Plastic Resins Market Will Grow At Highest Pace Owing To High Demand From Packaging Industry

Plastic Resins Market Will Grow At Highest Pace Owing To High Demand From Packaging Industry

Plastic resins have various advantages such as durability, resistance to corrosion and moisture, and versatility. They are extensively used across industries like packaging, construction, automotive and transportation, consumer goods, healthcare, electrical and electronics. The growing demand for packaged food & beverages from rising population as well as increasing penetration of online shopping is driving the needs for plastics in packaging industry.

The Global plastic resins market is estimated to be valued at US$ 1,127.35 Bn in 2024 and is expected to exhibit a CAGR of 4.4% over the forecast period 2024 to 2031.

Key Takeaways

Key players operating in the plastic resins market are Dow, DuPont, BASF SE, SABIC, Sumitomo Chemical Co., Ltd., Evonik Industries AG, Celanese Corporation, Eastman Chemical Company, Chevron Phillips Chemical Co., LLC, LOTTE Chemical Corporation, Exxon Mobil Corporation, Formosa Plastics Corporation, TORAY INDUSTRIES, INC., MITSUI & CO. LTD, TEIJIN LIMITED, LG Chem, and Avient Corporation. The growing demand from end-use industries like packaging, automobile, construction etc coupled with expansion of production facilities of key players in developing regions is expected to drive the market growth. Technological advancements in plastic resin production like development of bio-based plastics will further aid the market expansion over the forecast period.

Market Trends

Demand for sustainable and recyclable plastics: Concerns over plastic waste have increased focus on adoption of sustainable plastics. Development of bio-based plastics and recyclable plastics is a key trend in the market.
Growing penetration in emerging economies: Emerging economies in Asia Pacific and Middle East are witnessing rapid industrialization which is propelling the plastic resin demand especially in packaging and construction industries. China, India are major contributors to the rising plastic resin consumption.

Market Opportunities

Increasing investment in R&D of advanced polymers: Continuous innovation in plastic resin types, properties and production technologies will strengthen opportunities. Potential areas are light weight plastics, smart polymers and high performance plastics.
Replacement of conventional materials: Ability of plastics to replace conventional materials like paper, metal, glass in applications like packaging offers significant opportunity especially in food & beverages industry.

Impact of COVID-19 on Plastic Resins Market growth:
The COVID-19 pandemic has impacted the growth of the Plastic Resins Market Demand . In the initial phase of the pandemic, when lockdowns were imposed globally, the demand and consumption of plastic resins saw a decline.Various end-use industries such as automotive, construction, consumer goods, etc faced production halts which led to reduced offtake of plastic resins. However, with time the market has started recovering as lockdowns eased in many regions and demand increased for essential medical supplies and packaging of food and other consumer goods. The growing awareness about hygiene and safety also propelled the consumption of single-use plastics. Going forward, as vaccination programs progress, economic activities are expected to pick up which will further boost the plastic resins market. However, supply chain disruptions remain a challenge in some parts of the world.

The Asia Pacific region accounts for the largest share of the global plastic resins market in terms of value. Countries such as China, India, Japan, South Korea are major consumers and producers of plastic resins due to thriving end-use industries in the region. The Asia Pacific region accounted for over 45% share of the global plastic resins market in 2024. Growth in population, rising incomes and rapid industrialization will continue to drive the demand for plastic resins in Asia Pacific in the coming years.

North America is currently the second largest market for plastic resins globally and is expected to witness healthy growth over the forecast period on account of recovering construction and automotive sectors in the US and Canada. Growth prospects are high in the Middle East & Africa region as well due to ongoing infrastructure development projects and increasing manufacturing industries. Latin America will also offer lucrative opportunities for plastic resin suppliers owing to rising exports from Brazil and Mexico.

Get more insights on – Plastic Resins Market