Linear Low Density Polyethylene Market - Forecast(2024 - 2030)
Linear Low-Density Polyethylene Market Overview
Linear Low-Density Polyethylene market size is forecast
to reach US$68.6 billion by 2027, after growing
at a CAGR of 5.5% during 2022-2027. Linear-Low
Density polyethylene is formed by copolymerizing ethylene with high reactive
alkenes such as hexane, butane, and octane. Linear-Low Density
Polyethylene is widely used for the
production of geomembrane
liners, toys, sheets and covers, plastic
bags, flexible tubing waste liners, and packaging films owing to the
properties such as high strength, durability, ease to handle, and inexpensive. According
to World count, the toy industry uses 40 tons of plastic every year and
accounted for around US$ 1 million, and 90% of the toys use plastic for
external parts. According to The Toy Association, the US toy industry has
generated US$ 32.6 billion in 2020 with an annual growth of 16.7% as compared
to 2019. Therefore the growing usage
of plastic by the toy industry will boost
the Linear-Low Density
Polyethylene Market during the forecast
period.
COVID-19 Impact
The Covid-19
pandemic has been a major challenge for the Linear-Low
Density Polyethylene market owing to directly affecting the manufacturer's
supply chain across the globe and shut down the production facilities to
minimize the risk of virus spread. The major
sectors such as automotive, aerospace, marine, building and construction, and
others have been highly impacted. According to Aerospace Industry Association,
the aerospace defense revenue has generated US$ 824 billion with a drop of 2.8%
in 2020 as compared to 2019 and the supply chain has been dropped to 3% in 2020
mirroring the impacts to the workforce.
Therefore, the initiations taken by the government and private sector will help
to recover the Linear-Low
Density Polyethylene Market during the
forecast period.
Report Coverage
The
report: “Linear-Low
Density Polyethylene Market – Forecast (2022-2027)”, by
IndustryARC, covers an in-depth analysis of the following segments of the Linear-Low
Density Polyethylene industry.
By Process Type: Gas Phase, Solution Phase, and Slurry Loop.
By
Product Type: Roto-Molding,
Extrusion Molding, Blow Molding, Compress Molding, Injection Molding and Others.
By
Application: Protective
films, Wires & Cables, Wall Systems, Insulation and Façade, Sheets, Pipes,
Bags and Waste Liners, Bottles and Drums, Diapers and Absorbent Products, Crop
Solutions, Packaging and Others.
By End-Use Industry: Transportation (Automotive, Aerospace, Marine, Railway),Building
& Construction (Residential Construction, Commercial Construction,
Infrastructure, and Others), Electrical & Electronics, Sports &
Leisure, Chemical Manufacturing and Industrial, Healthcare and Hygiene, Agriculture,
Feed and Animal Care, Food & Beverages, Cosmetics, and Others.
By Geography: North America (USA, Canada, and Mexico), South America (Brazil,
Argentina, Colombia, Chile, and Rest of South America), Europe (UK, Germany,
Italy, France, Netherlands, Belgium, Spain, Russia, and Rest of Europe),
Asia-Pacific (China, Japan, South Korea, India, Australia, and New Zeeland,
Indonesia, Taiwan, Malaysia, and Rest of APAC), and Rest of the World: The
Middle East(Saudi Arabia,
UAE, Israel, Rest of the Middle East) and Africa(South Africa, Nigeria, Rest of
Africa).
Key Takeaways
- The
Asia Pacific is expected to register a CAGR of 6.8% during
the forecast period (2022-2027). The
increasing demand for plastics in automotive, defense, construction, and others
in Asian countries such as China, India, Japan, and South Korea is driving the
market demand for Linear-Low
Density Polyethylene.
- The growing usage of Linear-Low
Density Polyethylene in plastic bags, toys,
sheets cover, flexible tubing, and others are influencing the growth of the
Linear-Low Density polyethylene market due to good water absorption quality
along with high chemical and impact strength.
- The rise in the demand for protective films in agriculture owing to reduce soil erosion and improve crop production will accelerate the Linear-Low Density polyethylene market.
Figure: Asia Pacific Linear-Low Density Polyethylene Market Revenue, 2021-2027 (US$ Billion)
For More Details on This Report - Request for Sample
Linear-Low Density Polyethylene Market Segment Analysis – By Product Type
The Roto
molding segments accounted for around 15% of the market share in 2021 and are estimated to grow at
a significant CAGR during the forecast period. The factor that is helping in
the growth of the Roto molding segment is widely used to manufacture hollow components
using plastics like containers, tankers, bins, pallets, boats, bottles, pipes, a
body of different gadgets, and others. These components are widely used in
various industries like construction, transportation, consumer goods, and
others. According to Plastic Manufacturing Europe, 368
million tonnes of plastic were produced in the world in 2019 as compared to 359
million tonnes produced in 2018. Therefore,
the growing production of plastic will boost the demand for plastic products and
in turn will increase the demand for Linear-Low
Density Polyethylene Market during the
forecast period.
Linear-Low Density Polyethylene Market Segment Analysis – By Application
The Protective
films type segments accounted for approximately 65% of the
market share in 2021 and are estimated to grow at a significant CAGR during the
forecast period. Protective
films is a material used to protect surfaces from scratches,
abrasion, humidity, dust and give resistance to UV radiation, hot and cold
temperature. The Protective films are widely used in
Aerospace engineering to create quieter, lighter, and damage-resistant equipment,
industries require protective film for customized sizes to fit various pieces
of equipment or newly manufactured products. According to Federal Reserve’s US,
Industrial
production increased by 0.5%, and the indexes for both manufacturing and mining
increased by 0.7% in November 2021. Therefore the growing production of industrial products
is increasing demand for Protective
films are driving the Linear-Low Density Polyethylene market during the
forecast period.
Linear-Low Density Polyethylene Market Segment Analysis – By End Use Industry
The Transportation segment accounted for more than 13% of the market share in 2021 and is estimated to
grow significantly during the forecast period. The increasing demand for
lightweight vehicles by replacing aluminum and
steel components with plastic to improve the fuel efficiency of the vehicle.
Linear low-density polyethylene is widely used
to manufacture various auto components like liners, dashboards, and others
owing to its superior impact high strength, improved aesthetics, recyclability,
scratch resistance, easy moldability, vibration, and noise control. According
to Semiconductor Industry Association, global semiconductor industry sales is
around US$ 49.7 billion in November 2021, an increase of 23.5% over the same
period of 2020 total of US$ 40.2 billion and 1.5% more than October 2021 of US 49.0
billion. The semiconductors are widely used in the transportation sector for
safety and control systems, electronic systems, infotainment, power trains, and
others. Therefore, the growing transportation sector will fuel the
demand for Linear-Low Density Polyethylene during the forecast period.
Linear-Low Density Polyethylene Market Segment Analysis – By Geography
Asia Pacific region held the largest share in the Linear-Low Density Polyethylene market in 2021 up to 45%, owing to the presence of large Infrastructure projects in developing countries like China, India, Indonesia, and others. The comprehensive use of Linear-Low Density Polyethylene in building & construction, electronic goods, healthcare, and others is helping in the market growth during the forecast period. According to Invest India, 20% of global supply by volume and 62% of the global supply of vaccines is done by India. The growth rate of the pharmaceutical industry in India is around 10-12% and is expected to reach US$ 65 billion by 2024 and US$ 120-130 billion by 2030. The Pharmaceutical sector uses Linear-Low Density Polyethylene in the packaging of medicines. Therefore, the growing Pharmaceutical sector is growing the demand for the Linear-Low Density Polyethylene Market.
Linear-Low Density Polyethylene Market Drivers:
The consumption of Plastic in electronics
The growing demand for plastic in electronics is driving the Linear-Low Density Polyethylene market. The usage of plastic by replacing metal is reducing the weight of an electronic component and improving thermal and mechanical properties are fuelling the Linear-Low Density Polyethylene market. According to Invest India, the global electronic component market is expected to reach US$ 191.8 billion by 2022 of which the Asia Pacific is likely to dominate the market. Therefore, the growing electronic component sector will be driving the Linear-Low Density Polyethylene market during the forecast period.
Increasing demand for Films in Agriculture
The growing demand for film in the Agriculture
sector for the cultivation of food owing to improve crop productivity and
quality is fuelling the Linear-Low Density Polyethylene market. The films are
mostly made of plastic used to modify soil temperature, prevent moisture loss,
and limits weed growth as well as precocity. According to the Department of
Agriculture, the gross value of Agriculture production of Australia is
projected to record US$ 56 billion and export value is estimated to increase by
27% and record US$ 44 billion in 2021- 2022. Therefore
the use of films in Agriculture will increase the demand for Linear Low-Density
Polyethylene during the forecast period.
Linear-Low Density Polyethylene Market Challenges
Volatile Raw Material Prices and Rising Environment Concerns.
The volatile prices of raw materials owing to
the fluctuating prices of crude oil are hampering the Linear Low-density
Polyethylene market. Ethylene and crude oil are the key raw material used
during the production of plastic and ethylene, butane, hexane, and octane are
used in the production of Linear Low-density Polyethylene. According to US
Energy Information Administration, there was a steep decline in the prices of
crude oil in the first half of 2020 and later it slowly recovered. The strict
regulation passed by the government and challenges for plastic recycling is
also hampering the Linear-Low Density Polyethylene market growth during the forecast period.
Linear-Low Density Polyethylene Market Landscape
Technology launches, acquisitions, and
R&D activities are key strategies adopted by players in the Linear-Low Density Polyethylene market.
Major players in the Linear-Low Density
Polyethylene market are:
- The Dow Chemical Company
- Exxon Mobil Corporation
- Lyondellbasell Industries Holdings B.V.
- Mitsubishi Co. Ltd
- Borealis AG
- Chevron Phillips Chemical Company LLC
- SABIC
- NOVA Chemicals Corporation
- Petro Rabigh
- Reliance Industries Limited
Recent Developments
In December
2021, Liwa Plastics Industries Complex (LPIC) has commissioned
in Sohar Industrial Port. The project will boost the industrial sector through
the annual production of 838,000 tonnes of polyethylene, a raw material used in
nearly 40% of plastics-based products and commodities produced globally, and
about 215,000 tons of polypropylene.
In April 2021, NOVA Chemicals Corporation has launched its first three grades of 100% post-consumer polyethylene resins. The post-consumer resin (PCR) grades each come from a dedicated source and are ideal for a range of flexible film applications.