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Polymethyl Methacrylate Market - Forecast(2023 - 2028)
Polymethyl Methacrylate Market Overview
The Polymethyl Methacrylate Market is forecast
to reach US$6.1 billion by 2027, after growing at a CAGR of 5.1% during the
forecast period 2022-2027. Polymethyl methacrylate
(PMMA) is a synthetic polymer that can be categorized into various types which
include extruded sheets, granules, pellets, acrylic beads, and more. According to the German Association of the
Automotive Industry (VDA), the global expenditure rose to US$ 51.5 billion in
2020, out of which the German automotive industry accounts for more than one-third
of total global R&D expenditure in the automotive sector. An increase in demand
from the automotive, and building & construction industries acts as the major driver for the market. On the other hand, factors limiting the
use of polymethyl methacrylate on applications requiring high rigidity may act
as a major constraint for the market.
COVID-19 Impact
There is no doubt that the COVID-19 lockdown
has significantly reduced automotive, and production activities as a result of the country-wise shutdown of automotive sites, shortage of labor,
and the decline of supply and demand chain all over the world, thus, affecting
the market. Studies show that the outbreak of COVID-19 sharply declined the
production of automotive in 2020 due to a lack of operations across multiple
countries around the world. According to OICA (International Organization of
Motor Vehicle Manufacturers), the production of automobiles decreased by 16% globally
in the year 2020, compared to 2019. However, a slow recovery in the automotive
industry has been witnessed across many countries around the world since 2021.
For instance, recent insights from OICA states that the total automobile
production in 2021 in Europe, America, Asia, and Africa increased by 25%, 17%,
28%, and 37% respectively in comparison to 2020.
In this way, a slow and steady increase in
automotive production activities is expected to increase the demand for polymethyl methacrylate since PMMA extruded sheets are primarily
used in windows of a
vehicle, motorcycle windshields, interior and exterior panels, instrument
covers, fenders, spoilers, and other automobile ancillaries. This indicates a
slow and steady recovery of the market in the upcoming years.
Report Coverage
The report: “Polymethyl Methacrylate Market – Forecast (2022-2027)”, by
IndustryARC covers an in-depth analysis of the following segments of the Polymethyl Methacrylate Industry.
By Type: Extruded Sheets, Granules, Pellets,
Acrylic Beads, Others.
By Application: Automotive, Buildings and
Construction, Electronics, Furniture & Design, Healthcare, Others.
By Geography: North America (USA, Canada, and
Mexico), Europe (the UK, Germany, France, Italy, Netherlands, Spain, Russia,
Belgium, and the Rest of Europe), Asia-Pacific (China, Japan, India, South
Korea, Australia, and New Zealand, Indonesia, Taiwan, Malaysia, and the Rest of
Asia-Pacific), South America (Brazil, Argentina, Colombia, Chile and the Rest
of South America), the Rest of the World (the Middle East, and Africa).
Key Takeaways
- PMMA is a fully recyclable and eco-friendly material. It has high resistance to UV light and shows the greatest surface hardness, in comparison to other thermoplastics. Moreover, it has a very long service life, along with high light transmission properties which makes it ideal for use in the automotive industry.
- Automotive
application in Polymethyl Methacrylate Market is expected to see the fastest
growth, owing to its increasing demand from the automotive sectors across
multiple regions. According to a recent study published by the
International Netherlands Group (ING), the global sales of new electric
vehicles have increased by 50% in 2021 and is expected to increase by 8% in
2022. This, in turn, has increased the demand for PMMA for use in various
automotive components such as windows, windshields, interior, and exterior
panels, instrument covers, and other automotive components.
- Asia-Pacific
dominated the Polymethyl Methacrylate Market in 2021, owing to the increasing
demand for PMMA from the automotive sectors of the region. For
instance, recent insights from OICA states that the total automobile production
in 2021 in Asia-Pacific increased by 28% in comparison to 2020, which is
expected to increase the demand for PMMA.
Polymethyl Methacrylate Market Segment Analysis – By Type
Extruded sheets held a significant share in
the Polymethyl Methacrylate Market in 2021, owing to the increasing demand for
PMMA extruded sheets due to the characteristics and benefits it offers over
other types of PMMA. Extruded sheets offer excellent
optical clarity of 92% light transmission, better thickness tolerance and it is
easy to vacuum form, which makes it ideal for applications that require complex
shapes in comparison to other types of PMMA. Moreover, extruded sheets provide a high gloss surface, remarkably hard-wearing, improved weather resistance, and
can be easily fabricated in comparison to granules, pellets, acrylic beads,
other types of PMMA. Hence,
all of these benefits are driving its demand over other types of PMMA, which in
turn, is expected to boost the market growth in the upcoming years.
Polymethyl Methacrylate Market Segment Analysis – By Application
The automotive application held the largest
share in the Polymethyl Methacrylate Market in 2021 and is expected to grow at
a CAGR of 5.4% between 2022 and 2027, owing to the properties of PMMA that is driving its demand in the automotive
sectors across the globe. PMMA is a fully recyclable
and eco-friendly material. It has high resistance to UV light and shows the
greatest surface hardness, in comparison to other thermoplastics. Hence, it is
attaining popularity in the automotive industry. For instance, recent insights
from the European Automobile Manufacturers' Association (ACEA) states that
total passenger car production during the fourth quarter of 2020 reached around
34 million in Asia-Pacific, 14 million in Europe, 1.3 million in the Middle
East/Africa, 1.7 million in South America, and 9.6 million in North America
respectively. This, in turn, increased the demand for polymethyl methacrylate
extruded sheets, granules, pellets, and acrylic beads. Hence, such new
automotive production is expected to drive the market growth during the
forecast period.
Polymethyl Methacrylate Market Segment
Analysis – By Geography
The Asia Pacific held the largest share in the
Polymethyl Methacrylate Market in 2021 up to 28%. The consumption of polymethyl
methacrylate is particularly high in this region due to its increasing demand
from the automotive sector. For instance, a recent study published by the OICA
(International Organization of Motor Vehicle Manufacturers) during the fourth
quarter of 2020 states that around 25 million, 3.5 million, 8 million, and 3.4
million units of vehicles were produced in China, South Korea, Japan, and
India, respectively, which in turn, contributed to approx. 50% of the global
automobile production during the year 2020. Likewise, according to the Department
of Promotion Industry and Internal Trade (DPIIT), the Indian Automobiles market
invested around US$ 24.5 million worth of FDI (Foreign Direct Investment) during
the year June 2020. Hence, such an increase in demand for the production of automotive
is expected to increase the demand for polymethyl
methacrylate extruded sheets for use in automotive
components. This
is most likely to boost the growth of the Polymethyl Methacrylate Market during
the forecast period.
Polymethyl Methacrylate Market Drivers
An increase in automotive production is most likely to increase demand for the product
According to a recent study published by the
German Association of Automotive Industry during the fourth quarter of 2020,
the new registration of motor vehicles reached up to 16,763 units in Europe,
37,467 units in Asia, 3080 units in South America, 17,421 units in North
America, 12,733 units in Western Europe, and 5180 units in other regions
worldwide. Likewise, according to the European Automobile Manufacturers
Association (ACEA), the EU demand for new passenger cars significantly
increased by 25.2% from January-June 2021, and reached around 5.4 million units
in total. Hence, an increase in demand and production of motor vehicles will
also increase the demand for polymethyl methacrylate
extruded sheets for use in automotive parts and components. This is most likely to drive the
growth of the market in the upcoming years.
An increase in demand from the building & construction industry is most likely to increase demand for the product
Construction activities are considered to be
the pillar of growth for a country and also play a major role in increasing the
overall global economy. Since 2019, countries like China and India have come up
with multiple construction projects. For instance, the Indian government has
also invested in another construction project for building Gujarat
International Finance Tec-City which is undergoing development in 2021. The
project is valued at a total cost of US$20 billion and is expected to cover a
construction area of around 8.5 million square meters which will include 200
skyscrapers. The project also includes the construction of buildings and towers for
the powerhouse. Moreover, the government of China approved 26 infrastructure
projects with an estimated total investment of 981.7 billion yuan (US$ 142
billion) in 2019. Other countries like Bangladesh also have two ongoing power
plant projects estimated at US$17.65 billion in total which is due delivery by
2025. Furthermore, in 2020, the US announced the commencement of the Second Avenue
Subway Construction Project worth US$ 17 billion in New York City which is
still undergoing development in 2021. Likewise, Egypt also announced the
commencement of the Skywalk Mixed-use Project worth US$ 513 million in 2020 which
is scheduled to be delivered by 2026. This 800-unit project includes the construction of offices, commercial units along with a 5-star-hotel.
In this way, an increase in building &
construction activities will most likely increase the demand for polymethyl
methacrylate as it is commonly used in window and door profiles, panels, canopies,
facade design, and other construction applications. Moreover, it also provides
good heat insulation and facilitates light transmission, which makes it ideal
for building & construction projects.
Polymethyl Methacrylate Market – Challenges
Limitations of polymethyl methacrylate may cause an obstruction to the market growth
Polymethyl methacrylate (PMMA) has numerous
limitations such as poor impact resistance, limited heat resistance (80°C), and
poor resistance to wear and abrasion. Moreover, it has limited chemical
resistance which makes it susceptible to attack by organic solvents.
Furthermore, it is relatively brittle in comparison to other transparent
thermoplastic and is likely to crack under load. All of these factors
limit the use of PMMA for applications that require high rigidity. Hence, such
limiting factors of polymethyl methacrylate may confine the market growth.
Polymethyl Methacrylate Market Landscape
Technology launches, acquisitions, and R&D
activities are key strategies adopted by players in the Polymethyl Methacrylate
Market. Polymethyl Methacrylate Market top companies are:
- Asahi Kasei
- Chi Mei Corp.
- Evonik Industries AG
- Mitsubishi Rayon Co., Ltd.
- Saudi Arabia Basic Industries Corporation
- Sumitomo Chemical Co., Ltd.
- Kuraray Co., Ltd.
- LG Chem Ltd.
- LOTTE Chemical Corporation
- Nippon Shokubai Co., Ltd.
Recent Developments
- In March 2019, Advent International announced the acquisition of Evonik's methacrylate business for EUR 3 billion (US$ 3.36 billion). The main motive of this acquisition was to expand the company’s PMMA product portfolio in the automotive, construction, and electronics industries.
Relevant Reports
Methacrylate
Monomers Market – Forecast (2022 - 2027)
Report Code: CMR 76284
Methyl
Methacrylate Adhesive Market – Forecast (2022 - 2027)
Report Code: CMR 0531
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