Global Bio Nylon Market - 2023-2030

Overview

Global Bio Nylon Market reached US$ 0.4 billion in 2022 and is expected to reach US$ 0.9 billion by 2030, growing with a CAGR of 13.8% during the forecast period 2023-2030.

Bio nylon is a more environmentally friendly alternative to standard petroleum-based polymers used in packaging. As environmental concerns grow, the packaging industry is looking for materials that can assist reduce the total environmental impact of packaging waste. It is also utilised as a flexible packing material for food that is oxygen sensitive. It is utilised in food products that require a high melting point, high mechanical strength, clarity and an effective oxygen barrier.

The rising packaging industry is likely to generate market growth possibilities. Demand for packing materials has risen in nations such as India, where the demand for online food delivery has increased. For example, in February 2022, Zomato, one of India's biggest food delivery companies, said that its average monthly active food delivery restaurants increased 6 times while monthly transacting clients increased 13 times over the last five years.

North America is expected to register the second highest CAGR during the forecast period with almost 1/4th market share of global bio nylon market. Companies in the region are considering integrating sustainable items in their product portfolios and forming partnerships with bio-based nylon manufacturers, which will help drive market growth. For example, Lululemon Athletica, a Canadian garment brand, teamed with Genomatica in August 2021 to develop plant-based nylon for use in Lululemon products.

Dynamics

Rising Regulations Towards Improving Fuel Efficiency

Raw materials cover about 45% of total vehicle manufacturing costs. Steel and aluminum are commonly used in the automotive production. Owing to strict rules made for improving fuel efficiency and keeping CO2 emissions under control, raw material patterns are expected to change significantly. Nylon 6 is used as films and coatings to protect raw materials against corrosion.

It led to in the widespread use of bio nylon in the vehicle sector because it is more environmentally friendly than plastics. Aside from being lightweight and adaptable, bio nylon also provide for greater design flexibility, helping in the production of innovative designs without harming the vehicle's safety and stability. During the forecast period, nylon is expected to drive the market demand in automotive sector.

Growing Number of Product Launches

Bio nylon developments are often used in new product releases, resulting in improved performance qualities. Bio nylon's improved qualities enable it to be used in a broader range of applications, adding to greater market demand. Product releases are frequently accompanied by technological improvements in the manufacturing process. Improved manufacturing techniques make bio nylon production more efficient and cost-effective, making it a more appealing option for a variety of sectors.

Toray Industries, Inc. announced in 2022 that it has developed a nylon 510 (N510) fibre with 100% 'biobased synthetic polymer content' as described in section 3.1.5 of ISO 16620-1: 2015, the international norm for plastics' biobased content.Toray's EcodearTM N510 will be the company's first 100% plant-based nylon fibre. The company has developed a wide range of potential uses for EcodearTM N510 as a long-term product for high-end customers.

High Costs and Challenges with Feedstocks

Bio nylon production from renewable feedstocks, is more costly than traditional petroleum-based nylon production. The expense of bio-based raw materials, as well as the technologies required for extraction and processing, contribute to increased production costs. Bio-based feedstocks for bio nylon manufacturing, such as castor oil or bio-based intermediates, may be scarce. The constraint has an impact on the scalability of bio nylon manufacturing and may result in price variations.

Bio-based feedstocks frequently necessitate the cultivation of land, that can compete with food crops or ecosystems. It is difficult to balance the market for bio nylon feedstocks with sustainable utilisation of land practices. Bio nylon production technologies, including polymerization techniques and the development of bio-based monomers, can continue evolving. The technical difficulties in producing consistent quality and qualities comparable to traditional nylon, will act as a restraint in the market growth.

Segment Analysis

The global bio nylon market is segmented based type, material, end-user and region.

Growing Adoption of Bio Nylon in Automotive

In 2022, automotive end-user is expected to drive the growth, holding a share of about 1/3rd of the global market. Bio nylon is used in the automotive sector in making seat components like seat frames and fabric. The lightweight feature and durability makes it a suitable material for improving comfort and reducing overall vehicle weight. The automotive demand is being driven by the rising adoption of for electric vehicles in the world.

Based on estimated of World Economic Forum, about 4.3 million new battery-powered and plug-in hybrid EVs were sold in the first half of 2022. It increased the demand for products like bio nylon resins. Furthermore, following a US$ 7.2 million research initiative, the Radici Group, an Italian chemicals and advanced textiles firm, claims to have successfully shown the feasibility of making nylon at scale from waste oil in 2021. The nylon produced by the technique has uses in the automotive industry, which is driving market expansion.

Geographical Penetration

Large Automotive Industry in Asia-Pacific

During the forecast period, Asia-Pacific will hold the majority of the global bio nylon market, with over 35% of the market. The existence of a large unexplored market, as well as favourable government policies, are enticing global nylon manufacturers to establish production and distribution plants in the region. Many automakers made huge investments in various parts of the industry. Maruti Suzuki India invested US$ 865.12 million in many initiatives in November 2022, such as the establishment of new facilities and the launch of new models.

Furthermore, BASF SE began marketing many polyamide grades in Europe in February 2022. As part of the acquisition of Solvay's PA66 division, the company acquired various engineering plastics products. The items will be released under the well-known brand name Ultramid. As a result, the region's rising automobile industry increases demand for bio nylon use.

Competitive Landscape

The major global players in the market include: Arkema, Evonik Industries AG, Wuxi Yinda Nylon, Kingfa, EMS, DuPont, DSM, RadiciGroup, BASF SE and Shandong Dongchen.

COVID-19 Impact Analysis:

The demand for various products, including bio nylon, was affected by changes in consumer behavior and market dynamics during the pandemic. The continued crisis widened the supply-demand gap, putting strain on the global polyimide supply chain. As per an Economic Times article, exports of electronic supplies like wires & cables and chips have decreased due to supply chain difficulties.

Furthermore, due to the potential of infection among the workforce, some electronics companies have either closed down or reduced their operations. Moreover, more than 100 countries have closed their international borders for transit and banned non-essential trade activity, reducing polyimide use in a variety of end-use sectors.

AI Impact

By estimating demand, optimizing inventory levels and enhancing logistics, AI technologies improve supply chain efficiency. It helps bio nylon manufacturers in simplifying their supply chain procedures, lowering costs and ensuring on-time delivery. AI-powered systems is used to optimize manufacturing processes, resulting in higher efficiency and less waste.

AI can find areas for improvement by analyzing production data in real time, contributing to more sustainable and cost-effective bio nylon manufacturing. Machine learning algorithms analyzes massive datasets to determine optimal material compositions, manufacturing conditions and performance characteristics, resulting in the development of advanced bio-based materials.

Russia-Ukraine War Impact

All petrochemicals have experienced extreme volatility and instability, including polyimide products. The rising cost of raw materials needed to produce high performance plastics and the cost of energy, have disrupted market growth. The production of bio nylon involves the use of bio-based feedstocks. Any disruptions in the regions that supply these feedstocks could lead to shortages and increased prices, affecting the bio nylon market globally.

The bio nylon market is often influenced by consumer preferences for sustainable and eco-friendly materials. Geopolitical uncertainties prompt increased focus on research and development to find alternative sources for bio-based feedstocks or improve existing technologies. The conflict leads to changes in consumer behavior or sentiment, it impacts the demand for bio-based materials.

By Type

• PA 1010
• PA 1012
• PA10T
• PA11
• PA66
• Others

By Material

• Fiber
• Plastics

By End-User

• Wire & Cable
• Automotive
• Electronics
• Industrial
• Others

By Region

• North America
  • U.S.
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Russia
  • Rest of Europe
• South America
  • Brazil
  • Argentina
  • Rest of South America
• Asia-Pacific
  • China
  • India
  • Japan
  • Australia
  • Rest of Asia-Pacific
• Middle East and Africa

Key Developments

• On April 2023, DOMO Chemicals has launched a new production line in Mahape, Navi Mumbai. The new collection reflects. DOMO Chemicals has had extraordinary double-digit growth in its whole Asian business, driven by strong demand for its polyamide-based solutions and is expanding capacity throughout Asia.
• In 2022, Arkema has built a bio-PA factory in Singapore, which will begin production of PA 11 from castor beans in 2022. In addition, the business increased PA 11 capacity in Changshu, China, with the opening of a powder facility in early 2023.
• On August 2021, Lululemon Athletica, a Canadian clothing business, worked with Genomatica to develop plant-based nylon for use in Lululemon goods. Companies would work together to create sustainable products that would drive the nylon market forward.

Why Purchase the Report?

• To visualize the global bio nylon market segmentation based on type, material, end-user and region, as well as understand key commercial assets and players.
• Identify commercial opportunities by analyzing trends and co-development.
• Excel data sheet with numerous data points of bio nylon market-level with all segments.
• PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
• Product mapping available as excel consisting of key products of all the major players.

The global bio nylon market report would provide approximately 62 tables, 57 figures and 201 pages.

Target Audience 2023

• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies