Bio-PET Film Market Size, Share & Trends Analysis Report By Type (Laminating Film, Universal Film, Electrical Insulating Film, Capacitor Film), By Application, By Region, And Segment Forecasts, 2023 - 2030

Bio-PET Film Market Size & Trends

The global bio-PET film market size was estimated at USD 61.6 million in 2022 and is projected to grow at a compound annual growth rate (CAGR) of 12.4% from 2023 to 2030. The rising sustainability and environmental concerns among people worldwide are increasing the demand for the market. Polyethylene terephthalate (PET) films consist of 70% terephthalic acid and 30% mono-ethylene glycol (MEG). Bio-PET contains MEG, which is extracted from renewable non-fossil raw materials. Since 30% of the granulates consist of non-fossil and renewable raw materials, bio-PET aids in achieving a better eco-balance.

The increasing awareness of environmental issues, particularly plastic pollution and climate change, has led to a greater demand for environment-friendly alternatives to traditional plastics. Bioplastics including bio-PET are considered a more sustainable option because they are often derived from renewable resources and can be biodegradable or compostable.

According to European Bioplastics e.V., global bioplastics production capacities were recorded at approximately 2.2 million tons, and this figure is expected to reach around 6.3 million tons by the end of 2027. Bio-PET films find applications in various sectors, including packaging, labels & decals, solar panels, electrical insulation, tape backing, graphic arts, laminates, photographic films, screen protectors, flexible electronics, and decorative films, among others. PET films are extensively used for labels and decals applications. The increasing use of labels and decals for product branding and identification, information and compliance, and anti-counterfeiting measures is expected to drive the bio-PET films market. The growth of e-commerce has led to an increased demand for labels and decals for shipping and packaging, which, in turn, is expected to propel the demand for the market.

Bio-PET films are durable and resistant to physical wear and tear, making them suitable for long-term use in electrical applications. PET films can be manufactured in very thin gauges while maintaining their insulating properties. This is advantageous when space constraints are a concern in electrical equipment. In some cases, the transparency of PET films can be advantageous for visual inspections of electrical components and circuits.

Application Insights

Based on application, the packaging segment emerged as the leading segment with the maximum revenue share of over 37.8% in 2022. The increasing demand for packaging, especially in the food sector, is driving the demand for bio-based food packaging plastics. This, in turn, is expected to propel the market. Rising environmental concerns and regulations on single-use plastics are driving the demand for bio-based plastics in the packaging sectors. For instance, in July 2022, the Government of India banned the manufacture, sale, use, import, stocking, and distribution of single-use plastic items. Such regulations are expected to drive the demand for alternative plastics, such as bio-PET, which can be degradable and environmentally friendly compared to conventional plastics.

The electrical & electronics segment is anticipated to grow at a CAGR of 12.7% over the forecast period. The electrical & electronics industry is the largest market for bio-PET films after packaging. The increasing demand for electronic devices and growing concerns about plastic waste are encouraging manufacturers to incorporate bioplastics into various electrical and electronic devices. According to Invest India (Investment Promotion and Facilitation Agency), there has been over two-fold growth in the production of electronics in India in just six years. Domestic electronics production has increased from USD 43 billion in 2017 to USD 87 billion in 2022. This growth in the consumer electronics industry is driving the bioplastics market growth, which, in turn, is expected to propel the market growth in the future.

Type Insights

Based on type, the laminating film segment emerged as the leading segment and held the maximum revenue share of over 33.9% in 2022. Bio-PET films are extensively used for laminating applications owing to their excellent optical properties, providing high transparency and clarity. This makes them ideal for laminating applications where maintaining the visibility and appearance of the underlying material is crucial, such as laminated cards, photos, and documents. In addition, bio-PET films have low shrinkage, allowing them to maintain their original size and shape even when exposed to heat or moisture. This dimensional stability is crucial in laminating to prevent warping or distortion of laminated items. Furthermore, these films are strong and durable, resistant to chemicals and temperature variations, and environmentally friendly.

The electrical insulating film segment is expected to grow at the fastest CAGR of 12.9% over the forecast period. The increasing adoption of bio-PET films in electrical insulation can be linked to the expansion of the electrical industry and the rising need for effective insulating materials. As reported by the Export-Import Bank of India, the electrical equipment industry experienced a remarkable growth rate of 12.8% in the fiscal year 2017-18, reaching a seven-year high. This growth can be attributed to substantial government investments in rural and household electrification initiatives and programs. Bio-PET films have excellent dielectric properties, they are highly effective at insulating against electrical current. They have a high dielectric strength, making them suitable for use in high-voltage applications. These films exhibit a low dissipation factor, indicating that they have minimal energy loss when subjected to alternating electrical currents. In addition, these films can withstand a wide range of temperatures, have low thermal expansion, and can maintain shape and size over a wide temperature range. These films are flexible and can be easily molded or shaped to fit the specific needs of electrical components.

Regional Insights

Asia Pacific dominated the market and held the largest market share of 34.9% in 2022. Asia Pacific is the largest producer of bioplastics in the world. According to European Bioplastics e.V., in 2022, Asia Pacific accounted for a 41.4% share of the global bioplastics production capacity. China is among the top producers of bioplastics in the world. Increasing demand for plastic packaging and several government regulations on conventional plastics in countries such as China, Japan, and India are further expected to drive market growth.

Europe is expected to grow at a CAGR of 12.5% during the forecast period. Europe has a strong focus on sustainability and environmental protection. With a growing awareness of plastic pollution and its impact on the environment, there is a heightened demand for alternatives to traditional plastics. Bioplastics, such as bio-PET, are viewed as a more environment-friendly option because they contain renewable, non-fossil components. According to European Bioplastics e.V., Europe is the second-largest market for bioplastics in terms of production, accounting for around 26.5% of the global bioplastics production capacity.

Key Companies & Market Share Insights

The market is highly competitive, with a large number of manufacturers holding the majority market share. Product launches, approvals, strategic acquisitions, and innovations are just a few of the important business strategies used by market participants to maintain and grow their global reach. For instance, in December 2021, Anellotech, a sustainable technology company headquartered in the U.S., achieved a significant milestone in its efforts to commercialize bio-based PET. The company successfully produced 100% bio-based PET by beginning with bio-p-Xylene generated through its proprietary Bio-TCat technology and subsequently proceeding through the downstream stages of separation, purification, intermediate purified terephthalic acid (PTA), and final PET production.

Bio-PET Film Market Report Scope

Global Bio-PET Film Market Report Segmentation

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2030. For this study, Grand View Research has segmented the global bio-PET film market report based on type, application, and region:

• Type Outlook (Volume, Tons; Revenue, 000’ USD, 2018 - 2030)

  • Laminating Film

  • Universal Film

  • Electrical Insulating Film

  • Capacitor Film

  • Others

• Application Outlook (Volume, Tons; Revenue, 000’ USD, 2018 - 2030)

  • Packaging

  • Printing

  • Decoration

  • Electrical & Electronics

  • Others

• Regional Outlook (Volume, Tons; Revenue, 000’ USD, 2018 - 2030)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • UK

    • Germany

    • France

    • Italy

    • Spain

    • Norway

    • Netherlands

  • Asia Pacific

    • China

    • Japan

    • India

    • Australia

    • Thailand

    • South Korea

    • Indonesia

    • Malaysia

  • Central & South America

    • Brazil

    • Argentina

  • Middle East and Africa

    • Saudi Arabia

    • South Africa

    • UAE