The Global Polypropylene Compounds Market size is expected to reach $37.0 billion by 2030, rising at a market growth of 7.4% CAGR during the forecast period. In the year 2022, the market attained a volume of 8,329.7 Kilo Tonnes, experiencing a growth of 5.6% (2019-2022).
These compounds are widely used as insulating materials in electrical and electronic applications due to their excellent electrical insulation properties, dielectric strength, and thermal stability. Therefore, the electrical & electronics segment captured $2,563.0 million revenue in the market in 2022. A diverse selection of insulating materials is necessary within the electrical and electronics sector to guarantee the secure and dependable functioning of electrical devices and components. They are used in producing wire and cable insulation, connectors, electrical housings, circuit boards, and capacitors.
Technological advancements enable the development of these compounds with enhanced material properties such as strength, durability, impact resistance, chemical resistance, and flame retardancy. Manufacturers can tailor of the compounds through innovative formulation techniques and additive technologies to meet specific performance requirements for diverse industry applications. Additionally, the packaging industry is experiencing a rising demand for these compounds due to their versatile properties that meet the evolving needs of modern packaging solutions. Within the industry of food packaging, it assumes a pivotal function in safeguarding perishable goods against moisture and external contaminants, thereby ensuring their continuity and excellence. Therefore, as the packaging industry continues to evolve towards sustainability, they are expected to play a significant role in meeting these environmental objectives while fulfilling the functional requirements of modern packaging.
However, fluctuating raw material prices result in cost volatility for manufacturers of these compounds. Polypropylene, the primary raw material used in compound production, is derived from petroleum or natural gas feedstocks, and its price is influenced by factors such as crude oil prices, supply-demand dynamics, geopolitical tensions, and currency fluctuations. Moreover, fluctuating raw material prices can contribute to supply chain disruptions and inventory management challenges. Manufacturers may face shortages or delays in the availability of polypropylene resin and other essential raw materials, particularly during periods of price volatility or market instability. Supply chain disruptions can disrupt production schedules, lead to downtime, and affect customer relationships and order fulfillment. In conclusion, the fluctuating raw material prices hamper the market’s growth.
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Challenges Based on product, the market is divided into mineral filled PP compounds, compounded TPO, compounded TPV, glass fiber reinforced, talc filled, and others. In 2022, the mineral filled PP compounds segment garnered the highest revenue share in the market. Mineral fillers such as talc, calcium carbonate, and glass fibers are added to the compounds to improve mechanical properties such as stiffness, strength, and impact resistance. This makes mineral-filled PP compounds suitable for high-performance and durable applications, such as automotive parts, construction materials, and industrial components.
On the basis of application, the market is segmented into fiber, film & sheet, raffia, and others. In 2022, the fiber segment attained a noteworthy revenue share in the market. Fiber-reinforced polypropylene compounds exhibit improved heat resistance and thermal stability compared to unfilled resins. Such attributes render them well-suited for applications subjected to high temperatures, as they do not undergo substantial deterioration or mechanical property loss. Fiber-reinforced They are commonly used in automotive under-the-hood components, electronic housings, and industrial equipment that operate in high-temperature environments.
Based on end-use, the market is divided into automotive, building & construction, electrical & electronics, textile, and others. The automotive segment attained the highest revenue share in the market in 2022. As the automotive industry experiences growth and expansion, the demand for the compounds rises accordingly. They are widely used in various automotive applications, including interior components, exterior trims, under-the-hood parts, and structural components. The increasing production of vehicles leads to higher consumption of these compounds.
Free Valuable Insights: Global Polypropylene Compounds Market size to reach USD 37 Billion by 2030
Region-wise, the market is analyzed across North America, Europe, Asia Pacific, and LAMEA. The Asia Pacific region witnessed the maximum revenue share in the market in 2022. The Asia Pacific region is experiencing significant growth in manufacturing activities across various industries, including automotive, electronics, packaging, construction, and consumer goods. They are widely used to produce diverse components and products in manufacturing processes. The increasing manufacturing output in the region drives the demand for this compound as raw materials.
| Report Attribute | Details |
|---|---|
| Market size value in 2022 | USD 20.4 Billion |
| Market size forecast in 2030 | USD 37 Billion |
| Base Year | 2022 |
| Historical Period | 2019 to 2021 |
| Forecast Period | 2023 to 2030 |
| Revenue Growth Rate | CAGR of 7.4% from 2023 to 2030 |
| Number of Pages | 411 |
| Number of Table | 810 |
| Quantitative Data | Volume in Kilo Tonnes, Revenue in USD Billion, and CAGR from 2019 to 2030 |
| Report coverage | Market Trends, Revenue Estimation and Forecast, Segmentation Analysis, Regional and Country Breakdown, Porter’s 5 Forces Analysis, Company Profiling, Companies Strategic Developments, SWOT Analysis, Winning Imperatives |
| Segments covered | Product, Application, End-use, Region |
| Country scope |
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| Companies Included | Mitsui Chemicals, Inc., Exxon Mobil Corporation, SABIC (Saudi Arabian Oil Company), Trinseo PLC, Sumitomo Chemical Co., Ltd., Borealis AG (OMV), LyondellBasell Industries Holdings B.V., Avient Corporation, Washington Penn (Audia Group), PTT Public Company Limited (IRPC Public Company Limited) |
By Product (Volume, kilo Tonnes, USD Billion, 2019-2030)
By Application (Volume, kilo Tonnes, USD Billion, 2019-2030)
By End-use (Volume, kilo Tonnes, USD Billion, 2019-2030)
By Geography (Volume, kilo Tonnes, USD Billion, 2019-2030)
This Market size is expected to reach $37.0 billion by 2030.
Ongoing technological advancements and product innovations are driving the Market in coming years, however, Impact of fluctuating raw material prices restraints the growth of the Market.
Mitsui Chemicals, Inc., Exxon Mobil Corporation, SABIC (Saudi Arabian Oil Company), Trinseo PLC, Sumitomo Chemical Co., Ltd., Borealis AG (OMV), LyondellBasell Industries Holdings B.V., Avient Corporation, Washington Penn (Audia Group), PTT Public Company Limited (IRPC Public Company Limited)
In the year 2022, the market attained a volume of 8,329.7 Kilo Tonnes, experiencing a growth of 5.6% (2019-2022).
The Film & Sheet segment is leading the Market by Application in 2022; there by, achieving a market value of $11.4 billion by 2030.
The Asia Pacific region dominated the Market by Region in 2022, and would continue to be a dominant market till 2030; there by, achieving a market value of $13.9 billion by 2030.
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