Growing Demand from Automobile Manufacturing Sector Due to its Cost Efficiency is helping to Drive Growth of Global Automotive Plastics Market
In recent years, use of plastics as replacement for steel and other manufacturing materials that have been conventionally used for the production of vehicles has increased considerably. This has thus enabled the automobile designers to achieve great freedom in designing the lighting, electronic, and electrical components along with the improved opportunities for styling. Moreover, it also helps in reducing the overall weight of the vehicle. Such freedom or versatility in design helps in reducing the weight of the automobile and is thus one of the most important feature of the vehicle. Thus, there has been a growing demand for plastics in the automobile sector. And precisely this growing demand is the key driving factor for the development of the global automotive plastics market. In addition to this, there are several other benefits of using automotive plastics such as toughness, durability, resilience, strong resistance to corrosion, and reduced cost of manufacturing among others. Such benefits too are pushing up the popularity of these automotive plastics and thus helping to drive the overall growth of the global automotive plastics market.
Huge Advantages of Automotive Plastics to Help Market Development
Automotive plastics are presently used for the production of electrical components, exterior and interior furnishings, under the hood components, power trains, chassis, and other automotive components. It is projected that the market will achieve a stellar valuation in the near future because of its growing demand from the automotive industry. Moreover, the market is also expected to exhibit a highly promising growth rate in the next few years.
Traditionally, the automotive industry has relied on the use of material such as iron and aluminum. However, now the trend is changing towards the use of plastics. There are numerous factors behind this change in preference. The most prominent factor is the cost efficiency of these materials. Use of automotive plastics turn out to be a highly cost efficient factor for the manufacturers of vehicles. With the added benefits of resistance to corrosion, better durability, easy to mold, and variety in designing options, automotive plastics have thus become one of the most preferred manufacturing materials in the automotive industry.
Product Development Key for Leading Market Companies
The competitive landscape of the global automotive plastics market is a fragmented one. This fragmentation is because of the presence of several leading companies operating in the global market. These companies in the global market are constantly trying to achieve product innovation and cater to the growing demands from the end use industries. It is projected that the competition in the global market for automotive plastics is expected to increase even more with the entry of new players. In order to stay ahead of the competition, the leading companies in the global automotive plastics market are expected to resort to aggressive marketing strategies such as mergers, acquisitions, takeovers, and joint ventures. Some of the leading companies operating in the global automotive plastics market include names such as Solvay Plastics, Magna International Inc., Evonik Industries, Johnson Control Inc., AkzoNobel NV, Delphi Automotive PLC., Ascend Performance Materials, and BASF SE among others.
In terms of geographical segmentation, the global automotive plastics market is expected to be led by the region of Asia Pacific. The segment is projected to experience a promising growth with number of investments and expansion activities occurring in the region.
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