Analysis of Polyethylene Terephthalate (PET) Market: Assessment of Market Size, Trends, Statistics, and Competitors
Global Polyethylene Terephthalate (PET) Market by Type (Virgin and Recycled), by Application (Packaging, Films & Sheets, Consumer Goods, and Others), and by Region (North America, Europe, Asia Pacific, Latin America, and the Middle East & Africa) – Market Size, Share, COVID-19 Impact, Regional Analysis & Forecast Till 2030
Category - Chemical & Materials
Report Code - OMR-CM-284
Format: PDF, PPT, and Excel
Polyethylene Terephthalate (PET) Market Overview
Polyethylene terephthalate (also known as polyethylene terephthalate or PET, PETE, or the now-defunct PETP or PET-P) is a thermoplastic polymer resin widely used in textile fibers, food and liquid packaging, industrial thermoforming, and engineering resins when combined with glass fiber. PET is made up of (C10H8O4) units, which are repeated. The resin identification code (RIC) for PET is number 1, which indicates that it can be recycled frequently. Depending on its manufacturing and thermal history, polyethylene terephthalate can be either an amorphous (clear) or semi-crystalline polymer. Polyethylene terephthalate is expected to enter new markets due to the rising need for lightweight packaging solutions in the electronics and food industries. Furthermore, competition is anticipated to grow fiercer as time goes on. As a result, businesses are working to improve their standing in the market by creating cutting-edge technologies. In addition, businesses are investing in PET's advantageous production techniques, which produce high-quality products at low costs. The plastic production process is extremely polluting and profoundly impacts the natural environment. Hence strict government limits have been put on plastic use. Many people were forced to turn to internet shopping because of government restrictions on people's movement caused by the COVID-19 epidemic. As a result, the online retail industry experienced a surge in demand for packaging and wrapping materials.
Polyethylene Terephthalate (PET) Market Growth Factors
Rising Adoption of Recycled PET and Widening Demand from the Packaging Sector to Engulf Market Viability
As packaging, food & beverage, and automotive sectors increase their need for recycled PET, the market stands to benefit from substantial expansion potential. In response to rising greenhouse gas emissions and pollution caused by plastic garbage, some of the most important firms in this market are concentrating on developing innovative recyclable plastics. Plus, kilotons of used PET bottles and containers are recycled yearly, making this polymer very recyclable. The product's ability to be discarded after a single use has also contributed to its popularity. The PET Resin Association claims that polyethylene terephthalate (PET) is the most commonly recycled plastic worldwide. Every year, the United States recycles more than 680 kilotons of used PET bottles and containers. The product's ability to be discarded after a single use has also contributed to its popularity. As a result, more and more people opt to use straws, bottles, cups, containers, and utensils made from PET. These elements will contribute to the market's growth in the future. PET is commonly used for packaging beverages and consumer, personal care, and culinary products because it can be easily molded and extruded into plastic bottles and containers.
Surging Demand from the Food & Beverage Sector to Activate Factors for Boosted Revenue
Because of the widespread usage of PET-based packaging items in the beverage and food sectors, this sector is a large user of PET resins. Containers (including bottles, jars, and tubs), thin-oriented films (including bags and snack food wrappers), and somewhat rigid sheets for thermoforming (including trays and blisters) are the three primary uses of PET in the packaging industry. Takeout containers, frozen food containers, fizzy beverages and juice containers, ketchup, bottled water, jars, and baked goods containers are all common places to find PET-based packaging products. They are also used for clamshells, deli containers, and microwaveable food trays in the food business. Due to strict rules on food-grade packaging and food compatibility, only approved manufacturers can use food-grade materials. The American FDA 177.2600 requirements are followed by most of the world's major food and beverage container producers. In addition, companies with a global presence that export food items must adhere to European Union (VO) 1935/2004 or Chinese GB 4806 and GB 9685 standards.
Polyethylene Terephthalate (PET) Industry Segmentation
Type
• Virgin
• Recycled
Application
• Packaging
o Food Packaging
Beverage Packaging
Carbonated Beverages
Alcoholic Beverages
o Non-Food Packaging
• Films & Sheets
• Consumer Goods
• Others
Polyethylene Terephthalate (PET) Market Regional Segmentation
North America
o U.S.
o Canada
o Mexico
Europe
o Germany
o U.K.
o France
o Spain
o Italy
o Rest of Europe (RoE)
Asia Pacific (APAC)
o Japan
o China
o India
o South Korea
o Rest of APAC
Latin America
o Argentina
o Brazil
o Rest of Latin America
Middle East & Africa
o South Africa
o UAE
o Saudi Arabia
o Rest of MEA
Application Insights
Packaging Applications to Widen its Berth as Consumption of Alcoholic and Non-Alcoholic Beverages Soar
The global market can be segmented across packaging, films & sheets, consumer goods, and others based on applications.
In 2022, packaging was the most prominent use case. Over the next few years, polyethylene and PET will likely see increased demand due to the expansion of the packaging business, which is propelled by rising consumerism levels in developing nations. The demand for PET in this sector is affected by the numerous standards set forth by regulatory authorities for the appropriate use of packaging materials in food contact applications.
Meanwhile, the demand for PET in films & sheets is anticipated to be largely driven by the rising use of food containers in emerging nations like China and India. These storage containers are attractive and functional, providing insulation for their holding. Additionally, microwave-safe containers are contributing to the expansion of the films and sheets market. Customers throughout the world favor microwaveable food containers because of the convenience they provide.
Regional Insights
Asia Pacific to Dominate Global Sales as Demand for Engineered Plastic Products Rise
Based on location proximity, the global market can be fragmented across North America, Europe, Asia Pacific, Latin America, and the Middle East and Africa.
Population expansion, increased disposable income, urbanization in developing nations, and surging demand for fast-moving consumer products are all driving forces in the Asia-Pacific PET market. PetroChina Group and Jiangsu Sangfangxiang are two of the world's largest PET resin producers, each with more than 2 million tons of annual production capabilities. Engineering plastic products are seeing rapid adoption in the packaging industry because of the many benefits they offer over more traditional packaging polymers. Packaging materials are in high demand in China because of rising exports and domestic consumption, particularly in the food and beverage and consumer products sectors. Due to rising demand in nations like India and China, the electronics sector in the Asia-Pacific region has expanded quickly in recent years. Due to the country's low labor cost and lenient rules, China provides a robust, beneficial market for electronics manufacturers. In 2021, the consumer electronics and home appliance market was worth CNY 934.64 billion (about USD 138 million), as reported by the National Bureau of Statistics of China.
North America is well-established compared to markets in Asia and the Pacific. Due to the strict rules in those two regions, manufacturers have relocated their operations from the United States and Europe to the growing economies of Asia and the Pacific, particularly China and India. Land and trained workers are more affordable in these nations. High demand from various end-use sectors, such as the automobile, construction, electronics, packaging, and others, has made the U.S. a relatively mature but rising PET market. Consumer spending and confidence have increased dramatically due to the economy's rebound from the recession.
Since PET straps are becoming increasingly popular, the Latin American market is expected to expand gradually. Much mechanical strength is packed into these straps, ideal for transporting and storing products on pallets and for tying loads together. The e-commerce and healthcare industries in the Middle East and Africa will display significant future market growth.
Polyethylene Terephthalate (PET) Industry Analysis
The bulk of the major firms has merged their resin manufacturing and shipping departments to boost product quality and broaden their footprint in the market. As a result, businesses have been able to cut costs and increase their profit margins. In addition, businesses are putting resources into research and development (R&D) to expand their product lines and better meet the changing needs of their customers.
Indorama Ventures, Sabic, DuPont, and Reliance Industries are some of the major manufacturers with a presence in the industry. These businesses constantly develop new products, expand their production capabilities, form partnerships, and acquire other businesses. For instance, Indorama Ventures has 19 PET production units in 11 countries across four continents.
Polyethylene Terephthalate (PET) Market Recent Developments
• In October 2022, A PET recycling facility in the Philippines has been announced as being opened by Indorama Ventures Public Company Limited. The firm teamed up with Coca-Cola Beverages Philippines to accomplish this. The collaboration was formed to increase profit margins.
• In February 2022 the agreement to buy OCTAL Holding SAOC ("Octal") was recently inked by Alpek. The purchase will strengthen Alpek's global presence, and the company's value-added production options for polyethylene terephthalate sheets will improve.
• In January 2022, Indorama Ventures has proposed buying NN, a PET converter, in Vietnam. The corporation is now working on a plan to acquire NN stock. The planned purchase will help IVL improve its standing in the rapidly expanding packaging business in Asia and the Pacific.
Global Polyethylene Terephthalate (PET) Market Prominent Players
• SABIC (Saudi Arabia)
• Far Eastern New Century (Taiwan)
• DAK Americas (U.S.)
• Dupont (U.S.)
• Reliance Industries (India)
• Jiangsu Sanfangxiang Group Co., Ltd. (China)
• Lotte Chemical Corporation (South Korea)
• Octal Petrochemicals (U.S.)
• Indorama Ventures (Thailand)
• Nan Ya Plastics Corporation (South Korea)
Frequently Asked Questions (FAQs)
At what rate will the Polyethylene Terephthalate (PET) Market Expand?
According to Objective Market Research, the market for polyethylene terephthalate (PET) would grow at a CAGR of 6.0% during the course of the forecast year.
What are the factors driving the global Polyethylene Terephthalate (PET) market?
The global polyethylene terephthalate (PET) market is estimated to grow during the forecast period owing to rising demand from the packaging sector during the pandemic, increasing growth for recycled PET, and widening utilization from frozen and processed foods.
Which segment accounted for the largest Polyethylene Terephthalate (PET) market share by application?
Packaging was the most prevalent use case in 2022. Demand for polyethylene and PET is expected to rise in the next years due to the growth of the packaging industry, which is driven by rising consumer spending in developing countries.
What region holds the major share in the global market scape?
The Asia-Pacific PET market is driven by population growth, increasing disposable income, urbanization in developing countries, and rising demand for fast-moving consumer goods.
Which are the dominating players in the market during the forecast period?
Some of the dominating players in the global polyethylene terephthalate (PET) market are Jiangsu Sanfangxiang Group Co., Ltd. (China), Lotte Chemical Corporation (South Korea), Octal Petrochemicals (U.S.), Indorama Ventures (Thailand), and Nan Ya Plastics Corporation (South Korea), among others.
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Table of Content
1. Introduction
1.1 Market Definition
1.2 Objective of the Study
1.3 Market Scope
1.4 Years Considered in the Study
1.4.1 Historic Year: 2019-2021
1.4.2 Base Year: 2022
1.4.3 Forecast Period: 2023-2030
1.5 Currency Used in the Study
1.6 Boundaries for the Study
1.7 Collaborators/Stakeholders/Benefactors
2. Research Methodology
2.1 Research Outline
2.2 Data Collection Methods
2.3 Data Sources
2.3.1 Secondary Sources
2.3.1.1 Paid Sources
2.3.1.2 Unpaid Sources
2.3.2 Primary Sources
2.4 Market Estimation Methodology
2.4.1 Top-Down Approach
2.4.2 Bottom-Up Approach
2.5 Data Triangulation
2.6 Assumptions of the Study
2.7 Limitations of the Study
3. Executive Summary
3.1 Market Outlook
3.2 Analysts Perspective
4. Market Overview
4.1 Market Dynamics
4.1.1 Drivers
4.1.1.1. Increasing Demand from the F&B Sector
4.1.1.2. Widening Demand for Recycled PET Products
4.1.2. Restrain
4.1.2.1. High Impact on Nature During Production
4.1.3. Opportunities
4.1.3.1. Rising Instances of People Ordering Takeout
4.1.4. Impact of Market Dynamics
4.2. Impact of COVID-19 pandemic
4.3. Value Chain Analysis
4.4. Porter’s Five Forces Analysis
4.2. Impact of COVID-19 pandemic
4.3. Value Chain Analysis
4.4. Porter’s Five Forces Analysis
5. Global Polyethylene Terephthalate (PET) Market Analysis & Forecast, by Type from 2019-2030 (in USD million) (in tons)
5.1. Type
5.2. Recycled
6. Global Polyethylene Terephthalate (PET) Market Analysis & Forecast, by Application from 2019-2030 (in USD million) (in tons)
6.1. Packaging
6.1.1. Food Packaging
6.1.1.1. Beverage Packaging
6.1.1.2. Carbonated Beverages
6.1.1.3. Alcoholic Beverages
6.1.2. Non-Food Packaging
6.2. Films & Sheets
6.3. Consumer Goods
6.4. Others
7.1. North America
7.1.1. North America Polyethylene Terephthalate (PET) Market Analysis & Forecast, By Country
7.1.1.1. U.S.
7.1.1.2. Canada
7.1.1.3. Mexico
7.1.2. North America Polyethylene Terephthalate (PET) Market Analysis & Forecast, By Type
7.1.3. North America Polyethylene Terephthalate (PET) Market Analysis & Forecast, By Application
7.2. Europe
7.2.1. Europe Polyethylene Terephthalate (PET) Market Analysis & Forecast, By Country
7.2.1.1. Germany
7.2.1.2. UK
7.2.1.3. France
7.2.1.4. Spain
7.2.1.5. Italy
7.2.1.6. Rest of Europe (RoE)
7.2.2. Europe Polyethylene Terephthalate (PET) Market Analysis & Forecast, By Type
7.2.3. Europe Polyethylene Terephthalate (PET) Market Analysis & Forecast, By Application
7.3. Asia-Pacific (APAC)
7.3.1. Asia-Pacific Polyethylene Terephthalate (PET) Market Analysis & Forecast, By Country
7.3.1.1. Japan
7.3.1.2. China
7.3.1.3. India
7.3.1.4. South Korea
7.3.1.5. Rest of the APAC
7.3.2. Asia-Pacific Polyethylene Terephthalate (PET) Market Analysis & Forecast, By Type
7.3.3. Asia-Pacific Polyethylene Terephthalate (PET) Market Analysis & Forecast, By Application
7.4. Latin America
7.4.1. Latin America Polyethylene Terephthalate (PET) Market Analysis & Forecast, By Country/Region
7.4.1.1. Argentina
7.4.1.2. Brazil
7.4.1.3. Rest of Latin America
7.4.2. Latin America Polyethylene Terephthalate (PET) Market Analysis & Forecast, By Type
7.4.3. Latin America Polyethylene Terephthalate (PET) Market Analysis & Forecast, By Application
7.5. Middle East & Africa
7.5.1. Middle East & Africa Polyethylene Terephthalate (PET) Market Analysis & Forecast, By Country/Region
7.5.1.1. South Africa
7.5.1.2. UAE
7.5.1.3. Saudi Arabia
7.5.1.4. Rest of Middle East & Africa
7.5.2. Middle East & Africa Polyethylene Terephthalate (PET) Market Analysis & Forecast, By Type
7.5.3. Middle East & Africa Polyethylene Terephthalate (PET) Market Analysis & Forecast, By Application
7. Global Polyethylene Terephthalate (PET) Market Analysis & Forecast, by Region from 2019-2030 (in USD million) (in tons)
8. Competitive Landscape
8.1. Market Share Analysis (2022)
8.2. Market Positioning of Top Players (2022)
8.3. Key Developments & Growth Strategies (2020-2022)
8.3.1. Product Launches
8.3.2. Merges, Collaborations & Agreements
8.3.3. Expansion
8.4. SWOT Analysis
9. Company Profiles (Business Overview, Products Offered, Financial Details*, Recent Developments)
9.1. SABIC (Saudi Arabia)
9.1.1. Company Snapshot
9.1.2. Business Overview
9.1.3. Financial Data
9.1.4. Key Products Offered
9.1.5. Recent Developments
9.2. Far Eastern New Century (Taiwan)
9.3. DAK Americas (U.S.)
9.4. Dupont (U.S.)
9.5. Reliance Industries (India)
9.6. Jiangsu Sanfangxiang Group Co., Ltd. (China)
9.7. Lotte Chemical Corporation (South Korea)
9.8. Octal Petrochemicals (U.S.)
9.9. Indorama Ventures (Thailand)
9.10. Nan Ya Plastics Corporation (South Korea)
9.11. Others
10. Appendix
10.1. Currency Exchange Rate to USD
10.2. Abbreviations
* Financial details captured might be subjected to information available and not be given for privately-held companies or for companies that do not report it in the public domain