PET Market Overview
The global production of plastics reached 359.0 million tons in 2018 from 348.0 million tons in 2017. Increasing population and rising demand for packaged food and beverages are some of the key factors driving the demand for plastics. One of the most common plastics is PET, a thermoplastic material used in number of industries, such as packaging, textiles, and automotive. Further, the material has an excellent water and moisture barrier property, therefore it is commonly used in consumable packaging.
The global PET market is categorized into bottled water, carbonated soft beverages, juices & other beverages, films & sheets, food packaging, and non-food packaging, on the basis of product type. Among these, the bottled water category is accounted for considerable market share. This is mainly attributed to the increasing health consciousness among consumers. People are reducing the consumption of drinks containing sugar, as a result of which, the demand for these drinking products is reducing, as compared to bottled water. Further, the demand for PET bottles among young generation is increasing, due to their lightweight and easy to use characteristics, which, in turn, is fueling the market growth.
The PET market is categorized into automotive & transportation, packaging, electrical & electronics, textiles, and others, based on end user. Of these, the packaging industry accounts for the prominent share in the market, owing to the numerous uses of PET in packaging applications, ranging from water bottles to carbonated drinks and juices, and from alcoholic drinks to non-food packaging.
Geographically, the Asia-Pacific (APAC) holds a significant share in the PET market, owing to the presence of a large number of well-established packaging, textiles, and automotive industries in the region. Further, rising disposable income and changing lifestyle of people in developing economies, such as China and India, are driving the demand for PET in the region. Further, easy availability of raw material has helped the region to witness new investment in the market.
PET Market Dynamics
Drivers
The growing packaging industry in developing and emerging economies is one of the key attributable factors driving the PET market. The industry in countries, such as China and India, is witnessing robust growth, owing to the vast demographics and rising spending power of people. As per the Packaging Industry Association of India, the Indian packaging market was valued at $50.5 billion in 2019, and it is expected to reach $204.81 billion by 2025, registering a CAGR of 26.7% during 2020–2025. Further, PET-based packaging products are fully recyclable, which encourages producers and consumers to use these products over other types of packaging, in order to protect the environment. Therefore, with the increasing requirement for packaging, the demand for PET material is likely to increase in foreseeable future.
Restraints
Stringent government regulations related to safe use of PET materials and presence of substitute products, such as medium- and high-density polyethylene, could provide some hindrance to the PET market. For instance, in 2019, the Government of Maharashtra, India, has notified a ban on categories of plastic and thermocol, including less than 200 milliliters drinking water PET bottles, plastic bags for shopping, disposable thermocol cups and plates, and plastic straws.
PET Market Competitive Landscape
Some of the major companies operating in the global PET market include Indorama Ventures Public Company Limited, DAK Americas LLC, Far Eastern New Century Corporation, Jiangsu Sanfangxiang Group Co. Ltd., Alpek S.A.B. de C.V., and Nan Ya Plastics Corporation.
The study provides the historical as well the forecast size of the PET market.
Polyethylene Terephthalate Market Size Breakdown by Segments
The polyethylene terephthalate market report offers comprehensive market segmentation analysis along with market estimation for the period 2014–2030.
Based on Product Type
- Bottled Water
- Carbonated Soft Beverages
- Juices & Other Beverages
- Films & Sheets
- Food Packaging
- Non-Food Packaging
Based on End User
- Automotive & Transportation
- Packaging
- Electrical & Electronics
- Textiles
Geographical Analysis
- North America
- Europe
- Germany
- France
- U.K.
- Italy
- Spain
- Asia-Pacific (APAC)
- China
- India
- Japan
- South Korea
- Latin America (LATAM)
- Middle East and Africa (MEA)
- South Africa
- Saudi Arabia
