Impact of COVID-19 on Bio-based Nylon Resin Market
- The COVID-19 outbreak is hampering the demand for the bio-based nylon resin in many applications. Governments of various countries across the globe enforced lockdown measures to curb the spread of the coronavirus. This resulted in a slowdown and even a halt in manufacturing operations, thus hampering the demand for the bio-based nylon resin.
- The industrial shutdown caused by the COVID-19 pandemic has disrupted the supply chain. Disruption in the supply of raw materials is projected to hamper the full-scale operations of companies operating in the market.
Key Drivers and Restraints of Bio-based Nylon Resin Market
- Demand for bio-based nylon resin is high in the automotive sector, mainly for interior products such as automotive fuel lines and pneumatic air brake tubing. Emergence of electric vehicles is expected to boost the bio-based resin market, while the growing potential demand for electric vehicles is estimated to drive the demand for bio-based resins in electric vehicles.
- Bioplastics made from bio-based nylon resin provide the packaging industry with an option for a variety of uses. Within packaging, rigid packaging accounts for the larger share of the market.
- Exploration and expansion of new substitutes is critical in reducing mankind's dependence on fossil fuel energy in the face of a potential fossil fuel crisis. Bio-based nylon resin is one of the substitutes for petroleum-based products.
- Bio-based resin is generally more expensive than major conventional plastics, and their production is plagued by low yields and high cost. At current technologies, it costs nearly 50% more than traditional petroleum products. These prices may come down in the near future, as technologies improve, and source material access becomes cheaper to produce. Bio-based resins are biodegradable and do not harm the environment. However, the cost of bio-based resin is making it difficult for manufacturers to sustain in the market. This is likely to restrain the bio-based resin market in the near future.
Bio-based Nylon Resin Market Segment Analysis – By Product Type
- In terms of product type, the global bio-based nylon resin market can be segmented into bio-polyethylene terephthalate, bio-polyol & polyurethane, bio-polyamide, and bio-polytrimethylene terephthalate
- The bio-based polyethylene terephthalate segment is expected to expand significantly due to its increasing demand in various industries such as food & beverages, and stringent regulatory framework to reduce carbon emission. Government initiatives to promote the use of biodegradable products are also likely to drive the bio-based polyethylene terephthalate segment.
- Global demand for bio-polyamides is currently exhibiting double-digit growth. A major driver is a fact that bio-polyamides have a unique property of low friction, which proves to be favorable for many automotive products such as gears, bushings, and plastic bearings. Wide usage of bio-polyamide has been witnessed in the manufacture of consumer goods such as toys, electronic goods, and functions requiring high temperatures. Applications that possess a potential of high wear and tear can be enhanced by using bio-polyamide materials.
Bio-based Nylon Resin Market Segment Analysis – By Application
- In terms of application, the global bio-based nylon resin market can be segmented into automotive, aerospace & defense, electrical & electronics, packaging & storage, extrusion, and textile
- Bio-polyethylene terephthalate, polylactic acid (PLA), and others are driving the packaging production and demand for bio-based resin. Polylactic Acid (PLA) is primarily used in food, industrial, and medical industries. PLA originates from renewable sources as a result of eco-friendly fermentation and degrades into non-toxic content.
- Textiles emerged as the second-largest segment of the bio-based nylon resin market in 2020. Bio-polyamides are strong and durable, which makes them ideal for applications in the textile industry.
Asia Pacific to Account for Key Share of Bio-based Nylon Resin Market
- In terms of region, the global bio-based nylon resin market can be split into North America, Europe, Asia Pacific, Latin America, and Middle East & Africa
- Asia Pacific is expected to hold major share of the global bio-based nylon resin market, followed by Europe and North America, during the forecast period
- North America and Europe are also key consumers of bio-based nylon resin. The market in North America and Europe is anticipated to expand at a moderate pace in the near future.
Key Manufacturers Operating in Bio-based Nylon Resin Market
Key manufacturers operating in the bio-based nylon resin market include:
- Wuxi Yinda Nylon
- National Plastics and Seals, Inc.
- BASF SE
- Meyer Plastics, Inc.
Bio-based Nylon Resin Market: Research Scope
Bio-based Nylon Resin Market, by Product Type
- Bio-polyethylene Terephthalate
- Bio-polyol & Polyurethane
- Bio-polytrimethylene Terephthalate
Bio-based Nylon Resin Market, by Application
- Aerospace & Defense
- Electrical & Electronics
- Packaging & Storage
Bio-based Nylon Resin Market, by Region
- North America
- Russia & CIS
- Rest of Europe
- Asia Pacific
- Rest of Asia Pacific
- Latin America
- Rest of Latin America
- Middle East & Africa
- South Africa
- Rest of Middle East & Africa
Bio-based Nylon Resin Market: Introduction
- Bio-based polyamides, also known as bio-based nylon resins, are a new group of bioplastics, which are produced from natural fats and oils that are renewable resources. Majority of these are based on sebacic acid, except for polyamide 11 (also called Nylon 11 or Polyundecanolactam), which is based on undecylenic acid.
- Bio-based polyamides have excellent mechanical properties including high tensile strength, flexibility, toughness, and good resilience and abrasion resistance. They also offer various advantages such as lower moisture absorption, higher impact strength, and improved chemical resistance. They also have higher melting point, much higher elongation at break, and lower modulus.
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