Low-Density Polyethylene Market size is forecast to reach US$54.8 billion by 2026, after growing at a CAGR of 4.8% during 2021-2026. Low-density polyethylene (LDPE) is a thermoplastic resin that is manufactured at a high pressure ranging from 0.910g/cc to 0.940g/cc resulting in low tensile strength but with high ductility. The growing demand for low-density polyethylene (LCPs) in the construction, packaging, and automotive industry is expected to be the key growth driver during the forecast period. It is non-toxic, non-contaminating, and resistant against impact, moisture, chemicals, tear, and stress crack. Owing to these properties, it is widely used in the production of packaging, trash bins, floor tiles, shipping envelopes, and dropper bottles. Moreover, its renewability and electrical insulating properties have resulted in the expanding application of the LDPE in several end-use industries across the globe. However, substitute products such as polyethylene terephthalate, acrylonitrile butadiene styrene, and linear low-density polyethylene might hamper the low-density polyethylene Market growth in the forecast period.
COVID-19 Impact
The COVID 19 outbreak has impacted the development of the low-density polyethylene (LDPE) industry owing to the lockdown measure in various regions such as Asia-Pacific, North America, and others. Delay in manufacturing of low-density polyethylene (LDPE) which are utilized in construction and automotive have experienced a downfall as the governments of several countries have imposed lockdowns that have forced people to stay at home, which, in turn, has reduced the physical interaction among people along with the commercial work. The escalating focal point on remote working is expected to restrict the growth of the construction industry, which, in turn, is likely to hamper the growth of the low-density polyethylene market.
Low-Density Polyethylene Market Segment Analysis - By Product Type
The films segment held the largest share in the low-density polyethylene Market in 2020. Uprising demand for films as well as sheets for packaging, electronics, and other applications is anticipated to drive the growth of the low-density polyethylene (LDPE) market over the forecast period. LDPE is one of the most frequently used packaging films in the packaging industry owing to its flexibility and toughness. Apart from film uses, LDPE is used as heat seal coatings, board, extruded onto paper, and aluminum foil, as well as for lamination. Most importantly, they are not single-use plastic and can be recycled for low-grade uses, such as bin liners.
Low-Density Polyethylene Market Segment Analysis - By Application
The packaging segment held the largest share in the low-density polyethylene Market in 2020 up to 35% and is expected to grow significantly during the forecast period. The packaging market is growing as low-density polyethylene is rapidly endorsing its trade in food and beverage packaging as well as construction. The Indian packaging sector has witnessed considerable growth largely due to increased globalization of trade in goods and services and the emergence of new trade models, such as e-commerce and organized retailing. As per the Indian Institute of Packaging, the packaging consumption in India has increased to 200% in the past decade, rising from 4.3 to 8.6 kg per person per annum. The rising growth of the packaging industry will drive the demand for the low-density polyethylene market in the forecast period.
Request for Sample Report @ https://www.industryarc.com/pdfdownload.php?id=16057
Report Price: $ 4500 (Single User License)
Low-Density Polyethylene Market Segment Analysis - By End-Use Industry
The construction segment held the largest share in the Low-Density Polyethylene Market in 2020 and is growing at a CAGR of 6.5% during 2021-2026. Low-density polyethylene can be blended with virgin plastic to reduce cost without sacrificing performance. Consuming plastics as a primary construction material is sufficient to encounter the average annual energy needs of 4.6 million US households which is equivalent to all the households in 11 out of 50 states. The rapid increase in applications like roofing tiles, concrete for sideways, driveways, and more for its properties like lighter material, durability, long term energy saving are certainly impacting the growing demand of the low-density polyethylene market. It also provides a corrosion protection layer for work surfaces. The construction sector is expected to be the fastest-growing market due to high demand, particularly in the emerging economies which drive the low-density polyethylene market in the forecast period.
Low-Density Polyethylene Market Segment Analysis - By Geography
Asia-Pacific region held the largest share of 37% in the Low-Density Polyethylene Market in 2020 followed by North America and Europe. The rapidly growing demand from the construction industry along with packaging in food and beverages, owing to rising population particularly in emerging economies such as India and Indonesia are anticipated to drive demand for low-density polyethylene (LDPE). It is outlined that partially spending of the global construction is coming from Asia-Pacific countries, with China, India, Indonesia, Japan, and Malaysia showing the greatest potential for expansion. According to International Trade Administration, China is expected to witness an increase in construction industry revenue value from US$968 billion to US$1.1 trillion in 2019 -2021. Besides, In India, according to the Department for Promotion of Industry and Internal Trade (DPIIT), the construction development sector activities stood at US$25.93 billion between 2000-2020. Such continual expansion of these sectors is anticipated to drive the need for low-density polyethylene over the forecast period in Asia-Pacific.
Low-Density Polyethylene Market Drivers
Rising demand from Construction Industry in a different region
The global construction industry is the world's largest consumer of raw materials. The construction taking place for the development in the different regions all over the world initiate to boost the low-density polyethylene market. The European construction industry is growing at a rapid pace due to low-interest rates, strong economic growth, and pent-up needs. For instance, 2021 real estate developer Artisan Real Estate announced its new US$78.7 million residential development named Kirkstall Place in the UK. On the other hand, the African construction industry has seen rapid growth for instance, Kenya has embarked on the construction of a US$14.5 billion technology city in Machakos County in a bid to appeal to technology geniuses and financiers to boost its economic growth.
Demand from Food and Beverage Industry
Low-Density Polyethylene (LDPE) is extensively consumed in packagings like trays, plastic bags, and foils for both foods as well as nonfood purposes. It is used for packing snacks, bakery, dairy, and frozen items which helps in preserving these foodstuffs from pathogens and environmental factors. As one of the best applications is in milk cartons, where it forms part of multiple plastic layers. Thereby extending the shelf life as well as keeping the proper taste and nutrition value. Other applications are wrapping foil for packaging, garbage bags, ice cube plastic bags, and others. Rising demand from the food industry is driving the growth of the low-density polyethylene (LDPE) market.
Direct Purchase @ https://www.industryarc.com/purchasereport.php?id=16057
Low-Density Polyethylene Market Challenges
Alternative substitute and plastic ban may hinder the market
The rise of development in the cost-effective substitute like linear low-density polyethylene (LLDPE), polyethylene terephthalate (PET), acrylonitrile butadiene styrene (ABS), and high-density polyethylene (HDPE) is pulling back the growth of the market. On the other hand, waste plastic bags pollute the land and water and certainly have become a threat to the life of animals living on earth as well as in water. Due to which plastic ban took effect all over that prohibits the country from using single-use plastic in any factor, which might hamper the growth of low-density polyethylene market.
Low-Density Polyethylene Market Landscape
Technology launches, acquisitions, and R&D activities are key strategies adopted by players in the Low-Density Polyethylene. Major players in the Low-Density Polyethylene Market include:
Exxon Mobil
Dow Chemical Company
LyondellBasell
Reliance Industries Ltd.
The National Petrochemical Company
The China Petroleum and Chemical Corporation
Acquisitions/Technology Launches/ Product Launches
In October 2019, Dow announced the development of a new resin made with 70% recycled plastic. This new resin consists of low-density polyethylene (LDPE) into which recycled plastic shrink film is incorporated.
Key Takeaways
The Asia Pacific dominates the Low-Density Polyethylene Market owing to a rapid increase in the building and construction sector. For instance, according to Invest India, the Indian construction industry is anticipated to witness a CAGR of 15.7% to touch US$738.5 billion by 2022.
The market drivers and restraints have been assessed to understand their impact over the forecast period.
The report further identifies the key opportunities for growth while also detailing the key challenges and possible threats.
The other key areas of focus include the various applications and end-use industry in Low-Density Polyethylene Market and their specific segmented revenue.
Related Report:
Microcellular Polyurethane Foam Market
https://www.industryarc.com/Report/16523/microcellular-polyurethane-foam-market.html
For more Chemicals and Materials Market reports, please click here
About IndustryARC: IndustryARC primarily focuses on Cutting Edge Technologies and Newer Applications market research. Our Custom Research Services are designed to provide insights on the constant flux in the global supply-demand gap of markets. Our strong team of analysts enables us to meet the client research needs at a rapid speed, with a variety of options for your business. Any other custom requirements can be discussed with our team, drop an e-mail to sales@industryarc.com to discuss more about our consulting services.
Media Contact
Company Name: IndustryARC
Contact Person: Mr. Venkat Reddy
Email:Send Email
Phone: (+1) 970-236-3677
Address:Madhapur
City: Hyderabad
Country: India
Website: https://www.industryarc.com/
