According to the reports of International Trade Centre (ITC), the trade value of tubes, pipes, hoses, and others stood at $26.039 billion on 2018, and it witnessed an annual growth of 11%, when compared to 2017. The increase in trade is attributable to the application of PVC pipe in various industries such as water supply, irrigation, sewer drain, plumbing oil gas, and others. Thus, the growth of the pipe industry is reflecting in terms of the expansion of the PVC pipe market, which had witnessed a global market size of $55.6 billion in 2018. Furthermore, due to rising demand, the PVC pipe market is poised to increase at a lucrative CAGR of 6.1%, during the forecast period 2019-2025.
APAC has been witnessing an impeccable growth in its revenue, due to growth of industries such as construction, agriculture, air conditioner, and pharmacy, which is contributing to the growth of the PVC pipe market. In 2018, APAC witnessed a maximum PVC pipe market share of 48%. Also, PVC pipes help in the conservation of energy and water by stopping leakage and corrosion. Thus, these are hugely used in a sewer drain, plumbing, irrigation, water supply, and others, helping in the spurring agricultural industry. A report of the Food and Agriculture Organization (FAO) projects that China is going to produce 611 ton of cereal in 2019. Therefore, with these growing figures of cereal production, the PVC pipe market is set to witness growth in China, which will increase the APAC PVC pipe market size.
PVC Pipe Market Outlook:
PVC or polyvinyl chloride is world’s third most widely manufactured synthetic plastic polymer. This versatile compound comes in two forms– rigid and flexible. While the rigid compound is used for making PVC pipe for building and construction, flexible PVC pipe is used in the pharmaceutical industry. It is durable, water-resistant as well as lightweight, and these features make it more impressive than any other compound. Thus, the PVC pipe market is gaining much traction and will grow further in the upcoming years.
The key application of PVC pipe is found in the construction industry. It is mainly used in plumbing, water supply, and others. A report of the International Labour Organization (ILO) suggests that investment in the construction industry had witnessed a rise by 8.4 % year on year in the first quarter of 2016. Moreover, Institute of Civil Engineers’ latest reports suggests that the global construction industry is going to witness a staggering growth by 85% to $15.5 trillion by 2030 and the three leading countries will be China, India, and the U.S. The lucrative growth of the construction industry will lead to an increase in sales of PVC pipes. Thus, in the upcoming years, PVC pipe market vendors will experience opportunities to grow further. The application of PVC pipe in the construction industry is estimated to grow at a CAGR of 5% through to 2025.
PVC pipe Market Growth Drivers and Trends:
· The Pharmaceutical Industry Driving the PVC Pipe Market –
According to the findings by India Brand Equity Foundation (IBEF), the pharmaceutical industry had witnessed a revenue evaluation of $35.9 billion across the globe in 2016. The flexible PVC pipe is extensively used in the production of oxygen tents, tubing, and bags for blood transfusions, drips, and others. This is boosting the PVC pipe market growth prospects in the pharmaceutical industry.
· Heating, Ventilation, and Air conditioning Industry Aiding the PVC Pipe Market –
As PVC pipes mitigate the risk of corrosion and are good insulators than metals, vendors often resort to using it in the ductwork of the air conditioning system. However, according to the Plastic Pipe Institute, the universal maximum temperature for PVC is 140°Fahrenheit. As per NASA, global temperature has risen upwards by 1.4° Fahrenheit since 1880. Owing to this lethal temperature change, the global air conditioning market is capitalizing around $123 billion to $125 billion as of 2018. Moreover, it is going to witness an increase in demand at a profitable CAGR of 6%, during 2019-2025. Subsequently, the growth of the HVAC market will create a demand influx in the PVC pipe market.
The PVC Pipe Market Key Players Perspective –
The major forces behind the PVC pipe market shares are Polypipe Plc, Amanco, Drainage Systems, Inc., China Lesso Group Holdings Ltd., Egeplast a.s., Finolex Industries Ltd, IPEX Inc., JM Eagle Company, Inc., North American Pipe Corporation, Pipelife International GmbH, Plastika AS, Polypipe Plc, Royal Building Products, Sekisui Chemical Company Ltd, Tessenderlo Group, Tigre SA, and National Pipe and Plastics Inc.
PVC Pipe Market Research Scope:
The base year of the study is 2018, with forecast done up to 2025. The study presents a thorough analysis of the competitive landscape, taking into account the market shares of the leading companies. It also provides information on unit shipments. These provide the key market participants with the necessary business intelligence and help them understand the future of the PVC pipe market. The assessment includes the forecast, an overview of the competitive structure, the market shares of the competitors, as well as the market trends, market demands, market drivers, market challenges, and product analysis. The market drivers and restraints have been assessed to fathom their impact over the forecast period. This report further identifies the key opportunities for growth while also detailing the key challenges and possible threats. The PVC pipe market research report also analyses the application of PVC pipe in various sectors such as packaging, building & construction, automotive, and others.