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Electric Vehicle Plastics Market is dominated by a Few Global Players, and Comprises Several Regional Players
The demand for electric vehicle plastics is increasing, owing to the rising popularity of lightweighting of vehicles. OEMs are compelling automotive plastics manufacturers to focus on manufacturing plastics with advanced qualities such as high thermal and chemical resistance and improved mechanical strength. The electric vehicle plastics market is projected to grow at a CAGR of 27.82% during the forecast period, to reach USD 1.49 Billion by 2021. Market growth is driven by factors such as stringent emission regulations leading to lightweighting of vehicles and favorable government policies for electric vehicles.
The key strategy adopted by major players to gain traction in the market is expansion. This strategy accounted for approximately 44% of all the strategies adopted by companies. BASF SE (Germany) is planning to expand its production of Ultrason, an amorphous thermoplastics, by setting up a production line in Yeosu, South Korea, which is expected to start from 2017. Additionally, Lyondellbasell Industries Holding B.V. (The Netherlands) is planning to set up a High-Density Polyethylene (HDPE) plant at the U.S. Gulf Coast. The second most widely followed strategy is mergers & acquisitions. Plastic Omnium (France) has acquired exterior systems business units of Faurecia SA (France) for USD 735.5 million to strengthen its bumper sales business. Other companies that adopted this strategy include BASF SE (Germany), Lyondellbasell Industries Holding B.V. (The Netherlands), E.I. DuPont de Nemours (U.S.), and Evonik Industries AG (Germany).
The electric vehicle plastics market is dominated by a few global players, and comprises several regional players. BASF SE (Germany) is a leading player in the market. The company manufactures and distributes engineering plastics such as polymides, thermoplastics and biodegradable plastics, as well as various grades of polyurethanes, and plastics specifically produced for applications in car bodies, steering wheels, front end modules, and others. The key strategies followed by the company are expansion and supply contracts. In April 2016, the company entered into a contract with ContiTech (Germany), which launched a new transmission adaptor using the glass-fiber-reinforced polyamide, Ultramid by BASF SE.
The Dow Chemical Company (U.S.) specializes in manufacturing composites, elastomers, and foams used in automotive applications. The company has a global presence, which reduces related to fall in demand in any region. It has adopted the strategy of joint ventures and agreements to increase its presence in the electric vehicle plastics market. In July 2012, the Dow Chemical Company and Aksa Akrilik Kimya Sanayii A.S. (Turkey) established a joint venture company, namely, DowAksa Advanced Composites Holdings BV (The Netherlands) which manufactures carbon fiber composites used in various industries, including automotive.
Electric Vehicle Plastics Market by Material (PP, PE, ABS, PU, PVC, PA, PC, PVB & Other Engineering Resins), Application (Interior, Exterior, Lighting/Electric Wiring & Under the hood), & Region and ICE Passenger Cars by Material - Global Forecast to 2021
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