BRIC Automotive Plastics Market Set to Usher High Growth Backed by Lightweighting Technological

Automotive plastics are increasingly being adopted in vehicles to reduce vehicular weight and improve fuel efficiency. Key plastic components include bumpers, interior trims, dashboards, instrument panels and others. With their attributes such as durability, flexibility and affordability, plastics are rapidly replacing conventional materials. The growing sales of lightweight vehicles led by stringent emission regulations will drive the demand for automotive plastics in BRIC countries.

The Global BRIC Automotive Plastics Market is estimated to be valued at US$ 32062.54 Mn in 2024 and is expected to exhibit a CAGR of 6.8% over the forecast period 2024 To 2031.

Key Takeaways

Key players operating in the BRIC Automotive Plastics are Unilever, Procter & Gamble, Reckitt Benckiser, Henkel AG & Co. KGaA, Church & Dwight Co. Inc. Key opportunities in the market include growing electric vehicle sales supported by government incentives for green mobility initiatives. Technological advancements in 3D printing and injection molding will help automakers develop complex lightweight plastic parts at lower costs.

Market drivers: Stringent emission norms by BRIC Automotive Plastics Market Demand  and rising vehicle production fueled by growing disposable incomes will drive the demand for lightweight vehicles. This makes plastics an attractive material for vehicle mass reduction and improvement in fuel economy. Electric vehicles with their complex lightweight designs are expected to provide significant opportunities for plastics.

Challenges in BRIC Automotive Plastics Market

The BRIC automotive plastics market is facing challenges related to regulatory norms regarding vehicle emissions and fuel efficiency. Stricter emission standards imposed by governments in the BRIC nations are forcing automakers to reduce vehicle weight through increased usage of plastics. However, high costs of specialized plastics that can withstand extreme temperatures and ensure longevity is a major concern. Fluctuating raw material prices also impact the profit margins of plastic manufacturers.

Current challenges in BRIC Automotive Plastics Market

The BRIC Automotive Plastics Market Trends And Size  is currently facing challenges owing to supply chain disruptions caused by the Covid-19 pandemic. Factory shutdowns and restrictions on transportation led to shortages of key plastic resins. Rising logistic costs further increased the delivery timelines for automotive OEMs. Additionally, the ongoing semiconductor chip shortage is hindering automobile production volumes and thereby affecting the demand for plastics in BRIC nations. Managing relationships with diverse global suppliers remains a challenge for automakers to ensure just-in-time delivery of plastic components.

SWOT Analysis

Strength: Growing automotive production in BRIC countries particularly in China and India is driving the polymer demand.

Weakness: Dependence on crude oil prices for raw material procurement leaves profit margins vulnerable.

Opportunity: Shift towards electric vehicles provides opportunities for specialized engineering plastics with improved performance.

Threats: Stiffer environmental regulations regarding use of recycled plastics pose compliance challenges.

Geographical Regions

In terms of value, China dominates the BRIC automotive plastics market and accounted for more than 50% share in 2024 owing to the large production base of Chinese automakers. India is also emerging as a major destination with the government promoting domestic automobile manufacturing through initiatives like Make in India.

Fastest Growing Region

Central and Eastern Europe is projected to be the fastest growing region for the BRIC automotive plastics market during the forecast period. Countries like Russia are witnessing increased investments by international automakers to cater to the rising demand for passenger vehicles. This is translating to new production facilities and spurring the demand for plastics in automotive applications.

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