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Polystyrene & Expandable Polystyrene Market show exponential growth by 2020
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Rising demand from the packaging industry in BRICS countries is expected to be one of the major factors driving the global polystyrene & EPS market. Additionally, increasing demand from consumer electronics and electronic components industries is anticipated to boost the global polystyrene & EPS market. However, volatility in prices of raw materials is estimated to hamper market growth during the forecast period. Availability of high performance substitutes such as polypropylene and polyethylene is also likely to be a major restraining factor for the global polystyrene & EPS market.
Packaging emerged as the largest application of the global polystyrene & EPS market in 2013. Increasing demand for polystyrene & EPS in BRICS countries and approval of the FDA for packaging application is projected to drive the segment during the forecast period. In terms of volume, demand for polystyrene & EPS from electrical & electronics application is anticipated to rise at a CAGR of 4.5% from 2014 to 2020. Polystyrene & EPS are primarily used in thermal insulation of roofing, flooring and other industrial processes due to their insulation properties. Other applications of polystyrene & EPS include its usage in petri dishes, CD cases, plastic cutlery and disposable razors.
China dominated the global polystyrene & EPS market in 2013 due to high demand from packaging and electrical & electronics industries. In terms of volume, the country accounted for 37.1% of the total polystyrene & EPS market in 2013. Rising demand for polystyrene & EPS for packaging application in Rest of the World is led by an increase in per capita disposable income and key global events Football World Cup 2014 and Olympics 2016 in the region. Increasing demand for polystyrene & EPS from the thermal insulation industry in Europe is projected to fuel market growth for polystyrene & EPS during the forecast period. The market for polystyrene & EPS in Rest of Asia Pacific is expected to expand at the highest growth rate in the next few years due to growth in packaging and consumer electronics industries in the region.
The global polystyrene & EPS market was highly fragmented, with the top five players accounting for 26.0% share of the market in 2013. Key industry participants include S.C. Adeplast S.A., BASF SE, INEOS Styrenics, Kaneka Corporation, Nova Chemicals Corporation, Owens Corning, Total Petrochemicals & Refining USA and Synthos S.A.
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