Polyethylene Terephthalate (PET) Resins Market - Forecasts from 2024 to 2029

Polyethylene Terephthalate (PET) Resins Market - Forecasts from 2024 to 2029

The polyethylene terephthalate (PET) resins market is expected to grow at a CAGR of 4.85% during the forecast period (2024-2029).

The polyethylene terephthalate (PET) resins market is a rapidly growing industry, driven by increasing demand for sustainable and recyclable materials. The market is growing owing to several factors such as the increase in the food and beverage industry followed by the rise in PET collection and recycling rates along with the increasing demand for sustainable materials.
One of the main drivers is the expansion of the food and beverage industry mainly because the food and beverage industry is known to be the significant consumer of the PET resin market particularly used for packaging purposes. There are factors as well as in place that are responsible for driving this sector such as an increase in disposable income followed by growing urbanization and changing consumer preferences. As a result, the demand for PET resins from the food and beverage industry is expected to continue to rise, driving the growth of the market.
PET collection and recycling rates are another factor that is imperative in driving the growth of the market. Companies and governments all over are increasingly focusing on sustainability which has further led to an increase in PET collection and recycling rates. This trend is expected to continue, driving the demand for PET resins and contributing to the growth of the market.

POLYETHYLENE TEREPHTHALATE (PET) RESINS MARKET DRIVERS:

Transparent & Non-Transparent PET is likely to be the fastest-growing type during the forecast period

The transparent and non-transparent PET segments are expected to be the fastest-growing types during the forecast period. There has been an increasing demand for transparent PET which is further being driven by its use in the packaging industry for clear bottles, films, and containers. This is particularly evident in the beverage and food industries, where clear packaging is highly valued for its aesthetic appeal and ability to showcase the product. On the other hand, non-transparent PET has its advantages and uses in different sectors and industries such as automotive, electrical, and electronics as well as textiles which is further driving the growth of the market.
The growing application of polyethylene terephthalate (PET) resins in the automotive industry

Polyethylene terephthalate (PET) resins growing applications in the automotive industry especially is the result of the market growth. PET resins have multiple advantages to offer when it comes to their use in the automotive industry. These PET resins are used in automotive components such as fuel tanks, air ducts, and even bumpers majorly due to their extreme strength to weight rations, their resistance to UV light and chemicals as well as their ability to be molded into different varieties and shapes. Additionally, PET resins are used in interior components like dashboards, door panels, and trim due to their aesthetic appeal and ability to be colored and textured. The use of PET resins in the automotive industry is driven by the need for lightweight and durable components to improve fuel efficiency and reduce emissions, as well as the growing demand for sustainable and recyclable materials.

The Automotive industry has observed a significant growth in 2023 over the previous year. In 2023, the overall automotive production accounted for 93.54 million which was a 10% year-on-year growth over the previous year. With the growing significance of electric vehicles, there has been an increase in the overall automotive sector. This growing trend in the automotive sector is expected to drive the demand for Polyethylene terephthalate (PET) resins during the forecast period (2024-2029).

Asia Pacific region to dominate the polyethylene terephthalate (PET) resins market during the forecast period.

The major economies like China, Japan, India, and South Korea dominate the Asia-Pacific region. Some of the fastest-growing emerging economies are from this region such as ASEAN countries. India and China have about 35.5% of the world's population. The Asia Pacific region is expected to dominate the polyethylene terephthalate (PET) resins market during the forecast period owing to the region being the home of several countries as mentioned above constituting significant production capacities that drive the demand for eco-friendly materials.

Companies like China Petroleum & Chemical Corporation, China Resources (Holdings) Co., Ltd., Sanfame Group, JBF Industries Limited, and Indorama Ventures Public Limited Company have their plants set up in this region with high production capacity to fulfill the growing demand from the packaging sector. For instance, Indorama Ventures Ltd which is the largest PET resin manufacturer with nearly 20% market share is based out of Thailand.

The Asia-Pacific market’s dominance is due to multiple factors including the high population growth followed by the increasing demand for fast-moving consumer goods as well as the rising urbanization. In terms of China, the market for PET resins is increasing due to the expanding food and beverage industry in China. Additionally, the region’s expansion is also due to the increasing demand for sustainable and recyclable materials in the region. As a result, the Asia-Pacific region is poised to maintain its leading position in the global PET resin market, driven by its large and growing consumer base and the ongoing demand for PET-based products.

Polyethylene terephthalate (PET) resins market Key Developments:

In October 2022, An announcement was made by Indorama Ventures Public Company Limited for the opening of the largest PET recycling plant in the Philippines in partnership with Coca-Cola. Indorama Ventures Public Company Limited is a global sustainable chemical company, This plant will be IVL’s latest recycled PET facility as the global integrated petrochemicals company builds on its position as the world’s largest producer of recycled resin used in plastic beverage bottles.
In July 2023, Corpus Christi Polymers LLC resumed the construction of their integrated purified terephthalic acid-polyethylene terephthalate (PTA-PET) plant in Corpus Christi, Texas via the partnership with Indorama Venture PCL (IVL) which is a subsidiary of Indorama Ventures Corpus Christi Holdings LLC, Alpek SAB de CV subsidiary DAK Americas LLC, and Far Eastern New Century subsidiary APG Polytech USA Holdings.
In June 2022, Alpek agreed to buy OCTAL which resulted in an increase of Alpek's PET resin capacity by 576,000 tons, helping it meet customers' increased demand.

The polyethylene terephthalate (PET) resins market is segmented and analyzed as follows:

By Type
Transparent & Non-Transparent PET
Recycled PET
By Application
Bottles
Films
Food Packaging
Others
By End-User Industry
Aerospace
Automotive
Building and Construction
Electrical and Electronics
Packaging
Industrial and Machinery
Others
By Geography
North America
USA
Canada
Mexico
South America
Brazil
Argentina
Others
Europe
United Kingdom
Germany
France
Italy
Spain
Rest of Europe
Middle East and Africa
Saudi Arabia
Saudi Arabia
United Arab Emirates
Rest of Middle East and Africa
Asia-Pacific
China
India
Japan
South Korea
Taiwan
Thailand
Indonesia
Rest of Asia-Pacific