North America Engineering Plastic Compound Market - Forecast(2023 - 2028)

North America Engineering Plastic Compound Market Overview 

North America Engineering Plastic Compound Market size is forecast to reach US$32.1 billion by 2026, after growing at a CAGR of 6.8% during 2021-2026. Engineering plastic compounds such as polyethylene terephthalate, acrylonitrile butadiene styrene, fluoropolymers, polyamide, and more are utilized in various applications because they are highly flexible, durable, have good mechanical characteristics, and more. The demand for the engineering plastic compound industry in the North American region is increasing, owing to its increasing demand from the packaging industry in the region. Moreover, the engineering plastic compound industry is also getting benefited by the growing construction activities in the North American region. Furthermore, the increasing demand for medical and healthcare is further aiding the market growth in the North American region.

COVID-19 Impact 

The coronavirus in 2020 forced the North American government to impose strict measures to curb the spread of the disease. As a result, a logistics problem occurred in the region, affecting plastic production and, which negatively harmed market growth in North America. For instance, according to International Trade Administration (ITA), in Mexico, the plastic production in 2019 was US$21.9 billion and in 2020 it was US$19.43 billion, a decline of 11.2%. However, in 2021 the market was not impacted by the COVID-19 pandemic because the North American government imposed timely measures. Adding to this, it is forecasted that the COVID-19 pandemic will end by mid-2022, resulting in the further growth of the market in the North American region. 

Report Coverage 

The report: "North America Engineering Plastic Compound Market–Forecast (2021-2026)”, by IndustryARC, covers an in-depth analysis of the following segments of the North America Engineering Plastic Compound Market. 

By Type: Polybutylene Terephthalate (PBT), Polyethylene Terephthalate (PET), Acrylonitrile Butadiene Styrene (ABS), Polycarbonate (PC), Polymethyl Methacrylate (PMMA), Polyoxymethylene (POM), Polyphenylene Oxide, Polyamide (PA), Polyphenylene Sulfide (PPS), Liquid Crystal Polymers (LCP), Polyether Ether Ketone (PEEK), Styrene-Acrylonitrile (SAN), Polyimides (PI), Thermoplastic Elastomer (TPE), Polyvinyl Chloride (PVC), Polyetherketone (PEK), Fluoropolymers, Polyketone (PK), and Others.
By End-Use Industry: Automotive (Bumpers, Dashboards, Engine Parts, Seating, Doors, and Others), Aerospace, Marine (Hulls, and Sails), Electrical and Electronics (Smartphones, Laptop, Switches, Refrigerator, Washing Machine, Television, and Others), Packaging (Containers, Bottles, Drums, Cups, and Others), Building and Construction (Piping and Conduit, Claddings, Insulation, Seals and Gaskets, and Others), Furniture (Bedding, Domestic Furniture, Upholstery, and Others), Military (Helmets, Body Amours, Communication Equipment, Tanks, and Others), Medical and Healthcare (Syringes, Blood Bags, Medical Devices, Dialysis Machine, and Others), Oil and Gas (Topside, Pipelines, Downhole, and Others), Sports & Leisure (Ballgames, Tennis, Water Sports, Winter Sports, and Others), Energy (Wind Energy, Solar Energy, and Others), and Others.
By Country: USA, Canada, and Mexico.

Key Takeaways 

• USA region dominates the engineering plastic compound market, owing to the increasing syringe production in the region. For instance, in May 2020 the US Department of Health and Human Services (HHS) and Department of Defense (DOD) funded US$138 million for the production of the syringes. 
• Thermoplastic polyesters, such as acrylonitrile butadiene styrene (ABS), polybutylene terephthalate, and others, have performance advantages such as easy bendability, high strength, and shrink resistance; as a result, demand for the engineering plastic compound is rising in the region. 
• The increasing consumer demand for electronic and electrical goods in the region is further propelling the growth of the market. 
• However, the availability of the other low-end engineering polymers resins is posing a major challenge for the market growth in the North American region.
  
  

Figure: USA Engineering Plastic Compound MarketRevenue, 2020-2026 (US$ Million)

The polyethylene terephthalate (PET) segment held the largest share in the North American engineering plastic compound market in 2020 and is growing at a CAGR of 7.1% during 2021-2026. Polyethylene terephthalate is thermoplastic polyester widely utilized in engineering plastic compounds because when compared with other types it has high strength. Also, when compared with acrylonitrile butadiene styrene, it is more environmentally friendly and less toxic, this is benefiting the market growth in the region. Moreover, polyethylene terephthalate engineering plastic compound used in food packaging has been approved by the U.S Food and Drug Administration (FDA) in the North American region. Due to these factors, the polyethylene terephthalate (PET) segment will drive the growth of the North America engineering plastic compound market in the future forecast period. 

North America Engineering Plastic Compound Market Segment Analysis – By End-Use Industry 

The automotive segment held the largest share in the North America engineering plastic compound market in 2020 and is growing at a CAGR of 9.2% during 2021-2026. Engineering plastic compound is utilized in automotive application such as bumpers, dashboards, engine parts, and more, owing to the increasing awareness of the importance of decreasing vehicle weight and increasing fuel economy. The growing production of light commercial vehicles in the region is fueling the market growth in the North American region. For instance, according to OrganisationInternationale des Constructeursd'Automobiles(OICA), in 2018 the production of light commercial vehicles in Canada was 1,348,932 and in 2019 it was 1,431,904, an increase of 6.2%. Also, increasing demand for electric cars in the region is further boosting the market growth. For instance, according to the International Energy Agency (IEA), in the year 2018, the sales of electric cars in Mexico were 20,000 and in 2019, it was 27,000, an increase of 35%. Thus, the growing demand for the automotive segment will drive the growth of the North America engineering plastic compound market in the future forecast period. 

North America Engineering Plastic Compound Market Segment Analysis – By Country 

The USA held the largest share in the North America engineering plastic compound market in 2020 up to 58.4%, owing to its increasing utilization in automotive, packaging, and more. The increasing demand for electric vehicles in the US region is boosting the demand for the engineering plastic compound market. For instance, according to Argonne National Laboratory, in March 2021, the sales of the hybrid-electric vehicle were at all-time highest 75,959 units. The increasing food and beverage industry is propelling the demand for the packaging industry, which is boosting the market growth in North America. For instance, according to the United States Department of Agriculture, in January 2019 the sales of food and beverage products were US$12.23 billion, and in January 2020 it was US$12.28 billion, an increase of 0.4%. Due to these factors, the USA region will drive the growth of the North America Engineering Plastic Compound Market in the future forecast period.