Automotive Plastics Market Research Report- Forecast to 2030

Automotive Plastics Market: By Type (Polypropylene, Polyurethane, PVC, Acrylonitrile-Butadiene-Styrene (ABS), Polyamide, Polycarbonate, Polymethyl Methacrylate and Others), By Application (Interior, Exterior, Under the hood, Powertrain, Drivetrain, Instruments Panel, Electronics, Others) - Forecast till 2030

ID: MRFR/CnM/2168-CR | January 2019 | Region: Global | 177 pages

Automotive Plastics Market Overview


In 2020, the automotive plastics market value is registered as USD 28.1 billion and is expected to exhibit a significant CAGR of 4.4% with the automotive plastics market size of USD 38.7 billion during the forecast period (2022-2030).


Automotive plastics are the materials used in the manufacturing of vehicle components. These plastics provide similar properties as the metal in automobiles. The few properties of these plastics are abrasion resistance, toughness, stiffness, and flame retardancy. The versatility and flexibility are the superior characteristics of plastics which is boosting technological advancements to enhance automobile designs. For an average car, polymers have around 10% of the weight. Mainly to reduce the weight of the vehicles, polymers are used in automobiles which results in accelerating fuel efficiency and reducing carbon emissions.


Due to easy manufacturing, possible sourcing from renewable raw materials, and improved designs, plastics are widely used in various automotive components and parts. The processing of recycling plastics includes five different stages like sorting, washing, shredding, identification, and classification which finally extrudes into components or products. The advanced methods in the recycling process are forcing the manufacturers to high-performance automotive plastics.


COVID-19 Analysis:


The COVID-19 outbreak and the rapidly accelerating pandemic cases result in the lockdowns and shutdowns of manufacturing activities all over the world. Due to the lockdown, the manufacturing and processing of plastics are affected and the demand for plastics also weakened. Consumer goods, automotive, construction, transportation, electronics, and industrial equipment are the few end-users that are affected severely by this pandemic.   


Owing to the decline in the automotive sector, the demand for automotive plastics is also falling. Hence the major players are facing high revenue losses. Further, the rising number of SARS-CoV-2 cases, the stringent emissions, and environmental regulations to use lightweight materials for several automotive components are escalating the market growth. Rapidly, the automotive plastics market regains its performance.


Market Dynamics:


Drivers:


Improved vehicle design capabilities, recovery in the automotive sector, and rising focus on vehicle weight reduction and emission control are the major factors driving the market growth of automotive plastics. Rising demand for fuel-efficient automobiles and surging demand for passengers and commercial vehicles are boosting the automotive plastics market growth. Increasing adoption of lightweight materials owing to the stringent emission and fuel economy regulations are fostering the market growth.


By using plastics in automobiles, the weight of the vehicles is reduced as well as increased fuel efficiency and also aids in the reduction of greenhouse gas emissions. Moreover rising automotive plastic repairs is also foster market growth. Growing demand for electric vehicles is escalating the market growth


Restraint:


The automotive plastics used in various metallic applications are very expensive which is slacken its demand in the latest vehicles models. Due to this reason, most automakers are preferring steel for facilitating the reduction in the weight of vehicles which is the major restraint of the global market.


Opportunities:


Increasing the technological innovations in automotive plastics like reducing the vehicle’s weight, and boosting the overall performance is pushing the vendors to go for PMMA plastics. A surge in the demand for long fiber reinforced thermoplastics (LFRT) and lightweight reinforced thermoplastic components in the automotive industry propels the market growth in the coming years. It is expected that the rise in demand for bioplastics in various automotive applications is increasing the market growth as they work on renewable sources of energy, are lightweight, and have higher efficiency than conventional vehicles.


Challenges:


The availability of substitute products like carbon fibers is projecting to hinder the market growth. Most of the plastic components are replacing the steel and aluminum in various vehicle parts but the plastic is lightweight compared to other materials and raises safety questions. Moreover, the ban on plastic usage is limiting the growth of the market.


Study Objectives -



  • To provide detailed information about the automotive plastics market structure along with various forecast segments and sub-segments for the next 10 years.

  • To provide the factors that are affecting the market growth of the automotive plastics value.

  • To analyze the automotive plastics market industry analysis based on porter’s five force analysis, factors-price analysis, supply chain analysis, growth analysis, etc.

  • To provide history and forecast revenue segments and sub-segments of the automotive plastics market revenue for the main geographies.

  • To provide the country-level analysis of the current automotive plastics market size and future prospective.

  • To provide country-level analysis of the automotive plastics market industry growth by region, form, and application.

  • To provide a strategic profile of the prominent key players in the market, analyze their core competencies, statistics, and draw a global automotive market growth landscape.


Segment Overview:


The global automotive plastics market has been divided into segments based on type, application, and region.


Based on Type


The global automotive plastics types are classified into various types as polypropylene, polyurethane (PU), polyvinyl chloride (PVC), Acrylonitrile-Butadiene-styrene (ABS), polyamide, polycarbonate, polymethyl methacrylate, and others. Among them, polypropylene is holding the largest market share due to massive demand in end-user industries like packaging, electrical & electronics, consumer products, automotive, and construction.


Based on Application


The global automotive plastics applications are categorized into several types such as interior, exterior, under the hood, powertrain, drivetrain, instruments panel, electronics, and others. As growing plastics usage in light displays, steering wheels, rear package shelves, ABS composites, and fascia systems, interior furnishing applications are expected to be the fastest-growing segment in the plastics market.


Based on Region


Region-wise, the global automotive plastics market is divided into five main geographies like Asia-Pacific, Europe, North America, Latin America, and the Middle East & Africa. Out of these regions, Asia-Pacific is dominating the largest market share and is expected to continue its dominance at the fastest rate in the coming years due to the presence of highly populated economies like India and China leads to the high demand for various types of automobiles.


Regional Analysis -


Geographically, automotive plastics are segmented into five major regions like Europe, North America, Latin America, Asia-pacific, and the Middle East & Africa. Among them, the Asia-Pacific region is holding the maximum automotive plastics market share and is expected to continue its expansion at the fastest rate due to the presence of densely populated economies like India and China that leads to high demand for several types of automobiles which results in the rise of demand for automotive plastics. Globally, the manufacturers are shifting their bases from developed countries to Thailand, India, Indonesia, Vietnam, and China, which creates growth avenues in the forecast period. Growing investments in new technologies during the manufacturing of vehicles are also driving the market in this region.


Due to the rising adoption of high-performance plastics during manufacturing by several automakers for its better properties like energy-efficient and lightweight, Europe is holding the maximum benefits in automotive plastics. Owing to the stringent emission norms across Europe, automakers are opting for electrified motors in place of diesel engines. This factor bolsters the demand of the market in this region.


Competitive Landscape


The prominent key players in the automotive plastics market outlook are the following:



  • Teijin Ltd (Japan)

  • AkzoNobel N.V (Netherland)

  • Evonik Industries (Germany)

  • Johnson Controls (U.S.)

  • Magna International (Canada)

  • Momentive (U.S.)

  • Covestro AG (Germany)

  • The Dow Chemical Company (U.S.)

  • BASF SE (Germany)

  • SABIC (Saudi Arabia)


Recent Developments



  • In December 2020, worldwide, a well-known manufacturer of sealants and adhesives for the automotive and building industries named Sika introduced an innovative polyurethane technology, under the famous brand, PURFORM. Polyurethanes are preferred to use in the automotive industry for multiple applications and this product launch favors the industry to be in the leading position in the automotive industry.

  • In November 2020, the famous industry, BASF launched a new polybutylene terephthalate (PBT), Ultradur RX which has extensive radar sensor applications in automobiles. This new product launch exhibits impressive resistance against several media that contains oils, salt, and splash water. It offers better protection to the vehicles and also protects against the electromagnetic waves generated by other vehicles.


Report Overview:


This global automotive plastics market research includes the Market Overview, COVID-19 analysis, Market Dynamics, Study Objectives, Segment Overview, Regional Analysis, Competitive Landscape, Recent developments, Segmentation Table, and FAQs. The market scenario includes the automotive plastics market drivers, restraints, challenges, and opportunities. The automotive market forecast segments are type, application, and region.


Segmentation Table


The automotive plastics market trends have been segmented globally based on the type, application, and region.


By Type


Polypropylene, polyurethane (PU), polyvinyl chloride (PVC), Acrylonitrile-Butadiene-styrene (ABS), polyamide, polycarbonate, polymethyl methacrylate, and others.


By Application


Interior, exterior, under the hood, powertrain, drivetrain, instruments panel, electronics, and others.


By Region


Asia-Pacific, Europe, North America, Latin America, and the Middle East & Africa are the five main geographies included in the automotive market.



Report Scope:
Report Attribute/Metric Details
  Market Size   2027: USD 43,562.89 Million
  CAGR   Substantial Value
  Base Year   2021
  Forecast Period   2022-2030
  Historical Data   2019 & 2020
  Forecast Units   Value (USD Million)
  Report Coverage   Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
  Segments Covered   Material Type, Application and End-Use
  Geographies Covered   North America, Europe, Asia-Pacific, and Rest of the World (RoW)
  Key Vendors   Teijin Ltd (Japan), AkzoNobel N.V (Netherland), Evonik Industries (Germany), Johnson Controls (U.S.), Magna International (Canada), Momentive (U.S.), Covestro AG (Germany), The Dow Chemical Company (U.S.), BASF SE (Germany), SABIC (Saudi Arabia)
  Key Market Opportunities   Rising focus on bringing down the vehicles’ weight and boosting the overall performance is prompting vendors to go for PMMA plastics.
  Key Market Drivers   Adoption of lightweight materials due to stringent emission and fuel economy regulations.


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Frequently Asked Questions (FAQ) :


The automotive plastics market would reach and cross a valuation of USD 28.1 billion

Polypropylene would have the reins of the automotive plastics market.

The interior application segment would have the maximum impact on the automotive plastic market.

The APAC region would record the maximum growth among others for the global automotive plastics market.

Global Automotive Plastic Market: Competitive Landscape


The major players operating in the global automotive plastic are BASF SE, LANXESS, Evonik Industries AG, SABIC, Koninklijke DSM NV, TEIJIN LIMITED, LyondellBasell Industries Holdings BV, Mitsubishi Chemical Corporation, DowDuPont, Inc., and Covestro AG.


BASF SE, SABIC, LyondellBasell Industries Holdings BV, LyondellBasell Industries Holdings BV, Mitsubishi Chemical Corporation, and DowDuPont, Inc. are the manufacturing companies which collectively account for the majority share of the global automotive plastic market. The market is fragmented and comprises of players which are operational in Germany, Saudi Arabia, Japan, and the US. Product launch, investment, expansion, and acquisition are the various strategies adopted by market players to gain maximum revenue. There is a growing demand from various applications in automotive such as interior and exterior components, under the hood, under the hood, drivetrain, instruments panel, and electronics among others.


In April 2018, BASF SE started a new production line for its high-temperature resistant thermoplastic- Ultrason, in Yeosu, Korea. This expansion will increase BASF’s annual polyarylsulfone production capacity by six kilotons and aims to serve the fast-growing automotive, electronics, and water filtration industries in the Asian market.


In June 2018, SABIC announced the expansion of its research and development operations in Selkirk, NY, US. This expansion is expected to be completed in mid-2019, which will include a 10,000-square-foot warehouse for raw materials storage, 10,000 square feet of office space, and 2,500 square feet of manufacturing space for the formulation, blending, and testing. This expansion will allow SABIC to expand its technical capabilities in areas of polymer processing, testing, and product development and help drive innovation to important US industries such as clean energy, medical devices, and automotive.


LyondellBasell Industries Holdings BV is one of the leading plastics, chemicals, and refining companies in the world. It manufactures materials and products that are key solutions to improving the safety, comfort, & fuel efficiency of automobiles. It engages in various operating segments, which includes olefins & polyolefins, intermediates & derivatives, refining, and technology. It is the global leader in the production of polypropylene compounds and the second largest producer of polypropylene with 55 manufacturing sites located across the globe.


In September 2018, Mitsubishi Chemical Corporation announced plans to expand its performance polymers product line with the establishment of a new production plant in China in 2019. This plant will be particularly to produce PVC slush powder, which is suitable for automotive interior panel skins and other parts.


In September 2017, DowDuPont has announced the capacity expansion of its Zytel and Hytrel brand products at its Shenzhen site, China. The company will invest approximately USD 42 million to install three new production lines by the end of the second quarter of 2019 and have them fully operational by the end of 2019. This expansion is in line with the increasing demand for these specialty resins in the automotive, consumer, and electronics markets.