H1 2022: In 2022, the global demand of Polyolefin Elastomers (POE) market reached around 1500 thousand tonnes with a growth of 7.44 % in comparison to 2021. In May 2022, Wanhua Chemical announced about development of its No 2 cracker and its derivative plant situated in Yantai. The plant is worth USD 2.5 billion and with an annual capacity of 1.2 million tonnes capacity. The plant comprises of two POE units, a low density polyethylene (LDPE) unit, one butadiene (BD unit, a cracked gasoline hydrogenation unit, and an aromatic extraction unit. The two POE units will have total a production capacity of total 200 thousand tonnes per annum. The key manufacturers in H1 2022 were Dow Chemical Company, SCG-Dow Group, and Mitsui Elastomers Singapore Pte Ltd. Although, Dow Chemical Company was leading as the producer with a production capacity of roughly 40% in H1 2022. Based on region, APAC was the leading market consumer, with a share of approximately 50%. The demand for POE was increased as consumption levels, which slumped in the H1 2022 have resumed their previous robustness. As crude oil prices rose internationally, upstream olefin costs remained stable, and refiners maintained rising prices for olefins and aromatics. However, in Europe with the reduction in LNG supply, the prices of LNG and crude oil rose exponentially, and resulted in an increased price of POE.
H2 2022: The market sentiments have improved in H2 compared to H1 2022. Wanhua Chemical received approval from Shandong provincial development and reform commission in H2 2022, and it is estimated that the plant will be commissioned in 2024. The cracker will use ethane and naphtha as raw materials, in order to create synergies with Wanhua's existing No. 1 propane-based cracker while reducing the risk of commodity price fluctuations. Asia Pacific continued to maintain similar behavior as in H1 2022 in terms of consumption and stayed as the key consumer of POE. Asia pacific witnessed a lower price in response to sufficient demand and high margin deterioration. Prices dropped as a result of decreased marginal costs from exporting countries like South Korea and Thailand. The decrease in freight costs in the Asia Pacific region has an impact on exports to foreign markets as well. However, in North America, prices of polyolefin elastomers in the market were lowered due to fluctuating demand from the automotive industry and uses by the agricultural sector. The economic growth of the automobile industry had mainly the expansion of the polyolefin elastomer market, making this sector the most lucrative in the Asia Pacific region Increased auto production is driving up demand for polyolefin elastomers because these materials are used to make interior and exterior vehicle components like bumpers.
The global Polyolefin Elastomers (POE) market has reached around 1500 thousand tonnes in 2022 and is expected to grow at a CAGR of 6.49% during the forecast period until 2035. In a recent announcement, Wanhua Chemical announced that it has gained approval for a No 2 cracker with an annual capacity of 1.2 million tonnes capacity with two POE units with an annual capacity of 200,000 tonnes per unit.
POEs standout out for their high impact, toughness, low density, and mechanical properties. These resins can be used on their own to create molded or extruded parts with high flexibility and softness. They are often used in compounding applications where they enhance the flexibility of polypropylene or polyethylene-based compounds. This material is tough yet flexible making them one of the most popular materials used in healthcare equipment, adhesives, shoes, foams, cable and wire coatings, films, and vehicle exteriors and interiors.
The rising demand for POE is due to their amazing properties like flexibility, durability, toughness, and resistance to chemicals, results in their applications in multiple industries. The healthcare and automobile sectors are fast-growing sectors and in future will be requiring higher volume of durable and flexible materials for the manufacture needles, tubes, masks, and bags, foam and more. POE is expected to see a far stretch in its other applications such as manufacturing household goods and foam in the forecast years resulting in expansion of the global Polyolefin Elastomers (POE) market. The estimated market size for 2035 is 3400 thousand tonnes.
Based on region, Asia Pacific is consuming the maximum POE across all the regions around the globe. The POE demand by Asia Pacific is expected to grow at a high rate in the forecast period. This is due to numerous industrial applications of POE such as for manufacturing automobile components and foam. Moreover, North America is also the prominent consumer of POE and is likely to cause a higher demand for POE with the growing demand from the electronic industry.
Based on the end-user industry, the POE market is segmented into different sectors that include automotive, foam, wire & cable, household goods, packaging, and others. However, Automotive industry is the biggest end-user market of POE, holding a share of approximately 50% of global POE market expected to dominate the market in the forecast period as well. Another leading consumer of POE is the Foam industry, consuming significant volume of the Global POE market. Moreover, wire & cable, household goods also hold noticeable shares in the POE market.
Major players for Global POE production are LG Chem, Dow Chemical Company SCG-Dow Group, Mitsui Elastomers Singapore Pte Ltd, ExxonMobil Chemical Co, SSNC (Korea Nexlene Ltd), Wanhua Chemical Group Co., Ltd, Sadara Chemical Company, and others.
Years considered for this report:
Historical Period: 2015- 2022
Base Year: 2022
Estimated Year: 2023
Forecast Period: 2024-2035
This report will be delivered on an online digital platform with one-year subscription and quarterly update.
Objective of the Study:
• To assess the demand-supply scenario of Polyolefin Elastomer (POE) which covers production, demand and supply of Polyolefin Elastomer (POE) market in the globe.
• To analyse and forecast the market size of Polyolefin Elastomer (POE)
• To classify and forecast Global Polyolefin Elastomer (POE) market based on end-use and regional distribution.
• To examine competitive developments such as expansions, mergers & acquisitions, etc., of Polyolefin Elastomer (POE) market in the globe.
To extract data for Global Polyolefin Elastomers (POE) market, primary research surveys were conducted with Polyolefin Elastomer (POE)manufacturers, suppliers, distributors, wholesalers and Traders. While interviewing, the respondents were also inquired about their competitors. Through this technique, ChemAnalyst was able to include manufacturers that could not be identified due to the limitations of secondary research. Moreover, ChemAnalyst analyzed various segments and projected a positive outlook for Global Polyolefin Elastomer (POE)market over the coming years.
ChemAnalyst calculated Polyolefin Elastomers (POE) demand in the globe by analyzing the historical data and demand forecast which was carried out considering the historical extraction and supply and demand of Polyolefin Elastomers (POE) across the globe. ChemAnalyst sourced these values from industry experts, and company representatives and externally validated through analyzing historical sales data of respective manufacturers to arrive at the overall market size. Various secondary sources such as company websites, association reports, annual reports, etc., were also studied by ChemAnalyst.
Key Target Audience:
• Polyolefin Elastomer (POE) manufacturers and other stakeholders
• Organizations, forums and alliances related to Polyolefin Elastomer (POE) distribution
• Government bodies such as regulating authorities and policy makers
• Market research organizations and consulting companies
The study is useful in providing answers to several critical questions that are important for industry stakeholders such as Polyolefin Elastomer (POE)manufacturers, customers and policy makers. The study would also help them to target the growing segments over the coming years (next two to five years), thereby aiding the stakeholders in taking investment decisions and facilitating their expansion.
Report Scope:
In this report, Global Polyolefin Elastomer (POE) market has been segmented into following categories, in addition to the industry trends which have also been detailed below:
Attribute
|
Details
|
Market size Volume in 2022
|
1500 thousand tonnes
|
Market size Volume by 2035
|
3400 thousand tonnes
|
Growth Rate
|
CAGR of 6.49% from 2023 to 2035
|
Base year for estimation
|
2023
|
Historic Data
|
2015 – 2022
|
Forecast period
|
2024 – 2035
|
Quantitative units
|
Demand in thousand tonnes and CAGR from 2023 to 2035
|
Report coverage
|
Industry Market Size, Capacity by Company, Capacity by Location, Capacity by Technology, Operating Efficiency, Production by Company, Demand by End- Use, Demand by Region, Demand by Sales Channel, Demand-Supply Gap, Company Share
|
Segments covered
|
By End-Use: (automotive, foam, wire & cable, household goods, packaging, and others)
By Sales Channel: (Direct Sale and Indirect Sale)
|
Regional scope
|
North America, Europe, Asia Pacific, Middle East and Africa, and South America.
|
Pricing and purchase options
|
|
Available Customizations:
With the given market data, ChemAnalyst offers customizations according to a company’s specific needs.
In case you do not find what, you are looking for, please get in touch with our custom research team at sales@chemanalyst.com