Asia Pacific Rotomoulding Powder Market Size By Material (Polyethylene, [Linear Low-Density Polyethylene, High-density polyethylene, Medium-Density Polyethylene, Low-Density Polyethylene], Polypropylene, Others ), By Application (Tanks, Containers, Automotive, Construction, Material Handling, Leisure, Toys), Industry Analysis Report, Country Outlook, Growth Potential, Price Trends, Competitive Market Share & Forecast, 2018 – 2024

Asia Pacific Rotomoulding Powder Market Size

Asia Pacific Rotomoulding Powder Market size was valued at USD 2 billion in 2017 and is expected to witness growth of more than 17.5% CAGR up to 2024.
 

Increasing population and need for affordable housing options in economies including China, India, Indonesia, Japan, Thailand, and Malaysia will drive the rotomoulding market. Strong business outlook for storage tanks and material handling products owing to superior moulding efficiency of rotomoulded powder will further accentuate the market. Additionally, growing demand for hollow plastic playground equipment, toys, and containers are expected to fuel industry growth.
 

Improved product life cycle and low cost are the key factors supporting the demand for rotomoulding powder. The cost of rotomoulding powder is volatile in Asia Pacific owing to its high dependency on raw material imports from other regions. This has an impact on the cost of the final product. Despite that, cost of rotomoulded commodities is approximately 15% less than its market substitutes E.g. twin-sheet thermoforming and blow moulding commodities.
 

The furniture, interiors, and showpieces made from rotomoulding powder are expected to witness high demand in Asia Pacific owing to ease of production and exceptional stress handling capability. Rotomoulded powder furniture also find application in outdoor furniture segment as it can withstand the environmental stress more effectively as compared to traditional wooden furniture. Additionally, the increasing demand for rotomoulded products in building material, and automotive parts are anticipated to fuel industry growth.
 

Rotomoulding is widely adopted in the automotive industry as it helps in single-part construction. This process reduces the manufacturing cost and improves the durability & reliability of a product. Components manufactured using rotomoulding powder including battery case, bumper, interior panels, door trims and fender liners owing to its flame retardant and UV resistance properties. Additionally, increasing demand for automotive will boost the demand for rotomoulding powder in Asia Pacific.
 

Use of advanced digitalization and automation technologies such as the Industry 4.0 will result in improved production & profitability and an effective supply chain. The gradual shift towards providing value-added products to the customers and other end-users will drive the industry profits. Manufacturers such as LyondellBasell, Arkema, Reliance Chemicals, Dupont, and Asahi Kasei utilize cutting-edge technologies and state-of-the-art machines to maximize output via limiting downtime, cycle times, and achieving optimal energy efficiency. The processing methods used by manufacturers is vital to ensure quality during product fabrication as it is the key to the longevity and performance of the products.
 

High degree of urbanization in economies including India, China, South Korea, and Indonesia have led to the release of huge amounts of plastic wastes. The increasing level of plastic waste has harmful effects on the ecosystem is not recycled efficiently. Hence, there are regulations implemented for the production and use of plastics. For instance, Circulate Capital is an investment facility that is established to tackle this issue by creating a mixed financing mechanism. This mechanism eliminates access to wealth which is a barrier for the development of recycling and waste management infrastructure.
 

Asia Pacific Rotomoulding Powder Market Analysis

Polyethylene segment accounted for around 80% of the Asia Pacific rotomoulding powder market in 2017. Polyethylene is among the well-known thermoplastic used as raw material for manufacturing a variety of consumer products. It is used in various segments including chemical & pharmaceutical, agriculture, medical and industrial owing to its properties like thermal and UV stability. Demand for polyethylene is expected to increase owing to the increasing consumption of high-density polyethylene (HDPE). HDPE is extensively used in automobile, construction and electronic segments owing to its rigidity, lightweight, and flexibility.
 

HDPE is used in applications such as containers, agricultural films, carton & box liners, bakery bags, envelope material, retail bags, grocery sacks, shipping sacks, and bottles. It is the most sturdy and inflexible variety of polyethylene. The exceptional down-gauging property of HDPE is driving its industry demand from the films and sheets segment. However, the selection of materials is highly dependent on the budget, application requirement, and consumers’ choice of the product.
 

Containers segment is projected to witness over 17% CAGR up to 2024. Plastic containers have a variety of applications in personal care, food & beverage, pharmaceutical products, and storage. Increasing demand for tough & safe for use containers will increase the demand for rotomoulding powders in the market. Rapid growth in the food production & food processing industry will fuel segment growth as many containers find application in storage, transportation, and packaging of food products.
 

Leisure segment is expected to grow at a rapid pace owing to increased consumer spending, change in traveling trends and rising number of tourist destinations. Use of rotomoulded powder for manufacturing outdoor plastic furniture at tourist destinations is growing rapidly owing to features including easy maintenance, lightweight, sturdiness, and resistance to environmental stress.
 

China accounted for over 50% of the overall rotomoulding powder market share in 2017. High investments in commercial and residential developments will propel the demand for rotomoulded products. Banks offering leverage for infrastructural projects will surge the demand for these products in various applications will boost the demand for rotomoulding powder. Rapid urbanization and increasing consumer spending coupled with rising disposable income have resulted in the demand for rotomoulded products including furniture, leisure products, automobile, household, and industrial appliances.
 

Increasing use of rotomoulding powder to produce consumer electronics, tableware, fuel tanks, pipes, and fittings, etc. will drive the rotomoulding powder market in Vietnam. The tourism and leisure industry offer new growth avenues for the penetration of rotomoulded commodities. Additionally, Government regulations in Vietnam focus procuring rotomoulded components from domestic automotive firms rather than importing it, which will further propel market growth.
 

Asia Pacific Rotomoulding Powder Market Share

Asia Pacific rotomoulding powder market is highly competitive owing to the presence of large regional, multinational and entry-level players operating comprehensively. Key industry players include
 

• SCG Chemicals. Co., Ltd
• Reliance Industries Limited
• LyondellBasell
• Dalian Bona Biological Technology Co., Ltd
• Asahi Kasei

New product development, merger and acquisition, and strategic geographical expansion are the key strategies adopted by industry participants to increase their share. For instance, in August 2018, LyondellBasell acquired A. Schulman, Inc. a leading global supplier of high-performance plastic compounds, composites, and powders. This strategic acquisition will help LyondellBasell to offer its services high-end markets such as automotive, construction materials and electronic goods. Other notable players in the market include
 

• Jinyoung (Xiamen) New Materials Technology Co., Ltd.
• Pinaxis Polyplast LLP
• Green Age Industries
• Phychem Technologies Pvt. Ltd

operate in the market.
 

Asia Pacific Rotomoulding Powder Industry Background

Rotomoulding powder has gained huge recognition in most of the industry segments owing to its wide range of applications including tanks, containers, construction, automotive, material handling, leisure, and toys. Rotomoulding powders are also used in medical application owing to its chemical and bacterial resistance properties. Propylene is extensively used in medical applications such as disposable needles, vials, petri plates, diagnostic devices, intravenous bottles, food trays, and specimen bottles. Oil & gas is the parent market for rotomoulding powder, the volatile pricing scenario, demand & supply fluctuations, changing legislation and shifting consumer preferences will bring about the fundamental change in the industry. Prices are comparatively low in Asia Pacific due to the high production of raw materials in few countries where China being the major hub for petrochemical processing.