Global engineering plastics market forecasts to grow to US$97 bln in 2020

06-Nov-15

The global engineering plastics market is forecast to grow to US$97 bln by 2020, registering a CAGR of 7.6% during the period between 2015 and 2020, as per Research and Markets. Asia-Pacific will be the growth driver of the market during the forecast period. China has the largest market share and is the second-fastest growing market in Asia-Pacific The global engineering plastics market is witnessing growth on account of increasing applications, technological advancements, and rapidly growing demand in the Asia-Pacific region. Engineering plastics are used in various industries. These plastic are generally used in applications where high mechanical strength and heat and chemical resistance is required. Engineering plastics have better mechanical and thermal properties than the more commonly used commodity plastics. They have replaced traditional engineering materials such as wood or metal in many applications. Besides equaling or surpassing commodity plastics in strength and other properties, engineering plastics are much easier to manufacture. The increasing usage of engineering plastics to replace traditional material such as metals is expected to lead the market towards product innovation and material development. Globally, Asia-Pacific accounted for the largest share of the engineering plastics market in 2014, followed by Europe and North America. China accounted for the largest share of the Asia-Pacific market at 65% whereas India is expected to register the highest growth rate in Asia-Pacific. China and other Asia-Pacific countries such as India and Japan also accounted for a significant share of the region's market. The drivers of the industry are growth in end-use industries and replacement of traditional materials such as polypropylene, PVC, and polyethylene with engineering plastics. New product launches and expansions are the key strategies on which the key market players are concentrating to expand their business. Companies operating in the market are also focusing on capacity expansion and merger & acquisition to tap market opportunities in applications such as automotive & transportation, electrical & electronics, industrial & machinery, packaging, consumer appliances, and others.