Bioplastics Market Trends and Forecasts to 2028
The global bioplastics market is experiencing unprecedented growth. It is projected to rise from USD 9.1 billion in 2020 to USD 30.9 billion by 2028 at a Compound Annual Growth Rate (CAGR) of approximately 16%.
Manufacturers create bioplastics using renewable resources such as corn, sugarcane, and vegetable oil, categorizing them into biodegradable and non-biodegradable types. This production aligns with a global shift toward a circular economy, where industries prioritize renewable raw materials to reduce dependence on crude oil and address environmental concerns.
Read also: High-Flying Figures Track Growth of Bioplastics and Other Key Materials.
Regulatory frameworks, such as the European Union’s EN 13432 and EN 14995 standards and growing consumer awareness of sustainability, continue to drive the increasing demand for bioplastics. Technological advancements in polymer science play a pivotal role in expanding the applications of bioplastics.
Innovations in biodegradable polymers like Polylactic Acid (PLA) and Polybutylene Succinate (PBS) have enabled their widespread use in sectors such as packaging and textiles, where eco-friendly solutions are in high demand. These advancements meet industry needs for sustainability while offering versatile and efficient alternatives to traditional plastics. Simultaneously, developments in non-biodegradable bioplastics, including Polyethylene Terephthalate (PET), have enhanced the durability and resilience of these materials.
Competitive Strategies and Industry Leadership
PLA manufacturing process. Taken from AHCT Group.
The market features global leaders like BASF SE, NatureWorks LLC, and SABIC, as well as regional players addressing localized needs. Key strategies include vertical integration, partnerships, and continuous product development to reduce costs and expand market share. For instance, Total Corbion PLA is building a second PLA facility in France with an annual capacity of 100,000 tons, scheduled for 2024. Similarly, Dow Inc. partnered with UPM Biofuels to create bio-based packaging solutions, exemplifying the industry’s collaborative approach.
Geographical Trends in Bioplastics Growth
North America leads the bioplastics market with the largest share but will slightly decrease its share from 44.06% in 2020 to 42.23% in 2028 due to increasing competition. Europe will steadily grow its market share from 28.45% to 28.66%, driven by strict regulatory standards and sustainability-focused initiatives.
Bioplastics market region movement analysis, 2020 and 2028. Courtesy of Grandview Research.
The Asia Pacific region will grow fastest, raising its share from 20.03% to 21.26%, fueled by industrialization and government support. Central and South America will expand their contribution from 4.97% to 5.64% by increasing bioplastics manufacturing capabilities. Meanwhile, the Middle East and Africa will hold a small but steady share as industrial adoption progresses slower.
With its focus on sustainability, technological innovation, and regulatory support, the bioplastics market is set to play a pivotal role in the global transition toward a greener economy. This growth will address pressing environmental challenges while unlocking new opportunities for innovation and economic expansion in the years ahead.
Read the full paper here: Bioplastics Market Analysis