TABLE OF CONTENTS The demand for additives naturally reflects the demand for plastics. Demand for plastics depends in turn on the sale of manufactured goods such as construction products, vehicles, domestic appliances, business machines, televisions, packaging, toys, shoes etc. There are also secondary factors promoting an increased usage of additives in every tonne of polymer.
The global plastics market normally grows because advanced countries have been replacing traditional materials by plastics. It is also growing because of the industrialisation of developing countries. The process of replacing metals, concrete, glass, wood and paper by plastics has almost ended in advanced countries, but has a very long way to go in developing ones.
It is possible for additive suppliers with relatively novel products to sell more product each year even when plastics sales are level, by persuading customers that it reduces process costs, improves end-product quality or achieves better compliance with regulations. The additives business is one where technical excellence creates new markets. Special factors such as new fire regulations increase sales of flame retardants. Increased use of agricultural film favours greater use of stabilisers. Changes in social habits (such as increased consumption of ready-to-eat meals or bottled mineral water) also stimulate additive sales.
At present, the main driver for additive sales growth seems likely to be the continuing industrialisation and increasing prosperity of populous developing countries, especially China, India and Mexico, as well as in South America and, to a lesser extent, Eastern Europe and...
