The growing nonwoven polypropylene fiber industry and increasing use of polypropylene in the packaging industry are driving the growth of the propylene market. Due to the above-mentioned factors, the industry is projected to generate $165.6 billion revenue in 2030, growing at a CAGR of 5.7% during 2020–2030.
COVID-19 had an influence on nearly every industry, including polypropylene, in 2020. During these times, plastics companies have seen a decrease in the demand for such products from end-use industries. The pandemic, along with the low crude prices, has drastically altered the dynamics of chemical manufacturing. Due to the lockdown in several nations, including China, India, the U.S., Italy, Spain, Germany, and the U.K., the manufacturing of different items was halted in an attempt to slow the spread of the disease.
In 2020, the global polypropylene market was impacted by the declining demand for this polymer. However, the advent of new market possibilities, such as polypropylene gloves, nonwoven polypropylene for N95 masks, and polypropylene plungers in the medical industry, propelled the market growth. Apart from that, the declining prices of crude oil allowed for the low-cost manufacturing of polypropylene. Nevertheless, the output remained low owing to supply chain and operational constraints. Furthermore, as a result of the wide adoption of polypropylene in the packaging industry, the market is stabilizing, and it is set to advance significantly in the future.
The polypropylene market is categorized into homopolymer and copolymer, on the basis of type. Out of these two, the homopolymer category generated larger revenue in the market in 2020. During the forecast period, the homopolymer category is expected to maintain its market dominance due to the fact that the higher strength-to-weight ratio of homopolymer polypropylene makes it stronger and stiffer than the copolymer variant. These characteristics, along with its strong chemical resistance and weldability, make it an excellent choice for many corrosion-resistant objects.
Further, the market for polypropylene is categorized into injection molding, film & sheet, raffia, fiber, blow molding, and others, on the basis of application. Among these, the injection molding category accounted for the largest market share, in terms of value, and further, it is projected to maintain its dominance in the coming years. This will be due to the enormous amount of polypropylene used in the production of home, automobile, marine, and recreational products via injection molding. Thus, the growing demand for molded products, such as rigid containers, will fuel the market advance in this category throughout the forecast period.
Geographically, Asia-Pacific (APAC) region was the largest contributor of the polypropylene market in 2020, and it is expected to continue to dominate the market during the forecast period. This is primarily attributed to the establishment of new production facilities, innovations in flexible and rigid packaging, and presence of several key players in the region.
Key Players in the polypropylene market have been involved in launching a number of products in order to gain a significant competitive advantage. For instance, in December 2021, SOCAR Polymer expanded its portfolio of high-performance polypropylene resins with the addition of its first pair of random copolymers (RCPs). These resins, created via thin-wall injection molding, yield rigid packaging (TWIM), along with a host of other benefits.
Similarly, in October 2019, Borealis AG and Abu Dhabi Polymers Company Ltd. (Borouge) launched a series of new mono material pouch solutions based on polyethylene (PE) and polypropylene. The products are designed specifically for recycling, in collaboration with value chain partners.
Major companies in the global polypropylene market include LyondellBasell Industries B.V., SABIC, Sinopec Group, PetroChina Company Limited, Reliance Industries Limited, Braskem S.A., Total S.A., Formosa Plastic Corporation, Exxon Mobil Corporation, INEOS Group Holdings S.A. , and Borealis AG.