Global Polyolefin Market - 2022-2029

Global Polyolefin Market - 2022-2029

Market Overview

The global polyolefin market reached US$ XX million in 2021 and is expected to reach US$ XX million by 2029, growing at a CAGR of 8.1% during the forecast period 2022-2029.

Polyolefins are hydrocarbons with high molecular weight. Low- and high-density polyethylene and Polypropylene are some instances of these materials. Polyolefins are all durable, nontoxic and clean but are lighter than water. The products can easily withstand exposure to nearly any contamination for up to 24 hours at room temperature. The end outcome of potent oxidizing agents is eventually enmity. All polyolefins can degrade over time when exposed to UV light.

Market Dynamics

Increasing demand in various end-user verticals is a major market driver for the respective market. Nonetheless, growing environmental awareness and stringent laws restrain the market's growth.

Increasing demand in various end-user verticals

Numerous industries, including food processing, agricultural, automotive, aerospace, packaging and healthcare, use polyolefins because they are very inexpensive and have a variety of uses. The global embrace of modern lifestyles and the economy's expansion is increasing the need for packaged meals. Polyolefins make up the majority of food packaging and beverage containers. Similarly, polyolefins are used to make vital medical supplies such as syringe tubes, IV tubes and catheters. The automotive sector is the largest end-use market for polyolefins due to the increased demand for high-performing, recyclable, lightweight materials for external and interior auto part applications. Even in automotive applications, TPVs, PVC and TPU films are being replaced by polyolefins. Thus, it can be inferred that a significant factor driving the worldwide polyolefins market is the rising demand from end-use industries.

Growing environmental awareness and associated stringent laws

Polyolefins are suited for a wide range of applications in technology because they are inexpensive and easily produced in industrial volumes. The aforementioned applications include bottles, wrapping materials, pipelines, cartons, containers, buckets and others. However, polyolefins, on the other hand, are long-chain polymers that are extremely durable and thermally stable. Products constructed using polyolefins are non-biodegradable and last a lifetime.

Huge amounts of waste are being produced due to the consumption habits of modern lifestyles. These wastes don't break down but accumulate in the environment and endanger natural ecosystems. The issue is extremely severe because the ocean receives more than 14 million tonnes of plastic debris each year. A lot of marine animals have become extinct as a result of plastic pollution. Governments worldwide are thus implementing strict new restrictions to limit the effects of non-biodegradable plastics. Several new regulations are passed mandating plastic substitutes such as paper or cardboard, the complete phase-out of single-use plastics by the end of the decade and the imposition of harsh penalties for plastic consumption. Therefore, a major obstacle to the global polyolefin market's expansion is the new environmental restrictions.

COVID-19 Impact Analysis

The industrial-scale synthesis of polyolefin requires large machinery, large-scale industrial reagents and skilled laborers because the production of polyolefin has been disrupted. Social distance requirements and industry lockdowns significantly hindered production during the pandemic. The COVID-19 pandemic's global lockdown made it difficult to obtain the raw materials needed to produce polyolefin and finished goods. The polyolefin market's demand-supply dynamics suffered as a result.

The industrial-scale synthesis of polyolefin requires large machinery, large-scale industrial reagents and skilled laborers due to the disruption in the production of the polyolefin. Social distance requirements and industry lockdowns significantly hampered production during the pandemic. Additionally, the polyolefin manufacturing process and the distribution of finished goods were hampered by the global lockdown brought on by the COVID-19 pandemic. The polyolefin market suffered a significant impact on demand-supply dynamics.

The COVID-19 epidemic hasn't had much of an immediate impact on the petrochemical sector. In reaction to the epidemic, major corporations reduced operations and capital expenditures. Low oil costs also helped. Since oil costs are predicted to stay low and businesses are anticipated to gradually ramp up capacity utilization as economic activity recovers to pre-pandemic levels, the pandemic will not affect the medium- to long-term growth of the global polyolefin industry. Polyolefin demand is still high and is anticipated to increase over the next few years gradually.

Segment Analysis

The global polyolefin market is classified based on type, application, end-user and region.

Growing demand for lightweight, durable automotive parts

With a CAGR of 0.5% from 2015 to 2019, the output volume for the automotive sector increased, reaching 146.4 million units in 2019. Between 2015 and 2019, the output volume for the automotive & transportation sector climbed at a CAGR of 0.5 percent, reaching 146.4 million units in 2019. Regarding vehicle sales and income, Volkswagen and Toyota are two of the most successful automakers in the world. Therefore it could be anticipated that the market for polyolefins in the automotive & transportation sector will grow as a result of rising vehicle demand, intensifying competition among manufacturers to produce strong, lightweight auto parts, favorable government regulations, the development of the country's transportation system and the economy's rapid expansion.

Geographical Analysis

The growing end-user segments and presence of major manufacturers in Asia-Pacific boost the region’s polyolefin market

In terms of market share among the regional segments of the global polyolefin market, Asia-Pacific is in the lead. The region holds the biggest market share, mostly due to mature countries like South Korea, Japan and Taiwan, as well as significant growth markets like China, India, Indonesia and Malaysia. Asia-Pacific is home to some of the biggest polyolefin producers, such as Formosa Plastic and China Petrochemicals Corporation.

Additionally, China is the world's biggest user of polyolefin, accounting for 35% and 41% of the world's demand for polyethylene (PE) and polypropylene (PP), respectively, in 2021. The packaging industry is the main consumer of polyolefin, particularly given that China has the largest e-commerce market in the world with an estimated market value of US$1.2 trillion. China is also the world's largest automaker, with more than 5 million commercial vehicles and 20 million passenger cars manufactured in 2021. In cars, polyolefins are widely used in dashboards and interior trim. Due to their vast populations, India and China are the two biggest markets for the food and beverage business. Plastic beverage bottles and shrink-wrapped food packaging are made largely of polyolefin. As a result, the region’s market share superiority In the global polyolefin market is unquestionable.

Competitive Landscape

The global polyolefin market is highly dynamic regarding global and local producers' numbers and strengths. The market is fragmented due to numerous large-scale manufacturers such as Formosa Plastics Corporation, China Petrochemicals Corporation, Dow, BASF SE, SABIC, LyondellBasell Industries Holdings B.V., Reliance Industries Limited, Borealis AG, Ineos Group AG and Sumitomo Chemical Co. Ltd. Pivotal market stakeholders employ tactics like mergers, acquisitions, product launches, contributions and collaborations to gain competitive advantages and recognition in their respective markets.

Dow

Overview: Dow is a multinational corporation producing plastics, chemicals and hydrocarbons. The company has divided its product range into 22 categories to cater to the needs of the automotive and transportation, building, construction and infrastructure industries, as well as the consumer goods and appliance industries. DowDuPont completed the division of its materials science business and Dow Inc. in April 2019 and became the direct parent company of TDCC and its consolidated subsidiaries. The Dow Chemical Company has 106 manufacturing facilities spread over 31 nations in the Americas, Asia Pacific, Europe, Middle East and Africa.

Product Portfolio:

ENGAGE: The product is a branded polyolefin elastomer that acts as a link between rubber and plastic chemistries to open up new design possibilities in a variety of industries, including wires and cables, footwear and car interiors. As one of the first polymers to utilize Dow's INSITE technology, the product ensures outstanding job performance with an unparalleled mix of attributes. Some of the key features provided by the product include excellent processing qualities, easy colorability, flexibility and toughness, excellent melt strength, weather compounding, blending or molding and recyclability for in-process scrap re-use.

Key Development:

The introduction of ENGAGE REN, a cutting-edge and environmentally friendly brand addition to the ENGAGE line of high-performing polyolefin elastomers, was announced by Dow on May 3, 2022. (POEs). The footwear industry was able to reduce its carbon footprint thanks to Dow's new brand, supported by the company's ECOLIBRIUM technology to create more environmentally friendly goods that deliver the same high-performance outcomes when combined with other recycled materials. Additionally, Dow worked with the footwear company Crocs and has started offering the appropriate goods for use in Crocs' manufacturing process of its unique substance Croslite.

Why Purchase the Report?
• To visualize the global polyolefin market segmentation based on type, application, end-user and region, as well as understand key commercial assets and players.
• Identify global polyolefin market commercial opportunities by analyzing trends and co-development.
• Excel data sheet with numerous data points of polyolefin market-level with four segments.
• PDF report consisting of cogently put together market analysis after exhaustive qualitative interviews and in-depth market study.
• Product mapping available as excel consisting of key products of all the major market players

The global polyolefin market report would provide approximately 61 tables, 63 figures and almost 184 pages.

Target Audience 2023
• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies