Thermoplastic polyurethane (TPU) is a thermoplastic elastomer that can be produced using conservative approaches such as injection molding, compression molding, and extrusion. It is perfect for soft engineering and hard rubber thermoplastic products due to its tractability. According to Fortune Business Insights™, the thermoplastic polyurethane market size was valued at USD 2.34 billion in 2020 and is anticipated to grow from USD 2.32 billion in 2021 to USD 3.81 billion by 2028 at a CAGR of 7.3% during the forecast period.
Rapid growth in innovation by several companies promotes increasing product demand. Also, in the automobile sector, the utilization of thermoplastic polyurethane is rising, owing to its biocompatibility and hydrolytic stability. The increasing adoption of extruded goods will promote market growth for TPU during the projected period. The increasing adoption of biodegradable and flexible plastics in the footwear sector is further projected to fuel industrial growth.
Declined Production Rate Amid Pandemic Hampered the Market Growth
The outbreak of the COVID-19 pandemic affected the market development due to a lack of skilled workforce, scarcity of raw materials, machinery closures, and a halt in production & manufacturing. Several end-use sectors were relentlessly interrupted due to the interference in the supply chain and the closure of assembly plants. Huge impacts were also seen in the consumption area. Furthermore, several government policies and initiatives are introduced in affected countries for seeking to re-establish their economy. As a result, the demand is likely to alleviate in the coming years.
Top Companies Listed by Fortune Business Insights™:
- BASF SE
BASF SE is a Germany-based company and the largest manufacturer of thermoplastic polyurethane. The company operates in various verticals, including chemicals & materials, agriculture, surface technologies, nutrition, and industrial solutions. It was established in 1865 and has subsidiaries across the world.
- Lubrizol Corporation
Lubrizol is a leading company, headquartered in the U.S. It was established in 1928 and operates globally with its specialty in chemicals. Lubrizol provides services and products in several industries such as consumer, transportation, and industrial markets. The company is divided into three business segments, Lubrizol Additives, Corporate Ventures, and Lubrizol Advanced Materials.
- Covestro AG
Covestro AG was established in 2015. It is headquartered in Germany and operates in the chemical and material industry. The company produces a wide range of polycarbonate, polyurethane, coatings, and adhesives specialties-based raw materials. The business operates through two segments, solutions & specialties and performance materials.
- Huntsman Corporation
Huntsman Corporation is headquartered in the U.S. and was established in 1970. The company is a leading manufacturer and marketer of various specialty chemicals. The produced chemicals are supplied in different industries, mainly in industrial and consumer sectors. It ensures its business expansion by increasing its production capacity and global supply.
- Wanhua Chemical Group Co. Ltd
Wanhua Chemical Group Co. Ltd is located in China and was established in 1998. The company holds its position as one of the leading manufacturers of thermoplastic polyurethane. It holds more the 2,700 invention patents and has 6 production sites. Wanhua Chemical Group Co. Ltd focuses on continuous innovation, commercialized facilities, and efficient operation. It provides customers with more competitive products and solutions.
Biodegradable Plastic Utilization will Fuel the Market Growth
The use of thermoplastic polyurethane will increase as bio-based polymers become more advanced. Humans and animals may suffer serious health consequences. Chlorinated plastic can leach toxic chemicals into the earth, contaminating groundwater and other nearby water supplies. Therefore, various regulations requiring the use of environment-friendly plastics have been enacted by governments.
TPUs are considered environmentally benign as they are made with degradable chain extenders or polyester diols as soft segments, according to the U.S. National Library of Medicine. TPU has abrasion resistance, grease resistance, and good mechanical qualities in addition to being biodegradable. Therefore, these are the fundamentals surging the demand for thermoplastic polyurethane during the forecast period.
About the Author:
Amruta is an Engineer but is equally passionate about creative writing and clutches every opportunity to deliver precise articles. Apart from writing, Amruta enjoys watching standup comedy and exploring various places.