Engineering Plastic Compound Market: Industry Forecast (2021-2029) by Compound Type, Application, and Region

The Engineering Plastic Compound Market size was valued at USD 240.45 Bn. in 2021 and the total revenue is expected to grow by 7.9% from 2022 to 2029, reaching nearly 441.78 Bn.

Engineering Plastic Compound have a complete array of benefits to offer, and in many cases, they can effectively replace metals or ceramics. These Plastic Compound are the only alternative when it comes to the implementation of the unusual technical application which makes Engineering Plastic compounds a true pacemaker for innovation in every key industry. Material modification and blends permit product characteristics to be optimized across a broad range to suit the different applications. As Engineering Plastic Compound offers Good mechanical characteristics, good wear resistance, excellent machinability, and dimensional stability there is a huge demand for Engineering Plastic Compound in the market. In addition, the end-user industries including automotive, transportation, electrical & electronics, industrial, packaging, consumer appliances, and others are driving the growth of the engineering plastic compound market across the globe.
Report Scope:
The report consists of precise data and other appropriate information about the market for engineering plastic compounds, such as market trends, sales reviews, recent developments (both current and expected), SWOT analysis of Companies, PESTLE analysis, Porter five Force analysis, and details on other potential revenue generation prospects in unexplored operational areas. The engineering plastic compounds market research covers current industry competitors' threats and difficulties as well as those posed by possible new market entrants. The report also examines the effects of the COVID-19 pandemic on the Engineering Plastic Compound Market.

The report includes an analysis at the regional and countrywide levels that incorporates the forces of supply and demand that are influencing the market's growth, a competitive landscape that includes the market shares of the major players as well as new initiatives and business strategies adopted by those players, and thorough company profiles that include information on the products offered, significant financial data, recent developments, SWOT analysis, and business strategies used by the major market players.

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Engineering Plastic Compound Market Dynamics:
Growing Demand for Engineering Plastic Compounds in Automobiles

The automotive industry offers a huge market opportunity for engineering plastic compounds. Plastics are becoming incredibly popular in automobile applications to reduce weight and increase fuel efficiency. At least 2,000 pieces of various sizes and forms, including lights, bumpers, dashboards, headrests, switches, clips, panoramic roofs, seats, airbags, and seat belts, are made of dozens of different plastics. In the manufacturing of automobiles, a number of engineering plastics compounds, including polyamide, polycarbonate, and ABS, play a significant role. The use of plastic has also given automobile manufacturers other advantages, such as lowering their overall investment costs. For instance, mounts and other elements may be molded right into a polyamide bracket that holds together components beneath the hood.

Customized Materials for the End-product

Manufacturers determine the physical properties and technical specifications of the finished products before choosing and combining all required components into a single material. Because of this, the plastic engineering compound is specifically designed for that end product and has all of its qualities. Due to this benefit, it is especially suitable for items that demand great mechanical precision and sophisticated processing. In addition, engineering plastic compound completely removes all flaws, including mechanical wear and tear and uneven distribution of ingredients on the plastic surface.

Wide Range of Application of Engineering Plastic Compound

Comparing plastic fittings to metal or wooden fittings, plastic fittings are thought to be much simpler to install. The fact that these fittings come in a variety of color combinations increases their aesthetic appeal. In addition, plastic fittings have a very tight seal, which acts as a barrier against unwelcome outside elements like dust or water. In the upcoming years, the industry is expected to be driven by the characteristics of plastic compounds. In the complex process of compounding plastics, the ratio of additives is determined, the melt is mixed at high speed using twin screw extruders, cooled, and then the final pellet is cut and packaged.

Environmental Concerns and Increasing Prices of Raw Material

Environmental NGOs, Environmental organizations, and governmental regulatory bodies across the globe are typically question the usage of plastics because they are both sustainable and environmentally destructive. Particularly criticized for their contributions to problems with solid waste disposal and financial recycling are the plastics used in the automobile and packaging industries. These industries are currently taking cautious steps to incorporate engineering plastics even more into their products.

However, factors like rising raw material costs for making plastic compounds as fluctuating petrochemical and crude oil prices, as well as strong bio-based substitute potential, are expected to restrain the market's growth. In addition, it is expected that continuous advancements in catalyst technologies, which are aimed at improving the performance, adaptability, and yield of PE resins, will present attractive market prospects.

The Growing Importance of Sustainability for Processes

In order to accomplish sustainability goals and take into account strict regulatory requirements and consumer concerns about plastic waste reduction, the plastics industry has been looking for ways to include more recycled polymeric material in important sectors. The lack of quality in polymers that results from the mechanical and thermal stress the material experiences during the recycling process is one prominent issue that still exists in this context. As a result, recycled plastics have impurities and pollutants that hasten polymer deterioration and ultimately change the characteristics of the material. As a result, producers are taking a variety of actions to address these performance and quality problems while promoting sustainability.

For instance, as part of its TRUCIRCLE line of circular solutions, SABIC introduced its first automotive grades with mechanically recycled material in September 2021. The new resins, including the T2E-3320EH PP compound and the XENOY T2NX2500UV and T2NX5230 resins, complement customers' environmental goals because they contain close to 29% recycled content and guarantee superior performance to that of competitive virgin resins.
Engineering Plastic Compound Market Segment Analysis:
By Product, the Engineering Plastic Compound Market is segmented into Polyethylene (PE), Polypropylene (PP), Poly Vinyl Chloride (PVC), Polystyrene (PS), Polyethylene Terephthalate (PET), Polybutylene Terephthalate (PBT), Polycarbonat, and Others. The Polypropylene (PP) segment held the largest market share accounting for 28.13% in 2021. Its compounds have a high level of impact resistance and serviceability, which makes them widely employed in automotive applications. Plastic usage in automotive applications is expected to increase significantly over the forecast period thanks to rising automotive production, regulatory trends requiring manufacturers to enhance fuel efficiency, and pressure to reduce vehicle weight from consumers. It has greater chemical and temperature resistance as well as good fatigue resistance. These elements have helped PP become a well-liked material for numerous uses in both established and developing countries.

Polyethylene Terephthalate (PET) has a substantial market share in the plastics sector and is mostly utilised in the manufacture of bottles. The majority of PET processors across the globe are putting more of an emphasis on establishing Good Manufacturing Practices (GMPs) in an effort to best utilise the resources at their disposal, save resources, and boost production effectiveness. Over the forecast period, these measures are also anticipated to fuel the PET market.

By Application, the Engineering Plastic Compound Market is segmented into Electrical & Electronics, Building & Construction, Consumer Goods & Appliances, Automotive & Transportation, Aerospace, Industrial Applications, and, Medical. The Automotive & Transportation segment dominated the market share accounting for 23.8% in 2021. The segment's growth has been significantly influenced by the growing use of plastics in automobile components as compared to metals and alloys. Production of automobiles has increased significantly in recent years, mostly due to the development of the industry and the manufacturing environment in emerging countries. The fastest-growing economies include China, India, and Brazil, which are all important auto production centers.
Engineering Plastic Compound Market Regional Insights:
In 2021, Asia Pacific dominated the market with the largest market share accounting for 41.27%, followed by North America. The region’s growth is mainly attributed to the changing economic situation and the rise of plastic manufacturers in the region. The region's automotive, industrial machinery, construction, packaging, and electrical and electronics industries are expected to experience increased demand as a result of the growing manufacturing sector. It is the leading manufacturer and user of consumer goods, autos, and packaging materials, which cleared the path for the growth of the local market. The majority of producers work in one of the value chain areas for the plastics industry. The demand in the region is further fueled by the fact that APAC is one of the biggest consumers and producers of electrical and electronic goods, such as wires and equipment.

North America is expected to grow at a rapid rate through the forecast period. In the United States, Canada, and Mexico, rapid infrastructure development is expected to boost product demand during the forecast period. The construction industry is expected to benefit from government rules that assist the recovery of the housing sector. Over the course of the forecast period, infrastructure development in Canada and Mexico, together with reconstruction efforts in the United States, are anticipated to drive market expansion in North America.

With a few somewhat positive characteristics in Central and Eastern European nations, Europe is expected to remain a saturated market. The European Chemicals Agency (ECHA) and the European Commission, as well as other federal authorities, have described the strict environmental restrictions in Europe in relation to the manufacture and consumption of the materials. In certain ways, it is expected that these regulatory regulations are expected to support industrial development because they tend to encourage firms to improve their processes and create sustainable technology and goods.
Competitive Landscape
The Engineering Plastic Compound market is extremely fragmented, with small and medium-sized businesses holding more than 60% of the market share (SMEs). In order to strengthen their position in the market, businesses are rapidly growing their production capacity. With the rise of independent standalone compounders, the industry has seen major capacity growth in China. Chinese compounders serve a huge pool of medium-sized businesses, as opposed to major end-use organizations like automotive manufacturers and Original Equipment Manufacturers (OEMs), which often enter into strategic relationships with compounders or increase their capacity for compounding.

For instance, Dow, Inc. announced investment projects to enhance circular plastics in October 2021. These developments will contribute to the reduction of greenhouse gas emissions, the prevention of plastic waste, and the availability of recycled polymers with comparable qualities to new plastics. These developments provide the business the ability to start supplying circular plastics at the end of 2022.

To strengthen their position in the international market, industry companies have been attempting to enter more recent regions and specialty markets. To meet the soaring market demand, chemical industry giant BASF's Indian division doubled the Ultramid polyamide range's production capacity in March 2022. These polyamide grades are widely used in consumer goods, industrial items, automotive applications, and the electrical and electronics industries.

In October 2021, renowned chemical firm SABIC opened its cutting-edge PP (polypropylene) compounding unit in Belgium. The new line increased the company's ability to produce PP at its Genk location. Large-scale extrusion equipment has been installed at the new facility to meet the growing need for a steady supply of high-performance and high-quality PP compounds.
Engineering Plastic Compound Market Scope: Inquire before buying



Engineering Plastic Compound Market


Report Coverage
Details


Base Year:
2021
Forecast Period:
2022-2029


Historical Data:
2017 to 2021
Market Size in 2021:
US $ 240.45 Bn.


Forecast Period 2022 to 2029 CAGR:
7.9%
Market Size in 2029:
US $ 441.78 Bn.


 Segments Covered:
by Compound Type
• Polyethylene (PE)
• Polypropylene (PP)
• Poly Vinyl Chloride (PVC)
• Polystyrene (PS)
• Polyethylene Terephthalate (PET)
• Polybutylene Terephthalate (PBT)
• Polycarbonate
• Others


by Application
• Electrical & Electronics
• Building & Construction
• Consumer Goods & Appliances
• Automotive & Transportation
• Aerospace
• Industrial Applications
• Medical



Engineering Plastic Compound Market Key Players
• Polymer-Group
• Polyplastics Co., Ltd.
• Ravago Americas
• Asahi Kasei Corporation
• BASF SE
• Celanese Corporation
• Covestro AG
• RTP Company
• AKRO-PLASTIC GmbH
• Daicel Polymer Ltd.
• Eurostar Engineering Plastics
• Formulated Polymers Limited
• Ginar Technology Co. Ltd.
• HDC HYUNDAI EP COMPANY
• KAWASAKI SANKO KASEI Co., Ltd.
• Ngai Hing Hong Company Limited
• Piper Plastics, Inc.
• Teknor Apex
• Trinseo LLC
• WITTENBURG GROUP.
• Solvay SA
• DowDuPont
• SABIC
• LG Chem
• Lanxess

FAQs:

1. What is the study period of the market?
Ans. The Global Engineering Plastic Compound Market is studied from 2017-2029.

2. What is the growth rate of the Engineering Plastic Compound Market?
Ans. The Engineering Plastic Compound Market is growing at a CAGR of 7.9% over forecast the period.

3. What is the market size of the Engineering Plastic Compound Market by 2029?
Ans. The market size of the Information Technology Market by 2029 is expected to reach at 441.78 Bn.

4. What is the forecast period for the Engineering Plastic Compound Market?
Ans. The forecast period for the Engineering Plastic Compound Market is 2022-2029.

5. What was the market size of the Engineering Plastic Compound Market in 2021?
Ans. The market size of the Engineering Plastic Compound Market in 2021 was valued at US$ 240.45 Bn.