Engineering Plastics: India Market Scenario, Trends, Opportunity, Growth and Forecast, 2020-2030

Market Definition

Engineering Plastics are materials used for applications which requires engineering to design the product. These materials possess high resistance to heat, chemicals, impact, and fire, along with superior mechanical strength.

Styrene Acrylonitrile (SAN): SAN is a hard rigid amorphous transparent copolymer of styrene and acrylonitrile. The polymer constitutes 70-80% styrene and 20-30% acrylonitrile, and possesses high strength, rigidity and chemical resistance.

Polybutylene Terephthalate (PBT): PBT is a thermoplastic crystalline polymer that is formed from polycondensation of terephthalic acid or dimethyl terephthalate with 1,4–butanediol in the presence of some catalyst.

Acrylonitrile-Butadiene Styrene (ABS): ABS is a copolymer of Acrylonitrile, Butadiene, and Styrene where Polybutadiene rubber is distributed uniformly in styrene-acrylonitrile copolymer (SAN) matrix, imparting hardness, rigidity and resistance to heat.

Polyamide: Polyamide is a semi crystalline polymer that are made of one-material PA 6 or two-material PA 66 polymer. The polymer possesses excellent wear, thermal and chemical resistance.

Polycarbonate: Polycarbonate belongs to polyester group of plastic that is formed by reaction of bisphenol A with carbonyl chloride and can maintain its rigidity and toughness at a very wide temperature range, i.e., from -20° Celsius to 140° Celsius.

Others: Others includes polymers like Polysulfone, Poly-phenylene Sulphide (PPS), Fluoropolymers, Polytetrafluoroethylene, PTFE, etc.

Market Insights

India’s engineering plastics market is anticipated to expand at a CAGR of 13.5% from 2023 to 2030 due to the nation’s rising per capita income and expanding packaging, electrical and electronics and automotive industry. The demand for engineering plastics in India is also anticipated to increase during the forecast period as a result of rising industrialization, the substantial presence of automobile manufacturers in South India, and the country’s emergence in the international FMCG market as a hub for sourcing cost-competitive products due to low production costs. In addition, rising low-voltage switchgear sales and projected expansion in electrical and electronic exports are expected to support India’s engineering plastics industry in the years to come

The COVID-19 epidemic caused significant disruptions to the supply chain networks, which hurt the market. These disruptions were brought on by lockdowns, societal barriers, and trade penalties. The earlier 2021 activity halt had a negative impact on the automotive and construction industries. The latter part of 2021 saw positive growth in several sectors, which boosted demand for engineering plastics. Notably, the necessity for protective shields, masks, and PPE kits caused by rising health awareness kept demand for engineering plastics in the packaging and medical industries strong both during and after the pandemic

In India, about 4,399,112 automobiles were produced in 2021, a 30% increase over the 3,381,819 vehicles produced in 2020, according to the OICA. During the forecast period, the market is anticipated to grow due to the expanding automotive sector. Additionally, the government’s initiatives, such the “Make in India” and “Aatma Nirbhar Bharat” programmes, are probably going to help the automobile sector. Rising growth in automobile industry is driving the demand for engineering plastics across the country.

Market Dynamics: Drivers

Rising Demand from Automotive Industry

Indian automotive industry is growing and hence creating significant opportunity for engineering plastics market. In April 2021 to March 2022, Passenger Vehicle Exports increased from 404,397 to 577,875 units (registering a positive growth of 42.9%), Commercial Vehicle Exports increased from 50,334 to 92,297 units, Three-Wheeler Exports increased from 393,001 to 499,730 units and Two-Wheeler Exports increased from 3,282,786 to 4,443,018 units in April 2021 to March 2022 over same period last year. In the Union Budget 2023, the government has increased the budget allocation of FAME II by 78%. This is creating strong growth opportunity for engineering plastics market.

Market Dynamics: Challenges

Raw Material Prices Highly Dependent on Crude Price

India, which is a net importer of crude oil, is impacted by the up and down swings in the price of crude oil. As a result of rising crude oil prices, India’s import bill will rise, widening its current account deficit (CAD). Crude oil is one of the critical raw materials for engineering plastics and rising prices is impacting the market growth.

Market Segmentation

• Based on Type, the India Engineering Plastics market is segmented into
  • Polycarbonate
  • Polyamide
  • ABS
  • PET
  • PBT
  • POM
  • Fluoropolymer
  • Styrene-acrylonitrile resin
  • Others
• Based on End Use, the India Engineering Plastics market is segmented into
  • Automotive
  • Electrical & Electronics
  • Packaging
  • Industrial & Machinery
  • Building & Construction
  • Consumer Goods
  • Others
• Based on Availability, the India Engineering Plastics market is segmented into
  • Imported
  • Domestically Produced
• Based on Company Type, the India Engineering Plastics market is segmented into
  • Organized
  • Un-organized
• Based on Region, the India Engineering Plastics market is segmented into
  • East India
  • West India
  • North India
  • South India

• All market revenue has been given in US Dollar, while the market volumes are given in tons.

Historical Year: 2020-2021
Base Year: 2022
Estimated: 2023
Forecast- 2024-2030

Key Questions this Study will Answer

• What are the key overall market statistics or market estimates (Market Overview, Market Size- By Value, Market Size-By Volume, Forecast Numbers, Market Segmentation, Market Shares) of India Engineering Plastics Market?
• What is the region wise industry size, growth drivers and challenges key market trends?
• What are the key innovations, opportunities, current and future trends, and regulations in the India Engineering Plastics Concrete Market?
• Who are the key competitors, what are their key strength and weakness and how they perform in India Engineering Plastics Market based on competitive benchmarking matrix?
• What are the key results derived from the market surveys conducted during India Engineering Plastics Market study?