Polyolefins Market

Global Polyolefins Market Size (2024 to 2029)

The Global Polyolefins Market was worth US$ 264.76 billion in 2023 and is anticipated to reach a valuation of US$ 464.70 billion by 2029 and it is predicted to register a CAGR of 9.83% during the forecast period 2024 to 2029.

Polyolefins are polymers produced by the polymerization of single olefins. Olefins, also called alkenes, are hydrocarbons with a carbon-hydrogen double bond. Polyolefins are hard, light, and rigid by nature. They are mainly applied in structural plastics, consumer goods, industrial products, and food packaging. Polyolefins have a waxy texture and expand when heated. These retain their odorless and non-porous nature when heated and cooled. Polyolefins are available in different types. Mainly, they can be classified into two main groups, viz. thermoplastic and elastomeric compounds. Thermoplastic compounds include polyethylene (PE) and polypropylene (PP). Polyethylene can be further classified into low-density polyethylene (LDPE), linear low-density polyethylene (LLDPE), and high-density polyethylene (HDPE). LDPE and HDPE are used in high-quality packaging films, due to their low weight and high durability. Elastomeric compounds are used in the manufacture of pillows, cushions, and shoes.

Current Scenario of the Global Polyolefins Market

Currently, polyethylene is the most widely used plastic resin in the world, due to its ease of processing, low cost, and versatility. It produces about 40% of the resins used in many end-user applications. As the industry integrates more and more, the factors that have the greatest impact on the market are changing accordingly. With the development of ethylenic raw materials from new sources, such as bio-based materials, coal, and shale, polyethylene prices are expected to have an advantage over other plastic resins, while driving the demand and use of polyethylene in the market. In addition, the constant advancements in polymerization catalyst technologies are expected to improve the performance, performance, and customization of polyethylene resins. HDPE, LDPE, and LLDPE are the most widely used forms of polyethylene. HDPE, due to its many properties and advantages, is used in many applications. HDPE is resistant to most chemical solvents, UV resistant, leach resistant, can withstand temperatures from -148 to 176 ° F, and are cost-effective plastic as well.

HDPE is ideal for blow molding applications and is used in food and beverage packaging. Its recyclable nature makes it possible for highly disposable products. It is also used in chemical packaging, due to its chemical resistance properties. It is used in shampoo. Polyethylene (HDPE, LDPE, and LLDPE) comprises the highest proportion of polyolefins used in film extrusion. Polyethylene fibers have the highest market share in the fiber segment. Elastolefin, a fiber composed of at least 95% (by weight) ethylene and at least one other olefin, is highly valued because of its good elastic properties. High Molecular Weight Polyethylene (HMWP) fibers are widely used in protective clothing. High-density polyethylene (HDPE, PE100, and PE80) piping systems are fast becoming the most widely used piping systems in the world, due to their economic feasibility and low toxicity. All of the above factors are likely to increase the market demand.

MARKET DRIVERS

Polyolefins have many useful properties which make them suitable for a variety of applications. It has little strength and toughness, but it is very ductile and has good impact resistance; it will stretch rather than break. Polyolefins are waterproof and durable, so they are more durable when exposed to the elements compared to other polymers. Polyolefins are a good electrical insulator, offering resistance to the formation of electrical shafts, but can be electrostatically charged. Adding antistatic agents will prevent this. The transparency of low-density polyolefins makes it suitable for packaging applications. Polyolefins such as HDPE can be recycled into other products, which is more cost-effective than making a new product from new plastic. Good heat resistance properties allow its use at high and low temperatures. The demand for polyolefin is growing in various industries including automotive, electrical and electronics, food and beverage, and consumer goods.

The properties of polyolefins, such as high rigidity and good resistance to moisture and chemicals, make polyolefins suitable for industrial uses, mainly for the packaging of automotive and electrical parts. Whereas, in the automotive industry, manufacturers focus on increasing vehicle efficiency by reducing vehicle weight. Polyolefin material is preferred because it is lightweight, and provides ease of processing, sealing properties, and rigidity. In the food and beverage industry, the consumption of polyethylene is increasing at a rapid rate due to the increasing demand for the production of packaging materials for food and beverages. The use of polyethylene in fashion, sports, and toys is growing due to its ability to withstand physical stress, durability, flexibility in packaging, and ease of molding products.

MARKET RESTRAINTS

The use of polyolefin plastics such as HDPE, LLDPE, and LDPE bags is one of the main reasons for environmental and health risks. The global production of plastics and the environmental pollution that accompanies it has shown that plastic waste is a major environmental problem. The effect of plastic waste on marine organisms, humans, and the environment, in general, is a public concern and calls for the need to save ecosystems and their lives. Hence, growing environmental concerns are leading to more stringent regulations, hampering the growth of the market. Governments around the world have taken action to ban plastic.

REPORT COVERAGE

SEGMENTAL ANALYSIS

Global Polyolefins Market By Type

Polyethylene and polypropylene are estimated to grow at a rapid rate in terms of volume. LLDPE and LDPE are widely used in electrical insulation, while HDPE is widely used in the manufacture of household containers. Due to a close relationship between supply and demand, multinational companies in the sector are constantly investing in R&D and innovation to broaden their final scope. Polyethylene has many important applications. It is non-toxic in a solid state and, therefore, is widely used in food packaging.

Global Polyolefins Market By Application

The packaging segment holds the largest share of over 37% in 2020 and is expected to experience a significant CAGR of 5.4% in the global polyolefins market during the forecast period. This growth is attributed to the increasing demand for polyethylene films as a substitute for glass and metal in the packaging industry which further drives the growth of the market.

REGIONAL ANALYSIS

Asia-Pacific has emerged as the fastest-growing regional polyolefins market in terms of consumption, which can be attributed to the expansion of several economies in the region, as well as the increased disposable income of consumers.

Expansion of end-use industries, such as construction, packaging, and automotive, are also expected to be the main drivers. The presence of leading petrochemical companies such as BASF, Sinopec, and Chevron is expected to drive demand for products in China, India, Thailand, Vietnam, and other Asian countries. Asia-Pacific is characterized by the availability of skilled labor at low cost as well as a large area of ​​land. A shift in production outlook to emerging economies, particularly China and India, is expected to have a positive influence on growth over the forecast period. The increase in construction spending due to the need for sustainable infrastructure is expected to stimulate growth over the next two years. The main driver of demand in North America is the wide scope and heavy use in several key end-use industries, such as automotive and transportation, construction, footwear, furniture, home goods consumption, packaging, and electronics. Manufacturers around the world are investing in research and development to expand their business activities and strengthen their product portfolio.

The European market includes Germany, France, the United Kingdom, Russia, Spain, Belgium, and the Netherlands, among other countries in Central and Eastern Europe. A revitalized automotive segment in these countries, coupled with rising consumer disposable income and increased spending on construction and infrastructure, is likely to complement the growth of the sector.

KEY MARKET PLAYERS

The major key players in the Global Polyolefins Market are ExxonMobil Chemical, Dow DuPont, Sinopec Corporation, Total SA, Arkema SA, LyondellBasell, SABIC, Chevron Phillips Chemical Company LLC, and others.

RECENT HAPPENINGS IN THE MARKET

• In September 2020, Borealis introduced a new portfolio of circular polyolefin products. Borealis' new circular product portfolio, called Bornewables, is produced with renewable raw materials entirely derived from waste and waste streams.

DETAILED SEGMENTATION OF THE GLOBAL POLYOLEFINS MARKET INCLUDED IN THIS REPORT

This research report on the global polyolefins market has been segmented and sub-segmented based on type, application, end-user, and region.

By Type

• Polyethylene (PP) – HDPE, LDPE, LLDPE
• Polypropylene (PP)
• Others

By Application

• Film & Sheets
• Blow Molding
• Injection Molding
• Fibers
• Others

By End User

• Packaging
• Automotive
• Construction
• Pharmaceuticals/Medical
• Electronics & Electricals

By Region

• North America
• Europe 
• Asia Pacific 
• Latin America
• Middle East and Africa