Low per capita consumption and rapid economic growth combine to propel the plastic film and sheets market in Asia-Pacific, with China and India at the vanguard of growth.
North America, Japan and Western Europe represent mature markets with high levels of per capita consumption. In addition to Asia-Pacific, future growth is likely to be driven by Africa/Middle East, Latin America and Eastern European countries due to rapid industrialization, burgeoning consumer economy, improvements in the standard of living, and strong construction, food and beverage, and consumer packaging sectors in these regions, as stated by the new market research report on plastic film and sheets. Over the last decade, the Middle East has emerged as a serious player in the global plastics market owing to the twin benefits of low raw material and feedstock prices and proximity to the highly lucrative Asian market. This has led plastic players embarking on ambitious capacity enhancements in the region. Further, growing sophistication in the Russian market is paving way for uninterrupted growth in demand for plastic films in the region.
Plastic films, mostly used for packaging of food as well as non-food items, witnessed slump during the recession as demand in most end-use markets plummeted. The decline was more pronounced across the non-food category as compared to the food segment owing to food being a highly inelastic product. Though the contraction in plastic films market spread across all segments, but polypropylene (PP) films fared better as compared to other segments owing to the relatively better performance from the Biaxially Oriented Polypropylene (BOPP) Films market.
Globally, the US, Europe, and Asia-Pacific represent the largest markets, collectively accounting for a major share of volume sales in the Plastic Film and Sheets market. Driven by enormous potential in China and India, Asia-Pacific is projected to be the fastest growing regional market with a CAGR of 4.0% over the analysis period. Segment-wise, polyethylene films represents the largest segment of the global demand. The segment is however ceding share due to increasing penetration of polypropylene into its hitherto established end-use markets. Within polyethylene segment, LDPE is losing share to its advanced form, linear low-density polyethylene (LLDPE) films. Market for HDPE film is also expanding at a consistent rate, though not as dynamic as LLDPE. Biaxially oriented polypropylene (BOPP) film, a sub-segment of polypropylene, represents the fastest growing segment in volume terms. Though the sector witnessed a slowdown in growth during the economic recession, particularly in 2008, the market bounced back quickly with a 3-4% growth rate in 2009. During 2010-2013, worldwide BOPP production capacity is estimated to expand by 2.2-2.4 million tons, with the Middle East accounting for the bulk of the capacity expansion.
High-performance plastic films have emerged as a niche segment in the huge plastic films industry. These films are generally sold at a higher price and are used for specific applications, where other types of films fail to provide the desired results. In Asia, the market is witnessing a tussle of supremacy between Japanese and South Korean polyethylene terephthalate (PET) films producers owing to robust growth in the segment, which is driven by Flat panel displays and packaging applications.
Since the plastic films industry is characterized by product diversity, competition in the market remains fragmented with the presence of both large-scale manufacturers and small producers. Major players profiled in the report include Achilles Corporation, AEP Industries Inc, Applied Extrusion Technologies (AET), Bemis Company, Inc., Berry Plastics Corporation, British Polythene Industries, DuPont Teijin Films, ExxonMobil Chemicals, Futamura Chemical Co. Ltd, Foshan Plastics Group Co Ltd, Inteplast Group Ltd., Nylex (Malaysia) Berhad, Okura Industrial Co. Ltd, Paragon Films, Polyplex Corporation Ltd, Reynolds Flexible Packaging, Rheinische Kunststoffwerke (RKW) AG, Quinn Plastics, SABIC Innovative Plastics, Sealed Air Corporation, SINOPEC Shanghai Petrochemical Co. Ltd., Spartech Corporation, Sumitomo Bakelite Company Limited, Toray Plastics, Toyobo Company Ltd., Treofan Group, Trioplast Industrier AB, Unitika Ltd, and Vibac Group.
The research report titled “Plastic Film and Sheets: A Global Strategic Business Report” announced by Global Industry Analysts, Inc., provides a comprehensive review of market trends, issues, drivers, company profiles, mergers, acquisitions and other strategic industry activities. The report provides market estimates and projections in tons for major geographic markets including the US, Canada, Japan, France, Germany, Italy, United Kingdom, Spain, Russia, Asia-Pacific, Middle East and Latin America. The market is analyzed in 000’ Tons and US$ Million across four major product segments - Polyethylene Films (HDPE, LDP, LLDPE films), Polypropylene Films (OPP, BOPP, Non-OPP films), PVC Films, and High Performance Films (Nylon Films, PET Films, Other High Performance Films).