The global plastic additives market size is expected to value at USD 62.50 billion by 2022. The market is subject to witness a substantial growth due to the increasing demand for various industrial applications such as property modifiers, extenders, stabilizers and processing aids. Advantages of the plastic additives such as resistance to microbial activities, antioxidants, ultra-violet stabilizer, plasticizers, and impact modifiers, which are critical for compound formulations in order to enhance chemical and physical properties, are expected to foster market growth over the forecast period.
Globally, the plastic additives market is predicted to grow at CAGR of 4.5% in forecast period, providing numerous opportunities for market players to invest in research and development of the market. Additionally, increasing industrial activities, growing manufacturing output and strong economic growth in the Asia Pacific region is expected to expand market reach of the plastic additives industry over the forecast period.
Favorable laws and regulation by governmental and international authorities such as EC (Beaches European Commission) and amendments in the Restriction of Hazardous Substances (RoHS) that monitors use of plasticizers, flame retardant and other additives are anticipated fuel market growth in the upcoming years. However, excessive use of plasticizers, flame retardant and other additives causes adverse effects on human health and the environment condition, thereby restraining market growth to a certain extent.
Yet, the recent technological advancement and introduction of new methodologies for the production of the plasticizers, flame retardant and other additives are anticipated to boost market demand in the upcoming years. Variation in the price of raw materials along with lack of availability are expected to limit market progress substantially. Changing market dynamics regarding availability of raw material in the Middle East region are further negatively affect market growth, in the recent years.
Additionally, easy availability of the alternative products such as polycarbonate (PC) and poly-acrylic (PMMA) coupled with lowered process are further affecting market performance of the plastic additives industry. Although, increasing demand from electrical and electronic manufacturing industry is expected to sustain market the growth of the market over the forecast period.
The plastic additives market is broadly categorized into four major types based on their functionality such as property extenders, modifiers, property stabilizers and processing aids. Property stabilizers is considered as one of the fastest growing segment in the plastic additives industry with substantial revenue generation in the last couple of years. Growing popularity of the property stabilizer market segment is attributed to the increasing demand for various industrial application such as enhancing stability of industrial materials in regards to their chemical bonding, thermal and physical properties.
Processing aid market segment has also witnessed significant market growth over the forecast period due to its capability to improve plastic extrusion ability of substances. The plastic additives helps to enhance overall flexibility and durability of plastics. The plastic additives are largely used in the manufacturing and electronic & electrical industry. In addition, as much as ninety percent of all plastic additives are utilized for the production of flexible polyvinyl chloride (PVC). The plastic additives are commonly considered as non-volatile solvents.
The plastic additives market is divided by region as North America, Europe, Asia-Pacific, Latin America and Africa. North America has shown major growth in recent years owing to the rise in the implementation of latest technologies in the additives industry, high end-user demand for plasticizers, UV stabilizers, and flame-retardants, and existence of well-established industrial infrastructure.
Asia-Pacific region is predicted to hold major market share with massive growth in forecast period. Countries such as India, China, Malaysia and Indonesia are leading the Asia-Pacific market with strong economic growth, rising industrial output, and significant investment by leading industry players considering potential growth opportunities in the region.
The key players in the plastic additives industry are BASF SE, Saudi Basic Industries Corporation (SABIC), E. I. du Pont de Nemours and Company, Inc., ExxonMobil Chemical Company, Inc., Mitsui Chemical, Inc., The Dow Chemical Company Co., Evonik Technologies, and Biesterfield Plastic GmbH.
Global Plastic Additives Function Outlook (Volume, Kilo Tons; Revenue, USD Million, 2012 - 2022)
• Property Modifiers
• Property Extenders
• Property Stabilizers
• Processing Aids
Global Plastic Additives Product Outlook (Volume, Kilo Tons; Revenue, USD Million, 2012 - 2022)
• Flame Retardants
• UV Stabilizers
Global Plastic Additives Regional Outlook (Volume, Kilo Tons; Revenue, USD Million, 2012 - 2022)
• North America
• Asia Pacific
Research Support Specialist, USA