Engineering developments drive growth for pp compounds

According to an authoritative report published in July 2018 by industry consultants, AMI Consulting, global demand for Polypropylene Compounds is rising strongly on the back of engineering developments in automotive and electrical appliances. The automotive industry is striving to reduce weight and increase fuel efficiency as well as wrestling with how to adapt to a market in which exceptionally fast growth in hybrid and electrical vehicles is underway. Considerable growth for PP Compounds arises from property developments which have enabled PP Compounds to displace metal in semi-structural applications like instrument carriers, door panels and front-ends.
The study segments the market by region, product family and application. Within the automotive segment which is the largest market for PP Compounds, applications are split into interiors, exteriors and underhood.
The report quantifies in detail PP Compound demand by OEM as well as providing an analysis of the industry’s supply structure and up-to-date information on the world’s largest producers of PP Compound. The report examines the rate of structural change in the industry which has seen a rising number of mergers and acquisitions in the last year but also plenty of investment in new capacity as PP Compounders seek to keep pace with growing local demand and internationalise their businesses. Recent investors include Borealis/Borouge, Celanese, GS Caltex, Kingfa, LyondellBasell, Mitsui, SABIC and Washington Penn.
In 2017 Asia accounted for 47% of global demand compared with 28% in Europe and 25% in the Americas.
The report provides current and forecast information and is intended to support the strategic decisions that are required of participants to ensure they keep abreast of developments within this fast-changing industry.
AMI Consulting has published a number of multi-client studies in the field of PP Compounds including a report in 2016 called the European Market for PP Compounds and a report in 2017 called the Global Market for LFT (long fiber) PP Compounds.