Plastic Additives Market Size
| Study Period | 2019 - 2029 |
| Market Size (2024) | USD 27.83 Billion |
| Market Size (2029) | USD 35.24 Billion |
| CAGR (2024 - 2029) | 4.50 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | Asia Pacific |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Plastic Additives Market Analysis
The Plastic Additives Market size is estimated at USD 27.83 billion in 2024, and is expected to reach USD 35.24 billion by 2029, growing at a CAGR of greater than 4.5% during the forecast period (2024-2029).
Due to the COVID-19 outbreak, nationwide lockdowns around the globe disrupted manufacturing activities and supply chains, and production halts impacted the market in 2020. However, the conditions started recovering in 2021, restoring the market's growth trajectory during the forecast period. Over the last two years, an increase in house sales, new project launches, and increasing demand for automotive and packaging have led to market recovery.
- The replacement of conventional materials with plastics in several applications, the increasing demand for plastics due to rapid urbanization, and rising purchasing power among consumers are expected to drive the market's growth.
- On the other hand, stringent governmental regulations on plastic usage are restraining the growth of the plastics industry globally, which is directly affecting the demand for plastic additives.
- Nevertheless, the rising research activities to develop bio-based plastics and innovative product applications are expected to create lucrative growth opportunities for the global market.
- Asia-Pacific emerged as the largest market and is expected to witness the highest CAGR during the forecast period. This dominance of the region is attributed to the high demand in countries such as China, Japan, and India.
Plastic Additives Market Trends
The Packaging Segment to Dominate the Market
- The packaging industry is the most extensive application for the plastic additives market globally. Factors leading to the increased application of polymers in the packaging industry are specific polymer properties, including lightweight, availability in different colors, low reactivity, chemical and moisture resistance, etc. Many types of plastic additives are used in various kinds of packaging, from food and beverage to personal care and healthcare industries.
- The major types of plastics used in the packaging industry include polyethylene terephthalate (PET/PETE), high-density polyethylene (HDPE), polyvinyl chloride (PVC), low-density polyethylene (LDPE), polypropylene, and polystyrene.
- Polymer additives play an essential role in food and beverage packaging. Many types of additives are available to enhance the performance and appearance of food packaging, and polymer additives are crucial areas of innovation for packaging materials. Some major plastic additives used in food packaging are oxygen scavengers, antimicrobials, antioxidants/stabilizers, colorants, lubricants, and blowing agents.
- According to the Packaging Industry Association of India (PIAI), the Indian packaging industry is expected to grow at a rate of 22% during the forecast period. Moreover, the Indian packaging market is expected to reach USD 204.81 billion by 2025. Therefore, the EPS foam industry is expected to grow in the region.
- According to the Ministry of Environment, Forest and Climate Change (MoEFCC), Government of India, 2.26 million tonnes of plastic packaging were covered under extended producer responsibility (EPR) for the period 2022-23. According to the Federal Statistical Office (a federal authority of Germany), the revenue of the packaging industry in Germany reached EUR 35.04 billion (USD 37.69 billion) in 2022 and registered growth compared to EUR 29.59 billion (USD 31.83 billion) in 2021.
- Similarly, according to the Environment Agency, domestic plastic packaging recycling and exports in the United Kingdom reached a total of 1.15 million metric tons in 2022 and increased from 1.11 million metric tons in 2021.
- Furthermore, the Chinese packaging industry has grown at a rapid and consistent rate in recent years, owing to the expanding economy and rising middle class with greater purchasing power. Food packaging is a major player in the packaging industry, accounting for roughly 60% of the total market share in China. According to Interpak, in China, total packaging reached 447 billion units in the foodstuff packaging category in 2023.
- Due to the abovementioned factors, the packaging segment in the plastic additives market is likely to grow substantially during the forecast period.
Asia-Pacific to Dominate the Market
- Asia-Pacific dominated the global market share. China is one of the lucrative markets for plastic additives due to low-cost raw materials and labor availability. It is one of the largest producers of plastic materials in the world.
- Packaging is the largest end user of the plastics industry. With the rise in consumer demand for lighter, cheaper, and more convenient packaging, the packaging industry in China is set to experience rapid growth during the forecast period, which, in turn, is expected to boost the plastic additives market.
- According to Agriculture and Agri-Food Canada, the retail sales value of packaged food in China is estimated to reach USD 366.75 billion by 2025.
- The use of plastic additives is also growing in the construction industry as more engineering plastic is used in construction applications. Also, the preference has shifted from conventional to polymer-based materials. Using plastics in building and construction products saves energy compared to alternative construction materials.
- According to Invest India, it is projected that by 2030, around 600 million individuals will reside in cities, leading to a need for an additional 25 million mid-range and budget-friendly housing units. The nation is a top destination for foreign direct investment, with construction (particularly infrastructure) projects attracting USD 33 billion in investments from April 2000 to December 2023.
- Similarly, according to the National Bureau of Statistics of China, the construction industry’s business activity index (BASI) rose from 55.9 in November 2023 to 56.9 in December 2023. A BASI score above 50 indicates industry growth, and the October 2023 BASI score was 53.5.
- The use of plastic additives is rising in the automotive industry in conjunction with the growing usage of engineering plastic in automotive parts. Various plastics have replaced conventional metals and wood used for many under-the-hood parts of automobiles.
- According to the International Trade Administration, China remains the biggest automotive market globally in terms of annual sales and manufacturing, with domestic production anticipated to reach 35 million cars by 2025. According to the OICA, motor vehicle production in the country reached 30.16 million units in 2023, registering an annual increase of 16%.
- According to reports by the Japan Automobile Manufacturers Association (JAMA), the total production of motor vehicles in Japan reached 8,997,440 in 2023 and registered a growth of 14.8% annually.
- All the abovementioned factors are expected to drive the demand for plastic additives from various applications in the consumer goods, construction, and automotive industries over the forecast period.
Plastic Additives Industry Overview
The plastic additives market is fragmented in nature. Some of the major players in the market (not in any particular order) include BASF SE, Adeka Corporation, Lanxess, Evonik Industries AG, and Exxon Mobil Corporation.
Plastic Additives Market Leaders
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BASF SE
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Adeka Corporation
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Lanxess
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EVONIK INDUSTRIES AG
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Exxon Mobil Corporation
*Disclaimer: Major Players sorted in no particular order
Plastic Additives Market News
- September 2023: BASF launched its first biomass-based plastic additive, the initial offerings of which include IRGANOX. This supports the use of renewable materials to replace fossil feedstock and helps the company meet sustainability goals.
- September 2022: BASF showcased VALERAS for its plastic additives portfolio. VALERAS adds value to plastic applications by delivering sustainability benefits with additive technical solutions and services, such as accelerating the plastic journey to a circular economy and net zero emissions. These include several antioxidants and light stabilizers.
Plastic Additives Market Report - Table of Contents
1. INTRODUCTION
- 1.1 Study Assumptions
- 1.2 Scope of the Report
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
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4.1 Drivers
- 4.1.1 Replacement of Conventional Materials by Plastic in Several Applications
- 4.1.2 Increasing Demand for Plastic Due to Rapid Urbanization and Rising Purchasing Power Among Consumers
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4.2 Restraints
- 4.2.1 Stringent Governmental Regulations on Plastic Usage
- 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 By Type
- 5.1.1 Lubricants
- 5.1.2 Processing Aids (Fluro-polymer-based)
- 5.1.3 Flow Improvers
- 5.1.4 Slip Additives
- 5.1.5 Antistatic Additives
- 5.1.6 Pigment Wetting Agents
- 5.1.7 Filler Dispersants
- 5.1.8 Antifog Additives
- 5.1.9 Plasticizers
- 5.1.10 Other Types
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5.2 By Plastic Type
- 5.2.1 Polyethylene (PE)
- 5.2.2 Polystyrene (PS)
- 5.2.3 Polypropylene (PP)
- 5.2.4 Polyamides (PA)
- 5.2.5 Polyethylene Terephthalate (PET)
- 5.2.6 Polyvinyl Chloride (PVC)
- 5.2.7 Polycarbonate (PC)
- 5.2.8 Other Plastic Types
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5.3 Application
- 5.3.1 Packaging
- 5.3.2 Consumer Goods
- 5.3.3 Construction
- 5.3.4 Automotive
- 5.3.5 Other Applications
6. COMPETITIVE LANDSCAPE
- 6.1 Mergers and 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 ADEKA CORPORATION
- 6.4.2 Arkema
- 6.4.3 Baerlocher GmbH
- 6.4.4 BASF SE
- 6.4.5 Clariant
- 6.4.6 Croda International PLC
- 6.4.7 Dow
- 6.4.8 Emery Oleochemicals
- 6.4.9 Emerald Performance Materials
- 6.4.10 Evonik Industries AG
- 6.4.11 Exxon Mobil Corporation
- 6.4.12 KANEKA CORPORATION
- 6.4.13 LANXESS
- 6.4.14 Mitsui & Co. Plastics Ltd
- 6.4.15 Nouryon
- 6.4.16 Peter Greven GmbH & Co. KG
- 6.4.17 Struktol Company of America LLC
- 6.4.18 SABO SpA
- 6.4.19 SONGWON
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
- 7.1 Rising Research Activities Research to Develop Bio-based Plastics
- 7.2 Innovative Product Applications
Plastic Additives Industry Segmentation
Plastic additives are materials added during the manufacturing process that provide the optimal performance of the material when molded and put into use. Plastic additives can also be used to modify the characteristics of the polymer to achieve a particular performance from the plastic for a specific purpose. Plastic additives are used to polymerize, process, or change the end-use properties of plastics.
The plastic additives market is segmented by type, plastic type, application, and geography. By type, the market is segmented into lubricants, processing aids, flow improvers, slip additives, antistatic additives, pigment-wetting agents, filler dispersants, antifog additives, plasticizers, and other types (stabilizers, flame retardants, and others). By plastic type, the market is segmented into polyethylene (PE), polystyrene (PS), polypropylene (PP), polyamides (PA), polyethylene terephthalate (PET), polyvinyl chloride (PVC), polycarbonate (PC), and other plastic types (polyvinylidene chloride, polyurethane, and others). By application, the market is segmented into packaging, consumer goods, construction, automotive, and other applications (electronics, textiles, and others). The report also covers the market sizes and forecasts in 27 countries across major regions. For each segment, the market sizes and forecasts are provided in terms of volume (kiloton) and revenue (USD).
| By Type | Lubricants |
| Processing Aids (Fluro-polymer-based) | |
| Flow Improvers | |
| Slip Additives | |
| Antistatic Additives | |
| Pigment Wetting Agents | |
| Filler Dispersants | |
| Antifog Additives | |
| Plasticizers | |
| Other Types | |
| By Plastic Type | Polyethylene (PE) |
| Polystyrene (PS) | |
| Polypropylene (PP) | |
| Polyamides (PA) | |
| Polyethylene Terephthalate (PET) | |
| Polyvinyl Chloride (PVC) | |
| Polycarbonate (PC) | |
| Other Plastic Types | |
| Application | Packaging |
| Consumer Goods | |
| Construction | |
| Automotive | |
| Other Applications |
Plastic Additives Market Research FAQs
How big is the Plastic Additives Market?
The Plastic Additives Market size is expected to reach USD 27.83 billion in 2024 and grow at a CAGR of greater than 4.5% to reach USD 35.24 billion by 2029.
What is the current Plastic Additives Market size?
In 2024, the Plastic Additives Market size is expected to reach USD 27.83 billion.
Who are the key players in Plastic Additives Market?
BASF SE, Adeka Corporation, Lanxess, EVONIK INDUSTRIES AG and Exxon Mobil Corporation are the major companies operating in the Plastic Additives Market.
Which is the fastest growing region in Plastic Additives Market?
Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Plastic Additives Market?
In 2024, the Asia Pacific accounts for the largest market share in Plastic Additives Market.
What years does this Plastic Additives Market cover, and what was the market size in 2023?
In 2023, the Plastic Additives Market size was estimated at USD 26.58 billion. The report covers the Plastic Additives Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Plastic Additives Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Plastic Additives Industry Report
Statistics for the 2024 Plastic Additives market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Plastic Additives analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
