Ethylene Copolymers Market: Overview
The market size for Ethylene Copolymers Market was USD 44.3 Billion in 2021, and it is projected to grow at a CAGR of 3.8 percent during the forecast period. To create complex copolymers, ethylene is polymerized with other molecules, including vinyl, butyl, ethyl, and propylene. These copolymers are largely used in the automotive and packaging sectors. Over the forecast period, the market expansion is anticipated to be fueled by the growing acceptance of waste packaging recycling as an environmentally friendly practice.
As consumers become more conscientious of packaging waste and recycling, the business is anticipated to grow even more. The demand for ethylene copolymers is fueled by increased R&D efforts for technological and equipment advancement and innovative product offerings by businesses. The need for ethylene copolymers is gradually rising due to their properties, which include heat resistance, chemical reactivity, formulation flexibility, cohesion, and adhesion. The use of ethylene copolymers is anticipated to increase due to the packaging and automotive industries. Food packaging is anticipated to drive the market for ethylene copolymers. To create a cutting-edge value chain for plant-based furan dicarboxylic acid and polyethylene furonoate, which are used to create biodegradable products, Avantium N.V. was given a Horizon 2020 grant for 25 million euros ($28 million).
Worldwide, strong regulations demanding renewable and biodegradable materials are being enforced. A new era of technical materials is replacing the old conventional method of using plastics due to its negative effects on the environment. Modern environmentally friendly and renewable polymers include Polyethylene Furanoate (PEF), Polyhydroxyalkanoate (PHA), and other biopolymers. The rising threat of substitutes is constraining the market expansion for ethylene copolymers. A large portion of Saudi Aramco's petrochemical and polymer products would be sold and marketed by SABIC. A joint venture between Sadara and S-Oil in Malaysia called Pengerang Petrochemical Company also announced that it was handing over management to SABIC.
Ethylene Copolymers Market: COVID-19 Impact
The emergence of COVID-19, which the World Health Organization has classified as a pandemic, is significantly affecting the expansion of the ethylene copolymers industry globally. 2020 is expected to see a 3% decline in global GDP, according to the International Monetary Fund. According to the World Trade Organization, COVID-19's economic impact will result in a 13–32% decrease in world trade volumes in 2020. (WTO). The ethylene copolymers market must develop new strategies to combat the pandemic while fostering future market expansion.
Ethylene Copolymers Market: Drivers
Increased Research & Development in Market for Ethylene Copolymers Has Fueled Market Growth
The market is being driven by growth in ethylene copolymer research and development. The efficiency of traditional polycrystalline solar cells could be increased by 0.50% thanks to a new luminous ethylene-vinyl acetate (EVA) copolymer film created by scientists at China's Hebei University of Technology. Additionally, the film can transform powerful visible light into powerful ultraviolet light. The market for ethylene copolymers is expanding as a result of recent R&D.
Economies Seeking Green Energy Has Fueled Market Growth
The businesses are utilizing a variety of growth tactics and making significant investments to create cutting-edge, distinctive, and biodegradable products. A 28 million euro ($25 million) Horizon 2020 grant was awarded to Avantium N.V. to create a cutting-edge value chain for plant-based polyethylene furonoate and furan dicarboxylic acid, both of which are utilized to make biodegradable products. The new expansion is fueled by the rising demand for renewable and biodegradable materials. Products like bio-based EVA resin and green polyethylene guide global chemical industry innovation in a sustainable direction.
Ethylene Copolymers Market: Restraints
Easy Availability of Various Alternatives have become Major Restraint
Around the world, tough laws are being passed requiring renewable and biodegradable materials. Due to its detrimental impact on the environment, the old traditional method of using plastics is being replaced by new-age technical materials. Modern, sustainable polymers include those made of polyethylene furoate (PEF), polyhydroxyalkanoate (PHA), and other biopolymers.
Ethylene Copolymers Market: Segment Overview
Due to Increasing Product Adoption in Food Packaging, Hot Melt Adhesives Market has Grown
The ethylene copolymer market is segmented into thermal adhesive films, hot melt adhesives, asphalt modification, and other products based on application. The hot melt adhesives segment had a respectable share of these. The increase can be ascribed to the rising product demand from the woodworking, laminating, and food packaging sectors. EVA is preferred over other adhesive materials on the market because of its superior bonding capabilities, environmental friendliness, and high productivity. The vinyl acetate component of the copolymer promotes adhesion to non-polar substrates like polyethylene and contributes to the material's mechanical strength, paraffin solubility, and block resistance. Ethylene copolymer can therefore provide hot-melt adhesives with durability and versatility.
Packaging Sector Has Experienced Profitable Growth Driven by Increasing Product Demand from Consumer Goods Sector
Ethylene copolymers are used in food packaging because of their excellent properties, including toughness and flexibility. Over the forecast period, the market for ethylene copolymers is anticipated to be significantly impacted by the rising demand for packaged and convenience foods. The Asia Pacific area is expected to have the largest packaging market in the next years due to the region's growing working-class population and stabilizing economy. These are used as glue sticks made of EVA to form a solid, sticky connection. Globally and especially in Brazil, the construction industry is expanding due to improving economic conditions and supportive governmental policies. In turn, it is projected that the construction adhesive market will grow over the following several years.
Ethylene Copolymers Market: Regional Landscape
Due to Increased Product Usage in Construction of Commercial Buildings, Asia Pacific has Overtook Other Regions as a Leading Region
Over the anticipated period, the market share for ethylene copolymers in Asia Pacific is expected to expand significantly. The increase can be ascribed to the developing packaging in nations like China and India. The planned construction projects, expected to encourage product utilization in commercial and residential building applications, are another factor driving regional growth. The Asia Pacific also makes up a sizeable percentage of the global ethylene-propylene copolymers due to rising demand from the region's tyre manufacturing industry. As people's lives change and their purchasing power rise, notably in China and India, vehicle sales are increasing throughout the region. In China, India, Japan, and Malaysia, ethylene-propylene copolymers are often employed.
A significant expansion is anticipated in Europe, spurred by the trend toward technologically advanced structures. Additionally, the European Union (EU) is moving to use more modern materials to ensure the structural integrity of buildings. Such programs have the potential to accelerate regional company growth. Due to the growing inherent benefits of ethylene copolymers, expanding demand for beverages made from plants and lactose-free beverages, and increased packaging recyclability in this region, Europe is likely to experience expansion in the ethylene copolymers market.
Ethylene Copolymers Market: Competitive Landscape
To create a cutting-edge value chain for plant-based furan dicarboxylic acid and polyethylene furonoate, which are used to create biodegradable products, Avantium N.V. was given a Horizon 2020 grant for 25 million euros ($28 million). A large portion of Saudi Aramco's petrochemical and polymer products would be sold and marketed by SABIC. A joint venture between Sadara and S-Oil in Malaysia called Pengerang Petrochemical Company also announced that it was handing over management to SABIC.
Few of the Ethylene Copolymers Market players include DuPont, Celanese Corporation, The Dow Chemical Company, BASF SE, Sipchem, USI Corporation, LyondellBasell Industries N.V., Wacker Chemie AG, ExxonMobil Chemical Company and Lanxess AG.
Ethylene Copolymers Market is Segmented as Below:
By End Use:
Key Elements Included In The Study: Global Ethylene Copolymers Market
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