MARKET OVERVIEW- GLOBAL POLYOLEFIN FOAMS MARKET
Polyolefin foams are composed of several materials that have been kneaded together. Polyolefin foams involves an organic blowing agent and a cross-linking agent. These come together to make the polyolefin resin. It is created by thermally decomposing the foaming in a closed system. The major characteristic of these products is that they consist of nearly 100 percent closed-cell foam. They are lightweight and flexible, and offer excellent characteristics such as thermal insulation, impact resistance, thermal resistance, and flame resistance. Compared to other materials, polyolefin foams are easier to cut, punch and press mold, and can also be processed in other ways. Also, polyolefin foams have a wide range of applications in automotive interior materials, medical, information technology related, construction underlayment materials, insulation and piping for air conditioning, materials for packaging or distribution, industrial insulation products, sports and leisure products, consumer goods, and medical care.
Diversified range of applications of polyolefin foams is expected to acts as a main driving factor for the market. Additionally, increasing demand for polymer are the factors driving the polyolefin foam market growth in forecasted period. Furthermore, unique properties of extruded polyolefin in manufacturing sectors is also the factor propelling the polyolefin foam market globally. Rise in technical advancement coupled with constant innovation in terms of research and development taking place in the industry is anticipated to boost the demand for polyolefin foam market.
MARKET DRIVERS
Increasing usage of polyolefin foam in the automotive industry is expected to acts as a driving factor for the market. Polyolefin foam is majorly used as ceiling and sound-absorbing material in the automotive industry. They are also used in exterior, interior, and under-the-bonnet applications in automotive, such as bumpers, body panels, trims, dashboards, door claddings, climate control, and cooling systems air intake manifolds, and battery cases. Globally the automotive industry is constantly trying to lower the average weight as the lower weight will lead to improved fuel consumption and better performance. Polyolefin foams can be used in both commercial and small private vehicles and in large quantities in buses and coaches and can help reduce the average weight. In addition to that, the rising usage of polyolefin foam in various passenger car cushions, gasket seals, arm rests, cushioned instrument panels, head rest, and other components to build lightweight, durable, and fuel efficient structures is driving the polyolefin foam market.
MARKET OPPORTUNITIES
Growing end-use industries will provide ample amount of growth opportunities to polyolefin foam market. Additionally, increase in construction activities, rising population, rapid industrialization and upsurge in the purchasing power of consumers will cushion the growth of polyolefin foam market. Moreover, technological development as well as innovations and untapped potential in emerging market and rising research and development activities will create beneficial opportunities for the growth of the polyolefin foam market.
MARKET RESTRAINTS
Stringent laws and growing concerns about the environmental impact of small plastic beads are most likely to hinder the growth of the polyolefin foams market. However, high prices of raw material and energy is expected to hamper the growth of the Polyolefin foams market.
MARKET GROWTH CHALLENGES
A key challenge which may affect the growth of the market is availability substitute products which are cost effective and environment friendly. In addition to that, fluctuation in the price of raw materials will hamper market growth. For instance, according to trading on a contract for difference (CFD) that tracks the benchmark market for this commodity, the polypropylene price has decreased by 135 CNY/T or 1.65% since the beginning of 2022.
CUMULATIVE GROWTH ANALYSIS
The report provides in-depth analysis of global Polyolefin foams market, market size, and compound annual growth rate (CAGR) for the forecast period of 2023-2029, considering 2022 as the base year. With increasing demand for different polyolefin foams in various applications has led the increasing demand for market and is expected to witness the growth at a specific CAGR from 2023-2029.
POLYOLEFIN FOAMS MARKET SEGMENTAL OVERVIEW
The global Polyolefin foams market comprises of different market segments like type, end user and geography.
POLYOLEFIN FOAMS MARKET BY DRUG TYPE
Based on drug class, the global Polyolefin foams market is segmented into
- Polyethylene(PE)
- Polypropylene(PP)
- Ethylene Vinyl Acetate(EVA)
Polyolefin foams (PE) foams includes key sub-segments of XLPE Foam and Non XLPE Foam). Polypropylene (PP) foams includes key sub-segments of Expanded Polypropylene and Extruded Polypropylene. Polypropylene (PP) foams segment is a major revenue-generating segment in the polyolefin foams market and is expected to dominate over the forecast.
Polyethylene foam is a low-density, chemically cross-linked closed-cell material that may be improved by adding additives and modifiers to get the desired output. Polyethylene-based foams are lightweight, flexible and resistant to thermal insulation. Polyethylene-based polyolefin foams are used in an automobile for interior and exterior body components, bumpers, body panels, trims, dashboards, door claddings, climate control, and many more applications. The increased production of automobiles will increase demand for the Polyolefin Foam market. According to the International Organization of Motor Vehicle Manufacturers, global vehicle production will grow by 3% in 2021, with automotive production estimated to be around 5,70,54,295 units and commercial vehicle production estimated to be around 2,30,91,693 units. As a result, the rise in vehicle manufacturing has demonstrated that polyethylene is a favoured choice over alternative polyolefin foam resins, propelling its segmental growth.
POLYOLEFIN FOAMS MARKET BY END USER
The global Polyolefin foams market finds its major end users
- Automotive
- Construction
- Packaging
- Footwear
- Bedding & Furniture
- Other End-user Industries (Healthcare, Electronics, Sports, Aerospace)
Automotive industry held the largest polyolefin foam market share. According to OICA, in 2021, global motor vehicle production increased from 7,77,11,725 units in 2020 to about 8,01,45,988 in 2021, an increase of more than 3%. In 2021 China, the United States, Japan, India, South Korea, Germany, and Mexico were the top manufacturer of the vehicle globally. Additionally, automotive industry is growing due to rapidly increasing production of lightweight automotive parts owing to improving vehicle efficiency is anticipated to create substantial demand for polyolefin foam in the automotive industry. Furthermore, the demand for extruded polyolefin foam in the automotive industry is anticipated to be a prominent driver for the polyolefin foam market globally.
POLYOLEFIN FOAMS MARKET BY GEOGRAPHY
The global Polyolefin foams market is studied for the following regions
- North America
- Europe
- Asia-Pacific
- Rest of the world (RoW)
Asia-Pacific is anticipated to lead in the polyolefin foams market during the forecast period (2022-2028) due to the upsurge in automotive manufacturing activities. In addition, growing application of polyolefin foams in building and construction industry in developing economies such as India and China is expected to acts as a driving factor. China, India, and Indonesia are expected to record significant growth in the construction industry in the coming years. China alone will account for 26.1% of global growth. India is expected to account for 14.1% and Indonesia is expected to account for 7.0% of global growth, which in turn will be expected to drive the demand for polyolefin foam in the region.
COVID-19 IMPACT ANALYSIS ON GLOBAL POLYOLEFIN FOAMS MARKET
The repercussions of the pandemic have been described in detail in this report. The varied observations made by the Axiom market researchers provide accurate information about each point surrounding the growth of the polyolefin foams market. Report provides complete analysis of changes in the global market expenditure, economic and international policies on the supply and demand side. The report also studies the impact of the pandemic on global economies, international trade, business investments, and GDP and marketing strategies of key players present in the market.
COVID-19 has various impact in different countries depending on their cultural norms, mitigation efforts, and health infrastructure. COVID-19 negatively impacted the market in 2020. The COVID-19 pandemic affected the polyolefin foam market because of supply chain and market disruption. During the pandemic, many factories producing polyolefin foam were shut down. There was a change in priority to the health sector; sectors like automotive, construction, footwear, and bedding & furniture were on temporary hold which has negatively impacted the market growth.
COMPETITIVE LANDSCAPE ANALYSIS
The competitive landscape analysis of polyolefin foams market is majorly focused on expanding the global growth of Polyolefin foams industry with new product innovation, business expansion, increasing presence of range of manufacturer operating in Polyolefin foams sector has led the growing demand for the market. Besides, the market offers range of products in different application to fulfil the required demand of consumer which is further contributing healthy growth in the market.
The key players studied in market are
- TORAY INDUSTRIES, INC
- BASF SE
- JSP
- Hanwha Solutions Chemical Division Corporation
- SABIC.
- Sekisui Alveo
- Armacell
- Fritz Nauer AG
- Polymer Technologies Inc.
- Rogers Corporation
- Pregis LLC
- Woodbridge Foam Corporation.
RECENT DEVELOPMENT:
June 2022: Inoac Corp. has developed PE-Lite AB-100F, a plant-based polyolefin foam with a biomass content of at least 25%. The new foam was developed in response to a range of social issues, including marine pollution by micro plastics, the drying up of petroleum and fossil resources and issues relating to waste disposal.
January 2021: Sekisui Alveo, a European manufacturer of high-quality polyolefin foams has launched new certified sustainable products, i.e., Alveolit TA foam products.
