Global new energy vehicle sales are projected to grow at a CAGR of over 30% from 2023 to 2027E. With mica components per vehicle valued at 400-1000 yuan, this directly translates to a new market worth 10.4 billion yuan. China's GB38031-2025, the EU's UN GTR 20, and the US FMVSS 305 all mandate that "thermal runaway without fire within 5 minutes," making mica a compliance "must-have."
"Power Battery Thermal Runaway Protection Materials" are mainly divided into four types of materials: mica, aerogel, flame-retardant foam, and ceramicized silicone.
Currently, the global market size for mica materials has reached 3.3 billion yuan, aerogel 1.6 billion yuan, flame-retardant foam 900 million yuan, and ceramicized silicone 500 million yuan. Zhejiang Rongtai remained the absolute leader in the global mica protection field in 2024, with overseas revenue accounting for about half. The aerogel market still exhibits a dual-track competition between foreign and domestic companies, with Aspen holding the global lead, but Chinese domestic companies are also rapidly gaining market share. The flame-retardant foam and ceramicized silicone markets have low market concentration and fierce price competition.
Battery thermal runaway protection design must balance safety (thermal shock, mechanical shock, and electrical shock) with cost. System solutions based on thermal runaway behavior are needed to support new energy vehicle customers with high cost-effectiveness, enabling rapid response through materials libraries and industrial development.
In the design of the battery cell layer, heat insulation between cells needs to be considered. In terms of module protection, spray isolation covers, fireproof covers, and anti-arctic properties for the electrode tabs need to be considered. In terms of overall package protection, anti-arctic properties for liquid cooling pipes, busbar protective covers, high-temperature insulation protection for the BMS, channel design between modules, and fireproof covers need to be considered.
According to market forecasts, the incremental market includes power batteries (mica components per vehicle are worth 300-600 yuan), energy storage batteries (mica insulation demand of about 15 million yuan per GWh), 800V high-voltage platforms, and new standards for thermal runaway of solid-state batteries.
China's new energy mica market will continue to grow, and is expected to double by 2030. Currently, the domestic mica market is experiencing fierce growth, with Zhejiang Rongtai (26% globally), Good Electric Materials (15%), and Ping An Electric (10%) accounting for more than 50% of the global new energy mica components market.
However, risks also need to be considered. If all-solid-state batteries achieve a capacity of over 350 Wh/kg and the thermal runaway threshold increases to 200°C by 2028, mica usage may decrease by about 20%, but ultra-thin mica layers with higher temperature resistance will still be indispensable. High-end products such as 3D shaped/composite mica components and functionalized mica will remain resilient to price drops.
Compared to 2023, the unit price of aerogel felt has decreased slightly, but due to stable usage per vehicle (4–5 m²/vehicle), the value per vehicle remains within the range of 800–1,000 yuan. The prices of foam, ceramic silicone, and potting compounds have all decreased slightly due to the decline in petrochemical raw material prices.
The market for thermal runaway protection products for power batteries will exhibit four main trends over the next decade: "material composites, refined processes, standardized regulations, and tiered pricing."
From a materials perspective, the market demand for mica will shift from 2D sheets to 3D irregularly shaped parts. Simultaneously, the "mica + aerogel/ceramic silicone" sandwich structure will also have a certain market presence. Aerogels are developing towards high-resilience, high-shear-strength modified felts to address the issue of poor impact resistance. Regarding ceramicized silicone rubber, there is a need to develop "low-temperature ceramicization (ceramization at 350℃)" formulas to adapt to lithium iron phosphate module-less solutions.
As battery manufacturers improve their technology, the CTP/CTC structure will shift the protective layer from the "module level" to the "cell level," increasing the demand for protective materials by about 5%.
Preliminary predictions suggest that around 2027, mainstream battery manufacturers will integrate "heat insulation felt + temperature/gas sensor + microcapsule fire extinguishing agent" into a unified Fire-Block module, with real-time cloud monitoring, while meeting the new national standard of "no fire, no explosion". Meanwhile, if semi-solid/solid batteries are widely adopted after 2028, their intrinsic safety will improve, potentially reducing the use of traditional mica and aerogel by 20%, but increasing the demand for ultra-thin heat insulation layers with a temperature resistance >1200℃.
Over the next five years, the thermal runaway protection market will focus on "composite materials + systematic solutions," with the overall unit price decreasing by 7-12% annually, but high-end composite products will maintain a premium. Demand will be driven by alternating regulations and new battery structures, and the global market size is expected to exceed 10 billion yuan by 2028.
