Polyethylene Naphthalate Market Size, Industry & Trends 2031

Report Description

The global polyethylene naphthalate market size was USD 1.6 Bn in 2021 and is likely to reach USD 2.2 Bn by 2030, expanding at a CAGR of 4.7% during 2022–2030. The market growth is attributed to the rising demand for consumer electronics across the globe. Furthermore, the growing demand for packaged goods among consumers leads to fuel the market.

Polyethylene naphthalate (PEN) is a type of polyester that can be produced from polyethylene and naphthalene. It is derived from naphthalene-2, 6-dicarboxylic acid and ethylene glycol. It is much similar to polyethylene terephthalate (PET) but has many superior barrier material properties such as excellent chemical resistance, high tensile strength, low moisture absorption, excellent dimensional stability, and good retention of physical properties.

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PEN is ideal for the packaging industry owing to its enhanced performance, as it offers good mechanical properties at low temperature and dimensional stability at elevated temperature, which help to produce high-performance fibers that have very high modulus. It is widely used to produce beverage bottles, chemical drums, containers, and electric wire coatings as it possesses good barrier properties against gases such as oxygen and carbon dioxide which cause oxidation in other types of plastics.

PEN films have a high shrink temperature as compared to polyethylene terephthalate (PET), which makes them suitable for automotive, electronics, and medical applications. It is available in the market in the form of laminates, rods, and films, which are colorless and semi-crystalline.

COVID-19 Impact on Polyethylene Naphthalate Market

The market report finds that the COVID-19 pandemic moderately impacted on the global polyethylene naphthalate industry. The global market growth rate decreased due to a sudden disruption in the supply chain of polyethylene naphthalate. Preventive measures such as social distancing and emergency lockdowns imposed by the government lead to a certain delay in the supply of raw materials.

There was a slight increase due to the rising demand for medical appliances. Increasing awareness of hygiene among the masses highly demand for safe and quality packaging of goods while delivering the products, which balanced the growth of the market during the COVID-19 pandemic.

Polyethylene Naphthalate Market Dynamics

The research report provides a complete overview by providing detailed information and by focusing on growth and historic data to determine the key market trends, major drivers, existing restraints, growing opportunities and potentials, and emerging challenges. The global polyethylene naphthalate market report has up-to-date insights about the market scenarios that can help in shaping the overall performance and output of the market during the forecast period, 2022 to 2030.

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Drivers

Increasing Use in Packaging Applications

Increasing use of polyethylene naphthalate in packaging applications is another major factor driving the growth of the global market as it is widely used for flexible packaging due to its superior durability and high resistance to heat and temperature. Rising various end-user industries across the globe demand for PEN products for protective packaging solutions is anticipated to fuel the market growth during the forecast period.

Rapid Expansion of Automobile Industries

The rapid expansion of the automobile industries demand for polyethylene naphthalate products due to its high shrink temperature is attributed to fuel the growth of the market. Increasing use of consumer electronics, consumer goods, and medical devices demands for polyethylene naphthalate. Furthermore, growing usage in the electrical and electronics industry due to its chemical resistance property and excellent insulation property leads to drive the market during the projected period.

Restraints

High Cost of Raw Materials

The high cost of raw materials is expected to hinder the growth of the global market in the coming years. The price of raw materials increases at a rapid pace, which leads to increases in production costs. Therefore, vendors also increase their product costs. Thus, high manufacturing cost hamper the growth of the global market.

Negative Effects of Polyethylene Naphthalate on the Environment

Polyethylene naphthalate is a type of thermoplastic. Thus, the stringent regulations regarding the use of plastic and rising environmental concerns among the people demand for recyclable plastic products, which hamper the overall revenue generation of the market. Moreover, the high availability of sustainable alternatives restraining the global polyethylene naphthalate market growth at a certain limit.

Opportunities

Growing Industrialization at a Rapid Pace

Growing industrialization at a rapid pace across the globe is a major key factor that creates lucrative growth opportunities in the coming years. PEN products easily degrade after disposal, which increases their environmental sustainability. These features make them popular in industries such as automobile & aerospace. Thus, the rising automobile industry across the globe and increasing demand for high performance rubber tires are expected to fuel the global polyethylene naphthalate market growth during the assessment period.

Technological Advancement in Polyethylene Naphthalate

Technological advancement in polyethylene naphthalate creates immense opportunities for market players competing in the market. Market players are shifting their focus toward reducing costs by improving the properties of polyethylene naphthalate, which accelerates the growth of the global market in the coming years.

Scope of Polyethylene Naphthalate Market Report

The global polyethylene naphthalate market research report includes an assessment of the market trends, market segments, and regional markets. Overview and dynamics have also been included in the report.

Polyethylene Naphthalate Market Segment Insights

Why is the Acid Segment More Prevalent than the Ester Segment?

Based on the process, the global market is bifurcated into ester and acid. The acid segment is expected to expand at a significant growth rate during the projected period due to its wide applications in packaging. The acid does not dissolve with ethylene glycol or other molecules, which provides high strength and rigidity. Rising various industries across the globe demand for flexible packaging solutions accelerate the growth of the global market in the coming years.

The ester segment is anticipated to hold a key share of the global polyethylene naphthalate market size owing to its wide use as an organic solvent. It can be produced in either solid or dissolved form. It enhances flavor and is used as a constituent of food flavorings, essential oil, and perfumes. The rapid expansion of the food & beverages industry demands for the production of PEN polymer through the ester process due to its wide applications in beverage bottling drive the global market growth during the forecast period.

What are Main Aspects for Boosting the Type Segment?

On the basis of types, the global polyethylene naphthalate industry is segregated into film, fiber, and resin. The resin segment held a key share of the market in 2021 and is anticipated to register a considerable CAGR during the projected period due to its good mechanical property at a low temperature.

The resin PEN polymer is widely used in the production of molded products such as containers and medical syringes. Increasing demands from end-users such as electrical & electronics, healthcare, and automotive industry owing to its superior physical performance and thermal stability fuels the growth of the global market in the coming years.

On the other hand, the film segment is anticipated to account for a major market share in the coming years as it is wide applications in food & beverage packaging. It is used to produce lightweight plastic films. It has easy processability properties, which reduce the production cost. Rising demands for cost-effective solutions from the packaging and printing industries leads to drive the growth of the market.

What Key Factors Contribute to the Rapid Expansion of the Grade Segment?

Based on the grade, the global polyethylene naphthalate market is fragmented into food packaging grade, industrial grade, and others. The food packaging grade held a major share of the market and is estimated to grow at a significant growth rate due to rising demand for packaged food. However, the packaging must be certified as food-grade.

During the COVID-19 pandemic, people become more aware and still they refuse to buy the products if they are not well packed. The worldwide expansion of the food and beverage industry at a rapid pace demands for biodegradable and lightweight packaging. Furthermore, increasing demand for consumer packaged goods leads to an increased demand for polyethylene naphthalate during the assessment period.

The industrial grade segment is projected to generate a revenue share of the global market in the coming years due to its wide applications in the automotive and electrical & electronics industries. The rapid expansion of the automobile industries across the globe demands for high-performance NEP products, which fuels the growth of the global market.

How is the Application Segment Generating More Revenue Share in Polyethylene Naphthalate Market?

On the basis of applications, the global market is segmented into packaging, consumer goods, automotive, medical devices, electronic goods, rigid rubber tires, textiles, rope, carpets, and others. The packaging segment accounted for a large revenue share of the market in 2021 and is expected to generate more revenue share during the forecast period.

PEN is widely used in packaging applications such as food containers, beverage bottlings, and chemical containers. Its great flexibility encouraged consumers to adopt for designing containers of various shapes and sizes. Rising demand for excellent and safe packaging solutions from pharmaceuticals and personal care & cosmetics industries demands for PEN polymer products leads to accelerate the growth of the global market. Furthermore, the electronic goods segment is expected to contribute to the segment’s growth due to the growing adoption of various smart devices.

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Why is Demand for Polyethylene Naphthalate High in North America?

In terms of regions, the global polyethylene naphthalate industry is classified as Asia Pacific, North America, Latin America, Europe, and Middle East & Africa. North America holds a large share of the market and is expected to dominate the market during the projected period. The wide presence of various industries such as automotive, electronics, and healthcare equipment industries in the region demands for NEP products, which is attributed to fuels the regional market growth.

However, the market of the Asia Pacific is estimated to expand at a rapid pace during the forecast period due to the high demand from the food packaging industry. The regional market growth is attributed to rising manufacturing hubs in the region and rising the demand for ready-to-eat and packaged food products driving the growth of the market at a rapid pace.

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