According to the MRFR analysis, the Global Plastics Market was valued at USD 545.2 billion in 2018 and is expected to reach over USD 804.6 billion by 2032 at a CAGR of 4.3%.
The plastics is one of the most evolving markets in the past few years. Plastic products are used in various industries such as automotive & transportation, building & construction, consumer appliances, electrical & electronics, packaging, and medical. The increasing demand for reinforced plastics is projected to drive the growth of the global plastics market during the forecast period. Moreover, biodegradable plastics are also gaining popularity in various industries since they are all sourced from plants and vegetable extracts. The biodegradable plastics market is projected to value more than USD 804.6 billion by 2032.
The automotive industry is one of the major consumers of plastics. Therefore, the change in the plastic material selection can have major implications on the demand for plastic and financial performance of plastic manufacturers. At present, approximately one-third of the parts used in automobiles are made of plastics. Moreover, more than 35 types of plastic materials are used in the manufacturing of automobile parts and more than 70% of the plastic materials are polyurethane, polyamides, polypropylene, and PVC.
The emergence and rapid expansion of the electric vehicles segment are projected to play a major role while considering the market outlook of the automotive industry. While the overall production of electrical vehicles remains at low on the global level, electrification of vehicle fleet has gained massive momentum in the past few years. Despite robust growth of the electric vehicles segment across the world, internal combustion engine based automotive is projected to acquire largest proportion of the vehicle fleet.
- Polypropylene (PP): The polypropylene (PP) product segment held the second-largest market share in 2018. The growing preference for PP products as an alternative to other traditional materials such as metals is projected to fuel the product demand over the forecast period.
- Polyethylene Terephthalate (PET): The PET product segment is projected to witness significant market growth in the global market owing to the rising demand in the food & beverage industry and easy recycling of PET products.
- Packaging: The increasing demand for packaging in various industries such as healthcare, food & beverage, cosmetics, personal care, and electronics is expected to propel the growth of the plastics market during the forecast period.
- Automotive & Transportation: Stringent regulations pertaining to carbon emissions and increasing need to reduce the weight of the vehicle to enhance the vehicle efficiency are expected to fuel the demand for plastic materials over the forecast period.
- Building & Construction: The infrastructure development in emerging countries such as China, India, Brazil, and South-East Asia is driving the demand for plastic in the construction industry.
- North America: The growth is driven by the well-established automotive industry.
- Europe: The market is projected to witness steady growth.
- Asia-Pacific: The largest and fastest-growing regional market.
- Latin America: A small but growing automotive industry in Brazil, Mexico, and Argentina will drive the plastics market growth.
- Middle East & Africa: Ready supply of raw materials is exhibiting high growth opportunities in the region.
Read More About This Report: Plastics Market Share
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