Study: Global demand for EPS will slow down, but continues to increase

24 mei 2013

Global demand for expandable polystyrene (EPS) in the construction and packaging industries will slow down, but continues to increase. Average growth rates of 4.8% p.a. that have been generated in the previous eight years are unlikely to be reached again, but the international market research institute Ceresana nevertheless expects consumption to increase at an AAGR of 3.8% in the next eight years. Market value is likely to rise to more than US$15 billion until 2020.
Asia-Pacific already is the most important consumer of EPS worldwide, accounting for about 54% of global demand, followed by Western and Eastern Europe. Distribution of market shares is likely to change notably in the upcoming eight year period. Market analysts at Ceresana forecast Asian-Pacific countries to continue to gain shares of the global EPS market, mostly at the expense of saturated industrialized countries in Western Europe and North America. Developing and emerging countries, on the other hand, can capitalize on an increasing per capita consumption of packaging materials and other EPS-based products. The by far most important growth motor on the international market is China.
Packaging made from EPS that is, for example, used to transport fresh fish or electronic goods, account for more than a third of global demand. Especially in Asia-Pacific and South America EPS products are accounting for a significant share of total demand (Market Study Ceresana, May 2013).