Polyolefins Market - Forecast(2021 - 2026)

Report Code: CMR 0682 Report Format: PDF + Excel (Delivery in 48 Hrs)
The Global Polyolefins Market is forecast to reach around $270 billion by 2025, after growing at a CAGR of 6.5% during 2020-2025. The diverse applications of polyolefins in a gamut of industries including packaging, consumer goods, and others propels the growth of Polyolefins market size during the forecast period. Whereas, an increase in sales of electric and hybrid vehicles led to more demand for vehicle and automotive parts also contribute to the market growth. The use of polyolefins in fashion, sports, and toys is growing due to its ability to resist physical stresses, durability, provide flexibility in packaging, and allow easy molding of products. In the agriculture industry, the application of polyolefins is growing owing to increasing demand for drippers, micro tubes, nozzles, and emitting pipes at irrigation fields. Consequently, an increase in the application of polyolefins in automotive, electrical and electronics, food and beverage, and consumer goods industries is also propelling the polyolefins market share during the forecast period.

Report Coverage

The report: “Global Polyolefins Market – Forecast (2020-2025)”, by IndustryARC, covers an in-depth analysis of the following segments of the Global Polyolefins Market. 
By Type: High Density Polyethylene (HDPE), Linear Low Density Polyethylene (LLDPE), Low Density Polyethylene (LDPE), Polypropylene (PE), and Others 
By Application: Films & Sheets, Injection Moulding, Blow Moulding, Extrusion Coatings, Pipe & Extrusion, Wire & Cables, and Others
By End-Use Industry: Packaging (Food Packaging (Flexible, Semi-Rigid, and Rigid), Beverage Packaging, and Others), Transportation (Automotive (Passenger Cars, Light Commercial Vehicles, Heavy Commercial Vehicles), Others), Electrical & Electronics, Building & Construction, Agriculture, Health and Hygiene (Baby Care products, Feminine Care Products, Medical Disposables, Medical Equipment and Devices, Wipes, and Others), and Others.
By Geography: North America, South America, Europe, APAC, and RoW.

Key Takeaways

  • In North America region, the US polyethylene export volumes to China fell by 9% to 584,157 metric tons in 2018, bucking the overall trend because of the trade war. 
  • In Brazil, the growing demand for lightweight materials in the automotive industry, in order to provide increased efficiency and design flexibility, is primarily responsible for the growth of the polyethylene industry.
  • Colombia is one of the largest automotive markets in South America, after Brazil and Argentina. Auto parts sales totaled USD 4.21 billion in 2018, a 9.5 percent annual increase over 2017. Thus, the growth of automotive sector further drives the market growth.
  • The volatile crude oil prices, unstable economy, and stringent environment norms are hampering the growth of Polyolefins market share during the forecast period. 

Global Polyolefins Market Segment Analysis - By Type 

The LLDPE segment is projected to witness the highest CAGR of 8.5% in the global Polyolefins market during the forecast period. This growth is due to widely use of LLDPE in the various applications include packaging, automotive, agriculture, medical, and electronics. Additionally, LLDPE is highly durable, chemical resistant, versatile, and customizable. Along with the protection, the various form of packaging like rigid, flexible, and semi-flexible types offers a great option to suit the product making it very adaptable. It offers different thickness and clarities as well as various designer colors for a more customized option.

Global Polyolefins Market Segment Analysis - By Application

The films and sheet segment hold the largest share of more than 60% in the Polyolefins market during the forecast period due to wide use across various industry verticals like packaging, transportation, agriculture, construction, and health & hygiene. Whereas, growing demand for polyolefin films and sheets from agriculture sector in wide range applications including greenhouse, mulch and silage stretch films, and silage sheets, construction for window films, and medical sector drive the growth of this market. Moreover, Polyolefins based agricultural films not only protect vegetables from the effects of frost, wind and rain, pests, but also help fruit, vegetables and flowers to ripen faster, allowing farmers to cultivate several crops in a year. In addition, polyolefin films also reduce water consumption by lowering evaporation.

Global Polyolefins Market Segment Analysis - By End-Use Industry

The packaging segment hold the largest share of more than 35% in 2019 and is projected to witness the significant CAGR of 3.5% in the global Polyolefins market during the forecast period. This growth is attributed to the growing demand for polyethylene films as a substitute for glass and metal in the packaging industry further boosts the growth of the market. Moreover, an increase in demand for hygienic and flexible food packaging materials is also expected to drive the market growth. According to National Center for Biotechnology Information, 23 million tons of plastic packaging are produced each year in Europe and is expected to reach 92 million tons by 2050. Furthermore, the growing disposable incomes from developing regions like China and India and plastic packaging recycling in Europe also contribute to the market growth. For instance, in 2018, DoW Packaging and Specialty Plastics (P&SP) developed an innovative formulation of polyethylene (PE) resins, a fully recyclable polyethylene packaging solution in India

Global Polyolefins Market Segment Analysis - Geography

Among the regions, the APAC hold the largest share of more than 45% in the global Polyolefins market followed by North America and Europe during the forecast period. Growing uses of HDPE and LLDPE across packaging, medical, and automotive industry in the region is expected to drive the market, primarily in countries like China, India, and Japan. Increasing demand for advanced automotive interiors and need for superior vehicles is also contributed to the market growth in APAC region. Furthermore, the growing consumer and e-commerce sectors is also contributing for the growth of Polyolefins market share across the APAC region. Whereas, growing transportation sector, changing lifestyle, and rise in disposables income also propels the growth of this market in APAC region. Moreover, the growing plastic recycling plants across the country also contribute to the market growth.

Polyolefins Market Drivers

Highly adaptable due to polyolefins advance properties 

Polyolefins has many useful properties which make it suitable for several applications. It has low strength and hardness, but is very ductile and has good impact strength; it will stretch rather than break. Polyolefins is water resistant and durable, so it is longer lasting when exposed to the elements compared to other polymers. Polyolefins is a good electric insulator, offering electric treeing resistance but can become electrostatically charged. Adding antistatic agents will prevent this. Depending on the thickness of the Polyolefins, it can be almost transparent to opaque. The clearness of low-density Polyolefins makes it suitable for packaging applications. Polyolefins as HDPE can be recycled into other products, which is more cost effective than manufacturing a new product from new plastic. The good heat resistant properties enable it to be used in high and low temperatures.

Rising demand for Polyolefins across various industry verticals

The demand for Polyolefins is gaining momentum in various industries such as automotive, electrical and electronics, food and beverage, and consumer goods. Polyolefins properties such as high rigidity, good moisture, and chemical resistance makes Polyolefins suitable for industrial uses, mainly for packaging of automotive and electrical spare parts. Whereas, in the automotive industry, manufactures are focusing on increasing the efficiency of vehicles by reducing the weight of the vehicles. Polyolefins material is preferred as it is light in weight, offers easy process ability, sealing and stiffness properties. In the food and beverage industry, consumption for polyethylene is growing at a rapid pace due to the rising demand from production of packaging materials for food and beverage. The use of polyethylene in fashion, sports and toys is growing due to its ability to resist physical stresses, durability, provide flexibility in packaging, and allow easy molding of products.

Polyolefins Market Challenges

Increasing environmental protection and plastic ban imposed by various countries

Globally, plastic production is estimated to be 380 million tons in 2018. Since 1950 to 2018, plastics of about 6.3 billion tons have been produced worldwide, 9% and 12% of which have been recycled and incinerated, respectively. Globally, plastic has been estimated by researchers that by 2050, oceans might contain more plastics than fish in terms of weight. Plastics from Polyolefins are non-biodegradable in nature, made from non-renewable resources and it can be remained in the environment for several years. The usage of plastic from polyolefin such as HDPE, LLDPE, and LDPE bags is one of the major reasons for the environmental and health hazards. The worldwide production of plastics and the accompanied environmental pollution have shown that plastic wastes have constituted a major environmental issue. The effect of plastic wastes on marine organisms, humans, and the environment at large is of public concern, and calls for the need to salvage the ecosystems and lives therein. Thus, the growing environmental concern is resulting in more stringent regulations, which is hinder market growth. Whereas, Governments all over the world have taken action to ban the plastic. For instance, in 2016, in France, the country passed a ‘Plastic Ban’ law. The law aims at cutting the usage of plastic bags in the country by half by 2025. 

The emergence of COVID-19 pandemic

The polyolefins market is witnessing a period of low demand from its downstream derivatives. The continuing wave of capacity expansions in polyethylene led to oversupply and squeezed profit margins, further putting pressure on producers. For manufacturers, who were already reeling under supply chain disruptions caused by the U.S. and China trade war, COVID-19 further added lead time to cargo deliveries. The emergence of COVID-19, which is declared a pandemic by the World Health Organisation, is having a noticeable impact on global economic growth. According to International Monetary Fund, the global GDP is expected to decline by 0.3% in 2020. According to World Trade Organization (WTO), global trade volumes are projected to decline between 13% and 32% in 2020 as a result of the economic impact of COVID-19. The pandemic is affecting operations of various industries such as automotive, oil and gas, construction, aerospace, and others, as most of countries have issued “stay at home guidance” i.e., lockdown. And it is expected that the outbreak of COVID-19 will be seen in the whole year of 2020, and a few months in 2021. As Polyolefins products are extensively used in these industries, the declining operations of these industries is directly affecting Polyolefins market growth.

Market Landscape

Technology launches, acquisitions, and R&D activities are key strategies adopted by players in the Polyolefins market report. In 2019, the market of Polyolefins top 10 companies accounting for xx% of the share. Major players in the Polyolefins industry outlook are The Dow Chemical Company, Exxon Mobil Corporation, LyondellBasell Industries N.V., SABIC, China Petrochemical Corporation (Sinopec Group), Mitsubishi Chemical Corporation, BASF SE, INEOS, Borealis AG, Chevron Phillips Chemical Co., Braskem S.A., and Formosa Plastics Corp., among others

Acquisitions/Technology Launches

  • In March 2020, LyondellBasell Industries NV signed a 50-50 joint venture with Liaoning Bora Enterprise Group (Bora) in Panjin, China, to build a 1.1 million-tons/year ethylene cracker and associated polyolefin derivatives complex.
  • In 2019, Neste Corporation and LyondellBasell jointly announce the first parallel production of bio-based polypropylene and bio-based low-density polyethylene at a commercial scale. The project successfully produced several thousand tonnes of bio-based plastics which are approved for the production of food packaging and being marketed under Circulen and Circulen Plu.
  • In November 2019, LyondellBasell was begun the commissioning works of its new high-density polyethylene (HDPE) plant in La Porte, Texas. The new plant utilized LyondellBasell’s patented Hyperzone technology to produce 500,000 tons/year of HDPE.

1. Polyolefins Market - Market Overview
    1.1 Definitions and Scope
2. Polyolefins Market - Executive Summary
    2.1 Market Revenue, Market Size and Key Trends by Company
    2.2 Key Trends by Type
    2.3 Key Trends by Application
    2.4 Key Trends by End-Use Industry
    2.5 Key Trends by Geography
3. Polyolefins Market - Landscape
    3.1 Comparative analysis
        3.1.1 Market Share Analysis- Top Companies
        3.1.2 Product Benchmarking- Top Companies
        3.1.3 Top 5 Financials Analysis
        3.1.4 Patent Analysis- Top Companies
        3.1.5 Pricing Analysis
4. Polyolefins Market - Startup companies Scenario Premium Premium 
    4.1 Top startup company Analysis by
        4.1.1 Investment
        4.1.2 Revenue
        4.1.3 Market Shares
        4.1.4 Market Size and Application Analysis
        4.1.5 Venture Capital and Funding Scenario
5. Polyolefins Market – Industry Market Entry Scenario Premium Premium 
    5.1 Regulatory Framework Overview
    5.2 New Business and Ease of Doing business index
    5.3 Case studies of successful ventures
    5.4 Customer Analysis - Top companies
6. Polyolefins Market - Market Forces
    6.1 Market Drivers
    6.2 Market Constraints
    6.3 Market Opportunities
    6.4 Porters five force model
        6.4.1 Bargaining power of suppliers
        6.4.2 Bargaining powers of customers
        6.4.3 Threat of new entrants
        6.4.4 Rivalry among existing players
        6.4.5 Threat of substitutes 
7. Polyolefins Market -Strategic analysis
    7.1 Value chain analysis
    7.2 Opportunities analysis
    7.3 Product life cycle
    7.4 Suppliers and distributors Analysis
8. Polyolefins Market – By Type (Market Size - $Million)
    8.1 High Density Polyethylene (HDPE)
    8.2 Linear Low Density Polyethylene (LLDPE)
    8.3 Low Density Polyethylene (LDPE)
    8.4 Polypropylene (PE)
    8.5 Others
9. Polyolefins Market – By Application (Market Size - $Million)
    9.1 Films & Sheets
    9.2 Injection Moulding
    9.3 Blow Moulding
    9.4 Extrusion Coatings
    9.5 Pipe & Extrusion
    9.6 Wire & Cables
    9.7 Others
10. Others Polyolefins Market – By End-Use Industry (Market Size - $Million)
    10.1 Packaging
        10.1.1 Food Packaging
            10.1.1.1 Flexible
            10.1.1.2 Semi-Rigid
            10.1.1.3 Rigid
        10.1.2 Beverage Packaging
        10.1.3 Others
    10.2 Transportation
        10.2.1 Automotive
            10.2.1.1 Passenger Cars
            10.2.1.2 Light Commercial Vehicles
            10.2.1.3 Heavy Commercial Vehicles
        10.2.2 Others
    10.3 Electrical & Electronics
    10.4 Building & Construction
    10.5 Agriculture
    10.6 Health and Hygiene
        10.6.1 Baby Care products
        10.6.2 Feminine Care Products
        10.6.3 Medical Disposables
        10.6.4 Medical Equipment and Devices
        10.6.5 Wipes
        10.6.6 Others
    10.7 Others
11. Polyolefins Market - By Geography (Market Size - $Million)
    11.1 North America
        11.1.1 U.S.
        11.1.2 Canada
        11.1.3 Mexico
    11.2 South America
        11.2.1 Brazil
        11.2.2 Argentina
        11.2.3 Colombia
        11.2.4 Rest of South America
    11.3 Europe
        11.3.1 U.K
        11.3.2 Germany
        11.3.3 Italy
        11.3.4 France
        11.3.5 Spain
        11.3.6 Netherlands
        11.3.7 Russia
        11.3.8 Rest of Europe
    11.4 Asia-Pacific
        11.4.1 China
        11.4.2 India
        11.4.3 Japan
        11.4.4 Australia & New Zealand (ANZ)
        11.4.5 South Korea
        11.4.6 Rest of Asia-Pacific
    11.5 ROW
        11.5.1 Middle East
            11.5.1.1 Saudi Arabia
            11.5.1.2 UAE
            11.5.1.3 Israel
            11.5.1.4 Rest of Middle East
        11.5.2 Africa
            11.5.2.1 South Africa
            11.5.2.2 Nigeria
            11.5.2.3 Rest of South Africa
12. Polyolefins Market - Entropy
    12.1 New Product Launches
    12.2 M&A’s, Collaborations, JVs and Partnerships
13. Market Share Analysis Premium
    13.1 Market Share by Country- Top companies
    13.2 Market Share by Region- Top companies
    13.3 Market Share by type of Product / Product category- Top companies
    13.4 Market Share at global level- Top companies
    13.5 Best Practices for companies
14. Polyolefins Market - List of Key Companies by Country Premium 
15. Polyolefins Market - Company Analysis
    15.1 Market Share, Company Revenue, Products, M&A, Developments
    15.2 Company 1
    15.3 Company 2
    15.4 Company 3
    15.5 Company 4
    15.6 Company 5
    15.7 Company 6
    15.8 Company 7
    15.9 Company 8
    15.10 Company 9
    15.11 Company 10 and more
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