Biodegradable Plastics Market is set to strong growth at a CAGR of 13.3% - led by Europe| key Players:- BASF, NatureWorks, Mitsubishi Chemical.

The Biodegradable Plastics Market is expected to reach at a CAGR of 13.3% during the forecast period 2024-2031.

The biodegradable plastics market is growing due to stricter environmental regulations, rising plastic waste concerns, consumer preference for sustainable packaging, corporate ESG commitments, and advancements in bio-based materials, especially across food packaging, agriculture, and consumer goods sectors.

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United States: Key Industry Developments:-
✅ November 2025: Braskem unveiled bio-based product innovations at K 2025 trade fair, including MDO films made with I'm green bio-based PE from sugarcane for enhanced recyclability in packaging like flow packs and stand-up pouches. This launch targets circular economy goals with improved stiffness and optical properties.​

✅ October 2025: Major U.S. bioplastics firms expanded production capacities for starch-based biodegradable plastics amid rising packaging demand, driven by regulatory pushes for sustainable alternatives in food and consumer goods. Investments focused on PLA and PHA blends for flexible films and rigid containers.​

✅ September 2025: Danimer Scientific announced advancements in PHA-based resins for U.S. agriculture mulch films, enabling faster soil biodegradation and reducing plastic waste in farming applications across Midwest states.​

Japan: Key Industry Developments:-
✅ November 2025: Mitsubishi Chemical Group launched a new line of biomass-derived biodegradable polybutylene succinate (PBS) for Japanese packaging markets, emphasizing compostability under local standards and integration with recycled content. This supports Japan's plastic waste reduction targets through enhanced barrier properties.​

✅ August 2025: Teijin Corporation introduced cellulose-based biodegradable films for hygiene and consumer products, developed in collaboration with government-backed R&D initiatives to boost domestic manufacturing sustainability. The innovation improves moisture resistance while fully degrading in industrial composting.​

✅ June 2025: Kaneka Corporation expanded its Green Planet bio-PBS production facility in Japan, targeting exports of biodegradable plastics for agriculture and packaging with a focus on marine degradability to align with national ocean plastic policies.

Recent M&A (2025)
Arlington Capital Partners and Tex Tech Industries acquired Fiber Materials, a Maine-based developer of composite materials for defense, in January 2025, supporting advanced material innovations potentially applicable to biodegradable composites.​

Plastipak Industries acquired R&M Pole Line Products, a Barrie-based manufacturer of plastic components, in Q1 2025, expanding into utility plastics with potential biodegradable extensions.​

AOC Resins was acquired by Nippon Paint Holdings for $4.35 billion on March 3, 2025, enhancing specialty resins that could integrate biodegradable formulations in coatings.​

Stahl Holdings, a manufacturer of specialty coatings for flexible materials, was acquired in Q1 2025 for $1.407 billion, advancing surface treatments compatible with bio-based plastics .

Growth Forecast Projection:
The Biodegradable Plastics Market is anticipated to rise at a considerable rate during the forecast period, between 2025 and 2032. In 2024, the market is growing at a steady rate, and with the rising adoption of strategies by key players, the market is expected to rise over the projected horizon.

Research Process:
Both primary and secondary data sources have been used in the Biodegradable Plastics Market research report. During the research process, a wide range of industry-affecting factors are examined, including governmental regulations, market conditions, competitive levels, historical data, market situation, technological advancements, upcoming developments, in related businesses, as well as market volatility, prospects, potential barriers, and challenges.

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Adoption Drivers:-
Price sensitivity remains a barrier, as biodegradable options cost 20-50% more, yet willingness to pay premiums rises among millennials and Gen Z (up to 25% extra for sustainable products). Regulatory pushes like EU's Single-Use Plastics Directive amplify demand, with 65% of consumers supporting bans on non-biodegradables.

Companies and Competitive Landscape
BASF, NatureWorks, Mitsubishi Chemical, Total Corbion PLA, Plantic Technologies, Biome Bioplastics, Bio-On, Danimer Scientific, Toray Industries, Novamont S.p. A, and other major companies listed in the final report.

Regional Analysis:

⇥ North America (U.S., Canada, Mexico)
⇥ Europe (U.K., Italy, Germany, Russia, France, Spain, The Netherlands and Rest of Europe)
⇥ Asia-Pacific (India, Japan, China, South Korea, Australia, Indonesia Rest of Asia Pacific)
⇥ South America (Colombia, Brazil, Argentina, Rest of South America)
⇥ Middle East & Africa (Saudi Arabia, U.A.E., South Africa, Rest of Middle East & Africa)

Market segmentation-
By Type (PLA, Starch Blends, Biodegradable Polyesters, PHA),
By End-User (Packaging & Bags, Consumer Goods, Agriculture & Horticulture)
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FAQs -

1. What is the Projected CAGR value of the Biodegradable Plastics Market?
The Biodegradable Plastics Market is expected to grow at a CAGR of 13.3% during the forecasting period 2024-2031.

2. Which is the Largest Market Share in the Biodegradable Plastics Market?
Europe is the Largest Market Share in the Biodegradable Plastics Market.

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