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The global market for engineering plastics will have a compound annual growth rate (CAGR) of more than 5% from 2012-2020 and hit 29.1 million tonnes by 2020. The market was estimated at 19.6 million tonnes in 2012, with a projected value of $67 billion in 2013 and a forecast market of $72.5 billion in 2014, according to a new report from Research and Markets Ltd.

PlasticsToday Staff

March 29, 2013

1 Min Read
Where is the market for engineering plastics headed?

Demand for engineering plastics is projected to register a CAGR of 7.9% and hit $113.7 billion by 2020, with emerging regions in Asia, South America, and the Middle East as well as developing regions from Europe offering "sizeable growth prospects."

Business performance and forecasts at leading engineering plastics suppliers supports the growth prospects for the segment. Arkema is targeting sales of euro 8 billion and an EBITDA margin of 16% in 2016, up from euro 5.89 billion in 2011, with further growth of sales to euro 10 billion with an EBITDA margin close to 17% in 2020.

BASF, which forecast global economic growth of 2.4% and  growth in global chemical production of 3.6% in 2013, saw its plastics sales increase in 2012 due to higher volumes and prices as well as positive currency effects. The company reported continuing strong demand from the automotive industry, particularly in North America and Asia. In 2012, sales in the plastics segment increased 4% to euro 11.4 billion. EBIT before special items, however, declined by 27% to euro 873 million.

Bayer MaterialScience saw its 2012 sales rise by 6.2% to euro 11.503 billion, up from euro 10.832 billion in 2011. The company reported that while volumes were flat in Europe, the subgroup posted good gains in the other regions. Polyurethane business, just as it did at BASF, rose in 2012, but polycarbonates were down, falling by 7.1%.

The 539-pg global market report covers automotive, electrical & electronics, building & construction, consumer goods & appliances, and industrial applications in geographic regions including North America, Europe, Asia-Pacific and Rest of World.

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