Plastic Additives Industry - Regional Synopsis
Asia Pacific Market Analysis
The APAC Plastic Additives market is anticipated to capture a 43.6% share of global revenue by 2037, propelled by swift industrialization and regulatory initiatives aimed at sustainability. Government investments are focusing on eco-friendly technologies, which are fostering growth in the sector. By the year 2037, it is anticipated that China will represent more than 39% of the revenue produced in the APAC Plastic Additives market. The National Development and Reform Commission (NDRC) has been backing clean chemical technology, with investments rising by 13% each year over the last five years. In 2023, over 1.6 million companies in China embraced sustainable chemical practices. These statistics highlight the nation’s robust progress in shifting towards green chemistry and its growing impact on the global plastic additives market.
India is expected to achieve the highest CAGR of around 8.4% from 2025 to 2037 in the APAC Plastic Additives sector. The Ministry of Chemicals and Fertilizers has raised investments in GaAs wafer chemical technologies by 16% since 2018, culminating in an annual expenditure of $2.5 billion by 2023. Furthermore, more than 2.4 million Indian businesses have embraced sustainable chemical practices. These figures underscore India’s swift progress and dominance in green chemical innovation and manufacturing expansion.
APAC Plastic Additives Market Overview and Government Spending (2037)
|
Country |
Government Spending on Plastic Additives/Green Chemical Initiatives |
Notable Statistical Fact |
|
Japan |
3.9% of the industrial budget (2024) allocated to Plastic Additives* |
¥455 billion increase in chemical R&D budget since 2022 (METI) |
|
China |
13% increase in green chemical tech investment (2018-2023) |
1.6 million companies adopted sustainable chemical processes in 2023 (NDRC) |
|
India |
$2.5 billion annual spend on chemical tech (2023) |
2.4 million firms engaged in green chemical adoption (ICC) |
|
Malaysia |
50% rise in government funding for green initiatives (2013-2023) |
Chemical sector firms doubled adoption of Plastic Additives tech (MPA) |
|
South Korea |
9% CAGR in green chemistry investments (2020-2024) |
530 new companies implemented sustainable solutions (KCIC) |
North America Market Statistics
By the year 2037, North America, mainly propelled by the U.S. and Canada, is projected to account for 28.5% of the worldwide plastic additives market, with the region expected to experience a CAGR of approximately 4.6% from 2022 to 2037. In the U.S., the federal government designated approximately $3.6 billion in 2022 for clean energy chemical production, marking a 25% increase from 2020. In 2023, the EPA’s Green Chemistry initiative facilitated the implementation of more than 50 sustainable chemical innovations, leading to a 16% decrease in hazardous waste compared to 2021. Furthermore, the American chemical sector produced $60.3 billion in exports during 2022, while foreign direct investment (FDI) totaled $766.8 billion in 2023. Additionally, investment in research and development achieved a cumulative total of $28.3 billion in 2022.
Canada's market for plastic additives is witnessing consistent growth, fueled by rising demand in both the automotive and construction industries. Between 2023 and 2030, the market is expected to expand at a CAGR of 7.4%, highlighting the increasing necessity for lightweight and efficient materials in vehicle production and infrastructure development. In the automotive sector, the plastic compounding market was valued at USD 65.1 million in 2022 and is projected to grow to USD 87.1 million by 2030, reflecting a CAGR of 3.8%. In a similar vein, the total plastic compounding market in Canada generated revenues of USD 1.3432 billion in 2023 and is anticipated to reach USD 2.1126 billion by 2030, indicating a CAGR of 6.8%. These statistics emphasize Canada's growing significance in the global plastic additives sector, bolstered by its strong manufacturing foundation and dedication to sustainable practices.
