Bio-based Polyurethane Market to Reach USD 52.8 Mn by 2028: RM

TAGS:  Polyurethane Adhesives      Sustainability / Natural Adhesives      Sealants    

Research and Markets (RM) anticipates that the global bio-based polyurethane (PU) market size is expected to reach USD 52.8 million by 2028. The market is expected to register a CAGR of 5.9% from 2021 to 2028. By product, bio-based PU has applications in rigid foam, coatings, adhesives & sealants, flexible foam.

Increasing product demand from the automotive industry for the manufacturing of seat cushions, seat backs, armrests, head restraints, and others is anticipated to boost the bio-based PU market growth.

Plant-based Polymer Resins Reduces CO₂ Emissions

In automotive applications, the use of natural fiber-reinforced plastics and plant-based polymer resins helps reduce CO₂ emissions and the weight of vehicles, which, in turn, helps improve fuel economy. Thus, increasing government concerns to reduce CO₂ emissions across the globe are anticipated to fuel the product demand in automotive applications during the forecasted years.

Expanding application scope in the packaging, building & construction, electrical & electronics, automotive, and consumer goods industries is also anticipated to offer growth opportunities to the key players. For instance, in September 2020, Covestro announced its partnership with Shandong INOV New Materials to complete the laying of the walkway using CO₂-based polyolCardyon. This is the first time that innovative CO₂-based materials have been used in China to produce sports floorings. Companies, such as Ford Motor Company, ZMP, La-Z-Boy, and Airysole Footwear, are some of the potential customers in the market.

Increasing concerns regarding toxic issues pertaining to petrochemicals along with depleting crude oil reserves have been driving the development of bio-based polymers like bio-based polyurethane. Regulations imposed by most governments restricting the consumption of petroleum-based plastics in certain applications like medical devices are expected to further incentivize the production of bio-based polyurethane during the forecast period.

Highest Growth in Asia Pacific Region

In terms of revenue, the flexible foam segment accounted for the highest revenue share in 2020 and is expected to retain the dominance over the forecast period. Bio-based PU foams witnessed a rise in demand as an efficient insulation material, leading to higher energy savings, owing to the rising need for green buildings.

These foams are widely used in spray form for sealing holes, cracks, joints, and boding other building materials, ultimately reducing the amount of conditioning or heat required inside the building. Various strategic initiatives were recorded over the past few years to boost the growth of the market.

Asia Pacific was the largest regional market in 2020 owing to the presence of a well-established manufacturing base for electrical & electronics in China, Japan, and South Korea.

Source: Research and Markets