Construction plastic market is projected to grow at a CAGR of 5.17% to reach US$134.726 billion by 2024, from US$99.577 billion in 2018. 'Plastic' is a synthetic material that is based on organic polymers. The construction industry uses plastic for a wide range of applications because of its versatility, strength-to-weight -ratio, durability, corrosion resistance, easy to install, energy-saving and so on. Moreover, the low cost of plastic compared to other substitutes; along with the adoption of green building practices and use of recycled plastic in residential and non-residential buildings are expected to provide lucrative opportunities in the growth of the global market. The rising environmental pollution has given rise to the construction of green buildings. Plastics such are used in the construction of green buildings because of its features like recyclability, durability, and high strength. Thus, growing popularity and awareness of the people about green buildings is expected to increase the demand for plastics in construction. However, the price impact of upstream raw materials such as crude oil and feedstock is anticipated to hamper the growth of the building & construction plastics market. Therefore, new product developments, investment in research, mergers & acquisitions, and joint ventures are done by the key players so that the growth continues to be at a steady pace.
According to the United States Census Bureau, the total construction value in the United States was $1,077,350 million in 2008 which grew to $1,293,982 million in 2018. This shows that the construction industry has expanded and grown during the years; which leads to the growth of the construction plastic market, as plastics are very useful because of its characteristics – durability, corrosion resistance, easy to install, strength-to-weight ratio, and so on.
By type, the construction plastic market is segmented as acrylic, composites, expanded polystyrene, ETFE, polycarbonate, polyethylene, polypropylene, polyvinyl chloride(PVC), PTFE. Polyvinyl chloride (PVC) holds a significant share of the market because of it’s lightweight and its ability to be molded and assembled in different shapes.
By end-user, the construction plastic industry is segmented as residential and non-residential. The non-residential segment holds a significant share in the market because of the plastic being cost-effective, recycling capability, energy-saving, easy to install and so on. According to the United States Census Bureau, the non-residential segment accounted for a total construction value of $747,809 million as compared to $546,173 million for the residential segment.
By application, the construction plastic market is segmented as pipes & ducts, insulation, sanitary equipment, interior covering, windows and door panels, exterior covering, weatherboarding, roofing. Pipes & ducts hold a significant share in the market because of its application both within and outside the building for water service, plumbing, heating & cooling, fire protection, snow melting, and geothermal piping systems.
Geographically, the construction plastic market is segmented as North America, South America, Europe, Asia-Pacific, and Middle East & Africa. The Asia-Pacific holds a significant market share and is anticipated to grow rapidly as a result of the growing focus of the government of the emerging economies of the region to support domestic infrastructure.
The construction plastic market is highly competitive with many MNC’s and local manufacturers. The players are expanding globally to mirror their customers’ requirement. As a result, they are increasingly integrating with other players. Diversified product portfolios, significant resources, and technological advancements are factors responsible for strengthening the positions of the companies in the construction plastics market. The key players include Dow DuPont (US), BASF SE (Germany), Asahi Kasei Corporation (Japan), Lyondell Basell Industries Holdings B.V. (Netherlands), Borealis AG (Austria), Solvay S.A. (Belgium), Saudi Basic Industries Corporation (SABIC) (Saudi Arabia), Berry Plastics Corporation (US), and Total S.A. (France) among others.
The construction plastic market has been analyzed through the following segments: