Low Density Poly Ethylene LDPE Market

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LOW DENSITY POLY ETHYLENE (LDPE) MARKET
ANALYSIS

• Low Density Poly Ethylene LDPE Market, By
  Technology (Autoclave, Tubular), By Application
  (Film Sheets, Extrusion Coating, Injection
  Moulding, Others), and By Region (North America,
  Latin America, Europe, Asia-pacific, Middle East
  Africa) - Size, Share, Outlook, and Opportunity
  Analysis, 2020 2027

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Low-density poly ethylene is a type of
thermoplastic polymer of ethylene which is
produced by using a free radical
polymerization the process at high pressure. They
have low tensile strength but high flexibility
and offer superior resistance property to
chemical and electricity which makes it ideal to
use across automotive, packaging, construction,
and insulation coax application. It is also
used in the food industry for the packaging of
food products such as snacks, dairy, sweets, and
baked frozen food products.The global
low-density poly ethylene (LDPE) is projected to
surpass US 60.0 billion by the end of 2027, in
terms of revenue, growing at CAGR of 5.6 during
the forecast period (2020 to 2027).

• Drivers
• Growth in the retail industry is expected to
  raise demand for LDPE across the packaging of
  consumer goods that are sold in retail outlets is
  predominantly propelling the market growth of
  LDPE. According to the India Brand Equity
  Foundation, the Indian retail industry reached to
  US 950 billion in 2018 at CAGR of 13 and
  expected to reach US 1.1 trillion by 2020.
  Hence, growth in the retail the industry is
  projected to fuel the market growth of the LDPE.
• The rise in construction activities is expected
  to foster the market growth of low-density
  polyethylene. General containers, trays, pipes,
  various bathroom and kitchen products are
  produced by using LDPE. According to Building
  Design Construction, the global construction
  output is forecast to rise to US 12.9 trillion
  by 2022, up from US 10.8 trillion in 2017. Thus,
  growth in the construction is expected to augment
  market growth LDPE.
• Regionally, Asia-pacific dominated the global
  green packaging market in 2019,
  reporting 36 market share in terms of revenue,
  followed by Europe and North America,
  respectively.

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Figure 1. Global Low-Density Poly Ethylene
Market, Revenue Share (), in Terms of Value, By
Region, 2019
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Market Restraints

• Rising use of linear low-density polyethylene
  (LLDPE) in place of LDPE or blend with it is
  expected to hinder the market growth of
  low density polyethylene. The use of LLDPE save
  material improves the performance of the product
  and is also environmentally friendly.
  Moreover, it also improves clarity and processing
  properties thus is likely to pose a threat to the
  LDPE market.
• Strict regulation regarding the environmental
  impact of LDPE as they are not biodegradable
  encourage the user to opt for bio-degradable produ
  cts such as paper bags and other recycled
  materials. Thus, strict environmental regulations
  are expected to hamper the market growth of the
  LDPE.

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Market Opportunities

• Development of bio-based polyethylene from
  sugarcane is expected to offer immense growth
  opportunity to the market of LDPE over the
  forecast period.
• The rising demand for building energy
  infrastructure across developed countries is
  expected to foster the market growth of LDPE.
  LDPE is widely used in the insulation product in
  the construction industry.

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Figure 2. Global Low-Density Poly Ethylene Market
- Opportunity Analysis 
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 Market Trends 

• Shifting preferences of consumers towards
  lightweight packaging solution is expected to be
  a major trend in the market. Moreover, the
  growing demand for flexible packaging is also
  projected to foster the market growth of the
  low-density polyethylene over the forecast
  period.
• The rising trend of increasing production
  capacity of polyethylene to cater to growing
  demand across the globe is expected to augment
  the market growth of LDPE. For instance, in
  November 2020, Dow plans to install a new furnace
  in its steam cracker at Fort Saskatchewan,
  Alberta, Canada, to increase its ethylene
  capacity, currently 1.42 million metric tons/year
  by 130,000 metric tons/year.

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• Figure 3. Global Low-Density Poly Ethylene
  Market, Revenue Share (), By Application, In
  2019

On the basis of application, films sheet
dominated the global low-density poly ethylene
(LDPE) in 2019 with around 27 of market share in
terms of revenue, followed by others and
extrusion coating, respectively.
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• Competitive Section
• Key players are operating in the global
  low-density poly ethylene (LDPE) market are
  LyondellBasell Industries N.V, ExxonMobil
  Corporation, The Dow Chemical Company, Saudi
  Basic Industries Corporation, BASF-YPC Company
  Limited, Qatar Petrochemical Company Q.S.C, LG
  Chem Ltd., E.I. du Pont de Nemours and Company,
  Braskem S.A., and Formosa Plastics Corporation
• Few Recent Developments
• ExxonMobil Corporation
• In July 2018, ExxonMobil announced the startup of
  a new 650,000 mt/year polyethylene plant at its
  Beaumont, Texas, refining, and chemical complex,
  the latest in more than 13 million tons/year of
  new US PE capacity online, under construction or
  planned through 2028.

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