Thermoplastic Polyolefin (TPO) Demand To Soar High Owing To Snowballing Construction and Manufacturing Activities Globally
Thermoplastic polyolefin (TPO) is extensively used in manufacturing industries like automotive, home appliances, footwear, medical, and building and construction. Owing to its outstanding UV-resistant and durability properties, stout growth of these end-use industries, particularly automotive, and building and construction, is expected to bode well for the global TPO market. The global TPO market was at US$2.3 billion in 2015 and is projected to rise at a CAGR of 7.3% from 2016 to 2024, touching US$4.3 billion by 2024.
With technical invention for manufacturing automobile constituents, polymers are getting new uses in the automobile industry. Polymers grant complete approach to automobile parts built-up by gratifying all the features together with mechanical and static strength, opposition to oxidation and temperature making it convenient and enduring over other products. These features may boost global TPO market size growth.
Increasing automotive industry is estimated to continue being the motivating factor for rise in global TPO demand. Furthermore, rigorous guidelines in support of growing automobile fuel competence have encouraged industry contestants to decrease vehicle weight. Accumulative construction expenditure in China, India and Brazil may also propel product demand. China and India construction outlay was over US$ 1.7 trillion and US$ 421 billion correspondingly in 2015 which will boost demand.
The automotive industry was the foremost segment in 2015, comprising of a share of 66% of the global market revenue. TPO is comprehensively used in the manufacturing of automotive constituents such as dashboard skins, bumpers, instrument panels, door panels, and skins. Furthermore, the intensifying demand for lightweight constituents is expected to fuel demand for TPO in the automotive industry in the upcoming years. Attributable to the above-mentioned aspects, this fragment is predictable to maintain its headship until 2024, recording a 7.6% CAGR over the next few years.
Growing inclination towards substituting polyvinyl chloride (PVC) because of risks associated with its use may kindle TPO market size. PVC is highly used in construction, automobiles, electrical and medical. The past few years, however, has seen a PVC swapping trend, owing to existence of plasticizers which makes them unsafe and is threatening to the environment resultant in TPO market size growth.
North America was the leader in the global TPO market in terms of revenue as well as volume in 2015, signifying more than 35% of the total market. The high call for TPO in the construction and building and automotive industries has been backing the growth of this regional market during the recent past. Nevertheless, Asia Pacific is foreseen to outshine North America over the coming years. The progression of this area can be accredited to massive growth in the automotive industry.
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