (red phosphorus masterbatch) rose to RMB 28,000/ton due to environmental restrictions, a year-on-year increase of 15%. The rise in raw material prices directly led to an increase in the average industrial production cost from RMB 12,000/ton in 2022 to RMB 13,500/ton in 2023, while the average product sales price only increased from RMB 15,000/ton to RMB 16,000/ton. The average industrial gross profit margin decreased from 20% to 18.5%, among which the gross profit margin of small-to-medium enterprises was only 10%-15%, facing significant profit pressure. Leading enterprises, relying on bulk purchasing advantages, have a polypropylene resin purchasing price 5%-8% lower than that of small-to-medium enterprises, with a gross profit margin maintained at 22%-25%.

Technological Barriers and Dependence on High-End Products: High-end application scenarios (such as aerospace and high-end electronics) have extremely high requirements for the flame-retardant grade, mechanical properties, and environmental indicators of flame-retardant PP glass fiber tapes. Taking the aerospace field as an example, Airbus requires materials to meet UL94 V0 grade, with smoke density (Dm) ≤50 and toxicity index ≤1.0, while mainstream domestic products have a smoke density of about 80-100 and a toxicity index of about 1.5, which have not yet fully met the standards. In terms of mechanical properties, the tensile strength of high-end products from international giants such as SABIC can exceed 200 MPa, while the highest tensile strength of products from leading domestic enterprises is about 180 MPa, a gap of about 10%. In core technology fields such as halogen-free flame-retardant synergistic technology and glass fiber interface modification, the number of patents of domestic enterprises is only 35% of that of international giants (according to 2024 statistics from the Incopat patent database, SABIC has 280 related patents, and Kingfa Technology has 98). The import dependence of high-end products is about 30%. In 2023, the domestic import volume of high-end flame-retardant PP glass fiber tapes reached 9,600 tons, with an import value of RMB 280 million, mainly from enterprises such as SABIC and Mitsubishi Chemical. The average import price was RMB 29,200/ton, 32.7% higher than the average price of domestic high-end products (RMB 22,000/ton).

Increasing Pressure from Environmental Policies: Under China’s "dual carbon" goals, environmental requirements for flame retardant production and PP glass fiber tape processing are constantly improving. Brominated flame retardants are gradually restricted. The R&D investment and production cost of halogen-free flame-retardant technology are relatively high, which some small-to-medium enterprises cannot bear.

2. Development Trends

Halogen-Free and Low-Smoke Becoming Mainstream: With the tightening of environmental regulations and the increasing attention of downstream industries to health and safety, halogen-free flame-retardant PP glass fiber tapes will gradually replace traditional brominated products. According to the 2023 updated Candidate List of Substances of Very High Concern (SVHC) under the EU REACH Regulation, brominated flame retardants such as polybrominated diphenyl ethers have been included in the restricted use list, driving the proportion of halogen-free flame-retardant products in the European market to 75%. Domestically, after the upgrading of the "Measures for the Control of Pollution by Electronic Information Products," the halogen-free requirements in the electronics and electrical appliances sector have changed from voluntary to mandatory. In 2023, the usage rate of halogen-free flame-retardant PP glass fiber tapes in the domestic electronics and electrical appliances sector reached 68%, an increase of 30 percentage points from 2020. It is expected that the proportion of domestic halogen-free flame-retardant PP glass fiber tapes will exceed 60% by 2025, with a market size of RMB 1.2 billion; among them, the halogen-free rate in the automotive sector will reach 70%, and 80% in the electronics and electrical appliances sector. Meanwhile, low-smoke and low-toxicity characteristics will become the core competitiveness of high-end products. In 2023, high-end products with low-smoke (Dm ≤60) and low-toxicity (toxicity index ≤1.2) characteristics had a gross profit margin of 35%, 10 percentage points higher than ordinary halogen-free products.

Accelerated Upgrade of High Performance: The increasing requirements of downstream industries for material mechanical properties and temperature resistance are driving flame-retardant PP glass fiber tapes towards long glass fiber reinforcement and continuous fiber reinforcement. According to data from the China Composites Industry Association in 2024, the market size of long glass fiber-reinforced flame-retardant PP glass fiber tapes reached RMB 420 million (accounting for 35%) in 2023, and the market size of continuous fiber-reinforced products reached RMB 144 million (accounting for 12%), increasing by 110% and 260% respectively compared with 2020. In terms of performance indicators, leading industrial enterprises have achieved a tensile strength exceeding 180 MPa (short glass fiber type exceeding 100 MPa), a long-term service temperature of over 120℃, and some high-end products can withstand temperatures up to 150℃ (such as Mitsubishi Chemical’s XHT series). In the next three years, continuous fiber-reinforced products will become a growth hotspot. It is expected that the market size will reach RMB 480 million by 2025, with a CAGR of 66.7% between 2023 and 2025. Their tensile strength target will exceed 200 MPa, and the temperature resistance will reach 160℃, suitable for scenarios such as aerospace and high-end automotive structural parts.

Diversification of Application Scenarios: In emerging fields such as new energy storage, hydrogen energy, and low-altitude economy, the application demand for flame-retardant PP glass fiber tapes will be gradually released, becoming a new growth pole. In the new energy storage field, according to data from the Energy Storage Professional Committee of the China Energy Research Society, the domestic installed capacity of energy storage batteries reached 46.1 GW in 2023, a year-on-year increase of 110%. The demand for flame-retardant PP glass fiber tapes in energy storage battery packs reached 3,000 tons. It is expected that the installed capacity will reach 120 GW by 2025, corresponding to a demand of 8,000 tons and a market size exceeding RMB 100 million. In the hydrogen energy field, hydrogen fuel cell stack casings have an urgent demand for flame-retardant and corrosion-resistant materials. The domestic demand reached 500 tons in 2023 and is expected to reach 2,000 tons by 2025. In the low-altitude economy field, the lightweight demand for UAV structural parts is driving the application of flame-retardant PP glass fiber tapes. The domestic output of civil UAVs reached 8.6 million units in 2023, driving a demand of 800 tons. It is expected that the output will reach 15 million units by 2025, with a demand of 1,500 tons. Comprehensive calculations show that the total demand in emerging fields will reach 11,500 tons by 2025, contributing a market size of RMB 138 million, accounting for 6.9% of the total market.

Industrial Chain Integration and Collaborative Innovation: Leading enterprises will strengthen collaborative R&D with glass fiber manufacturers (such as China Jushi) and flame retardant enterprises to optimize raw material formulas and production processes and reduce costs. According to Kingfa Technology’s 2023 financial report, its long-term cooperation with China Jushi has reduced glass fiber purchasing costs by 12%, and the special flame retardant developed in cooperation with Shandong Haihua has increased flame-retardant efficiency by 15%. At the same time, industrial integration is accelerating. In 2023, there were 5 M&A cases in the domestic flame-retardant PP glass fiber tape industry (such as Polytech Material’s acquisition of a Changzhou modified material enterprise), further increasing the market share of leading enterprises. In 2023, the domestic CR3 (Kingfa Technology, Polytech Material, Guangdong Polystone Chemical) market share reached 40%, and CR5 reached 48%; it is expected that the domestic CR3 will exceed 50% and CR5 will exceed 55% by 2025, with a significant increase in industry concentration. In addition, leading enterprises are accelerating their overseas layout. In 2023, Kingfa Technology’s overseas sales reached RMB 180 million, a year-on-year increase of 45%, mainly sold to Southeast Asia, Europe, and other regions. The overseas market share increased from 8% in 2020 to 15% in 2023.

Conclusion

With the composite advantages of "flame-retardancy + high strength + lightweight," flame-retardant PP glass fiber tapes are showing a rapid growth trend in market size driven by the rigid demand from downstream industries such as electronics and electrical appliances and new energy vehicles. The domestic market is expected to exceed RMB 2 billion by 2025. Currently, the market presents a pattern of "domestic enterprises dominating the mid-to-low-end market and international enterprises monopolizing the high-end market." Raw material price volatility and technological barriers are the main industry challenges. In the future, halogen-free, high-performance, and diversified applications will become the core development trends. Leading enterprises with technological R&D capabilities and economies of scale will occupy an advantageous position in market competition, and the demand breakthrough in emerging fields will bring greater growth space for the industry.