PUBLISHER: Grand View Research | PRODUCT CODE: 1701355
PUBLISHER: Grand View Research | PRODUCT CODE: 1701355
The global CO2-based plastics market size is anticipated to reach USD 5.45 billion by 2030 and is projected to grow at a CAGR of 10.2% from 2025 to 2030, according to a new report by Grand View Research, Inc. The market is an emerging and highly strategic segment of the global sustainable materials industry, driven by the increasing focus on carbon utilization and circular economy principles. These plastics, synthesized from captured carbon dioxide through advanced polymerization technologies, are gaining traction across multiple industries, including packaging, automotive, electronics, and construction. CO2-derived plastics address critical environmental concerns while maintaining competitive material properties by offering a sustainable alternative to conventional petroleum-based polymers. The versatility of these plastics, ranging from polycarbonates and polyurethanes to biodegradable alternatives, positions them as a key component in the transition toward low-carbon manufacturing and eco-friendly product innovation.
A major driver of the CO2-based plastics market is the escalating global commitment to reducing carbon emissions and advancing sustainable material solutions. Companies and governments alike are investing in carbon capture and utilization (CCU) technologies to transform industrial CO2 emissions into valuable polymer feedstocks, reducing reliance on fossil fuels. CO2-based plastics offer unique advantages, such as lower carbon footprints, reduced petrochemical dependency, and enhanced material performance in select applications. Additionally, breakthroughs in catalyst efficiency and polymer processing are enabling the development of high-performance CO2-derived plastics with enhanced thermal stability, mechanical strength, and recyclability. These advancements, coupled with increasing regulatory incentives and corporate sustainability mandates, are solidifying the role of CO2-based plastics in the evolving landscape of next-generation materials.
The market players are focusing on various strategic initiatives such as mergers, acquisitions, and collaborations. For instance, in November 2024, Fortum Recycling & Waste launched INGA, a biodegradable plastic made entirely from captured CO2 emissions, positioning it as a fossil- and microplastic-free alternative. INGA, a polyhydroxyalkanoate (PHA) material, is versatile and suitable for various applications, including packaging for food, cosmetics, and electronics.