Microcellular Plastics Market Expected to Reach $93 Billion by 2031—Allied Market Research

According to a new report published by Allied Market Research, titled, “Microcellular Plastics Market," The microcellular plastics market size was valued at $47.6 billion in 2021, and is estimated to reach $93.0 billion by 2031, growing at a CAGR of 7.1% from 2022 to 2031.

Microcellular polymers, known as microcellular foams, are produced by the process of gas nucleation and have pores in the polymer medium that have been reduced in size to more than 100 micrometers. Microcellular plastics provide several advantageous characteristics, including heat insulation, selective light transmission & diffusion, sound insulation, and energy absorption.

These are also lightweight plastics and are specifically a smaller scale with key characteristics to produce a gas or polymer solution, induce thermodynamic stability, and regulates the formation of stable nuclei. They also possess additional qualities that provide the product a competitive edge, like tissue engineering scaffolds, energy absorption, filtration, thermal insulation, sound insulation, cushioning, and selective light transmission.

Microcellular plastics are designed to contain billions of tiny gas bubbles that are less than 50 microcellular in size. These foams are produced by dissolving gases in varying amounts into the polymer under high pressure which are used to make baby bottles, sippy cups, water cooler bottles, car parts and other products.

Microcellular plastics are mostly utilized as polycarbonate in the electrical and electronic industries for a variety of items including electrical connections, plugs, laptop enclosures, mobile phone and tablet casings, television frames, and audio/video components. Microcellular polycarbonate is also used for LED outer casings due to its transparency and is also used in the production of headlamp diffusers in automotive vehicles.

Microcellular plastics are in high demand for the manufacture of electrical connectors, plugs, sockets, wall plates, electrical enclosures, and electrical fuse & meter boxes used in residential and commercial buildings.

Further, manufacturers in the electrical and electronics industry are constantly upgrading smartphones, computers, laptops, smartwatches, and other consumer electronic devices, as well as home appliances, where microcellular plastics are high in demand to protect electronic devices from shock.

According to the Federal Ministry for Economic Affairs and Climate Action, electrical devices in Germany consume approximately 35% of energy for heating, hot water, ventilation, cooling, and lighting, whereas microcellular plastics are used to reduce energy consumption, seals, insulation, and packaging. Thus, the rise in demand from the electrical & electronics industry is expected to drive the market growth during the forecast period.

However, the availability of alternatives is projected to hinder the expansion of the market. On the contrary, increase in consumption of packaged food associated with polystyrene is expected to offer ample growth opportunities for the microcellular plastics market.

The microcellular plastics market is segmented into type, end-use industry, and region. On the basis of type, the market is categorized into polystyrene, polyvinyl chloride, polycarbonate, polyethylene terephthalate, and others. Polyethylene terephthalate is the fastest-growing segment with the highest CAGR.  Polyethylene terephthalate is gaining popularity in food packaging for contamination protection, convenience, and portion control.

It is commonly used in bottles and jars, cans, trays, and containers, caps & closures, whereas microcellular plastics are extensively utilized in food & beverage packaging owing to their low cost, convenience, and superior performance. According to the PET Resin Association, polyethylene terephthalate is the most recycled plastic in the world. Every year, about 680 kilotons of old PET bottles and containers are recycled in the U.S.

Polyethylene terephthalates packaging products such as blisters, clamshells, trays, containers, lids, bowls, plates, and others are manufactured using microcellular plastic. The growing demand for polyethylene terephthalate materials in the automotive industry concerning motor vehicles is primarily responsible for the expansion of microcellular plastics. According to the International Organization of Automobile Manufacturers (OICA), roughly 6.5 million electric automobiles were delivered globally in 2021. In the first nine months of 2021, automotive output increased by 10% to 57.26 million vehicles where microcellular plastics are demanded.

On the basis of end-use industry, the market is categorized into healthcare, building & construction, food packaging, electrical & electronics, and others. Electrical & electronics is the fastest-growing segment with the highest CAGR.  Microcellular plastic insulations provide effective cold and heat insulation, prevent energy leakage, and enable homes to conserve energy while also lowering noise pollution. Insulation, plumbing, window frames, and interior design just are a few of the applications for microcellular plastics.

As per European Plastics, the European building and construction sector utilizes around 10 million tons of plastics per year (20% of total European plastics consumption), making it the application of the second largest plastic after packaging. Plastic pipes, make for the vast majority of all new pipe installations, accounting for well over half of the yearly weight.

Region-wise, the microcellular plastics market share is studied across North America, Europe, Asia-Pacific, and LAMEA. The major players operating in the global microcellular plastics industry include Armacell, BASF SE, Formosa Plastics Corporation, INEOS, INOAC CORPORATION, LAVERGNE, Inc., RTP Company, SABIC, TotalEnergies, and Trinseo.

Key findings of the study:

• By type, the polyurethane (PU) segment was the highest revenue contributor to the market in 2021.
• By end-use industry, the food packaging segment was the highest revenue contributor to the market and is estimated to grow with a CAGR of 7.0%.
• By region, Asia-Pacific held the largest share of the global microcellular plastics market in 2021.