The plastic films market is estimated to be valued at 105 billion in 2023 and is expected to exhibit a CAGR of 7.2% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Plastic films are thin laminate materials made from polymers such as polyethylene, polypropylene, polyvinyl chloride, polyethylene terephthalate and others. They have properties such as durability, flexibility and lightweight. Common uses of plastic films include packaging, labeling, construction materials, agriculture and others. In the packaging industry, plastic films are used to manufacture various kinds of flexible packaging such as plastic bags, shrink films, stretch films, pouches and others. Their barrier properties and ability to enhance shelf-life of products drives their demand in the food and pharmaceutical industries.
Market Dynamics:
The growth of the plastic films market is driven by increasing demand from the thriving packaging industry. The packaging industry has been growing rapidly due to rising e-commerce industry. Growing consumer preference for packaged and branded products has led to increased demand for flexible packaging solutions. Plastic films are lightweight, flexible and cost effective and offer excellent barrier properties against moisture, oxygen and other external elements. Hence, plastic films are the primary raw material used in manufacturing flexible packaging for food, beverages and other consumer products. Another major driver has been the significant growth of the agriculture sector which demands plastic films as greenhouse covers, silage films and mulch films. Plastic films help increase crop yield by regulating temperature, sunlight and controlling weeds. Expansion of the agricultural sector in developing economies is expected to present lucrative growth opportunities for plastic films market over the forecast period.
Segment Analysis
The global plastic films market is segmented based on polymer type, film type, end-use industry, and region. Among polymer types, polyethylene dominated the market in 2022, accounting for over 30% share. Polyethylene films offer excellent strength, clarity, and toughness properties which make them suitable for a wide range of applications like packaging, lamination, and construction. Among film types, stretching films accounted for the largest share in 2022 owing to its extensive use for unit load containment applications in the global logistics industry.
PEST Analysis
Political: Regulations around the usage of single-use plastic films are getting stringent globally, especially in Europe and North America to reduce plastic waste. This is prompting manufacturers to develop bio-based and recyclable plastic films.
Economic: The growing e-commerce industry is driving demand for plastic packaging films. Also, resurgent construction activities in developing nations are fueling plastic films consumption in building & construction applications.
Social: Rising health & environmental consciousness among consumers is increasing preference for sustainable plastic films made from recycled content or bio-based polymers.
Technological: Advances in polymer chemistry and film extrusion/lamination processes are enabling manufacturers to develop plastic films with enhanced properties and functionality at reduced costs.
Key Takeaways
The global Plastic Films Market Size is expected to witness high growth, exhibiting CAGR of 7.2% over the forecast period, due to increasing demand from the packaging industry. The packaging end-use segment accounted for over 40% share of the global market in 2023, favored by rising e-commerce activities and demand for high-barrier plastic films. Asia Pacific dominated the market with over 35% share in 2023 led by China, India, and other developing economies rapidly industrializing their manufacturing sectors and infrastructural development. The region is estimated to continue its dominance driven by growing manufacturing and construction activities. Key players operating in the plastic films market are The Dow Chemical Company, DuPont, Eastman Chemical Company, Evonik Industries AG, Amcor Limited, Berry Plastics Corporation, Griffon Corporation Inc., Mitsubishi Chemical Holdings Corporation, Saudi Basic Industries Corporation (SABIC), and Honeywell International Inc. These players are focusing on capacity expansions, acquisitions, and new product launches to strengthen their market presence.
Regional analysis
Asia Pacific exhibited the fastest growth in demand for plastic films market during the historical period due to rapidly expanding economies like China and India. China accounted for over 25% share of the regional market primarily driven by the country’s huge manufacturing base and export-oriented growth model promoting plastic film consumption.
Key players
Key players operating in the plastic films market are The Dow Chemical Company, DuPont, Eastman Chemical Company, Evonik Industries AG, Amcor Limited, Berry Plastics Corporation, Griffon Corporation Inc., Mitsubishi Chemical Holdings Corporation, Saudi Basic Industries Corporation (SABIC), and Honeywell International Inc.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemicals and materials, defense and aerospace, consumer goods, etc.