According to a new research report by Global Market Insights Inc., the Asia Pacific expanded polyethylene (EPE) foam market size is estimated to surpass USD 1.3 billion by 2026. Rising vehicle demand coupled with proliferating online shopping trends across the region will drive the market demand over the coming years.
The proliferating packaging industry coupled with the growing popularity of e-commerce sector is driving the growth of Asia Pacific Expanded Polyethylene (EPE) Foam Market. EPE foams are highly flexible and non-toxic unlike other expanded foams, exhibiting a high potential in the packaging of fruits and vegetables. Moreover, owing to their anti-static features, these foams also find usage in electronic packaging of precise instruments. Asia Pacific is a favorable market for the packaging of food and electronics owing to the growing demand for home-delivered food products, consumer goods, white goods, and electronic products.
Product innovations is key for increasing EPE foam consumption
Fluctuating raw material cost coupled with requirement of enhance packaging material characteristics are pressurizing industry participants to innovate new materials with enhanced material properties. The development of such products for packaging applications is providing several opportunities for industry expansion. For instance, in March 2017, Dow developed a new product, DOW LDPE 450E, enhanced EPE foam for packaging applications in e-commerce. This product enabled the company to reduce the consumption of raw materials by 10% to 15% per unit packaging.
EPE foams are nontoxic and recyclable, thereby limiting adverse impact on environment. However fewer recycling capabilities across the region are posing threat to usage of such materials. Additionally, stringent government regulations pertaining to single use plastics and non-biodegradable products may hamper Asia Pacific expanded polyethylene foam market growth. Further the advent of alternative cushioning materials from renewable and degradable resources can further challenge industry expansion.
Browse key industry insights spread across 121 pages with 93 market data tables & 22 figures & charts from the report, “Asia Pacific Expanded Polyethylene (EPE) Foam Market Size By Foam (Coils & Rolls, Sheets & Planks, Customized Shapes), By Product (Laminated, Non Laminated), By Application (Packaging, Insulation, Construction, Automotive), Industry Analysis Report, Regional Outlook, Growth Potential, Price Trends, Competitive Market Share & Forecast, 2020 – 2026” in detail along with the table of contents:
Growing popularity of customized shapes for automotive and packaging applications boost EPE foam demand
Customized shapes will showcase significant growth with over 5% CAGR from 2020 to 2026 in the Asia Pacific expanded polyethylene (EPE) foam market. Customized shapes are popular in the automotive and packaging of electronic equipment. It offers ease in the transportation of fragile goods by providing proper packaging with lower packaging weight. Customized EPE foam is also used in the manufacturing of infant seats in a car along with car seats.
Non laminated foam products will showcase considerable growth owing to higher usage of these materials in the automotive, construction, and insulation applications. The products are available in wide range of thickness ranging from 2 mm to 120 mm and more. Additionally, growing usage of non-laminated foams in the transportation of fragile products to ensure appropriate cushioning will further support the Asia Pacific expanded polyethylene foam market share over the study timeframe.
In 2019, construction applications accounted for over 25% volume shares in the Asia Pacific expanded polyethylene (EPE) foam market. The ongoing infrastructure development activities across several emerging economies in the region are supporting industry expansion. EPE foam is mainly used as primary acoustic materials in several construction projects. Booming real estate in India will further escalate product demand. Additionally, the usage of EPE foam as re-usable floor protection for interior works is gaining popularity, thereby supporting industry growth.
India will showcase decent growth rate owing to the rising e-commerce trade activities along with the proliferating automotive industry. Launch of several car models across the region coupled with customer requirements to enhance the comfort of passenger vehicles is expected to raise the EPE foam applications in the automotive industry. Additionally, the growing export of foam to several Asian countries will further escalate the APAC expanded polyethylene foam market.
Some of the key participants involved in Asia Pacific expanded polyethylene (EPE) foam industry include, Supreme Industries Limited, MODERN MATERIAL ENTERPRISES CO., LTD, Armacell, KANEKA CORPORATION among others.