Aliphatic Polyketone Market Analysis

Aliphatic polyketones are a new class of engineering thermoplastics, which can be used for various applications such as automotive, consumer electronics etc. The polymers have perfectly alternating structure made of carbon monoxides and alpha olefins such as ethylene. In 2004, Hyosung Chemical started research for new technology to produce aliphatic polyketone at a commercial level and started a pilot production facility at a capacity of 1,000 MT/year in Ulsan, South Korea. In 2015, Hyosung started production at commercial level at a capacity of 50,000 MT/year in Ulsan, South Korea.

The global aliphatic polyketone market was valued at US$ 112.7 Mn in 2020 and is expected to reach US$ 325.1 Mn by 2028, exhibiting a CAGR of 11.9% during the forecast period.

Drivers:

Aliphatic polyketones are resistant to attack and permeation by aliphatic and aromatic hydrocarbons due to their di-polar nature and semi-crystalline morphology. The chain flexibility of polyketone promotes crystallization, which stimulate resistance to swelling and dissolution in all environments. Aliphatic polyketones retain its properties not only in sub-zero temperatures but also in under the hood type automotive applications. Moreover, in flame-retardant form, it combines at low smoke density and can be flame retarded without toxicity, while retaining its mechanical properties. The properties offered by polyketones make it suitable for injection molding, extrusion, rotational molding, and blow molding as well as production of coatings, films, and fibers.

Figure 1. Global Aliphatic Polyketone Market Revenue Share (%), By Region, 2020

Among regions, Asia Pacific held a dominant position in the global aliphatic polyketone market in 2020, accounting for 77.2% market share in terms of revenue, followed by North America and Europe. Hyosung Corporation, which is currently the only manufacturer of aliphatic polyketone based in South Korea  has a strong presence in China, India, and Japan.

Market Restraints

Availability of other engineering thermoplastics such as polyamides, polyacetals, polyesters, polycarbonates, and others are more economical compared to aliphatic polyketones and this is expected to hamper the market growth of aliphatic polyketone over the forecast period. Moreover, aliphatic polyketone resins are new in engineering plastics, and there is limited supply of these resins, owing to which end users and processors are reluctant to use aliphatic polyketones over other engineering thermoplastics.

Aliphatic Polyketone Market Report Coverage

Report Coverage	Details
Base Year:	2020	Market Size in 2021:	US$ 112.7 Mn
Historical Data for:	2017, 2018, and 2019	Forecast Period:	2021 to 2028
Forecast Period 2021 to 2028 CAGR:	11.9%	2028 Value Projection:	US$ 325.1 Mn
Geographies covered:	North America: U.S. and Canada Latin America: Brazil, Argentina, Mexico, and Rest of Latin America Europe: Germany, U.K., Spain, France, Italy, Russia, and Rest of Europe Asia Pacific: China, India, Japan, Australia, South Korea, and Rest of Asia Pacific Middle East: GCC Countries and Rest of Middle East  Africa: North Africa, Central Africa, and South Africa
Segments covered:	By Grade: M230A, M930A, M330A, M620A, M630A, M730A, and Others By Application: Industrial, Automotive, Electrical & Consumer Electronics, and Others
Companies covered:	Hyosung Corporation
Growth Drivers:	Advantages of using aliphatic polyketone Multiple applications of aliphatic polyketone
Restraints & Challenges:	Availability of alternatives

Market Trends

There is a rising demand for eco-friendly products from end users and consumers, in order to reduce their carbon footprint. Hyosung Corporation is focusing on developing eco-friendly applications of aliphatic polyketone, in order to strengthen its position in the market. Moreover, the company gained an eco-friendly green certificate from the Ministry of Environment, South Korea, in 2016, in recognition of eco-friendliness of aliphatic polyketone.

In September 2019, the Hyosung Corporation launched eco-friendly food trays manufactured using aliphatic polyketone. The product has now received approval from the U.S. FDA (Food and Drug Administration).

Figure 2. Global Aliphatic Polyketone Market Revenue Share (%), By Application, 2020

On the basis of application, in 2020, the industrial segment accounted for 35.7% of the revenue share. End users are using aliphatic polyketone for manufacturing industrial components, owing to various advantages of aliphatic polyketone. This is expected to drive demand for aliphatic polyketone during the forecast period. For instance, Zipperle Antriebstechnik GmbH (Germany-based manufacturer of gears, sprockets, pulleys, and others, made from plastics and zinc-die cast) is using aliphatic polyketone for manufacturing highly wear-resistant gear for machine building and precision mechanics industries. The company has added cylindrical gears and bevel gears made of aliphatic polyketone to its product line-up.

Global Aliphatic Polyketone Market - Impact of Coronavirus (Covid-19) Pandemic

Pause in manufacturing activities affected demand for aliphatic polyketone in the first quarter of  2020, however, according to Coherent Market Insights, demand is expected to grow in 2021. Aliphatic polyketone was launched in mid-2015 and has struggled since then to penetrate the market in the past few years, as materials are required to go through several performance tests to gain the trust of the manufacturers. Demand for aliphatic polyketone has grown exponentially over the past two years. The ceasing of manufacturing activities, owing to the pandemic, has offered an opportunity for several industries to test these new generation polymers, which have impacted the global aliphatic polyketone market growth positively. According to Coherent Market Insights, the demand for aliphatic polyketone from various manufacturers has grown rapidly in 2020 and the only challenge they faced initially was procuring aliphatic polyketone from South Korea, amid the supply chain disruptions, owing to COVID-19 pandemic.