North America Bioplastics Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2019 - 2022 |
| CAGR | 16.80 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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North America Bioplastics Market Analysis
The North America bioplastics market is estimated to reach 334.55 kilotons by the end of this year and is projected to reach 727.23 kilotons in the next five years, registering a CAGR of 16.8% during the forecast period.
- The COVID-19 pandemic affected several industries negatively. The lockdown in North American countries caused disruptions in production, as well as industrial activities, and restrictions on freight transportation, disturbed the supply chain. However, the conditions started recovering in 2021, restoring the market's growth trajectory.
- The rising demand from the flexible packaging segment and the increasing rate of adoption of bioplastics are major factors driving the growth of the market studied.
- However, the availability of cheaper alternatives to traditional plastics is likely to restrain the growth of the studied market.
- Nevertheless, future prospects in construction applications are likely to create lucrative growth opportunities for the market.
- The United States represents the largest market over the forecast period due to the increasing consumption of bioplastics for packaging across e-commerce and electronics sectors.
North America Bioplastics Market Trends
Flexible Packaging Industry to Dominate the Market
- Bioplastics are used in flexible packaging, as they are not harmful to nature, and few are easily degradable as well.
- They are used in packaging films for food items, medicines, beverage bottles, packaging films, and packaging of non-food products, such as napkins and tissues, toilet paper, nappies, sanitary towels, cardboard, and coat paper for food wrapping paper, and coated cardboard to make cups and plates. Moreover, they are used in flexible and loose-fill packaging.
- The consumption of bioplastics is increasing in making plastic bags, as they are nature-friendly, and for organic waste collection bags, which are majorly used in hospitals, hotels and restaurants, commercial and retail outlets, and houses. Local governments of different countries in the region have also initiated their usage.
- Moreover, the food packaging and e-commerce industries have grown tremendously post the onset of COVID-19. The food and beverage industry in Mexico is likely to upscale with growing investments by multinational food and beverage producers. The food processing industry has recently attracted investment worth USD 700 million from Nestle to modernize its 16 factories in the country and construct a new one in Veracruz.
- The revenue from the e-commerce industry in the United States was USD 1.03 billion in 2022, indicating an increase of more than 8% over the previous year. This was also the first time that the e-commerce industry breached the USD 1 billion mark.
- With the e-commerce sector growing at a rapid pace and people adopting and preferring online shopping, starting from FMCG products and food to medicines, electronics, and others, the demand for flexible packaging in e-commerce is expected to offer several growth opportunities in the coming years.
- Therefore, such factors indicate significant scope for the bioplastics market, which is also likely to have a positive influence on demand due to increasing environmental regulations supporting the use of eco-friendly materials.
United States to Dominate the Regional Demand
- According to the Flexible Packaging Association of the United States, flexible packaging is the second-largest packaging segment in the country, with almost 20% share in the market. The largest market for flexible packaging in the United States was the food sector, accounting for more than 50% of shipments.
- The food and beverage industry is essential to the United States economy. E-commerce and delivery are also growing in popularity in the food industry. Due to the changing consumer habits, the beverage industry in the United States has noticed substantial growth. According to PMMI Beverage Report, the North American beverage industry is expected to grow by 4.5% during 2018-2028. The major portion of North American beverage sales is achieved by United States sellers.
- The revenue from the food and beverages industry in the United States was over USD 21,320 million in 2021. The revenue is expected to show an annual growth rate of over 4.7%, resulting in a projected market volume of USD 25,659 million by 2025. This is expected to increase the demand for bioplastics in flexible packaging, thereby boosting the market of study in the country over the forecast period.
- The growing e-commerce industry is also a major contributor to the bioplastic demand in the country. According to the Census Bureau of the Department of Commerce, the estimated U.S. retail e-commerce sales for the first quarter of 2023 was USD 272.6 billion, indicating an increase of 3% from the fourth quarter of 2022. Total retail sales for the first quarter of 2023 were estimated at USD 1,799.5 billion, i.e., an increase of 0.9% from the fourth quarter of 2022.
- The first quarter of 2023 e-commerce indicates growth of 7.8% from the first quarter of 2022, while total retail sales grew 3.4% during the same period. E-commerce sales in the first quarter of 2023 accounted for 15.1% of total sales.
- Moreover, factors such as technological developments, an increase in greenhouse gas emissions, increased efforts towards environmental sustainability, and vehicle end-life management have all contributed to the growing usage of bioplastics in automobiles.
- The United States is the second largest automotive manufacturing country in the globe, falling only behind China. According to OICA, the automotive production in 2022 was recorded to be 10.06 million units, i.e., an increase of 10% in comparison to the production in 2021, which was reported to be 9.1 million units.
- The National Automobile Dealers Association (NADA) predicts that US new vehicle sales are likely to increase by 6.6% to 14.6 million units in 2023. The production of automobiles is anticipated to ascend in the upcoming future owing to the rising popularity and affordability of the vehicles.
- All these end-user industry developments are going to positively impact the growth of the bioplastics market in the United States.
North America Bioplastics Industry Overview
The North America Bioplastics Market is fragmented in nature. The major players in the market (not in any particular order) include Braskem, Novamont SpA, Natureworks LLC, Indorama Ventures Public Company Limited, and BASF SE, among others.
North America Bioplastics Market Leaders
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Braskem
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Novamont SpA
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BASF SE
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Indorama Ventures Public Company Limited
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Natureworks LLC
*Disclaimer: Major Players sorted in no particular order
North America Bioplastics Market News
- May 2023: Dow and New Energy Blue announced a long-term supply agreement in North America, according to which New Energy Blue will produce bio-based ethylene from renewable agricultural residues. Dow intends to purchase this bio-based ethylene and use it in recyclable applications across transportation, footwear, and packaging.
- April 2022: Braskem and Lummus Technology inked a partnership to internationally license the technology used to produce Braskem's renewable ethylene. The partnership will speed up the use of bioethanol for the production of chemicals and plastics and enable licensing of the technology globally. In addition, one of the first two projects has been announced to be developed in the United States.
Table of Contents
1. INTRODUCTION
- 1.1 Study Assumptions
- 1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
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4.1 Drivers
- 4.1.1 Growing Demand for Bioplastics in Flexible Packaging
- 4.1.2 Increasing Rate of Adoption of Bioplastics
- 4.1.3 Regulatory Policies Supporting the Usage of Bioplastics
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4.2 Restraints
- 4.2.1 Availability of Cheaper Alternatives
- 4.2.2 Other Restraints
- 4.3 Industry Value Chain Analysis
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4.4 Porter's Five Forces Analysis
- 4.4.1 Bargaining Power of Suppliers
- 4.4.2 Bargaining Power of Buyers
- 4.4.3 Threat of New Entrants
- 4.4.4 Threat of Substitute Products and Services
- 4.4.5 Degree of Competition
5. MARKET SEGMENTATION (Market Size in Volume)
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5.1 Type
- 5.1.1 Bio-based Biodegradables
- 5.1.1.1 Starch-based
- 5.1.1.2 Polylactic Acid (PLA)
- 5.1.1.3 Polyhydroxy Alkanoates (PHA)
- 5.1.1.4 Polyesters (PBS, PBAT, and PCL)
- 5.1.1.5 Other Bio-based Biodegradables (Polybutylene Succinate (Adipate) (PBS(A)) and Cellulose-based Plastics)
- 5.1.2 Bio-based Non-biodegradables
- 5.1.2.1 Bio Polyethylene Terephthalate (PET)
- 5.1.2.2 Bio Polyethylene
- 5.1.2.3 Bio Polyamides
- 5.1.2.4 Bio Polytrimethylene Terephthalate
- 5.1.2.5 Other Non-biodegradables (Polyethylenefuranoate (PEF), Bio Polyols, Bio Polypropylene and Bio Polyurethanes)
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5.2 Application
- 5.2.1 Flexible Packaging
- 5.2.2 Rigid Packaging
- 5.2.3 Automotive and Assembly Operations
- 5.2.4 Agriculture and Horticulture
- 5.2.5 Construction
- 5.2.6 Textiles
- 5.2.7 Electrical and Electronics
- 5.2.8 Other Applications (Coatings, Adhesives, Consumer Goods, and Healthcare)
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5.3 Geography
- 5.3.1 United States
- 5.3.2 Canada
- 5.3.3 Mexico
6. COMPETITIVE LANDSCAPE
- 6.1 Merger & Acquisitions, Joint Ventures, Collaborations, and Agreements
- 6.2 Market Share (%)**/Ranking Analysis
- 6.3 Strategies Adopted by Leading Players
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6.4 Company Profiles
- 6.4.1 Arkema
- 6.4.2 BASF SE
- 6.4.3 Braskem
- 6.4.4 Dow Inc.
- 6.4.5 Eastman Chemical Company
- 6.4.6 Indorama Ventures Public Company Limited
- 6.4.7 LyondellBasell B.V.
- 6.4.8 Natureworks LLC
- 6.4.9 Novamont SpA
- 6.4.10 Total Corbion PLA
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
- 7.1 Future Prospects in Construction Applications
- 7.2 Other Opportunities
North America Bioplastics Industry Segmentation
Bioplastics are plastics produced from renewable sources such as woodchips, sawdust, recycled food waste, corn, and sugarcane, to name a few, and can be used as an alternative to traditional plastics to reduce waste and pollution.
The North America bioplastics market is segmented by type and application. By type, the market is segmented into bio-based biodegradables (starch-based, polylactic acid, polyhydroxyalkanoates, polyesters, and other bio-based biodegradables (polybutylene succinate (Adipate) (PBS(A)) and cellulose-based plastics)) and bio-based non-biodegradables (bio polyethylene terephthalate, bio polyethylene, bio polyamides, bio poly trimethylene terephthalate, and other non-biodegradables (polyethylenefuranoate (PEF), bio polyols, bio polypropylene, and bio polyurethanes)). By application, the market is segmented into flexible packaging, rigid packaging, automotive and assembly operations, agriculture and horticulture, construction, textiles, electrical and electronics, and other applications (coatings, adhesives, consumer goods, and healthcare). The report also covers the market size and forecasts for the bioplastics demand in 3 countries across the North American region.
For each segment, the market sizing and forecasts are provided on the basis of volume (tons).
| Type | Bio-based Biodegradables | Starch-based |
| Polylactic Acid (PLA) | ||
| Polyhydroxy Alkanoates (PHA) | ||
| Polyesters (PBS, PBAT, and PCL) | ||
| Other Bio-based Biodegradables (Polybutylene Succinate (Adipate) (PBS(A)) and Cellulose-based Plastics) | ||
| Type | Bio-based Non-biodegradables | Bio Polyethylene Terephthalate (PET) |
| Bio Polyethylene | ||
| Bio Polyamides | ||
| Bio Polytrimethylene Terephthalate | ||
| Other Non-biodegradables (Polyethylenefuranoate (PEF), Bio Polyols, Bio Polypropylene and Bio Polyurethanes) | ||
| Application | Flexible Packaging | |
| Rigid Packaging | ||
| Automotive and Assembly Operations | ||
| Agriculture and Horticulture | ||
| Construction | ||
| Textiles | ||
| Electrical and Electronics | ||
| Other Applications (Coatings, Adhesives, Consumer Goods, and Healthcare) | ||
| Geography | United States | |
| Canada | ||
| Mexico |
Frequently Asked Questions
What is the current North America Bioplastics Market size?
The North America Bioplastics Market is projected to register a CAGR of 16.80% during the forecast period (2024-2029)
Who are the key players in North America Bioplastics Market ?
Braskem, Novamont SpA, BASF SE, Indorama Ventures Public Company Limited and Natureworks LLC are the major companies operating in the North America Bioplastics Market .
What years does this North America Bioplastics Market cover?
The report covers the North America Bioplastics Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the North America Bioplastics Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
North America Bioplastics Market Industry Report
Statistics for the 2024 North America Bioplastics market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. North America Bioplastics analysis includes a market forecast outlook to for 2024 to 2029) and historical overview. Get a sample of this industry analysis as a free report PDF download.
