PUBLISHER: The Business Research Company | PRODUCT CODE: 1672300
PUBLISHER: The Business Research Company | PRODUCT CODE: 1672300
Automotive plastics are polymers used in vehicle manufacturing to craft parts that offer mechanical strength, durability against stress, and a pleasing aesthetic while contributing to the automobile's structural integrity. These components, replacing traditional metal parts, offer properties such as stiffness and flame retardancy.
The primary types of automotive plastics include polypropylene (PP), polyurethane (PU), polyvinylchloride (PVC), polyamide (PA), acrylonitrile butadiene styrene (ABS), high-density polyethylene (HDPE), polycarbonate (PC), polybutylene terephthalate (PBT), and others. For instance, polypropylene (PP) is a tough and rigid thermoplastic polymer. Automotive plastics find diverse applications across interior, exterior, under-the-bonnet, and electrical components, as well as powertrain and chassis systems. These materials cater to various vehicle types, including conventional, electric, and hybrid vehicles.
The automotive plastics market research report is one of a series of new reports from The Business Research Company that provides automotive plastics market statistics, including automotive plastics industry global market size, regional shares, competitors with an automotive plastics market share, detailed automotive plastics market segments, market trends and opportunities, and any further data you may need to thrive in the automotive plastics industry. This automotive plastics market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.
The automotive plastics market size has grown strongly in recent years. It will grow from $43.29 billion in 2024 to $47.52 billion in 2025 at a compound annual growth rate (CAGR) of 9.8%. The growth in the historic period can be attributed to increased automobile production, increased demand for commercial vehicles, surge in passenger vehicles, increased demand for sustainable plastics, and strong economic growth in emerging markets.
The automotive plastics market size is expected to see strong growth in the next few years. It will grow to $68.66 billion in 2029 at a compound annual growth rate (CAGR) of 9.6%. The growth in the forecast period can be attributed to increasing demand for electric vehicles, supportive government initiatives, and the growing automotive industry. Major trends in the forecast period include a focus on the launch of new production lines, recovering used plastics from the production of automotive parts, partnerships and collaborations, and a focus on lightweight products.
The rising demand for lightweight and electric vehicles is significantly driving the growth of the automotive plastics market. The increased use of plastic components in the automotive industry has spurred advancements in vehicle design. Additionally, lighter vehicles consume less fuel, as reduced weight requires less energy during acceleration. For example, in April 2023, reports from the International Energy Agency (IEA), a France-based intergovernmental organization, indicated that electric car sales soared by 55% in 2022 compared to 2021, exceeding 10 million units. Moreover, the share of electric cars in total car sales rose to 14% in 2022, up from 9% in 2021. Therefore, the growing demand for lightweight and electric vehicles is fueling the expansion of the automotive plastics market.
Government initiatives are playing a pivotal role in driving the growth of the automotive plastics market during the forecast period. Worldwide, government regulations are shaping the automotive plastics market by mandating the inclusion of specific components in vehicles. Notably, the Government of Japan (GOJ) has set a target for all new cars sold to be environmentally friendly by 2035. Additionally, in South Korea, as reported by Business Korea, the government plans to reduce the cost of electric vehicles for consumers by nearly 10 million won ($9,000) over the next four years. This initiative is part of a broader plan to increase the number of electric vehicles on the road to 2.83 million by 2025. Consequently, supportive government measures are expected to drive the growth of the automotive plastics market in the forecast period.
Leading companies in the automotive plastics market are concentrating on developing innovative products, such as polyamide-based compounds, to improve automotive interior structural solutions by enhancing performance, aesthetics, durability, and sustainability. For example, in July 2024, LyondellBasell (LYB), a US-based chemical firm, introduced the Schulamid ET100 product line, a new polyamide-based compound specifically created for automotive interior structural applications like door window frames. This cutting-edge technology aims to elevate the performance and appearance of automotive components by providing superior surface quality, enhanced durability, appropriate rigidity, customizable designs, and sustainability advantages, including lower density and reduced VOC emissions.
Companies in the automotive plastics market are increasingly emphasizing partnerships and collaborations to enhance their product portfolios and extend their geographical reach. In June 2022, Sumitomo Chemical, a prominent Japanese chemical company, joined forces with Newlight Technologies, a US-based biotechnology company specializing in advanced sustainable materials. Their collaborative effort aims to develop polypropylene (PP) compounds for applications in automobiles and textiles. The compounds utilize AirCarbon, a carbon-negative biomaterial derived from methane through microorganisms, specifically polyhydroxybutyrate (PHB). This partnership reflects a commitment to leveraging innovative biomaterials for sustainable automotive plastic solutions. Similarly, in March 2022, BASF, a leading German chemical company, entered into a strategic cooperation agreement with Zhejiang REEF Technology, a Chinese company focused on high-end engineering plastic-modified materials. The collaboration's objective is to develop cutting-edge recyclate formulations applicable to the automotive, packaging, and consumer industries. This strategic alliance emphasizes the pursuit of advanced, sustainable solutions in the automotive plastics sector.
In August 2024, OKE Group GmbH, a German manufacturer of high-quality plastic components, acquired Polymerica Limited Company for an undisclosed amount. This acquisition is intended to bolster OKE Group's market presence in North America and enhance its production capabilities in Eastern Europe, thus strengthening its overall market position and broadening its customer base in the automotive sector. Polymerica Limited Company is a US-based manufacturer specializing in extruded, die-cut, and formed automotive interior parts.
Major companies operating in the automotive plastics market include Lyondellbasell Industries Holdings B.V., BASF SE, Covestro AG, Saudi Basic Industries Corporation (SABIC), Borealis AG, DSM, Evonik Industries AG, Exxon Mobil Corporation, Arkema Group, LG Chem, Lumax Auto Technologies, Tractors and Farm Equipment Limited, Sanhe Group, Changzhou Tourism Automobile Group Co. Ltd, Nanchong Kunhe Automobile Trading Co. Ltd, Ningbo Sailing Falaixin New Material Co. Ltd., Suzhou Xinyite Plastic Technology Co. Ltd., ShanDong DongChen New Technology Co. Ltd., Amazing Plastics Limited, Rapid Direct, Adreco Plastics, Omega Plastics Group, Rochling Industrial UK Ltd, Rutland Plastics, Nifco UK Limited, SKS Metaplast, Tenn-Tex Plastics, Zavod Signal, Ideal-Plast LLC, LitPromGarant -NN LLC, Coba Automotive Rus LLC, Atek Ltd, Aectra Plastics, Chevron Phillips Chemical, Americas Styrenics LLC, Johnson Controls, Lear Corporation, Celanese Corporation, Magna International Inc, Thogus Products, Zwick Roell Group, Belenus of Brazil S / A, METALAC, H.B. Fuller, Rimco Nigeria Limited, DVC Plastics Limited, COBA Plastics Moulding, Ampa Plastics Group (Pty) Ltd, Finke Plastics
Asia-Pacific was the largest region in the automotive plastics market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the automotive plastics market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the automotive plastics market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Italy, Spain, Canada.
The automotive plastics market consists of sales of diesel vehicles, polymethyl methacrylate, nylon, Styrofoam, injection moulding, and blow moulding. Values in this market are 'factory gate' values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Automotive Plastics Global Market Report 2025 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on automotive plastics market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for automotive plastics ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The automotive plastics market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The forecasts are made after considering the major factors currently impacting the market. These include the Russia-Ukraine war, rising inflation, higher interest rates, and the legacy of the COVID-19 pandemic.