The world’s main and largest producers of highly sustainable, durable and versatile material, polycarbonate sheets and resin are building up their capabilities in China. There is almost no competition to them as compared to the world and you can say that Chinese companies are methodically investing in plants and R&D facilities. They are also placing in China Senior executives who are prepared to do business in the fast-paced Chinese style. The rough estimate of the Polycarbonate market in China was almost $302.229 million (US Dollars) in the year 2020 i.e. the year of pandemic. This rate did not stop there and grew rapidly at a CAGR of 9.54% which will result in making the market size of US$571.784 million by the year 2027.
The formation of polycarbonate resin can be easily put by saying that it’s made up of the reaction of Bisphenol A or BPA and phosgene resulting in making a strong thermoplastic. Polycarbonate sheets are not only transparent but they also offer other qualities like being amorphous, ductile plastic that can withstand a high range of temperatures. Because of their versatility, Polycarbonate sheets are suitable for different applications and protect from harmful UV rays, and are chemical resistant. Because of their above-mentioned advantages along with being transparent and light-weighted, Polycarbonate sheets are used in a variety of residential, industrial, and commercial applications. For example, they are used for tail, backup and fog lights along with being visually pleasing in the transport and automobile industry.
- Qualities of polycarbonate sheets:
These sheets, which are also known as thermoplastic sheets as told earlier, have many different unique qualities. One of them is that they do not degrade significantly when heated to the extent of their melting point because of them being fire resistant. They are also 30 times stronger than acrylic sheets and almost 250 times stronger than glass material. Because of these certain characteristics, Polycarbonate sheets have been allowed to use in several engineering applications and they run the market.
- Market of China:
China is one of the largest consumers of polycarbonate sheets and nearly half of its buyers include the electrical and electronics sector. Electric and electronic sectors and manufacturers are shifting their productions from high cost to low yet effective cost locales. Because of polycarbonate sheets’ low labor cost, minimalist required care, versatility and flexibility, China is becoming the most favorable market for electronics manufacturers. Moreover, the demand for electronic devices is expected to rise shortly as the middle-class population’s disposable income rises, pushing the polycarbonate market to even higher levels of growth and success.
Furthermore, the always rising demand for versatile and high-performance polycarbonate sheets is likely to push the Chinese market forward. This growing demand for polycarbonate sheets will not only benefit the Chinese polycarbonate sheets market but also those who are using this. Due to their exceptional weather and thermal resistance, dimensional stability, impressive optical cavity, and outstanding impact resistance, they are being used in every other industry. With this growing use of polycarbonate sheets not only in China’s thriving automotive and construction industry but also in the world, it is likely to boost the Chinese market expansion during the forecast period. China’s automotive industry has had exceptional commercial success which is owing to rising governmental support and ad hoc tax concessions.
- Supply and demand:
However, raw material price variations, as well as the environmental consequences of polycarbonate sheets, are anticipated to hinder the growth of the polycarbonate sheets market in China.
If we talk about types, it is predicted that the multiwall segment is and will grow at the fastest rate in near future. It is because the multi-wall Polycarbonate sheets have a cellular structure of at least two walls and connective ribbing. These properties result in a material that is not only impact-resistant but is also virtually lighter in weight as compared to solid polycarbonate, glass sheets or acrylic sheets. Due to the air voids (cells) in the multi-wall, less heat is allowed to exchange. This sheet offers a wide range of both interior and exterior applications and designs. This includes wall cladding, coating applications (both interior and exterior) exterior roofing and as well as POP marketing displays.
In terms of production, China lists as the world’s major automobile market, and this industry of China accounts for the majority of polycarbonate sheet demand in the country. Due to their competitive cost, outstanding performance, versatility, style, super strength, low labor costs, and being light weighted and safe polymers, they are high in demand in the automotive industry. The Plastic components of this material weigh nearly half as much as identical components which are made up of other materials, as a result of which there is a 25% to 35% increase in fuel efficiency, which is a critical element in the transportation and automobile industries. It is believed that every 10% reduction in the weight of a vehicle results in a 5% to 7% reduction in the consumption of fuel. The use of this material in the automobile industry is not only for less fuel consumption of weight reduction but also for energy absorption and bumper shock absorption. Using polycarbonates in vehicles also provides a reduction in risks of explosions in fuel tanks, seat belts, airbags, door and seat assemblies, subsystems, bumpers, under-bonnet components, exterior trim, and other applications.
- Recent Development:
When talking about Polycarbonate’s recent development and success, it should be stated that CHIMEI Corporation in August of the year 2021, revealed that its Chinese subsidiary, “The Zhangzhou CHIMEI Chemical Co., Ltd.” will work with the latest technology to build a new polycarbonate production site. This new facility will have a production capacity of 180,000 tons and will begin mass production in 2024.
Moreover, in March 2022, “Covestro” debuted Makrolon RE, which is a low-carbon footprint, medical-grade polycarbonate solution, as part of its product portfolio growth in the medical and healthcare industry.
Furthermore, the corporation called “Teijin Limited” also announced in August 2020 that the thermoplastic materials, which were created with its Tenax carbon fiber and Panlite polycarbonate alloy resin, had been adopted for use in cocoa motors.
- COVID-19 Effect:
The pandemic, the COVID-19 outbreak had a relatively negative effect on the Chinese polycarbonate sheets market just like all the other businesses and markets. The negative effects of the pandemic have hampered the operations of various companies, which do includes the end-user industries of polycarbonate sheets. The lockdown has also harmed the industry and the demands for consumer devices such as smartphones, computers, and televisions. Because of this, there was a pause in the growth of the automobile sector. The construction workers have been halted globally because of the unavailability of workers. And in certain areas, the whole activity had been shut down because of laws and lockdown. This shutdown has caused major damage and harm to the worldwide supply chain which contributed to the drop-in building activity and, as a result, to the polycarbonate market. With the COVID-19 pandemic and doctors and nurses fighting the COVID-19 outbreak, there is also a need for improved medical products and increased commercialization of the bio-polycarbonate market for future opportunities.