Plastomers Market Size

Plastomers Market size was valued at USD 5.8 billion in 2023 and is poised to grow from USD 6.18 billion in 2024 to USD 10.31 billion by 2032, growing at a CAGR of 6.6% during the forecast period (2025-2032).

Plastomers provide unique advantages such as scalability, flexibility, sturdiness, and electrical resistance. The benefits are compelling the vendors to focus on expanding their plastomers markets. The beneficial features can help vendors in venturing into untapped markets such as the construction industry. The use of plastomers is explored in several applications such as roof linings, side panels, roofing solutions. Plastomers are being driven by the growing demand for lightweight vehicles and electric vehicles. With a 4.7 percent increase in sales, the number of electric cars sold in 2020 was around 3.1 Billion, and Europe crossed China as the world's largest electric vehicle market for the first time. As a result, rising demand for electric vehicles will propel the plastomers market during the forecast period.

Packaging is widely used in trade to protect agricultural products such as fruits and vegetables, cereals, oils, and others from being damaged or spoiled. Factors such as the increasing use of POE in solar module encapsulation, followed by the rising demand for electrical wires and cables in the automotive industry.

Additionally, the rising production of vehicles globally, along with the increasing volume of construction activities, backed by rising urbanization and increasing household disposable income of individuals are expected to contribute to the market growth during the forecast period. The increasing demand for plastomers from the automotive industry due to their superior properties is one of the primary factors driving the market's growth. The growth opportunities for the plastomers market are growing demand from emerging economies, infrastructure development, and manufacturing activities. Market challenges include price volatility, availability of alternatives, sustainability and environmental awareness, and high competition. Asia-Pacific dominated the market owing to the high demand from end-use industries, such as automotive, construction, and packaging.

The shift towards eco-friendly and recyclable materials is one of the prominent trends in the plastomers industry. With growing awareness of environmental issues, both consumers and regulatory bodies are putting pressure on manufacturers to adopt sustainable practices. Plastomers are increasingly being developed to be compatible with recycling processes, which is in line with the global movement towards a circular economy. In addition, innovations in bio-based plastomers, derived from renewable resources, are gaining traction as companies seek to reduce their carbon footprint and offer greener alternatives to traditional plastic materials.

The automotive industry presents a significant opportunity for the expansion of the market. As the automotive sector increasingly prioritizes fuel efficiency and reduced emissions, there is a rising demand for materials that are lightweight yet durable. Plastomers, with their ability to replace heavier, more rigid plastics and even metal components, are well-positioned to capitalize on this trend. Their application in automotive interiors, exteriors, and under-the-hood components can lead to weight reduction, improved vehicle performance, and compliance with stringent environmental regulations. This opens a lucrative market segment for plastomer manufacturers, especially as electric vehicles (EVs) continue to grow in popularity.

Despite its potential, the plastomers market faces challenges that could hinder its growth. One of the primary restraints for the market is the volatility in raw material prices. Plastomers are derived from petrochemical feedstocks, which are subject to fluctuations in oil and gas prices. These fluctuations can lead to unpredictable manufacturing costs, which in turn affect the pricing and profitability of plastomers. In addition, the increasing focus on sustainability has led to stricter regulations around the use of petrochemical-based products, further complicating the market landscape. Companies may need to invest in research and development to create alternative feedstocks or more efficient production processes, which could require significant capital and time.

Market Key Attributes

In October 2023, Huntsman Corporation finalized its acquisition of a chemical specialty company to expand its portfolio in engineering thermoplastics. This strategic move aims to enhance Huntsman's offerings in high-performance materials, catering to industries that demand advanced thermoplastic solutions. The acquisition reflects Huntsman's strategy to strengthen its position in the market.

In May 2023, Borealis launched a new line of circular plastomers and elastomers called Bornewables, produced from renewable feedstock. This initiative aims to meet the growing demand for sustainable materials that maintain high performance while reducing carbon emissions. This launch followed the International Sustainability and Carbon Certification (ISCC PLUS) of Borealis' production site in Geleen, the Netherlands, in March 2023. The Bornewables line utilizes feedstock derived solely from waste and residue streams, such as used cooking oil and vegetable oil by-products, ensuring that no virgin fossil resources are used.

In June 2023, SABIC announced its plans to expand the capacity of its NEXLENE plant in Ulsan, South Korea, through its joint venture, SABIC SK NEXLENE Company. This expansion is set to be operational by the second quarter of 2024 and aims to meet the increasing demand for advanced polyolefin materials, such as SUPEER mLLDPE, COHERE metallocene polyolefin plastomers (POP), and FORTIFY POE. The decision to expand is driven by the growing need for NEXLENE-based solutions in high-end markets, including photovoltaics, new mobility, footwear, and advanced packaging.