Polyethylene Terephthalate Market is Likely to Clock a 5.80% CAGR From 2016 - 2024
The global polyethylene terephthalate (PET) market is witnessing significant growth in its valuation, thanks to the increasing trend of replacing conventional glass packaging with PET packaging. The enhanced recyclability of PET is also driving this market substantially. Going forward, polyethylene terephthalate is experiencing a high demand in developing economies, which is likely to boost this market remarkably in the near future. However, the market may be hampered to some extent over the next few years due to the volatility in prices of crude oil and the increasing implementation of strict government norms and regulations regarding the application of polyethylene terephthalate.
The global polyethylene terephthalate (PET) market was worth US$23.73 bn in 2015. Rising at a 5.80% CAGR between 2016 and 2024, the market’s opportunity is expected to reach US$39.16 bn by the end of 2024. The high demand for packaged food is likely to create lucrative opportunities for the market players over the forthcoming years. Polyethylene terephthalate is predominantly utilized in beverage packaging, films, food packaging, and various other applications, such as cosmetic bottles and household products. The demand for polyethylene terephthalate is greater in the beverage packaging segment and is expected to remain so over the next few years due to its extensive usage in the manufacturing of water bottles, soft drink bottles, juice bottles, and bottles for liquid dairy products.
Films are another prominent application area of polyethylene terephthalate. In this segment, it is used for the production of boil-in bags and lids of yogurt and the packaging of frozen meat, snacks, and jars. In food packaging, polyethylene terephthalate is utilized to manufacture egg trays, trays for vegetable packaging, biscuit packing, and microwave safe packaging.
Regionally, the worldwide market for Polyethylene terephthalate has been classified into Asia Pacific, North America, the Middle East and Africa, Europe, and Latin America. Asia Pacific, among these, dominated the overall market with a share of more than 35% in 2015 due to the busy lifestyle and the rising disposable income of consumers hailing from the middle class in Asian economies. The regional market is likely to remain on top over the forthcoming years, thanks to the lucrative opportunities it will be offering to market players. In Asia Pacific, China is likely to take the lead and closely followed by India, Japan and ASEAN countries in the near future.