By 2028, the global polypropylene (PP) market is predicted to reach $108.57 billion, at a CAGR of 5.2%. The market is estimated to be around $76 billion by the end of 2021. The market can be segmented bu the following:
The Impact of COVID-19
The automobile industry has the highest demand for polypropylene. Due to the decline of polymers in the automobile industry, the global polypropylene market crashed by 1.1% in 2020. Due to restrictions and lockdowns in various places around the globe, automobile manufacturers had to adhere to government protocols and close their manufacturing plants. Also, since many people worked from home, this reduced the adoption and utilization of vehicles across the globe.
The Use of PP in Electric Vehicles will Drive Market Growth
The demand and adoption of electric vehicles (EVs) are growing rapidly worldwide due to vehicle pollution being at an all-time high. For instance, the global EV sale ended up reaching 2.1 million in 2019. The main focus is to improve the energy efficiency of EVs by reducing weight and using lightweight materials like polypropylene.
Polypropylene is a thermoplastic that is ideally suited to meet this demand. The reason being it is a low-density polymer. Due to this, EV manufacturers are integrating it into their automobiles to make them energy-efficient.
For instance, the new Skoda EVs feature PP in the car’s instrument panel, glove box, and center console. Renault’s new EV car’s engine has a PP compound for the air intake manifold. This reduces the vehicle’s weight by 15%. In conclusion, the use of polypropylene in EVs is the new trend in the plastics industry and will drive the global polypropylene market.
The Asia Pacific is all set to dominate the global polypropylene market due to the growth of the packaging industry. The packaging industry in this region is driven by consumer demand for hygiene and rapid urbanization in China and India. Also, consumer goods, packaged beverages, and foods are in huge demand in these countries.
The North American region is also predicted to make substantial headway due to the massive utilization of polypropylene in the electronics industry in this region. The third-largest region that will lead the global PP race, is Europe. The main factor is the enormous demand and production of automobiles in this region.
We hope you have gained valuable insights from this article. In conclusion, the market is projected for an upward trend in the coming years and various industries will find new ways to utilize polypropylene.