Product Code: 3336
US demand to rise 3.2% annually through 2019
US demand for custom compounded thermoplastics is forecast to rise 3.2 percent annually to 10.6 billion pounds in 2019, valued at nearly $19 billion (including resin, additive, fillers, and other production costs). Advances will be spurred mainly by growth in construction expenditures, which will rebound from the declines of the 2004-2014 period. Additionally, custom compounders will continue to make new technological advances to differentiate their products in the marketplace and widen their usage. As compounding innovations continue, the percentage of thermoplastic demand that is custom compounded will increase. For example, as producers strive to increase the compactness of their products and reduce material usage, demand has grown for materials that can provide good performance without adding to overall weight, and compounders have been quick to address these needs through new product development. Independent compounders are expected to grow in the markets where they are able to meet small volume and more particular needs. Larger compounders and resin producers will largely expand their presence in high volume and well-established markets.
PVC to remain most compounded thermoplastic
Polyvinyl chloride will continue to be the most compounded thermoplastic, representing over one third of total demand in 2019, and will also expand at the fastest pace. This growth will be due primarily to rapid expansion in construction applications, where the resin is utilized in a myriad of products such as pipe and fittings, siding, windows and doors, wallcoverings, roofing, decking, fencing, and flooring. PVC's light weight, strength, and abrasion resistance make it a versatile material in new construction and repairs. Polyethylene compounds will also grow rapidly, driven by rising demand in pipe applications and the wire and cable market.
Construction market to grow the most rapidly
Among all US markets for custom compounded thermoplastics, construction will grow the fastest -- nearly twice the pace as the next fastest growing market. Strong growth in residential building activity will drive gains for compounds, while a rebound in nonresidential building spending will bolster demand. Compounded thermoplastics find many construction applications and will continue to replace metal, wood, and other traditional materials. PVC will remain the largest resin used in the construction market, while polyethylene will expand at the fastest rate, propelled by demand for pipe. In the electrical and electronics market, the industry trend of miniaturization will continue to create demand for new compounded thermoplastics with improved performance characteristics. Medical applications will also grow rapidly due to increased healthcare spending and advances in medical products. Motor vehicles, the second largest market, will experiences lower growth, but will still provide strong opportunities for compounded thermoplastics that reduce vehicle weight and improve fuel economy.
Study coverage
This Freedonia industry study, Custom Thermoplastic Compounding, offers historical demand data (2004, 2009, 2014) plus forecasts (2019, 2024) by resin (e.g., PVC, polypropylene) and market (e.g., motor vehicles, construction, wire and cable, electrical and electronics, and medical and consumer,). The study also considers market environment factors, evaluates company market share and profiles key US industry players.
Table of Contents
INTRODUCTION
I. EXECUTIVE SUMMARY
II. MARKET ENVIRONMENT
- General
- Macroeconomic Overview
- Demographic Trends
- Consumer Spending Outlook
- Manufacturing Outlook
- Thermoplastics Overview
- Thermoplastic Resins
- Thermoplastic Elastomers
- Thermoplastic Compounding Overview
- Historical Market Trends
- Pricing Trends
- Regulatory Considerations
- Recycling Activity
- International Activity
III. RESINS
- General
- Polyvinyl Chloride
- Characteristics & Producers
- Markets
- Engineering Thermoplastics
- Characteristics & Producers
- Markets
- Acrylonitrile-Butadiene-Styrene
- Nylon
- Polycarbonate
- Other Engineering Thermoplastics
- Polypropylene
- Characteristics & Producers
- Markets
- Polyethylene
- Characteristics & Producers
- Markets
- Thermoplastic Elastomers
- Characteristics & Producers
- Markets
- Polystyrene
- Characteristics & Producers
- Markets
- Other Thermoplastic Resins
- Characteristics & Producers
- Markets
IV. MARKETS
- General
- Construction
- Building Construction Outlook
- Resins
- Applications
- Pipe & Fittings
- Siding, Windows, & Doors
- Other Uses
- Motor Vehicles
- Motor Vehicle Outlook
- Resins
- Polypropylene
- Engineering Thermoplastics
- Thermoplastic Elastomers
- Other Resins
- Applications
- Interior
- Engine & Mechanical
- Structural & Exterior
- Consumer & Medical
- Consumer & Medical Products Outlook
- Resins
- Polypropylene
- Polyvinyl Chloride
- Engineering Thermoplastics
- Thermoplastic Elastomers
- Other Resins
- Applications
- Electrical & Electronic Equipment
- Electrical & Electronic Equipment Outlook
- Resins
- Applications
- Insulated Wire & Cable
- Insulated Wire & Cable Outlook
- Resins & Applications
- Other Markets
- Packaging
- Packaging Industry Outlook
- Resins & Applications
- Appliances
- Appliance Industry Outlook
- Resins & Applications
- Machinery
- Machinery Outlook
- Resins & Applications
- All Other Markets
V. INDUSTRY STRUCTURE
- General
- Market Share
- Acquisitions & Divestitures
- Types of Compounders
- Processors
- Independent Compounders
- Resin Producers
- Marketing Strategies
- Channels of Distribution
- Research & Development
- Competitive Strategies
- Cooperative Agreements
Company Profiles
- ACI Plastics Incorporated
- Adell Plastics Incorporated
- Advanced Composites, see Mitsui Chemicals
- Amco Polymers, see Ravago
- Americhem Incorporated
- AMETEK Incorporated
- Ampacet Corporation
- Asahi Kasei Corporation
- Axiall Corporation
- BASF SE
- Bayer AG
- Berkshire Hathaway Incorporated
- Celanese Corporation
- Clariant International Limited
- Covestro, see Bayer
- Dover Chemical, see ICC Industries
- Dow Chemical Company
- Dow Corning Corporation
- DuPont (EI) de Nemours
- Equistar Chemicals, see LyondellBasell Industries
- Exxon Mobil Corporation
- Ferro Corporation
- HEXPOL AB
- HGGC Citadel Plastics Holdings, see Schulman (A.)
- ICC Industries Incorporated
- INEOS Group AG
- Kraton Performance Polymers Incorporated
- LANXESS AG
- LTL Color Compounders, see Americhem
- Lubrizol, see Berkshire Hathaway
- Lucent Polymers, see Schulman (A.)
- LyondellBasell Industries NV
- Mitsui Chemicals Incorporated
- Multibase, see Dow Corning
- Network Polymers, see Schulman (A.)
- O'Neil Color & Compounding, see ICC Industries
- PolyOne Corporation
- Portage Precision Polymers, see HEXPOL
- Prime Colorants, see Schulman (A.)
- Ravago SA
- RheTech, see HEXPOL
- Royal DSM NV
- RTP Company
- SABIC Innovative Plastics US, see Saudi Basic Industries
- Saudi Basic Industries Corporation
- Schulman (A.) Incorporated
- Shin-Etsu Chemical Company Limited
- Shintech, see Shin-Etsu Chemical
- SO.F.TER SpA
- Spartech, see PolyOne
- Standridge Color Corporation
- Styrolution Group, see INEOS Group
- Techmer PM LLC
- Teknor Apex Company
- 3M Company
- TP Composites, see Techmer PM
- Viking Polymers, see Teknor Apex
- Washington Penn Plastic Company Incorporated
- Westchester Plastics, see AMETEK
LIST OF TABLES
SECTION I -- EXECUTIVE SUMMARY
SECTION II -- MARKET ENVIRONMENT
- 1 Macroeconomic Indicators
- 2 Population & Households
- 3 Personal Consumption Expenditures
- 4 Manufacturers' Shipments
- 5 Thermoplastics & Thermoplastic Elastomers Demand
- 6 Compounded Thermoplastics Market, 2004-2014
- 7 Thermoplastic Compounds Pricing
SECTION III -- RESINS
- 1 Compounded Thermoplastics Demand by Resin
- 2 Compounded Polyvinyl Chloride Demand
- 3 Compounded Polyvinyl Chloride Demand by Market
- 4 Compounded Engineering Thermoplastics Demand
- 5 Compounded Engineering Thermoplastics Demand by Market
- 6 Compounded Polypropylene Demand
- 7 Compounded Polypropylene Demand by Market
- 8 Compounded Polyethylene Demand
- 9 Compounded Polyethylene Demand by Market
- 10 Compounded Thermoplastic Elastomers Demand
- 11 Compounded Thermoplastic Elastomers Demand by Market
- 12 Compounded Polystyrene Demand
- 13 Compounded Polystyrene Demand by Market
- 14 Other Compounded Thermoplastics Demand
- 15 Other Compounded Thermoplastics Demand by Market
SECTION IV -- MARKETS
- 1 Compounded Thermoplastics Demand by Market
- 2 Building Construction Expenditures
- 3 Construction Market for Compounded Thermoplastics by Resin
- 4 Construction Market for Compounded Thermoplastics by Application
- 5 Motor Vehicle Indicators
- 6 Motor Vehicle Market for Compounded Thermoplastics by Resin
- 7 Motor Vehicle Market for Compounded Thermoplastics by Application
- 8 Consumer & Medical Product Indicators
- 9 Consumer & Medical Market for Compounded Thermoplastics by Resin
- 10 Consumer & Medical Market for Compounded Thermoplastics by Application
- 11 Electrical & Electronic Equipment Shipments
- 12 Electrical & Electronics Market for Compounded Thermoplastics by Resin
- 13 Electrical & Electronics Market for Compounded Thermoplastics by Application
- 14 Insulated Wire & Cable Shipments
- 15 Wire & Cable Market for Compounded Thermoplastics by Resin
- 16 Other Markets for Compounded Thermoplastics
- 17 Packaging Supply & Demand
- 18 Packaging Market for Compounded Thermoplastics by Resin
- 19 Appliance Shipments
- 20 Appliance Market for Compounded Thermoplastics by Resin
- 21 Machinery Shipments
- 22 Machinery Market for Compounded Thermoplastics by Resin
- 23 All Other Markets for Compounded Thermoplastics by Resin
SECTION V -- INDUSTRY STRUCTURE
- 1 US Sales of Selected Custom Thermoplastic Compounders by Company, 2014
- 2 Selected Acquisitions & Divestitures
- 3 Selected Cooperative Agreements
LIST OF CHARTSLIST OF CHARTS
SECTION II -- MARKET ENVIRONMENT
- 1 Thermoplastics & Thermoplastic Elastomers Demand by Type, 2014
- 2 Compounded Thermoplastics Market, 2004-2014
SECTION III -- RESINS
- 1 Compounded Thermoplastics Demand by Resin, 2014
- 2 Compounded Thermoplastics Share of Total Thermoplastics Demand by Resin, 2014
- 3 Compounded Polyvinyl Chloride Demand by Market, 2014
- 4 Compounded Engineering Thermoplastics Demand by Market, 2014
- 5 Compounded Polypropylene Demand by Market, 2014
- 6 Compounded Polyethylene Demand by Market, 2014
- 7 Compounded Thermoplastic Elastomers Demand by Market, 2014
- 8 Compounded Polystyrene Demand by Market, 2014
SECTION IV -- MARKETS
- 1 Compounded Thermoplastics Demand by Market, 2014
- 2 Compounded Thermoplastics Share of Total Thermoplastics Demand by Market, 2014
- 3 Construction Market for Compounded Thermoplastics by Resin, 2014
- 4 Motor Vehicle Market for Compounded Thermoplastics by Resin, 2014
- 5 Consumer & Medical Market for Compounded Thermoplastics by Resin, 2014
- 6 Electrical & Electronics Market for Compounded Thermoplastics by Resin, 2014
- 7 Wire & Cable Market for Compounded Thermoplastics by Resin, 2014
SECTION V -- INDUSTRY STRUCTURE
- 1 US Custom Thermoplastic Compounding Market Share, 2014
- 2 Thermoplastic Compounding Industry Flowchart, 2014
