Plastic Pigments Market Analysis by Type (Organic, and Inorganic); by End-Use Industry (Packaging, Consumer Goods, Building & Construction, Automotive, and Others) – Global Supply & Demand Analysis & Opportunity Outlook 2023 – 2035
Buy Now Report ID: 4428 | Published Date: Mar 24, 2023
The global plastic pigments market is estimated to garner a revenue of ~USD 15 billion by the end of 2035 by growing at a CAGR of ~8% over the forecast period, i.e., 2023 – 2035. Further, the market generated a revenue of ~USD 12 billion in the year 2022. The primary growth factor of the plastic pigments market is the expansion of the plastic industry. Recent reports suggest that the total value of the United States plastic shipments was around USD 400 billion in 2020. Companies in the packaging industry are concerned with the development and innovation of advanced products that will assist them in growing their market share. Inventions including active packaging, intelligent packaging, and modified atmosphere packaging had promoted the packaging industry. Although packaging vendors are also focusing on using vibrant and attractive colors while producing packaging products, this will not only enhance the aesthetics of the products but will also attract more customers. As a result of this, the plastic pigment market will automatically see high growth in the global market.
The increasing demand for plastic for varied purposes in countries is expected to expand the utilization of plastic pigments. Additionally, the expansion of end-use industries is forecasted to raise the demand for plastics and high-performance pigments. As of 2019, it was estimated that in the United States, almost 40 million tons of plastic are used every year. The adoption of plastic pigment in end-use industries including the construction and automotive industry is likely to boost the growth of the plastic pigment market globally.
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Base Year |
2022 |
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Forecast Year |
2023 - 2035 |
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CAGR |
~8% |
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Base Year Market Size (2022) |
~USD 12 billion |
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Forecast Year Market Size (2035) |
~USD 15 billion |
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Regional Scope |
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Growth Drivers
Increased Plastic Production – The rapid industrialization owing to its great advantages, plastic is being highly utilized in every sector of manufacturing processes. The versatility of plastic has propelled the population to produce more plastics which is further projected to fuel the drive market growth. As per the latest reports by Organisation for Economic Co-operation and Development, it was estimated that global plastic production from 2000 to 2019 stood up at approximately 460 million tons.
Growth Demand of Plastic Products – The recent data disclosed in 2022, around one million plastic bottles are purchased every minute and around five trillion plastic bags are used every year across the world.
Boom in Automotive Industry - As per recent statistics, the revenue generation by the global automotive industry by 2030 is projected to reach ~USD 9 trillion.
Expansion in Packaging Industry - The latest reports, revealed that the packaging industry in the United States was valued at USD 190 Billion in 2021 and is forecasted to reach ~USD 220 billion by 2027.
Swelling of Chemical Industry – Latest reports stated that the revenue garnered by the global chemical industry in the year 2021 was approximately 4 trillion dollars, a considerable increment from the previous year with 3 trillion dollars.
Challenges
The plastic pigments market is segmented and analyzed for demand and supply by the end-user industry into packaging, consumer goods, building & construction, automotive, and others. Out of these, the automotive segment is expected to garner the highest market share by 2035. This can be attributed to the burgeoning population's high demand and production of vehicles. According to the Organization of Motor Vehicle Manufacturers, the global production of vehicles was 80,145,988 units in 2021. This is a rise from 77,711,725 units in 2020.
The global plastic pigments market is segmented and analyzed for demand and supply by type into organic and inorganic. The organic pigment segment is expected to be a fast-growing type segment in the plastic pigment market in the forecast period. This can be attributed to the organic segment comes with a wide range of benefits and advantages. High tinting strength and excellent shade are a few of its most popular properties. In most end-user industries people generally prefer to use organic type over inorganic type owing to its benefits and also the organic one is environment friendly. The organic compound majorly consists of carbon and metallic compounds.
Our in-depth analysis of the global plastic pigments market includes the following segments:
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By Type |
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By End-Use Industry |
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The market in Asia Pacific is projected to hold the largest market share by the end of 2035. This can be attributed to huge facilities producing automobiles. Also, the increased demand and production of automobiles in the region are driving the growth of the market in this region. As per the International Organization of Motor Vehicles, the total production of vehicles in the region was 46,732,785 units in 2021, a rise from 44,276,549 units in 2020. Similarly, the total sales in the region were 42,663,736 units in 2021, a rise from 40,322,544 in 2020. Also, the high consumption of chemicals is another growth driver of the plastic pigment market in the forecast period. As of 2020, the chemical industry of the Asia Pacific region contributed to at least 60% of the revenues generated by the global chemical industry. A variety of construction projects like “Smart city” or “Housing for All” are taking place in China, India, and other parts of Asia Pacific. They are leading to the increasing demand for painting and coating as a result of this the plastic pigment market is rising in the region.
The Middle East and Africa region is anticipated to show significant growth in the plastic pigment market in the forecast period. Plastic pigments are used significantly in the Middle East and Africa owing to the expansion in the demand for these pigments in multiple end-use industries consisting including the automotive, construction, and packaging sector.
Clariant International Ltd has entered into a partnership with Lintech International, LLC to solely distribute its pigments for the plastics, coating, and printing ink markets across the entire United States of America.
BASF has planned to increase production capacities for isoindoline yellow pigments by around 70%, as the demand for high-performance pigments grows.
In 2023, market players might incur losses due to huge gap in currency translation followed by contracting revenues, shrinking profit margins & cost pressure on logistics and supply chain.
Controlling Inflation has become the first priority for global economies from last quarter of 2022 and to be followed in 2023. With skewed economic situations, rise in interest rate by governments to control spending and inflation, spiked oil and gas prices, high inflation, geo-political issues including U.S. & China trade war, Russia-Ukraine conflict to intensify the global economic issues.
The interest rates in the U.S. may be less sensitive in 2023 as compared to 2022; sigh of relief for businesses. Positive business sentiments, healthy business balance sheets, growth in construction spending (private construction value in 2022 stood at $1,429.2 billion, 11.7 percent (±1.0 percent) above the $1,279.5 billion spent in 2021, Residential construction in 2022 was $899.1 billion, up by 13.3 percent (±2.1 percent) from $793.7 billion in 2021, non-residential construction touched $530.1 billion, 9.1 percent (±1.0 percent) above the $485.8 billion in 2021.) showcases minimal impact of recession in the country.
Similarly, spiked spending in the European and major Asia economics including, India, China & Japan to showcase less impact on the global demand.
Author Credits: Smruti Ranjan, Rajrani Baghel
Ans: The increasing demand for plastic and plastic products is expected to fuel the market growth of the plastic pigments market.
Ans: The market is anticipated to attain a CAGR of ~8% over the forecast period, i.e., 2023 – 2035.
Ans: The rising awareness about plastic waste along with the possibility of adverse effects on health and the environment and stringent rules to protect the environment are the key challenges affecting the market growth.
Ans: The market Asia Pacific is projected to hold the largest market share in the forecast period and provide more business opportunities in the future.
Ans: The major players in the market are Ferro Corporation, Heubach GmbH, Huntsman International LLC, The Chemours Company LLC, LANXESS, Cabot Corporation, DIC Corporation, Tronox Holding plc, BASF, and others.
Ans: The company profiles are selected based on the revenues generated from the product segment, geographical presence of the company which determine the revenue generating capacity as well as the new products being launched into the market by the company.
Ans: The market is segmented by type, end-use industry, and by region.
Ans: The automotive segment is anticipated to garner the largest market size by the end of 2035 and display significant growth opportunities.
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