Demand for Reinforced Plastics to Reach 3.6 Billion Pounds in 2013

Demand for reinforced plastics is forecast to grow 2.8 percent yearly to 3.6 billion pounds in 2013, valued at $7.4 billion and creating a market for 2.3 billion pounds of resin and 1.3 billion pounds of reinforcements. Advances will be fueled by reinforced plastics’ light weight and excellent performance and design capabilities. Finished products also require less raw materials, shorter assembly time, and fewer joints and fasteners than other materials. Efforts to reduce weight and maintenance requirements will remain a priority for everything ranging from automobiles to commercial aircraft. Construction and motor vehicle markets together accounted for 58 percent of reinforced plastics demand in 2008.  These and other trends, including market share and product segmentation, are presented in Reinforced Plastics, a new study from The Freedonia Group, Inc., a Cleveland-based industry research firm.

Reinforced thermoset demand, led by thermoset (unsaturated) polyester and epoxy, is expected to increase 2.8 percent per annum as a result of their low cost and performance attributes. Unsaturated polyester demand will rise at an average pace through 2013, reflecting renewed economic growth and the introduction of improved resins and processing techniques. Epoxy demand will grow at a more rapid rate due to opportunities in electrical and electronic composites. Wind turbine blades and other components are also a large potential application for thermoset polyester and epoxy.  Although this market is currently dominated by offshore producers, blade manufacturers are expected to open facilities in the US Midwest in order to reduce transportation costs for the huge blades.

Demand for reinforced thermoplastics is projected to increase 2.9 percent per year to 1.5 billion pounds in 2013, fueled by their high performance, competitive cost, processing advantages over thermosets and better design capabilities.  Reinforced polypropylene and nylon will exhibit above average growth. Polypropylene will remain the leading thermoplastic resin based on its low cost, stiffness and dimensional stability. Motor vehicles will remain nylon’s primary market based on the resin’s high strength, stiffness, and good chemical and abrasion resistance.

The Freedonia Group is a leading international business research company, founded in 1985, that publishes more than 100 industry research studies annually. This industry analysis provides an unbiased outlook and a reliable assessment of an industry and includes product segmentation and demand forecasts, industry trends, demand history, threats and opportunities, competitive strategies, market share determinations and company profiles.