United States Extruded Plastic Market - Forecasts from 2022 to 2027

United States Extruded Plastic Market - Forecasts from 2022 to 2027

United States extruded plastic market is projected to grow at a CAGR of 6.07% during the forecast period to reach US$36.776 billion by 2027, from US$24.343 billion in 2020.

Extrusion is a method of producing items with a set cross-sectional characteristic by forcing substances through a die with the preferred cross-section. Its two main features over other production processes are its ability to develop complex cross-sections and function properly with brittle fractures because only compressive forces, stress, and strain are encountered. It also produces a fine surface finish and allows for significant form liberation during design. Design is a similar approach in which the object's tensile properties are used to pull it through the die. It restricts the amount of transition conducted in a single step, so it is forbidden to simpler shapes and usually requires various phases. Design is the most common method of producing wire, metal bars, and tubes. Extrusion can be consistent, creating incredibly long material or semi-continuous, producing many pieces. It is possible to use either hot or cold cloth. Polymers, ceramics, concrete, modelling clay, metals, and foodstuffs are popularly extruded components. Extrudates are the general term for extrusion product offerings. Plastic extrusion converts plastic material into a form that can be used or transformed into useful goods.

United States Extruded Plastic Market Growth Factors

According to the U.S. Bureau of Labour Statistics, the employment rate in the United States has been 60% rising since 2019. Growing income levels due to the increased employment rate support the country's emerging middle class. This trend motivates the working class to increase their spending on consumer products, including personal care goods. According to BEA data, personal consumption spending in the United States was US$ 118.081 billion in 2021. Personal care and cosmetic product offerings, particularly make-up, hair-care, and skin product lines, are aggressively growing and are one the major factor raising the demand for the packaging sector. According to World Bank data, the United States' GDP was worth US$20936.60 billion in 2020. The increased income level and growing employment rate will increase the popularity of personal care products, which produces the demand for plastic packaging expected to drive the growth of extruded plastic in the United States.

Restraints

The kinds of goods produced are limited by plastic extrusion moulding. When hot plastic is stripped away from the extruder, it expands numerous times. This is known as die swell. Trying to anticipate the exact extent of expansion is difficult. Because it is difficult to predict precise growth, manufacturers frequently accept significant deviations from the product's dimensions. These challenges are expected to hinder the development of extruded plastic in the United States.

COVID-19 Impact on the United States Extruded Plastic Market

The United States Extruded Plastics market has been negatively affected by the COVID-19 eruption. Due to the forced closure, manufacturing and production operations suffered severely during the disease outbreak, culminating in a halt in international trade and reduced plastic usage. There was also an economic downturn for devices, transit, automotive, and gadgetry, which resulted in a decrease in biodegradable plastics and, as a result, extruded plastics utilization. The automotive industry has been more heavily impacted than any other plastics end-user industry. Automotive manufacturing lines, where workers work side by side, have been locked in the United States dealerships. According to OICA, 15 408 565 units of vehicles were sold in the United States in 2021, a 12% decrease from the year 2019. Being one of the key end-user industries, it has jolted the extruded plastic market in the United States.

Extruded Plastic and the United States

Plastics are an increasingly important component of municipal solid waste. While plastic materials can be found in all significant MSW types, packaging and containers had the most plastic quantity in 2018, with over 14.5 million tonnes(Source: EPA). EPA released the National Recycling Strategy in November 2021, reiterating the goal of increasing the United States' recyclability to 50% by 2030. Plastics found in the United States were 35.7 million tonnes in 2018, accounting for 12.2 percent of MSW-generated waste. While the overall amount of recyclable plastic is tiny, 3 million tonnes for an 8.7 percent recycling rate in 2018—recycling of certain forms of plastic boxes is more substantial. In 2018, the recycling process for PET cans and bottles was 29.1 percent, while the rate for HDPE organic bottles was 29.3 percent. In 2018, the total amount of plastic waste consumed in MSW was 5.6 million tonnes. This amounted to 16.3 percent of all MSW finished with resource recovery that year. In 2018, 27 million tonnes of plastic were disposed of in landfills. This accounted for 18.5 percent of all MSW landfills. The ample amount of plastic consumption in the country provides the booming opportunity for the leading industries to develop an innovative approach to using plastic, which is expected to drive the growth of extruded plastic in the United States over the forecasted period.

Key Market Segments

By Type

Polypropylene (PP)
Polyethylene (PE)
LDPE
HDPE
Polyvinyl Chloride (PVC)
Others

By End-User Industry

Construction
Electrical and Electronics
Packaging
Automotive
Others