Molded Plastics Market Expected to Reach $869.2 Billion by 2031—Allied Market Research

According to a new report published by Allied Market Research, titled, “Molded Plastics Market," The molded plastics market was valued at $573.3 billion in 2021, and is estimated to reach $869.2 billion by 2031, growing at a CAGR of 4.3% from 2022 to 2031.

Molded plastics are synthetic compounds that can be molded in various shapes based on the application. These molded plastics can be modified by adding pigments to their polymers. They are used in various end use sectors such as building & construction, automotive & transportation, marine, industrial, aerospace, electrical & electronics, and others.

Increase in investments in building infrastructure in countries such as the U.S., China, Japan, Mexico, and India have led the building & construction sector to witness a significant growth where molded plastics are used as insulating materials in floors, wall finishes, and roofs. In addition, sustainable economic growth coupled with increased demand for consumer goods has led the automotive & transportation sector to witness a significant increase in demand where molded plastics are widely used in automotive dashboard, bumpers, grills, bottle caps, music systems, wire spools, storage containers, and others. These factors are anticipated to contribute toward the global market growth.

However, production of molded plastics release various toxic chemicals that if exposed beyond the concentration limit may cause several health-related issues such as irritation in eye, vision failure, respiratory problems, dizziness, genotoxic, cardiovascular, and gastrointestinal problems. This factor is anticipated to hamper the market growth.

In addition, factors such as growth in concentration of manufacturers, availability of feedstock at reduced prices, and arrival of local players has led the manufacturers to offer molded plastics at low prices. This factor is expected to create remunerative opportunities for expansion of the molded plastics market in the future.

The molded plastics market is segmented on the basis of product, technology, application, and region.

By product, the market is categorized into polyvinyl chloride, polypropylene, polystyrene, low density polyethylene, high density polyethylene, polyethylene terephthalate, and engineering plastics. The polypropylene segment dominated the global market, in terms of revenue in 2021, with 21.3% of the total share. This is attributed to increase in use of propylene in packaging industry owing to its tough, high strength, good chemical resistance, and other properties. Furthermore, polypropylene molded plastics are safe and FDA-approved for food contact. These factors augment the growth of polypropylene segment in the global market.

By technology, the market is segregated into injection molding, blow molding, extrusion, and others. The injection molding segment dominated the global market, in terms of revenue in 2021, with 55.0% of the total share. This is attributed to the fact that injection molding technology is the most popular technology used for producing molded plastics. In addition, it uses automated processes to reduce the manufacturing cost and waste production during the manufacturing process. These factors may drive the adoption of injection molding technology for manufacturing molded plastics.

By application, the market is divided into building & construction, electrical & electronics, automotive and packaging. The packaging application segment dominated the global market, with 39.8% of the total share in 2021. This is attributed to increase in awareness for hygiene-related activities in the packaging sector where molded plastics are widely used to manufacture packaging parts and components to increase the aesthetic value and consumer friendliness of the packaging products.

Region-wise, the molded plastics market is analyzed across North America, Europe, Asia-Pacific, and LAMEA. The Asia-Pacific molded plastics market size is projected to grow at the highest CAGR during the forecast period, and accounted for a major molded plastics market share in 2021, owing to rise in automotive, building & construction, electrical & electronics, and industrial sectors that have enhanced demand for molded plastics in the  region. China's consumer electronics sector is increasing rapidly, which in turn has enhanced the performance of the molded plastics market in the region. According to a report published by the United Nations Statistics Division in July 2021, China witnessed around 28.7% of the global manufacturing output for consumer electronic products. Furthermore, countries such as India, Australia, Indonesia, and Malaysia have witnessed a rapid increase in building & construction sector, where molded plastics is employed as a prime insulating material in various residential and commercial building & construction sites such as hotels, hospitals, homes, flats, warehouses, hospitals, showrooms, garages, and offices.

Key players that operate in the global molded plastics market include Atlantis Plastics, Inc., China Plastic Extrusion Ltd, DuPont, Eastman Chemical Company, GSH Industries, Mitsubishi Chemical Corporation, Mitsui Chemicals Inc, Petro Packaging Company, Inc., Pexco LLC., and PSI Molded Plastics.

Key findings of the study:

• The polypropylene segment is estimated to display the highest growth rate, in terms of revenue, registering a CAGR of 4.0% from 2022 to 2031.
• The injection molding segment is estimated to display the highest growth rate, in terms of revenue, registering a CAGR of 4.4% from 2022 to 2031.
• The packaging application segment is estimated to display the highest growth rate, in terms of revenue, registering a CAGR of 4.2% from 2022 to 2031.
• Asia-Pacific garnered the highest share of 47.4% in 2021, in terms of revenue, growing at a CAGR of 4.9%.