Plastic Market Growth, Trends And Forecast To 2031

(MENAFN- Straits Research) Introduction

Market Synopsis

The global plastic market was valued at USD 591.28 billion in 2021 and is projected to reach USD 827.84 billion by 2030, registering a CAGR of 3.81% from 2022 to 2030

Plastics , also known as polymers, are utilized to make a wide range of products, from paper clips to spaceships, due to their versatility, ease of production, formability, low cost, lightweight, and water resistance. Traditionally, they are generated from natural gas and petroleum. The depletion of polymer resources has prompted manufacturers to employ renewable resources. Bioplastics are plastics made from renewable biomass sources such as maize starch, sawdust, vegetable fats and oil, and food waste. Increasing knowledge of the environmental damage caused by polymers drives manufacturers to create recyclable items. A prominent market driver is a rising need for high-performance plastic packaging solutions for product protection.

In numerous industries, such as food & beverage, consumer goods, automotive, and electrical & electronics, product demand is increasing. Global product consumption is driven by the food and beverage industry's increasing demand for packaging materials. Manufacturers of food products want packaging that reduces food quality deterioration and prevents contamination. The demand is fueled by plastic's capacity to function as a barrier between food goods and the external environment.

In addition, the resistance of polymers to physical stress and their excellent durability are increasing their use in sports, fashion, polymer clay, and toy manufacturing. In addition, they are easy to form and allow for the production of packaging of any size or shape. Their increased utility in the textile industry is due to their excellent elasticity, durability, and aesthetic appeal. In addition, polymers' rigidity makes them ideal for packaging automotive and electrical spare parts. Thus, the expanding use of plastics in the food & beverage, textile, electrical & electronics, automotive, and consumer goods industries contributes to the expansion of the plastics market.

Regulations governing product application are anticipated to have an impact on the market growth rate. In response to growing worries about the environmental damage caused by polymers, stringent government laws, and other measures have entered the scene. Numerous firms and governments have adopted greener and non-plastic alternatives in an effort to mitigate the environmental damage caused by the usage of plastic. For instance, the United Nations Environment Program (UNEP) launched a Clean Seas campaign in over 50 countries in 2017 to urge governments to impose plastic reduction measures, encourage industry to decrease polymer-made packaging, and reform products. In addition, some nations, like India, have pledged to eliminate single-use plastics from the market by 2022. The transition toward non-polymer items and restrictions on plastic use together operate as a market growth restraint.

In addition, in March 2022, at the UN Environment Assembly held in Nairobi, heads of state, environment ministers, and other delegates from 175 nations endorsed a historic resolution to eliminate plastic waste and establish a legally enforceable international agreement by the end of 2024.

The expansion of the building industry in emerging nations like Brazil, China, India, and Mexico has created prospects for plastic consumption. Increased foreign investment in these domestic construction markets as a result of relaxed FDI regulations and demand for improved public and industrial infrastructure has contributed to the growth of the total market.

Regional analysis of the global plastic market

The market is split by region into North America, Europe, Asia-Pacific, and LAMEA.

It is anticipated that
Asia-Pacific will hold the greatest market share
over the projection period. Due to the great supply of inexpensive raw materials, it is projected that China would continue to dominate the region. This further reduces the obstacles associated with plastic manufacture. The expansion in the Asia-Pacific region is also attributable to the booming packaging and building industries. In addition, increased demand from the consumer goods sector for the production of toys, textiles, and sports items is anticipated to fuel the regional market.

The United States maintained the highest market share in North America, supported by rising product demand in the electrical and electronics, healthcare and pharmaceuticals, and packaging industries. Concerns regarding plastic pollution and the development of recyclable technologies have led to a rise in the use of recycled plastics in the region.

Due to increased demand from the automotive industry in Europe, the polymers market is predicted to expand substantially in the region. In addition, features such as superior heat resistance, electrical insulation, corrosion resistance, and low density encourage the use of polymers in Europe.

Rising demand from the textile and packaging industries will be the most important element impacting growth in the Middle East and Africa. The increasing need for lightweight packaging and the preference for polymers over glass and metal are anticipated to stimulate the regional market. In addition, Latin America is anticipated to expand as a result of expanding urbanization and a rising number of enterprises specializing in industrial packaging solutions.

Key Highlights

• The global plastic market was valued at USD 591.28 billion in 2021 and is projected to reach USD 827.84 billion by 2030, registering a CAGR of 3.81% from 2022 to 2030.
• Polyethylene segment to lead the market due to its rising adoption in packaging products
• Packaging segment to generate the highest revenue owing to the growing food & beverage industry
• The Asia Pacific is estimated to hold the largest market share during the forecast period