The market for acrylonitrile butadiene styrene (ABS) resin is expected to register a CAGR of more than 5% during the forecast period. A major factor driving the market studied is the growing demand from the automotive and transportation sector. However, low compatibility in applications involving high temperature is expected to hinder the growth of the market studied.
- The automotive and transportation industry dominated the market, and is expected to grow during the forecast period.
- Innovative applications and products are likely to act as an opportunity in the future.
- Asia-Pacific dominated the market across the world, with the largest consumption from countries like China and India.
Key Market Trends
Increasing Demand from the Automotive and Transportation Industry
- The application of polymeric materials in automobiles is constantly increasing, and this trend is expected to continue during the forecast period. The application of polymeric materials allows more freedom in design and offers a safe geometrical and economic solution for the construction of parts.
- ABS is used in every area of an automobile, in internal parts, parts of the engine compartment, external parts, and in bodywork. Moreover, airplane panels and luggage compartments are often made of ABS plastic. It is highly suitable for vacuum forming, so it can be manipulated into a wide variety of shapes. Its heavy-duty strength and lightweight density make it the perfect application for airplane interior parts. They are also used in aircraft doors and fuselages.
- In railways, ABS sheets are extensively used in the manufacturing of seat backs, window masks, and ceiling panels.
- It is primarily used for the manufacturing of housings, covers, and linings that are used in the automobile and aerospace industries and in the railways, due to their various beneficial properties.
- It offers toughness, strength, and rigidity. They are opaque and have a high surface polish level. When they are exposed to weather, there is a reduction in the surface gloss.
- They also possess excellent heat and flame-resistant properties and electrical insulation. They are used in bumpers, seating, dashboard, interior trim, exterior trim, lighting, dashboard, and many more.
- The ongoing growth in the global transportation industry, and the focus on minimizing carbon emission and enhancing fuel economy, by reducing the weight of a vehicle, is expected to drive the market for ABS resin during the forecast period.
Asia-Pacific to Dominate the Market
- The market for the ABS witnessed rapid growth in the Asia-Pacific region, owing to increased replacement of traditional plastics by ABS in the growing automotive sector.
- The market is also being driven by the replacement of polystyrene in the consumer goods and appliances and electrical and electronics sectors.
- The growth of the market is also the result of the increased purchasing power of consumers in China and India, and the resultant increase in the sales of consumer durables.
- The appliance market in China is expected to grow with the growth of the middle-class population, thereby driving the ABS market in the country.
- The migration of manufacturing of electronic/electrical, appliances, and other markets to China, over the years, has resulted in increased ABS demand in the country.
The ABS market is partially fragmented with the presence of many players in the market. Some of these major players include BASF SE, 3M, Covestro AG, INEOS, and Arkema SA, among others.
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