As phase change materials (PCM) evolve, one innovation stands out for its versatility and performance potential: microencapsulated phase change materials (PCM). By encasing PCMs in microscopic shells, this technology combines efficient thermal storage with a form factor that can be integratedinto building materials, electronics, vehicle components, and even textiles.
In the second part of its series, Glacier Coolant examines the current state and future outlook of the PCM industry.
A Rapidly Expanding Global Market
The global market for microencapsulated PCMs is experiencing strong growth. According to market research:
2024 global market value: $5.8 billion USD
2030 projection: Approximately $12 billion USD
Projected CAGR (2025–2030): ~12.5%
Regional Growth Dynamics
Asia-Pacific is the world's growth engine, expected to hold 38% of the global market in 2025, rising to 42% by 2030.
China leads this expansion. Its microencapsulated paraffin PCM market exceeded 1.85 billion RMB in 2024, with 2025 demand estimated at 10,200 metric tons — representing 28.5% of global consumption.
Key Application Sectors
1. Building & Construction – The Leading Segment
Buildings remain the largest application area for PCM:
| Year | Global Market Share |
|---|---|
| 2020 | 45% |
| 2025 | 52% (estimated) |
| 2030 | 58% (projected) |
2. Electronics – A High-Growth Arena
The electronics sector is expanding rapidly:
2024 global market: ~$1.8 billion USD
2030 projection: ~$3.5 billion USD
Annual growth rate: ~10%
2025 market share: ~28%
3. Transportation – Driven by Electric Vehicles
Transportation accounted for 25% of the global market in 2020, with core demand stemming from EV battery thermal management:
2024 global EV industry demand: ~50,000 metric tons
2030 projection: ~100,000 metric tons
4. Emerging Applications
Cold chain logistics: China's MePCM-related cold chain market grew 19.7% year-over-year in 2024.
Smart textiles & aerospace: Together, these emerging fields are expected to account for over 30% of the market by 2030, serving as a significant secondary growth driver.
Strong Government Backing
Governments — particularly in China — have built a comprehensive support system for MePCM development, spanning strategic guidance, financial investment, and standardization.
Strategic Planning
"Dual Carbon" policies (carbon peak and carbon neutrality) serve as the core driver. The Carbon Peaking Action Plan by 2030 prioritizes large-scale deployment of new energy storage technologies.
The *14th Five-Year Plan for Raw Materials Industry Development* and the New Materials Industry Development Guide (2025–2030) both list phase change energy storage materials as key focus areas, explicitly supporting engineering applications of microencapsulated PCMs in advanced manufacturing. A target has been set to achieve over 80% domestic production of critical raw materials by 2027.
Financial Support
The Ministry of Science and Technology has allocated over 120 million RMB through special funds for energy storage and smart grid technologies, supporting encapsulation processes and scalable manufacturing.
The National Development and Reform Commission offers up to 30% fixed-asset investment subsidies for green and low-carbon technology industrialization projects.
Standardization
National standards — such as the Test Method for Phase Change Material Properties – Part 1: Enthalpy of Fusion and Phase Transition Temperature — have unified performance testing protocols.
The *Catalog of Key New Materials for First-Time Application Demonstration (2024 Edition)* includes MePCMs, providing insurance compensation and other policy incentives to reduce market entry risks for manufacturers.
Glacier Coolant: Advancing PCM Innovation
As a leader in the heat transfer fluid industry, Glacier Coolant has made significant strides in phase change material research and development. The company currently offers:
Multiple PCM formulations covering a temperature range from –30°C to 120°C
Custom manufacturing capabilities to meet specific application requirements
Several PCM products that have been successfully microencapsulated
The Road Ahead
With accelerating market growth, expanding applications, and robust policy support, microencapsulated phase change materials are poised to become a cornerstone of next-generation thermal energy storage. Glacier Coolant continues to push the boundaries of what MePCMs can achieve — helping industries improve energy efficiency, maintain temperature stability, and move toward a more sustainable future.