Acrylonitrile Butadiene Styrene Market Trends

Growth Drive

• Rising Demand for ABS in the Medical Industry – As medical devices made with ABS can resist chemicals and other physical impacts, therefore, ABS has been replacing metals in the structural parts and plastic parts in medical devices. Therefore, the increasing demand for medical devices is also soaring the demand for ABS materials. For instance, the worldwide revenue for medical devices is projected to be over USD 685 billion by 2027.
• Expanding Automobile Industry – The automobile industry has been observing a huge increase as a result of the increased disposable income of people along with the surging ratio of urbanization. Since acrylonitrile butadiene styrene parts play a key role in the manufacturing of automotive interiors and parts, hence, the rising automotive industry eventually boosts the market growth. For instance, presently, in India, the automobile industry accounts for around 8% of India's GDP and 50% of its manufacturing GDP.
• Worldwide Growing Construction Sector – Since ABS is used in a variety of fitments that are used in construction work. Therefore, the growing construction sector is anticipated to increase the market’s growth. The worldwide construction industry generated almost USD 3 trillion in revenue in 2019.
• High Use in Apparatuses, Auto Ancillaries – ABS is often used in handles, exterior and insulation parts in various apparatus. As per observations, the revenue of auto ancillaries is expected to rise to 10% between 2022-2023 in India.
• Worldwide Spike in the Demand for Household Appliances - The global retail sales of major appliances hit nearly USD 370 billion, while sales of small appliances topped approximately USD 130 billion in 2020.

Challenges

• Sustainability and Recyclability Issues of ABS Material - ABS is primarily used in household and electrical appliances, which are made of complex material mixtures. Recycling businesses frequently lack the sorting technologies necessary to separate these complex material mixtures to produce high-quality recyclate. Hence, this factor is estimated to hinder market growth during the projected time frame.
• Presence of Other Substitutes
• Fluctuating Cost Value of Acrylonitrile Butadiene Styrene