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The polyvinyl chloride (PVC) market size is forecast to increase by USD 35.03 billion at a CAGR of 7.48% between 2023 and 2028. The market growth analysis for PVC hinges on various factors, notably the increasing utilization of PVC in electrical and electronics applications, driven by its versatility and reliability. Technological advancements in PVC formulations further bolster market expansion, enabling the material to meet evolving industry demands for enhanced performance and sustainability. Additionally, the rising global recycling initiatives underscore the growing emphasis on environmental responsibility, positioning PVC as a preferred choice due to its recyclability and durability. Together, these trends signal promising prospects for the PVC market, fueling innovation and driving its adoption across diverse sectors.
The market showcases remarkable versatility and utility across various sectors, such as the automotive, electrical, and footwear industries. Renowned for its fire-retarding properties and durability, PVC is a cornerstone material in the construction and packaging industries. It dominates the Asia-Pacific market and contributes significantly to the global polyvinyl chloride market. PVC's attributes, including oil/chemical resistance, abrasion resistance, and good mechanical strength, make it ideal for applications ranging from profiles & tubes to films & sheets. With its lightweight nature, toughness, and footwear industry application, PVC continues to drive innovation and meet the evolving demands of diverse industries.
The market share growth by the ethylene dichloride segment will be significant during the forecast period. Ethylene dichloride (EDC) is an important raw material and intermediate in the production of PVC. EDC provides a high level of purity, contributing to the consistent quality of the PVC produced. Consistency in material properties is crucial for meeting specific performance requirements. PVC made from ethylene dichloride is versatile and can be formulated to meet a wide range of specifications. PVC can be easily processed through various methods, including extrusion, injection molding, and blow molding.
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The ethylene dichloride segment accounted for USD 33.76 billion in 2018. Furthermore, PVC made from EDC is recyclable, and recycling processes have been developed to reclaim and reuse PVC materials. This contributes to sustainability efforts and reduces the environmental impact of PVC products. PVC is a lightweight material, making it easy to handle and transport. This characteristic is advantageous in various applications, especially in construction, where ease of installation is important. Thus, these factors will promote the growth of the EDC segment and boost the growth of the global market during the forecast period.
Our researchers analyzed the market research and growth data with 2023 as the base year, along with the key market growth analysis, trends, and challenges. A holistic analysis of drivers, trends, and challenges will help companies refine their marketing strategies to gain a competitive advantage.
Rising global recycling initiatives is the key factor driving market growth. Increasing global awareness of environmental issues and a growing emphasis on sustainability have led to a surge in recycling initiatives. PVC, being a widely used polymer, is subject to scrutiny due to its environmental impact, particularly in terms of disposal. Advances in recycling technologies have enabled the development of more efficient processes for recycling PVC. These technologies focus on breaking down PVC products into recyclable materials and reducing the environmental footprint associated with PVC disposal.
Furthermore, initiatives for closed-loop systems, where PVC products are collected, processed, and reintroduced into the manufacturing cycle, contribute to reducing the demand for virgin PVC and minimizing the environmental impact associated with its production. Regulatory bodies are implementing policies to encourage recycling and discourage the disposal of PVC waste in landfills. Extended producer responsibility (EPR) programs and waste management regulations aim to promote recycling practices will drive market growth during the forecast period.
The emergence of halogen-free fire retarding properties in PVC formulations is the primary trend shaping market growth. Fire retardants for PVC often contain halogens, such as bromine and chlorine. The combustion of halogen-containing materials can release toxic byproducts, raising environmental and health concerns. The shift toward halogen-free formulations aims to address these issues. Align with market trends and analysis, halogen-free fire-retardant PVC formulations aim to produce non-toxic combustion byproducts and reduce smoke emissions in the event of a fire.
In addition, ongoing advancements in additives, including phosphorus-based compounds and mineral fillers, are being explored as alternatives to traditional halogen-containing flame retardants. Furthermore, halogen-free fire-retardant PVC formulations are sought after in the construction industry, especially for applications in green building projects. Compliance with green building standards and certifications may require the use of environmentally friendly fire retardants. Hence, the emergence of halogen-free fire-retardant PVC formulations will drive market growth during the forecast period.
Competition from other plastics is a challenge that affects market growth. Polyethylenes, especially high-density polyethylene (HDPE) and low-density polyethylene (LDPE) compete with PVC in applications like pipes, packaging, and construction materials. Further, polyethylene terephthalate is a strong competitor in the packaging industry, particularly for bottles and containers. Its transparency, lightweight nature, and recyclability make it a preferred choice for packaging applications. Nylon is a competitor in applications requiring engineering plastics, such as automotive components, electrical connectors, and industrial machinery.
Furthermore, the growing emphasis on sustainability may lead industries to explore bioplastics as alternatives to PVC in certain applications such as packaging and automotive. Bioplastics offer the advantage of being derived from renewable resources. In addition, consumer preferences for eco-friendly packaging and products may drive industries to choose alternative plastics over PVC in applications where consumer sentiment plays a significant role. Hence, the competition from other plastics may impede market growth during the forecast period.
APAC is estimated to contribute 58% to the growth of the global market during the forecast period.
Technavio's analysts have provided extensive insight into the market forecasting, detailing the regional trends and drivers influencing the market's trajectory throughout the forecast period.
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The rapid urbanization and population growth in many APAC countries, such as India and China, have led to increased demand for housing, infrastructure, and consumer goods. PVC is widely used in construction, piping, and various consumer products, making it a crucial material in developing urban areas. In addition, PVC is used in the manufacturing of various automotive components, including wiring, cables, and interior materials, contributing to the overall demand for PVC. The production of consumer goods has driven the polyvinyl chloride market growth in the APAC region.
Additionally, its used in the manufacturing of a wide range of consumer products, including clothing, footwear, toys, and packaging materials, driving the demand. Concerns related to water management and the need for efficient water distribution and sewage systems drive the demand for PVC pipes in the APAC region. Also, the healthcare industry is using PVC in a variety of applications, such as medical tubing, IV bags, and surgical gloves. Thus, the rising demand for these products from hospitals and clinics is driving the growth of the global market during the forecast period.
Companies are implementing various market growth and forecasting strategies by analyzing factors such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product or service launches to enhance their presence in the market.
The report also includes detailed analyses of the competitive landscape of the market and information about 15 market companies, including:
Arkema Group, Berkshire Hathaway Inc., Dow Chemical Co., Formosa Plastics Corp., Huntsman International LLC, KEM ONE, Lanxess AG, LG Chem Ltd., Mitsubishi Chemical Group Corp., Occidental Petroleum Corp., Orbia Advance Corp. SAB de CV, Reliance Industries Ltd., Saudi Basic Industries Corp., Shin Etsu Chemical Co. Ltd., Sika AG, Solvay SA, The Sanmar Group, Westlake Corp., and Xinjiang Zhongtai Chemical Co. Ltd.
Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.
The market thrives on the versatile properties of vinyl chloride monomers, enhanced by chlorine atoms, offering fire retarding and oil/chemical resistance. With modifiers ensuring abrasion resistance, products boast light weight, good mechanical strength, and toughness, catering to diverse industries like automotive, electrical, and footwear. Particularly in the Asia-Pacific region, PVC exhibits economic viability, dominating end-user industries with applications ranging from profiles and tubes to films and sheets. Raw materials undergo polymerization processes like emulsion, suspension, microsuspension, and bulk/mass polymerization, reflecting in high production volumes of pipe & fittings, wire & cables, and various PVC products crucial for the automotive and electrical sectors.
The market spans across numerous sectors, including the automotive and electrical industries. Its renowned for its fire-retarding properties, durability, and oil/chemical resistance, and finds extensive use in pipes, fittings, profiles, tubes, films, sheets, wires, and cables. Its good mechanical strength and toughness make it indispensable in construction and packaging. The Asia-Pacific market significantly influences the global polyvinyl chloride market due to its economic viability and growth trends. Recent research reports highlight PVC's versatility and reliability, driving demand across diverse end-user industries worldwide, alongside its importance in footwear and bottle production.
The report forecasts market growth by revenue at global, regional & country levels and provides an analysis of the latest market growth and trends opportunities from 2018-2028.
Market Scope |
|
Report Coverage |
Details |
Page number |
177 |
Base year |
2023 |
Historic period |
2018-2022 |
Forecast period |
2024-2028 |
Growth momentum & CAGR |
Accelerate at a CAGR of 7.48% |
Market Growth 2024-2028 |
USD 35.03 billion |
Market structure |
Fragmented |
YoY growth 2023-2024(%) |
7.16 |
Regional analysis |
APAC, North America, Europe, Middle East and Africa, and South America |
Performing market contribution |
APAC at 58% |
Key countries |
US, China, India, Germany, and UK |
Competitive landscape |
Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks |
Key companies profiled |
Arkema Group, BASF SE, Berkshire Hathaway Inc., Dow Chemical Co., Formosa Plastics Corp., Huntsman International LLC, KEM ONE, Lanxess AG, LG Chem Ltd., Mitsubishi Chemical Group Corp., Occidental Petroleum Corp., Orbia Advance Corp. SAB de CV, Reliance Industries Ltd., Saudi Basic Industries Corp., Shin Etsu Chemical Co. Ltd., Sika AG, Solvay SA, The Sanmar Group, Westlake Corp., and Xinjiang Zhongtai Chemical Co. Ltd. |
Market dynamics |
Parent market analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, Market condition analysis for the forecast period |
Customization purview |
If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized. |
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1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation by Raw Material
7 Market Segmentation by Application
8 Customer Landscape
9 Geographic Landscape
10 Drivers, Challenges, and Trends
11 Vendor Landscape
12 Vendor Analysis
13 Appendix
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