Plastics

Plastics Industry Overview

Global

Our industrial market research indicates the prospect for the continued global growth of plastics continues to be bright. Asia Pacific region is the largest market for plastics, accounting for nearly half of the volume. The region should continue to show strong demand driven in large part by the regional automotive industry. North America and Europe are the most mature markets for plastics, but should see some continued growth mostly driven by innovation in sustainable plastics and bio-based polymers. Central and South America are projected to be the fastest growing region, a smaller base combined with the growth of major end use markets like Brazil and Argentina will fuel demand.

North America

The top five plastic resin-producing states (Texas, Louisiana, Illinois, Ohio and West Virginia) account for more than 64 percent of total US production.

Packaging is the largest market for plastic resins and is closely associated with retail sales, which have been growing as the economy continues to rebound. Building and construction is another large consumer of plastics the construction market continues its recovery. Transportation is a key market as well and light vehicle sales are strong as interest rates are low. Industrial machinery is another important market that is also improving with increasing domestic investments in manufacturing. The major drain on the U.S. industry globally is export sales due to weaknesses in the European and Asian economies.

Materials

Standard plastics (polyolefin, PVC, PS, EPS and PET) account for the vast majority of the total demand; while Polyethylene (PE) is the leading product segment for plastics. PE is used in high volumes across various industries such as film and sheet, injection molding, blow molding and pipe manufacturing. Increasing PE capacity addition, particularly in the Middle East and Asia Pacific has led to overcapacity in the market which has seen the prices decline. PET is expected to be the fastest growing product segment for plastics.

Priority Metrics Group has worked with leading companies in virtually all sectors of the chemical industry, and our projects have been used to develop strategy, assess markets, and identify prospective customers. PMG has deep understanding of market growth and marketing strategy that leading companies use to develop and defend their competitive advantage.