It’s so obvious, we sometimes take it for granted: injection molded plastics are used in automated processes to reduce the manufacturing cost — it’s as simple as that.
But, of course, it’s not that simple — there are other benefits, a whole host of them. Chief among them is the fact that Plastic Injection Molding (PIM) actually reduces waste in the production process, even though more could be done to reduce it further. In addition, PIM can use different types of raw plastic simultaneously to produce plastic parts. And technological advancements in robotics, in processes like loading, finishing and assembling, will continue to drive growth of the market.
The bottom line: the industry is on track to hit $162.06 billion by 2020, which represents a compound annual growth rate of 4.9% from 2014–2020. However, high initial tooling cost and rising prices of crude oil could hinder the growth of the market.
The world injection molded plastic market is segmented on the type of raw material, end-user industry and geography. Within the raw materials segment, the market is sub-segmented into polypropylene, high density polyethylene (HDPE), polystyrene, and acrylonitrile butadiene styrene, among others. However, polypropylene is the easily the most popular raw material used in injection molded plastics, stemming from its ease of molding, electrical insulating properties, heat resistance, and low cost. In fact, polypropylene accounted for about 39% share of the world injection molded plastic market in 2014. In the end-user segment, the market is sub-segmented into packaging, automotive, consumer goods & electronics, building & construction, and medical disposal. Of these sub-segments, packaging was the leading application for injection molding, accounting for around 37% of the overall market share. The growing demand for rigid plastic packaging material in industrial and consumer packaging applications should drive the demand for injection molded plastics in the packaging industry.
The world injection molded plastic market is also segmented on the basis of regions, which include North America, Europe, Asia-Pacific, and LAMEA (Latin America, Middle East and Africa). In 2014, the sub-segment of North America was the leading market for injection molded plastic, accounting for around 35% of the global market share. Asia-Pacific and LAMEA have experienced wide-spread demand for injection molded plastic because of growing demand in the building & construction sector, consumer appliances and automotive industries. Asia-Pacific alone is expected to grow at a CAGR of 6.8% during 2014–2020.
In short, there is a world of growth in store for our industry the next few years!