Metallocene polyethylene is a high performance polymer, which finds application in food & beverages packaging, agriculture, and several industrial applications. Products such as sheets and films made from metallocene polyethylene (mPE) resins have high tensile strength and are used in various industrial products such as custom marine parts, water tanks, chemical storage containers, as well as consumer products such as food packaging materials, heavy-duty sacks, and stretch films.
The global metallocene polyethylene market is projected to record significant growth over the forecast period, attributing to their excellent optical properties of mPE resins and their increasing use in packaging industry. Moreover, new generation metallocene polyethylene films are designed to offer improved mechanical strength, increased optical properties, greater stiffness, and high tensile strength. New generation metallocene polyethylene is also suitable for different range of film applications in industrial, food, and hygiene packaging.
Metallocene polyethylene is also a good alternative to polyvinyl chloride and ethylene-vinyl acetate. Majority of manufacturers claim that metallocene polyethylene has better hot tack than polyvinyl chloride and therefore, it serves as a good alternative to Surlyn films. This scenario is expected to upsurge the demand for metallocene polyethylene over the forecast period.
However, metallocene polyethylene resins offer several advantages, these resins fail to attract attention of the target customers at the initial stage due to several factors such as high production cost and high conversion cost of metallocene to finished products. Moreover, presence of cheaper alternatives such as conventional Ziggler-Natta catalyst along with HDPE films, LDPE films, and LLDPE films is also expected to restrain demand for metallocene polyethylene resins. Lack of consumer awareness and availability of poor quality of metallocene polyethylene is also expected to adversely impact the market growth.
Major players operating in the market are focused on adopting business strategies such as product development and launches to strengthen its position in the global market. For instance, in April 2011, Dow Inc. launched ELITE, which is a product based on advanced post-metallocene technology, to manufacture metallocene polyethylene and meet increasing demand for high performance films. This will help Dow to expand its product portfolio in Malaysia and other economies in Asia Pacific region.
The global metallocene polyethylene market was valued at US$ 4,633.4 Mn in 2018, and is expected to register a CAGR of 6.0%, in terms of revenue over the forecast period (2019-2027), to reach US$ 7,767.4 Mn by 2027.
Figure 1. Global Metallocene Polyethylene Market Share (%), By Region, 2018
Source: Coherent Market Insights, 2018-19
Asia Pacific accounted for the largest revenue share of 39.4% in the global metallocene polyethylene market in 2018, and is projected to continue its dominance during 2019-2027. Furthermore, North America is expected to record significant growth of 6.1% in the global metallocene polyethylene market during the forecast period. Increasing demand for metallocene polyethylene in packaging industry, owing to features offered by metallocene polyethylene is expected to drive growth of the market in North America during the forecast period. For instance, metallocene linear low density polyethylene (mLLDPE) offers high transparency and high gloss when it is transformed into a film. Furthermore, its extraordinary tear and puncture resistance properties are useful in packaging applications.
Key players are focused on adopting strategies such as product development and launch in order to expand their business in North America metallocene polyethylene market. For instance, Repsol Company has presence in the U.S., Canada, and Mexico and offers metallocene polyethylene worldwide. In 2016, the company started producing its new metallocene polyethylene range under the trade mark Repsol Resistex. The company produces metallocene linear low density polyethylene (mLLDPE) and high density polyethylene (HDPE).
Figure 2. Global Metallocene Polyethylene Market Share (%), By Application, 2018
Source: Coherent Market Insights, 2018-19
On the basis of application, metallocene polyethylene market is segmented into films, sheets, injection molding, extrusion coatings, and others. In 2018, the films segment held dominant position in the global market. mPE films find applications in various end-use industries such as automotive, building & construction, and food & beverages packaging. The exceptional properties of mPE films such as improved toughness and high moisture properties are projected to boost the segment revenue in the global metallocene polyethylene market over the forecast period.
Major players operating in the global metallocene polyethylene market include, Borealis AG, Formosa Plastics Corporation, Chevron Phillips Chemical Company, SABIC, INEOS Group Limited, Dow Inc., LyondellBasell Industries N.V., ExxonMobil, Total Petrochemicals USA, and Brentwood Plastics.
Metallocene polyethylene, also known as linear metallocene, is a high performance polymer that are used in a wide range of applications in the agriculture, building & construction, packaging, and industrial sector. Metallocene polyethylene improves the general properties of the polyethylenes and provides added value to the product manufactured using metallocene polyethylenes.
Various advantages offered by metallocene PE are high resistance to perforation, tearing, and impact, excellent sealing and optical properties, and easy processing with high resistance. These advantages offered by metallocene polyethylene makes it a potential product for use in packaging and other applications. This in turn is projected to upsurge demand for metallocene polyethylenes over the forecast period.
Based on product type, the metallocene polyethylenes market is segmented into mHDPE, mMDPE, mLLDPE, and others. Among product type, mLLDPE segment accounted for the largest revenue share of over 65.0% in the global metallocene polyethylene market in 2018. The mLLDPE offers better impact and puncture strength and outstanding optical properties. The segment growth is mainly driven by increasing demand for mLLDPE films in the packaging industry.
Among regions, in 2018, Asia Pacific held dominant position in the global metallocene polyethylene market and contributed revenue share of 39.4% in the global market. Factors such as growth of end-use industries including packaging industry coupled with increasing demand for metallocene polyethylene from these industries are expected to drive the market growth for metallocene polyethylene in the region over the forecast period. According to India Brand Equity Foundation (IBEF), India packaging industry was worth US$ 13.3 billion in 2009 and reached US$ 27.8 billion in 2014, and is expected to continue its growth in the coming years.
Key features of the study:
“*” marked represents similar segmentation in other categories in the respective section.