Plastic restriction policy accelerated
In recent years, Europe, the United States, Japan and other developed countries and regions have formulated and introduced relevant regulations to restrict the use of non-degradable plastics through local bans, restrictions, mandatory collection and the collection of pollution taxes and other measures, and to vigorously develop new materials that are fully biodegradable, in order to protect the environment and protect the soil. From 2019 to 2020, a number of countries in the Asian region have issued plastic restriction policies, including China, Pakistan, India, the Philippines, Thailand, Algeria and other countries, and the demand for biodegradable plastics in the Asian region will grow rapidly in the coming period, and it is expected to replace Europe as the largest consumer market for biodegradable plastics.
Capacity grows rapidly POLYLACTIC ACID Large substitution space
According to the latest data released by the European Bioplastics Association in September 2019, as of September 2019, the global annual production capacity of biodegradable plastics was 2.114 million tons, of which biodegradable plastics (including PBAT, PBS, PLA, PHA, starch-based degradable plastics and other biodegradable plastics) accounted for 55.5% or 1.174 million tons. According to the European Bioplastics Association forecast data, by 2024, the global annual production capacity of biodegradable plastics will reach 1.334 million tons, with a compound annual growth rate of 2.7%.
Considering that from the second half of 2019 to the beginning of 2020, a number of new countries around the world have enacted plastic restriction policies, including China, which accounts for about 20% of the global plastic production and 15% of the global consumption, a huge volume, and its demand market for biodegradable plastics will lead to accelerated growth of the global market. It is predicted that in the next five years, the global production capacity of biodegradable plastics will exceed the current forecast of the European Bio-Plastics Association.
In the past two years, the biodegradable plastics market has seen rapid growth in production capacity for PBAT, PLA and starch-based plastics. Among them, PLA is a widely used material with excellent barrier properties. High-performance PLA is an excellent substitute for PS (polystyrene) and PP (polypropylene), and its demand will grow rapidly in the future.
According to the data released by the European Bioplastics Association in September 2020, the global bioplastics production capacity was 1.174 million tons as of September 2019, and the distribution of the production capacity of each type of biodegradable plastics is as follows:
Strong Demand Dominated by Everyday Food Packaging Type
According to the data released by IHS
Markit research report data released in 2018, the global demand for biodegradable plastics in 2012 was 269,000 tons, the global demand for biodegradable plastics in 2018 was 360,000 tons, corresponding to the market size of 1.1 billion U.S. dollars, with a compound annual growth rate of 5%.2023, the global demand for biodegradable plastics will grow to 550,000 tons, corresponding to the market size of 1.7 billion U.S. dollars. USD billion, with a CAGR of 9% for biodegradable plastics demand from 2018-2023.
Based on 2019, the global biodegradable capacity expansion of major production companies and the introduction of plastic restriction policies in major countries, in 2019, the global demand growth for biodegradable plastics has exceeded the IHS forecast.
According to a survey by the United Nations Environment Programme (UNEP), at least 67 countries and regions around the world have already adopted restrictions on single-use plastic products.In 2019, there are more than 15 new plastic restriction countries around the world.The growth rate of global demand for biodegradable plastics is conservatively estimated at around 28% in 2019, with a demand of 461,000 tons.
The food packaging, cutlery and bags market is a major growth driver for biodegradable plastics, which is expected to see double-digit growth over the next few years, benefiting from local restrictions on plastic shopping and production of handbags. Compostable bags are the second largest end
end application for degradable polymers, and this segment will continue to grow strongly as composting systems gradually expand. The foam packaging market accounts for a large share of the biodegradable polymers market in Western Europe and North America, but a relatively small share in other regions. Biodegradable polymers are also used in agriculture and horticulture (mulch films), paper coating
layers, textiles, nonwovens, absorbable medical devices (implants, sutures), downhole tools for oil and gas field operations, and 3D printing filaments.
--The above data is from China Biodegradable Plastics Industry Market Outlook and Investment Strategy Planning Analysis Report by Prospect Industry Research Institute.