U.S. Plastic Compounding Market Size, Share & Trends Analysis Report By Resin (PP, PE), By Technology (Injection Molding, Extrusion), By Filler (Unfilled, Calcium Carbonate-filled), By End-use,- Industry Analysis, Size, Share, Growth, Trends, and Forecast 2024-2033

U.S. Plastic Compounding Market Size and Growth

The U.S. plastic compounding market size was exhibited at USD 10.75 billion in 2023 and is projected to hit around USD 22.36 billion by 2033, growing at a CAGR of 7.6% during the forecast period 2024 to 2033.

U.S. Plastic Compounding Market Key Takeaways:

• Polypropylene (PP) accounted for the largest revenue share of 28.69% in 2023.
• Polyethylene Terephthalate (PET) is projected to register the fastest CAGR during the forecast period
• The automotive segment dominated the market in 2023.
• The optical media segment is expected to expand at the fastest CAGR from 2024 to 2033.

Report Scope of U.S. Plastic Compounding Market

Factors including the growth of various end use industries such as electronics, healthcare, wire and cable, construction, and automotive, and the substitution of glass and metal by PVC, PET, and other plastic raw materials are driving the market expansion.The use of plastic compounds in automobile parts makes it lightweight, making it fuel-efficient.

Automotive, packaging, construction, and electronic industries have showcased high demand for plastic compounding in the U.S. The gradual shift toward lightweight vehicles to foster fuel savings and decrease carbon emission levels is driving plastics adoption in the manufacturing processes. For instance, in 2022 plug-in hybrid electric vehicles (PHEVs) and battery electric vehicles (BEVs) in the U.S. observed a record-high sale despite supply chain disruptions, macro-geopolitical and economic uncertainty, and high commodity and energy prices.

Furthermore, mandates and regulations by the Environmental Protection Agency (EPA) to improve fuel economy calculations have driven the demand for lightweight automobiles. Other major regulatory bodies in the U.S. plastics body include The Underwriters Laboratories, Inc. (UL), The International Code Council (ICC), and the National Fire Protection Association (NFPA).

U.S. Plastic Compounding Market By Product Insights

Polypropylene (PP) accounted for the largest revenue share of 28.69% in 2023 due to its widespread adoption in the manufacturing of automotive parts. It offers dimensional fire resistance, and high heat distortion temperature. Numerous PP combinations and integration with other artificial, natural fibres, and biodegradable polymers including thermoplastic starch (TPS) and polylactic acid (PLA) are gaining significance due to their mechanical and thermal properties.

Polyethylene Terephthalate (PET) is projected to register the fastest CAGR during the forecast period owing to the rising demand for sustainable and recyclable plastics. The segment has high penetration in the U.S. food packaging industry as it exhibits superior barrier properties.

U.S. Plastic Compounding Market By Application Insights

The automotive segment dominated the market in 2023 due to the supportive government regulations that promote the manufacturing of lightweight vehicles and EVs, enabling fuel efficiency. Plastics are replacing metal, steel, and glass used in automobiles, on account of their low weight and durability. The U.S. EPA, Corporate Average Fuel Economy (CAFE), and Beaches Environmental Assessment and Coastal Health (BEACH) regulations fostering fuel efficiency are driving the market demand in the automotive sector.

The optical media segment is expected to expand at the fastest CAGR from 2024 to 2033. Optical media including compact discs such as solid state drive, are primarily made of polycarbonate compounds. When compared to conventional storage media, optical discs offer high durability and storage capability. Polycarbonate is often blended with other additives and polymers to ensure optical media preservation.

U.S. Plastic Compounding Market Recent Developments

• In January 2024, LyondellBasell announced that China Coal Shaanxi Yulin Energy & Chemical Co., Ltd. will use the Lupotech T and LyondellBasell Spherizone, Hostalen
  
  
• Advanced Cascade Process technology licenses for its new facility towards manufacturing of 300 KTPA of Polypropylene, 300 KTPA of HDPE, 250 KTPA of vinyl acetate monomer respectively.
  
  
• In January 2024, LyondellBasell launched Petrothene T3XL7420 for optimizing wire manufacturing processes in automotive and appliances industry. The product caters to offer properties such as enhanced cure kinetics, stiffness, barrier properties for working with small gauge wire assembly.

Some of the prominent players in the U.S. plastic compounding market include:

• Adell Plastics Inc.
• Asahi Kasei Corporation
• Celanese Corporation
• DuPont de Nemours Inc.
• Solvay SA
• LyondellBasell Industries Holdings B.V.
• Dow Inc.
• RTP Company
• Avient Corporation
• Polyvisions Inc.
• ingfa Science & Technology Co. Ltd.
• Kraton Corporation
• Kuraray Co. Ltd.
• Polykemi AB
• Citadel Plastics
• DSM N.V.Arkema Group
• Sumitomo Bakelite Co. Ltd.
• Nova Polymers Inc.
• Europlas (PVCu) Ltd.
• US Plastics Recovery
• A. Schulman Inc.
• Teknor Apex Company
• Cabot Corporation
• Tosaf Group
• Mexichem Specialty Compounds Ltd.
• Ravago Manufacturing Americas
• Plastics Color Corporation
• AmeriLux International LLC
• Astra Polymers Compounding Co. Ltd.

Segments Covered in the Report

This report forecasts revenue growth at country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2021 to 2033. For this study, Nova one advisor, Inc. has segmented the U.S. plastic compounding market

Product

• Polyethylene (PE)
• Polypropylene (PP)
• Thermoplastic Vulcanizates (TPV)
• Thermoplastic Polyolefins (TPO)
• Polyvinyl Chloride (PVC)
• Polystyrene (PS)
• Polyethylene Terephthalate (PET)
• Polybutylene Terephthalate (PBT)
• Polyamide (PA)
• Polycarbonate (PC)
• Polyurethane (PU)
• Polymethyl Methacrylate (PMMA)
• Acrylonitrile Butadiene Styrene (ABS)
• Others

Application

• Automotive
• Building & construction
• Electrical & electronics
• Packaging
• Consumer goods
• Industrial machinery
• Medical devices
• Optical media
• Aerospace & defense
• Others