Demand within the polypropylene market has been forecast to increase at a compound annual growth rate (CAGR) of 4.5% over the next nine years, rising from a total of 42.3 million tons in 2011, to reach 62.4 million tons by 2020.
Polypropylene is a thermoplastic polymer used in a wide variety of applications including packaging and labelling, textiles (e.g., ropes, thermal underwear and carpets), stationery, plastic parts and reusable containers of various types, laboratory equipment, loudspeakers, automotive components, and polymer banknotes.
An addition polymer made from the monomer propylene, it is rugged and unusually resistant to many chemical solvents, bases and acids.
The global polypropylene market has been under a lot of pressure lately from scarce propylene feedstock and slack demand. The demand for polypropylene has been highly impacted by use in recurrent markets such as for construction and automotive.
Following the recession period and the slow revival state during the post-crisis years, the global market for polypropylene is seeing considerable demand increases as the key end-use fields expand production volumes
At a global level, polypropylene production and demand were dominated by developed countries in the early 2000s. An expanding population base, improving lifestyle, rapid industrialisation and economical robustness have resulted in the substantial growth of polypropylene demand in the developing markets of the Asia-Pacific region.
China has emerged as a global leader in terms of polypropylene production and consumption, while the relatively developed markets of South Korea and Japan already accounted for major shares. A similar growth pattern has been observed in the Indian polypropylene market.
Global demand for polypropylene has increased over the last decade due to increased consumption by end-use industries worldwide. The packaging industry was the largest end-use segment in 2011, when it accounted for around 30% of global polypropylene demand. The equipment and facilities industry demonstrated the second highest growth rate in terms of polypropylene demand during this period.
Geographically, the Asia-Pacific region dominated demand growth in the global market, while the highest growth rate was demonstrated by the Middle East and Africa region, where demand for polypropylene increased exponentially between 2000 and 2011. North America was the only region where polypropylene demand registered a net decline.
For more information on the polypropylene market, see the latest research: Polypropylene market
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