Cleveland — Additive concentrates are expected to lead the global concentrates market with annual growth of 4 percent through 2027, according to a market analyst with the AMI consulting firm.
Growth in additive concentrates will be strong in China and India in the 2024-27 period, AMI's Hanne Jones said Nov. 14 at AMI Plastics World Expos in Cleveland.
The global concentrates market produced 16 billion pounds of material in 2023, evenly divided between black, white, color and additives.
The U.S. and Canada accounted for 2.1 billion pounds of concentrates production in 2023, led by color with a 32 percent share and additives at 26 percent.
Globally, rigid packaging accounted for 26 percent of concentrates demand, just ahead of flexible packaging at 25 percent and building and infrastructure at 21 percent.
Although the European market is struggling with high energy prices and the Chinese economy is slowing, Jones said concentrates demand is expected to continue to grow.
"There are opportunities with recycled content [concentrates] in rigid packaging," she added. "Recycled polymer demand is growing faster than that of virgin."
Color concentrates demand also is holding up after some initial concerns that it would decline, since non-colored plastics can be recycled more easily.
"You might see lower loadings and less [color] concentrate used because of higher costs, but demand for color isn't going anywhere," Jones said.
She added the concentrates market might see consolidation as producers look to gain market share, buying power and access to recycled material.