Wood Plastic Composites Market Size, Share & Trends Analysis Report By Product (Polyethylene, Polypropylene), By Application (Automotive Components), By Region, And Segment Forecasts, 2024 - 2030

Wood Plastic Composites Market Size, Share & Trends Analysis Report By Product (Polyethylene, Polypropylene), By Application (Automotive Components), By Region, And Segment Forecasts, 2024 - 2030

Wood Plastic Composites Market Growth & Trends

The global wood plastic composites market size is expected to reach USD 15.41 billion by 2030, exhibiting a CAGR of 11.6% from 2024 to 2030, according to a new report by Grand View Research, Inc. The market growth is attributed to the rising demand for the product as a replacement for plastics on account of their sustainable properties. Presently, a substantial number of consumers prefer WPC products as interior automotive components including showpieces, glove compartments, and sandwich boards.

Increasing wood plastic composites demand in the automotive industry is propelling the market growth over the forecast period. Increasing fuel prices have triggered the need for fuel-efficient vehicles. WPC products are most widely used as a replacement for plastics on account of their sustainable properties. Presently, a substantial number of consumers prefer WPC products as interior automotive components including showpieces, glove compartments, and sandwich boards.

The designing and manufacturing of wood plastic composite is remarkably like manufacturing of traditional plastics. There are some additional variables, though, that designers and manufacturers should be aware of when a material is being selected for manufacturing wood plastic composites. For manufacturers, understanding the effects of different tooling configurations on the wood-plastic composite manufacturing process will help ensure a smooth project from start to finish.

Moreover, regulations and standards significantly impact the wood plastic composites industry by ensuring product quality, safety, and environmental sustainability. Compliance with stringent environmental regulations encourages manufacturers to use recycled materials and adopt eco-friendly production processes. Standards related to mechanical properties, durability, and performance help maintain consistency and reliability in wood plastic composites products, boosting consumer confidence and market acceptance. Additionally, adherence to building codes and industry certifications enables wood plastic composites products to be used in a wider range of applications, further driving market growth.

However, emergence of natural ?ber composites as a substitute for wood plastic composites is expected to hinder the market growth over the forecast period. Natural fiber composites are low-cost, lightweight, and environmentally superior alternatives to wood plastic composites.

Wood Plastic Composites Market Report Highlights

• The polyethylene product segment led the market and accounted for a 65.9% share of global revenue in 2023. The high demand for polyethylene in manufacturing furniture for homes, offices, restaurants, resorts, and hospitals. Moreover, the rising demand for polyethylene in the automotive industry owing to its low cost, high stiffness, and biodegradability is expected to further propel the market growth over the coming years. Low cost, high stiffness, abundant raw material availability, and biodegradability offered by polyethylene-based wood plastic composite products are likely to open new avenues for market growth.
• Building and construction segment led the market and accounted for 71.3% of the global revenue share in 2023. Increasing infrastructural development activities in emerging economies such as China, India, Thailand, and Brazil coupled with the growing demand for aesthetically appealing furniture and flooring solutions across the globe, has surged the demand for the product in the construction industry. Rising demand for various wood plastic-based wood products in construction applications, especially for decking, is expected to propel market growth.
• The market in North America accounted for the largest revenue market share with 51.9% in 2023. Automotive and construction industries in North America are showing growth signs. Moreover, reduction in unemployment rates, passage of major infrastructure-related bills, and reduced prices due to shale gas flooding the market are some of the key reasons for the growth of the construction industry in the region, further supporting the product demand in the region.
• The rising concerns about the global economy because of the continued deceleration in the Eurozone and China, US-China trade discussions, political situation between China and Hong Kong and uncertainty over Brexit are expected to impact the global investments, trade, upcoming and ongoing residential/commercial projects and equity markets across the globe which is anticipated to restrict the market growth over the coming years.
• The market participants are adopting various strategies to gain a competitive edge, and thus sustain the growing industry rivalry. CertainTeed Corporation, a subsidiary of Saint Gobain is a major player in the industry with a variety of wood plastic composite products. The company is involved in mergers & acquisitions, as well as production capacity expansion strategies in order to gain a strong foothold in the industry.

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