The market for mono-ethylene glycol is expected to register a CAGR of less than 5% during the forecast period. Major factors driving the market studied are the growing demand for PET in the packaging industry, and increased demand for MEG from the textile industry.
- The Increased popularity of bio-based MEG materials is likely to act as an opportunity for the market studied.
- Asia-Pacific dominated the market across the world.
Key Market Trends
PET Film to Dominate the Market
- Mono-ethylene glycol is used in the production of PET films. PET is a high-performance, crystal clear thermoplastic. As compared to other common plastic films, PET film has excellent dimensional stability, higher tensile strength, low moisture absorption, and good retention of physical properties over a wide range of temperatures.
- PET also has excellent electrical properties, superior UV resistance, high gloss, good optical clarity, and good gas barrier, but only moderate moisture barrier properties. This makes PET an ideal film for quality printing and lamination.
- It is also used as high-performance plastic films and sheets, as it has a relatively high melting point, which makes it suitable for applications that require sterilization at high temperatures.
- Moreover, PET can be metalized, which offers improved gas barrier properties for demanding applications, as it helps in providing long product shelf life. PET film is, thus, well-suited for a broad range of industrial, electronic, and automotive applications.
- Therefore, the demand for the market studied for PET films application is expected to grow in coming years, which in turn is expected to boost the demand for MEG.
Asia-Pacific to Dominate the Market
- The Asia-Pacific region dominated the global market share. In Asia-Pacific, China is the largest economy in terms of GDP.
- China has the largest population in the world, with a high availability of skilled labor. The industrial goods markets in the neighboring countries are at an advantage, due to China's geographic location. China also provides easy access to other countries of the world, making it a major access point for manufacturers and suppliers. This has made China the largest manufacturing country in the world.
- China is the largest producer and consumer of mono-ethylene glycol in the region. In China, the consumption of PET fibers has increased drastically in the recent past, due to the growing population and increasing urbanization, resulting in the robust demand from the textile industry.
- China is one of the largest global consumers of polyethylene terephthalate (PET). The abundant availability of raw materials and the low cost of production have been supporting the production growth of the engineering plastics, such as PET in the country for the past few years. The consumption of PET has increased drastically in the recent past due to the growing population, increasing urbanization, and substitution of many metals in various industries, such as automotive, consumer appliances, etc.
- The country is further expected to accelerate the publication of a plan for the Neighborhood Electric Vehicle (NEV) industry development from 2021 to 2035, in order to guide future development. PET is an important material that goes into external and internal body parts. High demand for cars due to consumers' rising purchasing power is likely to drive the demand for PET from this segment.
- Thus, the aforementioned factors are expected to boost the demand for mono-ethylene glycol through the forecast period in China.
The mono-ethylene glycol market is Partially fragmented in nature. Major Other players include Nouryon, BASF SE, Dow, LyondellBasell Industries Holdings B.V., and Royal Dutch Shell PLC among others.
- The market estimate (ME) sheet in Excel format
- 3 months of analyst support