The global expanded polypropylene foam market size was valued at USD 936.8 million in 2020 and is expected to grow at a compound annual growth rate (CAGR) of 6.3% from 2021 to 2028. The increasing product penetration in applications, such as packaging, consumer goods, and furniture, is expected to have a significant impact on the overall market growth during the forecast years. The increasing product application scope in various industries can be attributed to its superior qualities, such as durability, chemical & water resistance, thermal insulation, and recyclability. Moreover, rising investments in manufacturing activities across major economies have resulted in an increased automobile and consumer goods production.
This, in turn, is expected to drive the demand for Expanded Polypropylene (EPP) foam beads and molded products over the coming years. The growing demand for chemical- and water-resistant materials in the packaging and consumer goods industries is slated to propel product demand over the forecast period.
The easy availability of propylene, which is the key raw material used for the production of EPP foam, in major economies has helped strengthen the raw material supply in the global industry. However, the price volatility associated with this material is expected to affect the final product prices, thereby restraining market growth to some extent.
The global market is characterized by the presence of several large-, small-, and medium-sized companies, including raw material suppliers, manufacturers, fabricators, and distributors. The key players in the market, such as JSP Corporation and BASF SE, follow an integrated production chain, which results in barriers to entry for raw material suppliers as well as product manufacturers.
The high-density product segment accounted for the highest revenue share of more than 50% in 2020 and is expected to grow at the fastest CAGR during the forecast period. This high growth can be attributed to the rapid expansion of the automotive industry in key economies, such as Germany, China, India, and South Korea, with high product usage for passenger safety and NVH reduction applications.
The low-density product segment accounted for the second-highest revenue share in 2020 and is expected to grow at a steady CAGR over the forecast period. The considerable growth of this segment can be attributed to the growing product demand in the packaging industry, owing to its superior characteristics compared to other common plastic materials.
The medium-density product segment is expected to register the second-fastest growth rate during the forecast period owing to the increasing use of the product in consumer goods, such as electronics, toys, and appliances. The fast-emerging consumer goods industry in major economies across the globe is expected to drive the segment growth over the forecast years.
The segment is estimated to have a high growth potential in Asia Pacific, Europe, and North America, mainly as a result of the rapid expansion of the consumer goods industry in these regions. Moreover, rising consumer disposable income levels in these regions are expected to have a positive impact on consumer goods demand, thereby supporting the segment growth.
The automotive end-use segment accounted for the largest revenue share of over 43% in 2020. The segment is expected to grow steadily retaining the leading position throughout the forecast period, mainly on account of the increasing product usage in passenger safety and NVH reduction applications. The automotive industry uses a significant amount of EPP foam in the floor, door panels, seats, and bumpers for acoustic management, thermal insulation, and impact absorption. The growing importance of reducing overall vehicle weight to improve fuel economy is expected to drive the product demand in the automotive segment over the forecast period.
The consumer goods industry is expected to witness significant growth over the coming years. This is mainly due to the growing product usage in the production of electronics, furniture, toys, and household appliances on account of its improved chemical and mechanical properties. Increasing demand for the aforementioned consumer goods, primarily in developing economies, acts as a key driver for segment growth.
EPP foam offers a high strength-to-weight ratio, impact, chemical, & water resistance, and ease of fabrication, which enables custom designing and printing. The increasing use of foam beads and molded products in the packaging industry is also a key driver for market growth. The growing importance of protective packaging and flexible packaging solutions respectively across various end-use verticals, such as electronics, FMCG, and industrial equipment, is expected to have a positive impact on the overall product demand over the coming years.
Asia Pacific dominated the overall market accounting for a revenue share of over 52% in 2020, on account of increased product demand in key end-use verticals, such as consumer goods and packaging. The rapidly-growing automotive industry in the region is expected to drive the product demand over the forecast period.
Japan accounted for a substantial share of the APAC regional market in 2020 and is expected to grow at a steady CAGR over the forecast period mainly due to the presence of key players, such as JSP Corporation, Kaneka Corporation, and Furukawa Electric Co., with extensive product portfolios and vast geographical reach.
The market in Europe is expected to witness significant growth over the coming years on account of the recovering automobile industry and rapidly-emerging consumer goods industry in major economies, such as Germany, France, Spain, and Russia. The presence of key automotive OEMs in the region is expected to strengthen the growth of the automotive sector, thereby driving the product demand.
The market faces moderate to high competition on account of the presence of a large number of manufacturers, fabricators, and distributors in the industry. The presence of relatively lower-priced substitutes, such as Expanded Polyethylene (EPE) and Expanded Polycarbonate (EPC) in the market further intensifies the competition.
A majority of the companies follow an integrated approach, from the production of raw materials to the manufacturing of EPP foam beads, to the distribution of molded sheets and other molded products to various end-use verticals. Expansions, mergers & acquisitions, technological collaborations, and distribution agreements are the key strategic initiatives implemented by the key players to diversify product portfolios and expand geographical reach to sustain competitive positions in the industry.
Technological collaborations between manufacturers, fabricators, and end-use industries are crucial for growth, as molding & fabrication technologies enable the players to improve their product quality, customization services, and customer reach. Research activities focusing on new materials, which combine several properties, are projected to gain wide acceptance in the industry in the coming years. Some of the prominent companies in the global Expanded Polypropylene (EPP) foam market include:
JSP Corp.
BASF SE
Kaneka Corp.
DS Smiths plc
Hanwha Corp.
Furukawa Electric Co., Ltd.
Sonoco Products Company
Knauf Industries
IZOBLOK
Clark Foam Products Corp.
Armacell International S.A.
Report Attribute |
Details |
Market size value in 2021 |
USD 1.01 billion |
Revenue forecast in 2028 |
USD 1.56 billion |
Growth rate |
CAGR of 6.3% from 2021 to 2028 |
Base year for estimation |
2020 |
Historical data |
2016 - 2019 |
Forecast period |
2021 - 2028 |
Quantitative units |
Volume in tons, revenue in USD million/billion, and CAGR from 2021 to 2028 |
Report coverage |
Volume forecast, revenue forecast, competitive landscape, growth factors, and trends |
Segments covered |
Product, end-use, region |
Regional scope |
North America; Europe; Asia Pacific; Central & South America; Middle East & Africa |
Country Scope |
U.S.; Canada; Mexico; Germany; U.K.; France; Italy; China; India; Japan; South Korea; Brazil; South Africa |
Key companies profiled |
JSP Corp.; BASF SE; Kaneka Corp.; DS Smiths plc; Hanwha Corp.; Furukawa Electric Co., Ltd.; Sonoco Products Company; Knauf Industries; IZOBLOK; Clark Foam Products Corp.; Armacell International S.A. |
Customization scope |
Free report customization (equivalent up to 8 analysts working days) with purchase. Addition or alteration to country, regional & segment scope. |
Pricing and purchase options |
Avail customized purchase options to meet your exact research needs. Explore purchase options |
This report forecasts revenue and volume growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2016 to 2028. For the purpose of this study, Grand View Research has segmented the global expanded polypropylene foam market report on the basis of product, end-use, and region:
Product Outlook (Volume, Tons; Revenue, USD Million, 2016 - 2028)
Low-density
Medium-density
High-density
End-use Outlook (Volume, Tons; Revenue, USD Million, 2016 - 2028)
Automotive
Bumpers
Roof pillars
Seat bracing
Armrests
Others
Packaging
Food Packaging
Non-food Packaging
Consumer Goods
Electronics
Furniture
Toys & Sporting Goods
Others
Appliances
Kitchen Appliances
Non-Kitchen Appliances
Others
Regional Outlook (Volume, Tons; Revenue, USD Million, 2016 - 2028)
North America
U.S.
Canada
Mexico
Europe
Germany
U.K.
France
Italy
Asia Pacific
China
India
Japan
South Korea
Central & South America
Brazil
Middle East & Africa
South Africa
b. The global EPP foam market size was estimated at USD 936.8 million in 2020 and is expected to reach USD 1,018.6 million in 2021.
b. The global EPP foam market is expected to grow at a compound annual growth rate of 6.3% from 2021 to 2028 to reach USD 1,558.3 million by 2028.
b. The high-density product segment led the global EPP foam market and accounted for the highest revenue share of more than 50% in 2020.
b. The automotive segment dominated the global EPP foam market with a share of 43.1% in 2020 due to the rising demand for lightweight vehicles.
b. Asia Pacific dominated the overall global EPP foam market accounting for a revenue share of over 52% in 2020.
b. Some key players operating in the EPP foam market include JSP Corporation; BASF SE; Kaneka Corporation; DS Smith plc; Furukawa Electric Co., Ltd.; Hanwha Corporation; Sonoco Products Company; and Armacell International S.A.
b. Key factors that are driving the EPP foam market growth include ascending demand for light-weight, reusable, and non-toxic materials in furniture, automotive components, packaging.
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Due to the COVID-19 outbreak, there has been a decline in both automotive production and sales, which is having a direct impact on EPP foam as it was being used in the manufacturing of automotive components. In addition, the declining purchasing power parity of customers buying vehicles is also likely to have a negative impact on the demand for EPP foam over the next year. For instance, global automotive sales would decline by nearly at least 3 percent in the year 2020, as compared to the year 2019. The updated report will account for COVID-19 as a key market contributor.
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