The Blow Molding Resins Market size is projected to grow at a CAGR of 5.1% during the forecast period 2022-2027 and reach US$25.1 billion by 2027. Blow molding resins can be categorized into various types, including acrylonitrile butadiene styrene, polypropylene, polystyrene, polyurethane, and more. They are primarily used in a wide range of industries including construction, automotive, packaging, electrical & electronics and other industries. The expansion of blow molding resins is primarily driven by their usage in the automotive industry. For instance, according to the International Organization of Motor Vehicle Manufacturers (OICA), the total global automobile production reached 80.2 billion units in 2021, an increase of 3% as compared to 77.7 billion units in 2020. An increase in automotive production along with the growth of the electronics industry is expected to drive the growth of the blow molding resins market size in the upcoming years.
Blow Molding Resins Market Report Coverage
The "Blow Molding Resins Market Report – Forecast (2022-2027)” by IndustryARC, covers an in-depth analysis of the following segments in the Blow Molding Resins Market.
Key Takeaways
- Injection blow molding method held a significant share in the Blow Molding Resins Market in 2021. Its wide range of characteristics and higher efficiency made it stand out in comparison to other types of processing methods in the market.
- Packaging industry held the largest share in the Blow Molding Resins Market in 2021, owing to the increasing demand for blow molding resins for use in plastic films, sheets, bags, containers and more used for packaging.
- Asia-Pacific dominated the Blow Molding Resins Market in 2021, owing to its increasing demand from the packaging sector in the region. According to a recent study published on Interpack, Asia accounted for the highest world share of packaging sales in 2020, an increase of 7.4% in comparison to 2019, thus, indicating an increase in consumption of packaging in the region.
Blow Molding Resins Market Segment Analysis – by End-use Industry
The packaging industry held the largest Blow Molding Resins Market share of over 25% in 2021, owing to its increasing demand from the packaging sectors across the world. For instance, according to PMMI (The Association for Packaging and Processing), the North American beverage packaging industry is expected to increase by 4.5% from 2018 to 2028, with the United States leading the beverage packaging sector. Likewise, recent insights from the Packaging Federation of the United Kingdom state that the UK packaging manufacturing industry reached an annual sales of GBP 11 billion (US$15.2 billion) in 2020, owing to the increasing demand for packaging from multiple sectors of the region.
Blow Molding Resins Market Segment Analysis – by Geography
Asia-Pacific held a dominant Blow Molding Resins Market share of around 49% in the year 2021. The consumption of blow molding resins is particularly high in this region due to its increasing demand from the packaging sector. For instance, according to a recent study published on Interpack, the consumption of food packaging in China is expected to increase up to 447,066 million in 2023. Likewise, it also states that the Chinese packaging companies such as 3D, SIP and WLCSP achieved a revenue of around US$5.88 billion with end packaging in 2020, owing to the increasing demand and consumption of packaging in the country Furthermore, according to the Packaging Industry Association of India, the Indian packaging industry was valued at around US$50.5 billion in 2019 and is expected to increase up to US$204.81 billion by the end of 2025. Hence, the surging growth of the packaging sector in the region is expected to increase the demand for blow molding resins for the production of plastic films, sheets, bags, containers and more used in packaging.
Blow Molding Resins Market Drivers
An increase in automobile production
According to a recent study published by the German Association of Automotive Industry during the fourth quarter of 2020, the new registration of motor vehicles reached up to 16,763 units in Europe, 37,467 units in Asia, 3080 units in South America, 17,421 units in North America, 12,733 units in Western Europe and 5180 units in other regions worldwide. Moreover, according to the International Organization of Motor Vehicle Manufacturers (OICA), the production of heavy-duty vehicles in Europe reached 3,08,300 units in 2021, an increase of 31% in comparison to 2,36,328 units in 2020. It further states that the total automobile production in 2021 in Europe, America, Asia and Africa increased by 25%, 17%, 28% and 37% respectively compared to 2020. Hence, an increase in global automotive production is expected to increase the demand for blow molding resins for use in various components of an automobile, owing to its above-mentioned properties. This is expected to accelerate the growth of the market in the upcoming years.
Growth of the electronics industry
The properties of blow molding resins such as higher flexibility, excellent electrical insulation, enhanced strength, lower cost and increased efficiency make them ideal for use in such electronic applications. According to recent insights published on Growth from Knowledge (GRK) in September 2021, the global consumer electronics industry was valued at US$42.8 billion during the first quarter of 2021, an increase of 18% in comparison to 2020, owing to an increase in electronic production. It further states that the GDP growth rate of consumer electronics which includes electronic appliances and gadgets such as smartphones, computers, television, laptops, tablets and more in countries like India, China, the U.S and regions like Europe is expected to increase up to 8.1%, 5.7%, 1.4% and 1.7% respectively by the end of 2022. Hence, such a surging growth of the global electronics industry is expected to increase the demand for blow molding resins, owing to their above-mentioned properties. This is anticipated to drive the growth of the blow molding resins market in the upcoming years.
Blow Molding Resins Market Challenge
Fluctuating prices of raw materials may confine the market growth
Some of the raw materials required in the production of blow molding resins are obtained from crude oil. As a result, fluctuations in the prices of crude oil may hinder the growth of the market. For instance, in 2020, the international benchmark for petroleum prices across the world also known as Brent crude prices decreased to US$9.12 per barrel, which was the lowest record since December 10, 1998. Likewise, in April 2020, India’s Crude Oil Basket (COB) reached US$19.90 per barrel, which was the lowest record since February 2002. During the first 11 months of the year 2020-21, the average annual price of India’s COB was around US$42.72 per barrel, which decreased by 30% more than the average COB price in 2019-20. Thus, such instability and fluctuating prices of raw materials may limit the growth of the blow molding resins industry during the forecast period.
Blow Molding Resins Industry Outlook
The top 10 companies in the Blow Molding Resins Market are:
- Chevron Phillips Chemical Company LLC
- Dow
- Eastman Chemical Company
- Exxon Mobil Corporation
- Formosa Plastics Corporation
- INEOS
- LyondellBasell Industries Holdings BV
- Qenos Pty Ltd
- SABIC
- Solvay
Recent Developments
- In April 2021, SOCAR Polymer launched its two new grades of copolymer polypropylene resins ideal for use in rigid and thin-wall packaging. The main motive of this launch was to enhance the company’s product portfolio.
- In February 2021, Exxon Mobil launched its new grade of high-density polyethylene resin. The newly launched resin is ideal for household and industrial chemical (HIC) bottles and containers specifically designed for products such as bleach, wipes and agricultural chemicals.
- In October 2019, Borealis launched its new polypropylene resin BorPure. The main motive of the launch was to expand the company’s product portfolio while offering enhanced sustainability and productivity.
Relevant Reports
Report Code: CMR 1053
Report Code: CMR 0141
Report Code: CMR 0017
