Automotive Bioplastic - An Alternative with a Future?
The automotive industry has been on a tear for years with fossil fuel becoming a dwindling resource, growing prominence of stringent emission regulations – especially in countries where implementation has been lax - and the rise of electric vehicles (EVs). Over the years, increasing volume and reducing prices continued to influence the growth strategies of the industry, however, the volume is unlikely to grow steadily in the future amid wrenching changes in global economies and increasing focus on raising fuel efficiency. Today, cutting fuel consumption and emission by reducing vehicle’s weight is a prime objective and major challenge for the automotive sector. With the emergence of ‘lightweight’ trend, plastics have continuously been used to substitute metals or heavier materials in vehicles. The automotive industry has, for now, escaped the scrutiny surrounding plastic pollution, and the search is on for alternative to conventional plastics. As a result, automakers are turning to ‘bioplastics’ with an aim to reducing products’ environmental impact, and stay ahead of the pack in the era of green technologies.
Automotive Bioplastic Market - Key Research Findings
- The global automotive bioplastic market is likely to be valued at ~US$ 521 Mn in 2019.
- The automotive bioplastic market is anticipated to grow at a CAGR of ~11% during the forecast period of 2019-2029.
- Demand for automotive bioplastics will remain significantly high in interior applications.
- The growth of this particular segment can be primarily attributed to the lightweight nature of bioplastics and their ability to increase the efficiency of components.
- East Asia is estimated to account for 1/4th of the revenue share of the automotive bioplastic market by the end of 2029.
- The East Asian market for automotive bioplastic is anticipated to reflect greater opportunities for automotive bioplastic manufacturers and distributors, in line with the increase in vehicle production in the region.
- Biopolymer or bioplastic manufactureres are developing specialty grades of plastics suiting variety of applications for automotive interior as well as exterior components.
Key Factors Molding Growth of the Automotive Bioplastic Market
Stringent Emission Norms
Bioplastic parts and components weigh a lot lesser than their metallic counterparts, hence, their usage in the construction of a vehicle leads to weight reduction, which is beneficial as it helps bring down fuel consumption and subsequently emissions.
As per the data from the U.S. Energy Information Administration, the U.S. and Canada are ranked number two and seven, respectively, in terms of CO2 emissions, globally. Additionally, with respect to emission per capita, the U.S. is ranked number one among large economies. Consumers have become more aware of and proactive about climate change and global warming, as well as have to comply with stringent corporate average fuel economy regulations (CAFE); hence, they are increasingly focusing on vehicle maintenance.
Burgeoning Sales of High-end Vehicles and Sports Cars
Europe is a lucrative market for the automakers, with Italy, Germany, the United Kingdom, and France being at the forefront. Automotive manufacturers in these countries are focused on rolling out mid-level to high-level variants, which take up a major share of the automotive bioplastic market. With high sales observed in such variants, it has become imperative that these models must incorporate high-end materials in their build, including bioplastic materials, as consumers place high focus on the quality and appeal of the vehicle. Furthermore, consumers in the region are also concentrating on environmental sustenance, motivating a slight shift towards electric vehicles. High sales of electric vehicles coupled with growing focus on incorporating automotive bioplastic are some of the prime reasons driving the market growth.
Lightweight Vehicles for Fuel Efficiency
Stringent emission standards in countries such as Germany, the U.S., Canada, the U.K., and Mexico, are compelling automotive builders to make fuel-efficient vehicles. To attain fuel economy, auto manufacturers are trying to reduce the weight of vehicles and their components, which will support the demand for light weight automotive brakes, such as carbon ceramic (CC) brakes. These brakes are comparatively light in weight and hence, improve the performance and durability of vehicles.
Automotive Bioplastic Market Structure Analysis
- The automotive bioplastic market is a moderately competitive and fragmented market across the globe.
- Strategies followed by key players in the automotive bioplastic market are expansion of business through partnerships, collaborations, and technological advancements.
- Advancements in automation and research have compelled manufacturers to manufacture advanced automotive bioplastic structures that are stronger than metal-based products.
- Increase in the number of luxury vehicles is a key trend observed in the automotive bioplastic market.
Exceeding Performance and Cost Parameters - Key Growth Influencer
Beyond the benefits of reduced weight, the future of the automotive industry lies choosing the most resource efficient material, and bioplastics – such as bio-based polyesters and bio-based polyamides – are well suited to contributing to the future. In recent times, bioplastics are finding diverse applications including automobile interiors, undercarriages, and even under the hood; the result is likely to lead to increased demand in the foreseeable future. Moreover, the global automotive bioplastic market is set to record a value CAGR of ~11% in the next ten years, as per FMI’s study. The demand for automotive bioplastic is gaining further boost from its ability to reduce the dependency on limited fossil resource and minimize the environmental impact of car production by limiting energy use and CO2 emissions. Bioplastic feedstocks include land-efficient annual crops (renewable resources) such as corns, castor oil plants, sugar beets, and switch grass, and it can also be derived from non-biodegradable polymers for use in durable applications. Innovations have been forthcoming in line with significant advancements in green chemistry to meet or exceed performance and cost parameters of conventional plastics.
Developed Nations - Ahead in the Game
Bioplastic is revolutionary material, changing how cars are made to align with global sustainability drive. Europe and North America and neck-and-neck in the automotive bioplastic industry, ranking relatively high in the field of research and development, as compared to other regions. These factors came into play when researchers in Eindhoven University of Technology, Netherlands developed the first car out of completely from bioplastics in June 2018. With a growing number of raw materials, applications, and products, the number of manufacturers, converters, and end users are also increasing significantly in developed nations such as Japan. Moreover, Toyota, a Japanese carmaker, is the frontrunner in adopting bio-based plastic for its production process.
Stakeholders to Benefit from Rapid Replacement Rates of Conventional Plastics
The automotive bioplastic market shows a fair level of competition and fragmentation, with top ten players occupying half of the total revenue share. Considering the nature of the product and application, an embrace of R&D is underway among automotive bioplastic manufacturers to allow even more significant advantages than mere weight reduction. While not necessarily biodegradable, automotive bioplastic can offer reduced life-cycle environmental impact and greenhouse gas (GHG) emissions. Further, owing to its resource, these bioplastics can provide possible hedge against the price volatility of the petroleum feedstocks used for conventional plastics, and help automakers fulfill increasingly stringent environmental regulations. Several automotive components such as car seats made of polyurethane foam and PVC-based window seals, gaskets, and underbody protection are becoming important targets for replacement with bio-materials. Stakeholders active in the automotive bioplastic market are thus focusing on continuous advancements and innovations in new materials with improved properties and new functionalities.
Bio PP remains highly preferred
Bio PE gathers momentum
High applicability in exterior components
Application in interior parts increasing rapidly
Use in passenger cars remains bullish
Rising adoption in EVs
How Growth will Unfold
Automotive bioplastic is a key component of ‘bioeconomy’ - a novel concept of developing an entire economy based on renewable biological resources for sustainable production. For their growing technical applications, conventional automotive plastics are required to meet increasingly high standards, and bioplastics are no exception. In addition to technical complexity, there are plenty of room for improvement in barrier properties, durability, and compatibility with other polymers. R&D initiatives are expected provide effective solutions and improve the current situation. Collaborations with ombudsmen and research institutes also remains a key focus of the market players to strengthen environmental claims made for their products and to maintain supremacy in the race of innovations.
* This data is only a representation. Actual data may vary and will be available in report.
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Overview
Automotive Bioplastic Market Analysis 2019-2029
The latest market study published by Future Market Insights on the global automotive bioplastic market comprises global industry analysis for 2014 - 2018 & opportunity assessment for 2019 - 2029, and includes a complete assessment of the most essential market dynamics. After conducting an in-depth analysis on the historical as well as current growth parameters of the automotive bioplastic market, the growth prospects of the market are obtained with extreme precision.
Automotive Bioplastic Market Taxonomy
The global automotive bioplastic market is segmented in detail to cover every single aspect of the market and represent complete market intelligence to the reader.
Material Type
- Bio PA
- Bio PTT
- Bio PET
- Bio PBS
- Bio PP
- Bio PE
- Others
Application
- Exterior
- Interior
- Engine Surrounding
- Others
Vehicle Type
- Passenger Car
- Compact
- Mid-Size
- Luxury
- SUVs
- LCV
- HCV
- Electric Vehicles
- BEV
- HEV
- PHEV
Region
- North America
- Latin America
- Europe
- South Asia
- East Asia
- Oceania
- Middle East and Africa
- Emerging Countries
What's Included
The report begins with the executive summary of the automotive bioplastic market, which includes a brief analysis of the key findings and statistics of the market. Furthermore, in this area, the analyst has mentioned crux of the market such as overall market approach, target geographies, and differentiating strategy.
Readers can find the definition and a detailed taxonomy of the automotive bioplastic market in this chapter, which will help them understand the basic information about the market.
This section includes the factors that have emerged as key successful factors and strategies that are being adopted by key market participants in the global automotive bioplastic market.
This section explains the global market volume analysis and forecast for the automotive bioplastic market in the forecast period of 2019-2029.
This section of the report delivers detailed pricing analysis of the automotive bioplastic market at the regional level for the current as well as forecast years.
This section highlights the global market value analysis and forecast for the automotive bioplastic market in the forecast period of 2019-2029. This chapter includes a detailed analysis of the historical automotive bioplastic market, along with an opportunity analysis of the future.
Based on material type, the automotive bioplastic market is segmented into bio PA, bio PTT, bio PET, bio PBS, bio PP, bio PE, and others. In this chapter, readers can find information about the annual growth of each segment, market share, and attractiveness analysis based on material type.
This chapter provides details about the automotive bioplastic market based on application, and has been classified into exterior, interior, engine surrounding, and others. In this chapter, readers can also understand the BPS gain and loss with respective segments.
This chapter provides details about the automotive bioplastic market based on its application areas, and has been classified into passenger car, LCV, HCV, and electric vehicles. In this chapter, readers can understand the market value share analysis of above mentioned segments with their absolute $ opportunity over the forecast period.
This section explains how the automotive bioplastic market will grow across various geographic regions such as North America, Latin America, Europe, South Asia, East Asia, Oceania, and the Middle East and Africa.
This chapter includes a detailed analysis of the growth of the North America automotive bioplastic market, along with a country-wise assessment that includes the U.S. and Canada. Readers can also find the pricing and impact analysis of market dynamics as well as and market growth according to various segments and countries in North America.
This chapter provides the growth scenario of the automotive bioplastic market in Latin American countries such as Brazil, Mexico, and the Rest of Latin America. Along with this, an assessment of the market across target segments has been provided.
Important growth prospects of the automotive bioplastic market based on its end users in several countries such as Germany, France, Italy, the U.K., Spain, BENELUX, Russia and Rest of Europe, are included in this chapter.
In this chapter, readers can find the growth prospects of the automotive bioplastic market in India, ASEAN, and Rest of South Asia with the impact of market dynamics over the forecast period.
This chapter highlights the growth of the automotive bioplastic market in East Asia by focusing on China, Japan, and South Korea. This section also helps readers understand the key factors that are responsible for the growth of the automotive bioplastic market in East Asia.
In this chapter, readers can find detailed information about the growth parameters of automotive bioplastic markets in Australia and New Zealand during the forecast period of 2019-2029.
This chapter provides information about how the automotive bioplastic market will grow in prominent countries in the MEA region, such as GCC Countries, South Africa, Turkey, and Rest of MEA, during the stipulated time period.
In this chapter, readers can find detailed information about the industry structure analysis and leading players with their share. Furthermore, in this chapter, readers can find a comprehensive list of all the prominent stakeholders in the automotive bioplastic market. In the TOC segment, the team has mentioned key players in the automotive bioplastic market.
This chapter includes a list of acronyms and assumptions that provide a base to the information and statistics included in the automotive bioplastic market report.
This chapter helps readers understand the research methodology followed to obtain various conclusions as well as important qualitative and quantitative information about the automotive bioplastic market.
How the research was conducted?
Primary Research
- C - Level Executives
- Marketing Directors
- Product Managers
- Business Development Officers
- Production Managers
- Procurement Heads
- Sales Executives
- Distributors
- Traders
- Raw Material Suppliers
- Industry Experts
- End Users
- Current market dynamics and challenges
- Yesteryear trends
- Market characteristics
- Market performance and growth quadrants
- Competition structure and market structure
- Strategic growth initiatives
- Near-term and long-term market growth prospects
- Market segment splits and authenticity
- Opinions on market projections and validity of assumptions
Secondary Research
- Industry Publications
- OICA
- Industry Associations
- SIAM
- NAATA
- Factiva
- Company Press Releases
- Annual Reports and Investor Presentations
- Research Papers
- Government Websites and Publications
- Trade Websites
Primary Interview Splits
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