Plastic industry, one of the quickest rising industries of our times, is witnessing a boom and there is no stopping the rapid growth of the market! The use of plastic can be found in almost every sector such as construction, household, medical, military, piping, packaging, and much more. To say that the future of the plastic industry market is bright is an understatement. Let us look at the global market predictions of the plastic market and gain a clear understanding of how the market would look like in the year 2020.
According to Grand View Research, the global plastics market will reach $654.38 billion by 2020. The plastic markets in Brazil, India, and China are expected to witness a boost due to the growth in end-use industries such as construction, automotive, and packaging. Moreover, there is a rising demand for advanced thermoplastics in the automotive industry. This is because automobile manufacturers are working on new ways to reduce weight and improve fuel efficiency. There is also a rising demand for biodegradable plastics in an attempt to reduce the environmental impact that conventional plastic has.
The polyethylene (PE) market has emerged as the leader in the plastic segment and has accounted for over 34.9% of the total market volume. The applications of polyethylene can be found across a multitude of industries such as injection molding, blow molding, film, and pipe manufacturing. PET is anticipated to be the fastest growing segment for plastics and is estimated to grow at a CAGR of 8.5% through 2020.
The global plastics demand is expected to grow at a CAGR of 5.3% through 2020 and reach 334.83 million tons. The largest regional market that accounts for 44.6% of the total market volume is Asia-Pacific. Growth in the automobile and construction sector is expected to boost the demand for plastics in the Asia-Pacific market. Moreover, the South and Central America market is predicted to be the fastest growing market for plastics; anticipated to grow at a CAGR of 6.3% through 2020. The growth of major end-use markets and rise in disposable income in Argentina and Brazil is expected to drive the market over the next six years.
Innovation and new technology in the field of bioplastics and sustainable alternatives are expected to drive the plastic markets in Europe and North America. In addition, North American plastic demand is anticipated to grow at a CAGR of 4.3% through 2020.