Pertaining to the fact that masterbatch assigns the desired color & texture to plastic polymers, masterbatch market is likely to witness commendable revenue from a plethora of end-use domains. The deployment of plastics has become almost inevitable in most industries, given that they are lightweight, durable, cost-effective, and majorly capable of adding to the aesthetic quotient of the end product. However, imparting color to plastic polymers requires the addition of masterbatch additives during the plastic manufacturing process – it is thus evident that the growth of the plastics sector and masterbatch industry will go hand in hand. As per estimates, masterbatch market size is projected to witness a CAGR of 5.4% between 2017-2024.
U.S. Masterbatch market size, by end-user, 2013 - 2024 (USD Million)
Masterbatch market trends from the automotive sector
The automotive sector is one of the biggest consumers of plastic products, making it a thriving ground for masterbatch market. Automobile manufacturing requires extensive metal part replacement with plastic, since the latter makes a substantial difference in the economic and ecological requirements of the automotive industry, given the weight reduction and less fuel consumption factors. Masterbatches also help in elevating the aesthetics of the plastic parts and create new design avenue in the form of color. Colors protect the vehicle against environmental effects and make it more attractive and damage resistant, thereby creating a viable avenue for masterbatch industry growth.
Apart from exterior parts such as bumpers, fenders, roof box, headlight and tail light, plastic parts are also used in interior trims such as steering wheels, carpets, door linings, seatbelts, dashboard and airbags, all of which are colored using masterbatches. Thus, it is evident that the growth of the masterbatch industry is directly proportional to the expansion of the global automotive sector. It is estimated that the masterbatch market size from the automotive space will witness a CAGR of 5.8% over 2017-2024.
Masterbatch market trends from the consumer goods sector
The consumer goods industry has also significantly contributed towards the growth of masterbatch market, as almost all plastic consumer goods require the application of colors and textures to enhance salability and efficiency. Manufacturers aim to boost the market appeal and performance of their products as well as add special effects and enhance safety features like UV absorbency and flame retardancy - all of which can be accomplished successfully with masterbatch colors and additives. Since consumer goods are all pervasive, masterbatch industry receives a huge stimulus from the product application in the consumer goods industry, which includes personal care and hygiene products, electrical and other major appliances, furniture, toys, sports equipment, kitchen appliances, lawn and garden tools.
Masterbatch market trends from the packaging sector
Speaking of improving the product’s attraction with colors, the packaging industry also employs the masterbatch technique – especially with regards to the quality of the color used in food packaging. This has indeed been a matter of concern since long, on the grounds of which biodegradable masterbatches have come to the fore, adding a new dimension to masterbatch market. With global regulatory authorities increasing the restriction on the quality of colors and plastics that can be used in food packaging, biodegradable masterbatches are increasingly being used across the packaging space, even for agricultural films that not only protect crops but also maintain soil moisture. As innovation and research in the field of masterbatch are bringing about modifications in the product quality and disposition, masterbatch market stands to gain commendable gains over 2017-2024.
The massive end-use spectrum of masterbatch market is indeed likely to majorly contribute toward the growth of this business space. Estimates claim that countries across the Asia Pacific, especially China, are certain to emerge as viable growth grounds for the regional masterbatch market due to the presence of large scale manufacturing units in the country. All in all, with the expanding application range of plastics across a slew of end-use domains, masterbatch industry size is projected to cross USD 14 billion by 2024.