Polyvinyl Alcohol Market

Polyvinyl Alcohol Market Outlook (2023 to 2033)

The global polyvinyl alcohol market is forecasted to increase at 6.5% CAGR from 2023 to 2033. Global demand for polyvinyl alcohol (PVA) is valued at US$ 1.06 billion in 2023 and is thus expected to reach a market size of US$ 1.9 billion by the end of 2033.

PVA stands for polyvinyl alcohol, a synthetic polymer that dissolves in water. It is commercially made using polyvinyl acetate. The polyvinyl alcohol (PVC) variations, which are employed for film-forming and emulsifying, have strong biodegradability and resistance to grease, oils, and smells. They are often used as a moisture barrier in pharmaceutical items, such as medicines and vitamins, and are tasteless, odourless, and translucent.

PVA is also used to create sacrificial coatings, water-soluble films, release liners, and coatings for paper and board. It thus has a wide range of uses in the food packaging, paper industry, electronics, construction, coatings, printing, textile, cosmetics, and more. The demand is also increasing due to the rising need for bio-based polyvinyl alcohol (PVA) products across the globe. Polyvinyl alcohol is also available as polyvinyl alcohol powder and polyvinyl alcohol liquid.

Polyvinyl alcohol resin is a non-crystalline or viscous chemical compound that can be either natural or artificial. As a result, it is often used as a raw material to create other resins, such as polyvinyl formal (PVF) or polyvinyl butyral (PVB). Vehicle safety glass is commonly laminated using PVB, a plastic film with adhesive properties and good water resistance. Wire insulation typically involves using PVF.

Polyvinyl alcohol is classified into fully hydrolyzed polyvinyl alcohol, partially hydrolyzed polyvinyl alcohol, sub-partially hydrolyzed polyvinyl alcohol, and low foaming grades. Due to the presence of hydroxyl groups on the carbon atoms, polyvinyl alcohol polymer is biodegradable and can be further broken down through hydrolysis.

Major revenue in 2023 is anticipated to come from the sales of partly hydrolyzed polyvinyl alcohol. Due to its strong bonding strength, good film-forming capacity, and water solubility, partially hydrolyzed polyvinyl alcohol is widely used in various sectors and is an excellent material for use in pulp and paper production, textile manufacturing, construction, and other fields.

PVA that has undergone partial hydrolysis has a variety of applications, including usage in suspension polymerization, eye drops, contact lenses, and as a cartilage substitute. Demand for partially hydrolyzed PVA is also expected to increase due to its rising use as an environmentally friendly and sustainable material.

Report Attributes	Details
Polyvinyl Alcohol Market Size (2023E)	US$ 1.06 Billion
Forecasted Market Value (2033F)	US$ 1.9 Billion
Global Market Growth Rate (2023 to 2033)	6.5% CAGR
Leading Regional Market	North America
Emerging Regional Market	Asia Pacific
Key Companies Profiled	BASF SE; Dow Chemical Company; Mitsubishi Chemical Corporation; LyondellBasell Industries Holdings B.V.; Merck KGaA; Nouryon Chemicals Holding B.V.; Kuraray Europe GmbH; Shin-Etsu Chemical Co., Ltd.; Wacker Chemie AG; Sekisui Specialty Chemicals America, LLC; Hanwha Solutions Chemical Division Corporation; Liwei Chemical Co. Ltd; SNP, Inc.

Why are Polyvinyl Alcohol Product Sales Increasing at a Fast Pace?

“Growing Importance of Safe & Eco-friendly Packaging Solutions”

A biodegradable polymer created from petroleum that is soluble in water is polyvinyl alcohol. As environmental criticism of plastic usage increases, biodegradable polymers are gaining popularity in the packaging industry, particularly for food packaging.

Packaged meals are growing in popularity with consumers due to changing lifestyles and an increasing working population. This is raising the demand for environmentally friendly packaging materials. Due to strict rules regarding its disposal and dwindling landfill availability, sustainable packaging for goods is in high demand.

Several variables, including the growth of the customer base, an increase in the cost per package, and demand in important countries such as the United States, China, and India, are driving up demand for packaging in various applications.

The creation of various biodegradable packaging materials has received a lot of interest recently. End-use items made from PVA can biodegrade more quickly when made from renewable natural polymers. PVA material is one of many synthetic biodegradable polymers that is widely utilized because it degrades in several microbiological conditions.

Many industries use polyvinyl alcohol, including ceramics, fabrics, paints, paper, and wood. For various end-use industries, the multiple grades are essential, which is further increasing demand for PVA.

“High Use of Polyvinyl Alcohol Coatings in Construction & Medical Sectors”

The need for polyvinyl alcohol as an emulsifier and dispersant is expected to fuel the growth of the polyvinyl alcohol market. Also, the usage of polyvinyl alcohol in vinyl-based emulsion in numerous industries, such as paints and coatings, textiles, re-dispersible powders, and construction, benefits the market for polyvinyl alcohol.

Increasing construction activities are anticipated to present potential opportunities in the polyvinyl alcohol market, as polyvinyl alcohol is an essential chemical component in construction paint & coating materials.

The coating of medication tablets with polyvinyl alcohol is a common practice in the pharmaceutical industry. Its diverse chemical characteristics have demonstrated the value of its use in pharmaceutics and other health applications. Thus, all such factors are booming PVA solution demand.

What Do Producers of Polyvinyl Alcohol Need to Watch out For?

“Availability of Alternatives and High Manufacturing Costs”

Rising manufacturing expenses and the availability of substitutes are severely affecting demand growth. Vinyl acetate monomer (VAM) and polyvinyl acetate (PVAc) are two of the raw materials needed to produce polyvinyl alcohol (PVA), which go through various operational stages of producing, processing, refining, and storage.

These steps add capital requirements to the production process and may raise production costs. Also, the accessibility of substitutes such as calcium stearate poses a serious risk to the expansion of market revenue.

Country-wise Analysis

Which Type of Polyvinyl Alcohol is Widely Popular in the United States?

“High Demand for Food-grade Polyvinyl Alcohol”

The United States has a significant food packaging industry. The usage of polyvinyl alcohol in packaged food items is expanding as a result of its advantages, such as film formation and maintaining product taste and texture retention.

The United States economy is highly dependent on the food and beverage sector. Delivery services and e-commerce are both growing in popularity. Customers are increasingly buying vegetables and other food products online as a result of the widespread use of the internet and the growing need for convenience.

In-home fresh produce shopping is widely becoming possible due to services such as ‘Amazon Fresh’. The majority of food and beverage processing facilities in New York are in the bread industry, followed by wineries and facilities for animal slaughter and processing.

What is Supporting Polyvinyl Alcohol Demand Growth in China?

“Increasing Use of PVA Solutions in Well-established Textile Industry”

China holds high GDP in the Asia Pacific region. The country's GDP increased by 8.1% in 2021, despite trade disruption brought on by its trade war with the United States.

China dominates the Asia Pacific market for polyvinyl alcohol due to its expanding textile and construction sectors. China is leading the global textile production sector.

• According to Mordor Intelligence, China's exports of apparel, textiles, and accessories for clothing reached US$ 189.3 billion in the first 7 months of 2022, representing a rate of growth of 17.3% year over year; exports of apparel and accessories for clothing reached US$ 99.6 billion, representing an increase of 18.5% over the same period in 2021.

This is considerably boosting the sales of polyvinyl alcohol products in China.

Why Does France Hold a Prominent Position in the European Market?

“Growing Need for Polyvinyl Alcohol in Packaging of Pesticide & Fertilizer Products”

France is considered to be a major agricultural producer in Europe. More land in France is used for agriculture than in any other country in Western Europe. The need for fertilizers in the country ought to be driven by a growing emphasis on meeting future food demands sustainably and growing farmer awareness of plant nutrient requirements.

Improved fertilizer formulations that target certain crops have been developed as a result of technological breakthroughs, assuring efficient nutrient utilization and increasing yields. As PVA films are water soluble and biodegradable, which lowers plastic pollution, they are increasingly being used for packaging pesticide and fertilizer products.

Since the demand for food products is increasing, crop protection solutions are needed more than ever to maintain & improve crop yields. Supportive government policies as well as the growing environmental concerns about the use of chemical pesticides are boosting biopesticide sales.

• Several pesticides, including imidacloprid, clothianidin, and thiamethoxam, have been outlawed in the European Union due to their hazardous effects on bees. The EU Regulation 2009/128/EC encourages the use of fewer pesticides and non-chemical techniques such as biopesticides, which is further expected to increase demand for polyvinyl alcohol films in the coming 10 years.

Category-wise Analysis

Which End-use Applications are Polyvinyl Alcohol Solutions Widely Utilized?

“Polyvinyl Alcohol Widely Used in Food Packaging Industry Due to its Effective Protection Qualities”

When a moisture barrier or protection characteristics are needed, PVA is utilized in the food packaging business as a binding & coating agent as well as a film coating agent. PVA conceals the taste and odour of the active food ingredients while protecting them from moisture, air, and other environmental factors. It also makes the handling of finished food items simpler.

Demand for food packaging is also expected to be influenced by demographic changes, increasing consumer-effective food packaging demand, rising spending power on packed food products in emerging economies, growing focus on sustainable, user-friendly packaging, and trends in out-of-home eating habits.

Competitive Landscape

Some of the leading companies in the polyvinyl alcohol market are BASF SE, Dow Chemical Company, Mitsubishi Chemical Corporation, LyondellBasell Industries Holdings B.V., Merck KGaA, and Nouryon Chemicals Holding B.V.

According to Fact.MR, a market research and competitive intelligence provider, there is fierce competition in the market with the existence of both large- and medium-sized polyvinyl alcohol manufacturers. The availability of raw materials at relatively low costs and the proximity of the plants to the raw material suppliers enable producers to benefit from economies of scale.

• Sekisui Specialty Chemicals (SSC) started the feasibility analysis for increasing its polyvinyl alcohol supply chain network in August 2022 to accommodate the escalating demands of its downstream clients.
• Purchasing the Modular Automated Sampling Technology (MAST) platform from Lonza in April 2022 allowed Merck, a significant scientific and technology company, to increase the scope of its bioprocessing offerings. An automatic, aseptic bioreactor sampling system called the MAST platform was developed in Bend, Oregon, in the United States.

Key Segments of Polyvinyl Alcohol Industry Research

• By Grade :

  • Fully Hydrolyzed
  • Partially Hydrolyzed
  • Sub-partially Hydrolyzed
  • Low Foaming Grades

• By End User :

  • Food Packaging
  • Paper Manufacturing
  • Construction
  • Electronics
  • Textile Manufacturing
  • Medical
  • Aerospace
  • Automotive

• By Region :

  • North America
  • Latin America
  • Europe
  • East Asia
  • South Asia & Oceania
  • MEA