VCI Films Market Report

The demand for VCI films is driven by growing oil & gas industries and construction activities. The rising demand for the long-term management and preservation of various assets is fuelling the demand for VCI films in the oil and gas industries. In 2022, according to the reports of the US Energy Information Administration, the global consumption of gas was recorded at 143,099 billion cubic feet. Also, a similar type of growth has been recorded in the petroleum consumption or petroleum industry, as according to the U.S. Energy Information Administration, the global consumption of liquid fuels is expected to grow by 1.8 million barrels per day in 2025, where the consumption in 2024 per day was summed at 1.1 million barrels per day. Also, due to the feature of protecting the multi-metals against corrosion, the use of VCI films has increased in the construction industry. The global demand for the construction market, according to the data from the Census, is projected to reach a mark of US$ 14.4 trillion in 2030. The expected growth is double what it was in 2020; the global market for construction in 2020 was US$6.4 trillion. Thus, the booming construction and oil and gas industries are expected to grow the overall demand for the VCI film market.

Due to the technological advancement in the VCI film market, the use of films is not only done for specific industries but has been penetrating other markets. The aerospace, military, and electronics sectors present themselves as a lucrative opportunity for the VCI film market. In the aerospace industry, the use of VCI films is done for packaging and storage of important equipment, as well as in the electronic industry, where it is used for packaging components like microchips and circuit boards. VCI films, due to their properties and technological advancement, can be used in various markets. Also, the rising automotive industry is expected to fuel the market for VCI films as it is highly used to store crucial automotive parts such as metallic components, engine blocks, rotors, and brakes. According to the data of the International Organization of Motor Vehicle Manufacturers, the global sales of motor vehicles or demand for the automotive sector were recorded at 92.7 million in 2023, whereas the sales in 2022 were recorded at 82.8 million, showing a growth of approximately 12% and is expected to grow at a steady pace over the period of time.

• To enhance precision, the use of AI-driven technologies is done to make VCI films more corrosion-protective.
• The use of smart sensors has been done for real-time monitoring of corrosion and environmental conditions.
• To cater to specific industry needs and demands, various formulations are being developed in the VCI film market.

The main challenge faced by the VCI film market is related to the alternatives available in the market. Alternative options such as coatings and electrochemical methods have been preferred and are constantly advancing their technology and integrating various factors, which is considered a great threat to the VCI film market. The storage of VCI films is also considered a challenge for various manufacturers as they need to be stored in a dry, out of direct sunlight, and cool environment. Also, it needs to be stored in an airtight bag or container to protect it from any damage or contamination; hence, after storing it, it creates a problem of using it. VCI films need to be used wisely, and after use, store the unused VCI films neatly, as they may lose their VCI vapors if kept open.

In November 2022, The Packaging Company added a new product line targeting rust prevention and removal. ARMOR's product line is unique due to its proprietary VCI Nanotechnology™, which formed a protective nanocoating on the metal's surface that was ultra-thin, ultra-strong, and displaced moisture and the damaging effects of rust and corrosion. ARMOR VCI products are self-adjusted based on temperature and humidity to ensure they are safeguarded in all situations and are used extensively by automotive and electronics companies. In November 2021, the corrosion protection film BRANOplast, marketed by BRANOpac, offered outstanding corrosion protection for products. As metal parts no longer needed to be oiled before packaging, they were ready for use as soon as they were unpacked. As a result, it was no longer necessary to open the packaging to conduct a spot check in customs, thus ensuring that VCI protection was maintained throughout. The entire manufacturing process for BRANOfol products was monitored using the strictest testing criteria in their own development laboratory.

North America can be considered a lucrative market for VCI films due to rising oil and gas consumption. According to the International Energy Agency, in 2021, North America captured a total of 26% of the global gas market, where gas consumption was recorded at 38 million terajoules and the share of gas in energy total supply was 35%. Thus, the rising gas consumption will boost the market for VCI films, thus making North America a lucrative market. Also, due to the rising construction market, the Asia Pacific market also shows lucrative opportunities, according to the data of the International Trade Administration, China is considered the world's largest construction market; furthermore, China has invested a sum amount of US$4.2 trillion in new infrastructure. Similar to China, the construction demand in India is rising. According to the data from Invest India, the construction sector in India is expected to reach the mark of US$1.4 trillion by 2025, where India will be the third largest global market for construction. Thus, due to rising gas and construction markets, the demand for VCI films is expected to grow rapidly.

The report provides a detailed overview of the VCI films market insights in regions including North America, Latin America, Europe, Asia-Pacific, Oceania, and the Middle East and Africa. The country-specific assessment for the VCI films market has been offered for all regional market shares, along with forecasts, market scope estimates, price point assessment, and impact analysis of prominent countries and regions. Throughout this market research report, Y-o-Y growth and CAGR estimates are also incorporated for every country and region, to provide a detailed view of the VCI films market. These Y-o-Y projections on regional and country-level markets brighten the political, economic, and business environment outlook, which are anticipated to have a substantial impact on the growth of the VCI films market. Some key countries and regions included in the VCI films market report are as follows:

• VCI films market detailed segments and segment-wise market breakdown
• VCI films market dynamics (Recent industry trends, drivers, restraints, growth potential, opportunities in VCI films industry)
• Current, historical, and forthcoming 10 years market valuation in terms of VCI films market size (US$ Mn), volume (Units), share (%), Y-o-Y growth rate, CAGR (%) analysis
• VCI films market demand analysis
• VCI films market pricing analysis over the forecast period (by key segment and by region)
• VCI films market regional insights with the region-wise market breakdown
• Competitive analysis – key companies profiling including their market share, product offerings, and competitive strategies.
• Latest developments and innovations in the VCI films market
• Regulatory landscape by key regions and key countries
• Supply chain and value chain analysis in the VCI films market
• VCI films market sales and distribution strategies
• A comprehensive overview of the parent market
• A detailed viewpoint on the VCI films market forecast by countries
• Mergers and acquisitions in the VCI films market
• Essential information to enhance market position
• Robust research methodology