Polyethylene Foam Market - Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)

The polyethylene foam market is expected to witness a CAGR of over 3% during the forecast period. The major factor driving the growth of the market is the increasing demand from the packaging application due to its excellent impact-bearing capability. On the flip-side, unfavorable conditions arising due to the COVID-19 outbreak restrict the market growth during the period of forecast.

Packaging application is anticipated to dominate the polyethylene foam market due to its excellent properties, such as lightweight, resistance to moisture and heat, frost protection, and shock and vibration absorbance.

Asia Pacific is expected to be the largest market for the polyethylene foam market because of the high demand from various industries in the region.

Key Market Trends

High Demand of Polyethylene Foam in Packaging Application

• The use of polyethylene foam is done extensively in the application of packaging. It is a versatile, closed-cell type foam whose structure is made up of minor air pockets. Its properties, such as lightweight, heat insulation, and incredible shock and vibration resistance, make it suitable for packaging purposes.
• Furthermore, it provides great resistance to weather and oil and can be used in carrying different kinds of goods that are susceptible to weathering and oil-related threats. Few of these foams also comply with FDA food contact regulations.
• The value of the luxury packaging market in North America is estimated to be USD 3.68 billion in 2019, and it is expected to reach a value of nearly USD 4.9 billion by 2025.
• Thus, all the factors mentioned above are expected to drive the polyethylene foam demand from the packaging application during the forecast period.

Asia-Pacific to Dominate Polyethylene Foam Market

• Asia Pacific holds a prominent share in the polyethylene foam market globally, and it is expected to grow during the forecast period.
• The market value of the packaging of luxury brands in Asia Pacific is estimated to be around USD 4.78 billion in 2019, and this value is predicted to reach USD 7.02 billion by 2025.
• Asia Pacific holds 46% of the global expenditure in the building and construction sector. Polyethylene foam is utilized in building and construction for pipe-in-pipe, entryways, rooftop sheets, and slabs. Its properties, such as good thermal insulation, frost protection, and good flexibility, are used for various applications in the construction industry.
• Polyethylene foam is also used in pharmaceutical packaging as these are non-toxic and latex-free foam. Countries, like Japan, China, and South Korea, are expected to dominate the pharmaceutical sales market in Asia Pacific with a total sales value of USD 150.44 billion, USD 149.92 billion, and USD 40.27 billion, respectively.
• Thus, due to the factors mentioned above, the polyethylene foam market is expected to grow substantially in Asia Pacific during the forecast period.

Competitive Landscape

The polyethylene foam market is partially consolidated. Some of the players in the market are PAR Group, Sealed Air, Zotefoams PLC, Thermotec, and DAFA US Inc.

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