Global Polymer Trends

8/9/2019 Global Polymer Trends

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Global polymer trends | markets feature

AMI Consulting has just published a new report which fullydocuments global plastics consumption by polymer type, region andprocess. Senior project manager Carole Kluth reviews some of the

key trends for the industry and its future outlook


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markets feature | Global polymer trends

Global polymer

demand growth

1983-2018

Source: AMI

Consulting, 2014

What the industry must hope is that the rational

decisions which recognized plastics’ superior perfor-

mance in relation to traditional materials will continue

to be accepted. However, real issues such as food waste

and energy conservation are impossible to solve without

plastics materials. In a world where 1.3 billion tonnes of

food are wasted every year and US$6.5 billion-worth of

goods are damaged in transit because of insufficient

exists in nearly every country in the world.

The last 30 years have also seen a significant change

in the structure and direction of the world industry. In

1983, approximately 74% of world demand occurred in

the developed countries of North America, Western

Europe and Japan. By 2013 their share of world demand

had decreased to 32%. This is despite the fact that

demand has continued to grow quite strongly in these


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The strongest growth is expected to occur in the

Indian sub-continent, a region which has a population

greater than that of China but with a polymer demand

that is currently one-fifth of the size. The market is

being driven by policy relaxations, allowing greater

foreign direct investment and closer integration with the

global economy to drive investment in petrochemicals,

Although South America has long been regarded as

a region of considerable potential for strong growth,

particularly Brazil, growth has in reality been erratic

with the industry held back by a number of factors.

These include: weak and unstable governments; high

debt burdens; a dependency on globally traded

commodities (making the region vulnerable to external

economic shocks); burdensome import tariffs; high

energy costs; and infrastructure bottlenecks. These

factors will continue to limit its potential.

The Asia-Pacific region slightly underperforms in

relation to the global average because of the effects of

the mature and slow growing Japanese market. Without

Japan, the region’s growth is at least one percentage

point higher. Huge potential still exists within the

Indonesia, Vietnamese, Korean and Malaysian markets.

Packaging leads the way

AMI’s analysis looks in detail at where and how

polymers are used around the world. Although they are

used in a wide variety of different applications, packag-

ing has come to dominate the end-use markets for

polymer. This is true in all geographic areas of the

world. Overall, packaging accounts for around half of all

polymers processed in volume terms, split fairly evenly

a region of considerable potential for strong growth,

particularly Brazil, growth has in reality been erratic

with the industry held back by a number of factors.

These include: weak and unstable governments; high

debt burdens; a dependency on globally traded

commodities making the region vulnerable to external

economic shocks); burdensome import tariffs; high

energy costs; and infrastructure bottlenecks. These

factors will continue to limit its potential.

relation to the global average because of the effects of

the mature and slow growing Japanese market. Without

Japan, the region’s growth is at least one percentage

point higher. Huge potential still exists within the

Indonesia, Vietnamese, Korean and Malaysian markets.

ackaging leads the way

End use applications for polymers 2013

Source: AMI Consulting, 2014


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within a maturing industry. This has been compounded

by the effects of the global recession. Furthermore, in

many countries where the industry is still relatively

small, the structure will be one in which there will be a

handful of larger groups, often operating multiple

processes. These will account for a significant propor-

tion of the polymer demand in that country, alongside a

large number of much smaller players. In many parts of

the world, plastics processing is also characterised by

smaller, unorganised companies which operate just one

or two machines in an intermittent fashion and

purchase very small amounts of polymer.

This kind of structure particularly applies to

the injection moulding industry. All regions of the

world are characterised by a large number of

injection moulders, reflecting the wide availabil-

ity and relatively low cost of moulding equip-

ment. AMI estimates that there are in the region

of 130,000 injection moulding companies. The

process is popular as it requires a relatively low

investment to produce plastics goods for a local

market. In broad terms, extrusion equipment,

be it for film, pipe or fibre, tends to require

greater capital investment and usually involves larger

capacity machines.

Future outlook

In the 1980s and 1990s, the process of substitution of

traditional materials and the forging of new applications

ensured that polymer demand growth could outstrip

economic growth. Since the turn of the century, polymer

demand has increasingly moved in line with GDP trends.

However, the scope for growth in developing parts of the

world will ensure that the global polymer industry can

still look forward to annual increases in demand of

around 5%/year, which will result in a market in excess

of 300 million tonnes by 2018.

More information

Global Polymer Demand is an AMI consulting data

report. It provides detailed statistical data on the demand

and end-use for all major thermoplastic materials

worldwide. For further information please contact Carole

Kluth at AMI Consulting ([email protected], +44 117

311 8120), or visit http://bit.ly/AMIglobal.

❙ www.amiplastics.com

or two machines in an intermittent fashion and

purchase very small amounts of polymer.

the injection moulding industry. All regions of the

world are characterised by a large number of

injection moulders reflecting the wide availabil-

ity and relatively low cost of moulding equip-

ment. AMI estimates that there are in the region

of 130 000 injection moulding companies. The

process is popular as it requires a relatively low

investment to produce plastics goods for a local

market. In broad terms extrusion equipment

be it for film pipe or fibre tends to require

Documents

Global Polymer Trends