The global engineering plastic market has a clear trend
The global engineering plastic market has a clear trend
In 2013, global engineering plastic sales were $586.3 billion, according to a new study by American consulting firm frostown. For the future trend of the global engineering plastics market, if the stern Sullivan prediction: global engineering plastics market will keep growing, by 2020, the sales will reach $86.42 billion, a compound annual growth rate of 5.7%. The average selling price of the global engineering plastic market will also keep increasing in 2014-2020, reaching us $86.42 billion by 2020, with a compound annual growth rate of 5.7%. The average selling price of the global engineering plastic market will also maintain growth in 2014-2020, and will reach 3281.2 usd/ton by 2020, with a compound annual growth rate of 1%.
Huge potential applications
Frost Sullivan gave the highest proportion of six products in the 2013 engineering plastics market, the highest proportion of acrylonitrile-butadiene - styrene (ABS), 38.1%. The second is polycarbonate (PC) and polyamide (PA), which account for 22.3% and 17.6%. The proportion of polymethyl methacrylate (PMMA), polyformaldehyde (POM) and polybutylene terephthalate (PBT) engineering plastics was 10.6%, 6.3% and 5.2%.
The study by frost & Sullivan points out that, in order to reduce car pollution and improve fuel efficiency, lightweight has become a trend in the future of the automobile industry. This demand makes engineering plastics the preferred material for many auto parts makers. Due to its toughness, abrasion resistance, chemical resistance and excellent processing performance, the application of engineering plastics in automobile industry has been expanded, increasing the opportunity of engineering plastics in automobile industry.
As new products come out, the market for engineering plastics is expanding. Plastic provides a great degree of freedom for design and is easier to manufacture, while reducing costly secondary manufacturing costs, which are increasingly being used as an alternative to metals in many areas. With the accelerated development of the engineering plastics industry, many higher grade products are the harbinger of more potential applications of engineering plastics.
Industry insiders point out that many resin manufacturers are developing new applications, and the focus on new product development will expand the application of engineering plastics. Some areas of high demand for heat and plating will also increase demand for engineering plastics such as ABS.
Production focus asia-pacific
The asia-pacific region remains the main market, with 66.2 per cent of global shipments in 2020, and a compound annual growth rate of 5.3 per cent.
The asia-pacific region is expanding the engineering plastic manufacturing base. The asia-pacific region has long been considered an important global manufacturing hub because of its cheap labor, high population base and availability of resources. The current production base of electrical and electronic products has been transferred to the asia-pacific region. As a result, the asia-pacific region will continue to be a major producer of electrical and electronic products. This has also boosted demand for engineering plastics in the asia-pacific region.
As a major consumer market for engineering plastics, the asia-pacific region has also supported the development of its engineering plastics industry. Research shows that Indonesia has been a strong platform for overseas investment in recent years as demand for the market continues to rise and a huge pool of workers is in the workforce. Many Japanese and south Korean electronics companies have set up production bases in the country. In Thailand, the strong demand of the auto industry attracts multinational companies to set up production bases here. Some major engineering plastics companies are joint ventures with the country's companies. In addition, countries such as China, India and Singapore also attract significant investment from companies from Europe and the United States.
Resistance should not be ignored
Although the market is optimistic, the market resistance should not be ignored. Consumer preferences have shifted to smaller, more fashionable electronics, and the market for electrical and electronic components is facing a decline, according to frost & Sullivan. And the electronics and electronic components market share the biggest share. Its reduction would lower the growth rate of the entire engineering plastic market. Moreover, although the engineering plastic has an advantage in flexibility, such as chemical and substitutes like some special material and the competitiveness of the commercialization of plastics because of its price and performance will restrain the growth of the engineering plastics market. Universal plastics such as polypropylene (PP) are more competitive in cost than engineering plastics in terms of cost
