by Market Overview:
Cellulose plastics are biodegradable, renewable and compostable thermoplastic materials made from cellulose extracted from natural resources like wood and plant fibers. They have wide applications in various end-use industries including automotive, consumer goods, electronics, construction and packaging due to their advantages like lightweight, biodegradability and moldability. Their properties can be tuned to meet specific customer and application requirements.
Market key trends:
One of the key trends in the cellulose plastics market is growing demand from the packaging industry. Cellulose plastics are increasingly being used in food packaging, electronics packaging and other industrial packaging due to their renewable nature and biodegradability. Another major trend is the increasing R&D activities focused on improving the mechanical properties of cellulose plastics. Market players are investing in modifying cellulose plastic properties like heat resistance and tensile strength to suit diverse industrial needs. Also, growing environmental regulations regarding use of conventional plastics is expected to boost adoption of more sustainable cellulose plastics across different end-use sectors over the forecast period.
Porter’s Analysis
Threat of new entrants: The threat of new entrants in the market is low as it requires high capital investments to build production facilities. Also, established players have strong brand loyalty.
Bargaining power of buyers: The bargaining power of buyers is moderate as the market has large number of buyers including various end-use industries. Buyers can negotiate on price with suppliers.
Bargaining power of suppliers: The bargaining power of suppliers is low due to presence of many suppliers for raw materials. Also, raw materials have easy availability.
Threat of new substitutes: Substitutes like plastics pose low threat as cellulose plastics have properties like biodegradability and renewability making them preferred alternative.
Competitive rivalry: Competition in the market is high as major players are focused on product innovation and expanding production capacities.
Key Takeaways
The Global Cellulose Plastics Market Demand is expected to witness high growth, exhibiting CAGR of 3.8% over the forecast period, due to increasing demand for biodegradable and renewable alternatives to conventional plastics from end-use industries like automotive and packaging.
Regional analysis: Asia Pacific dominates the global cellulose plastics market owing to rapid industrialization and presence of major manufacturers in the region, especially in China and Japan. Europe holds the second largest share in the market due to stringent government regulations regarding use of conventional plastics and availability of advanced technologies.
Key players operating in the Cellulose Plastics market are Celanese Corporation, Solvay, Daicel Chemical Industries, Mitsubishi Rayon Company Limited, Eastman Chemical Company, SK Chemicals Co. Ltd., Rayonier Advanced Materials, Sappi, Merck Millipore,Haihang Industry. Key players are focusing on product launches, expansions, and acquisitions to strengthen their distribution network and market presence.
Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemical and materials, defense and aerospace, consumer goods, etc.
