Automotive Plastics Market Growth Drivers and Challenges:
Growth Drivers
- Rising Middle Income of Population - With the increase of middle income, people are turning towards adopting upgraded version of vehicles for more comfort. Automotive plastics which are useful component for manufacturing lightweight vehicles with fuel-efficient properties and enhanced on-road performance are preferred option for the population. Thus, with the rising income levels, the adoption rate of automotive plastics is anticipated with the expansion of the automotive plastics market. According to World Bank, the total population with middle income in the world rose from 5.51 Billion in 2015 to 5.86 Billion in 2021.
- Escalation of Vehicles Production - As per Organization of Motor Vehicle Manufacturers, the global production of vehicles was 80 million units in 2021. This is a rise from 77 million units in 2020.
- High Demand of Electric Cars by Population - A latest report by the International Energy Agency stated the number of electric cars on the road was 16.5 million in 2021.
- Increased Number of Vehicles on the Worldwide Roads – A recent report estimated that there were approximately 2 billion vehicles on roads across the globe by the end of first quarter of 2022.
Challenges
- High Cost of Capital and Infrastructure
- Increasing Concerns Regarding Plastic Recyclability
- Rising Governmental Policies Regarding Pollutants Emission
Automotive Plastics Market Size and Forecast:
|
Base Year |
2025 |
|
Forecast Period |
2026-2035 |
|
CAGR |
5.7% |
|
Base Year Market Size (2025) |
USD 31.58 Billion |
|
Forecast Year Market Size (2035) |
USD 54.97 Billion |
|
Regional Scope |
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Browse key industry insights with market data tables & charts from the report:
Frequently Asked Questions (FAQ)
In the year 2026, the industry size of automotive plastics is evaluated at USD 33.2 Billion.
The global automotive plastics market size exceeded USD 31.58 Billion in 2025 and is set to expand at a CAGR of over 5.7%, surpassing USD 54.97 Billion revenue by 2035.
Asia Pacific automotive plastics market is predicted to capture 46.5% share by 2035, fueled by the rising population, increasing income levels, and high vehicle production and sales in the region.
Key players in the market include Arkema, BASF, Saudi Basic Industries Corporation, LyondellBasell Industries N.V., LG Chem, DuPont de Nemours, Inc., Covestro AG, Evonik Industries AG, Solvay Group, Borealis AG.
