Tie Layer Resins Market

Tie Layer Resins Market Growth Outlook (2023 to 2033)

The global tie layer resins market is set to estimate a valuation of US$ 2.3 billion in 2023 and it is estimated to grow at a CAGR of 5.2% to reach US$ 3.8 billion by the end of 2033.

Tie layer resins are suitable for a wide range of processes, including extrusion blown, blow molding, coating, cast film, extrusion, sheet, lamination, thermoforming, and other specialized processes. The composition of tie layer resins is calculated using the resin matrix depending on the material demand. The need for high-performance materials for various end-use applications is driving the demand for tie layer resins in the plastics sector.

Report Attributes	Details
Tie Layer Resins Market Size (2022A)	US$ 2.2 Billion
Estimated Market Value (2023E)	US$ 2.3 Billion
Forecasted Market Value (2033F)	US$ 3.8 Billion
Global Market Growth Rate (2023-2033)	5.2%
North America Market Share (2023)	21.4%
East Asia Market Share (2023)	31.6%
Key Companies Profiled	Arkema SA Dow Inc. Kraton Corporation LyondellBasell Mitsubishi Chemical Corporation Mitsui Chemicals SK Functional Polymers

Sales Analysis: Historic to Futuristic

Tie layer resins are a type of polyolefin that has undergone chemical modification and is used as an extrudable adhesive in coating processes or in co-extrusion to join two materials of different chemistry. Tie layer resins are perfect for creating multilayer constructions with special features that can integrate important characteristics of each kind of material.

Several governments have been implementing various regulations and initiatives aimed at promoting sustainability and reducing the environmental impact of packaging materials. These regulations are likely to drive the adoption of tie layer resins as a more sustainable and environmentally friendly packaging material, which boosts the growth of the tie layer resins market in the coming years.

• Short Term (2023-2026): Burgeoning demand for tie layer resins from the growing packaging and automotive industry will drive the market in the coming years.
• Medium Term (2026-2029): Asia Pacific and North America are anticipated to witness high tie layer resins demand on the back of growing demand for food packaging due to the increasing population and changing dietary habits and favorable governmental regulations.
• Long Term (2029-2033): Increasing adoption of tie layer resins in the medical industry along with growing demand for sustainable packaging will drive tie layer resins demand in the long term.

Over the 2018-2022 historical period, the global tie layer resins market registered a CAGR of 4.4%, according to the Fact.MR, a market research and competitive intelligence provider, the market is projected to exhibit growth at 5.2% CAGR between 2023 and 2033.

Market share analysis of tie layer resins based on type and region is provided in a nutshell in the above image. Under the type segment, the non-reactive segment dominates with 58.4% market share in 2023.

Market Dynamics Overview

“Growing Demand for Tie Layer Resins from Packaging Industry to Drive Market”

The growing demand from the packaging industry is expected to be a significant driver for the tie layer resins market in the coming years. Tie layer resins are extensively used in the packaging industry to improve the barrier properties of packaging materials. They are used as an adhesive layer between different packaging materials, such as plastic and metal, to improve the strength and durability of the packaging material.

The growing demand for flexible packaging, coupled with the increasing demand for packaged food and beverages, is expected to drive the growth of the tie layer resins market. Flexible packaging offers several advantages over rigid packaging, such as lower weight, better space utilization, and improved product protection.

Tie layer resins are also used in the production of high-performance packaging materials, such as multilayer films and laminates. These packaging materials are extensively used in the food and beverage industry to improve the shelf life of products and protect them from contamination. The increasing demand for high-performance packaging materials is expected to drive the growth of the tie layer resins market.

“Volatility in Raw Material Prices Restrains the Tie Layer Resins Market Growth”

The tie layer resins market is heavily dependent on raw materials such as polyethylene, polypropylene, and ethylene-vinyl acetate copolymer. The volatility in the prices of these raw materials is expected to restrain the growth of the tie layer resins market.

Volatility in raw material prices can also affect the profitability of market players operating in the market. Fluctuations in raw material prices can make it difficult for market players to plan and forecast their production costs and revenue streams. This can lead to challenges in managing inventory, pricing strategies, and cash flow, which can affect the overall growth and sustainability of the market.

Tie layer resin are non-biodegradable and can cause environmental pollution if not disposed of properly. The increasing environmental concerns are expected to restrain the growth of the tie layer resins market.

Country-wise Insights

What is the Market Scenario for Tie Layer Resins in Germany?

One of the primary drivers of the increasing demand for tie layer resins in Germany is the growth of the packaging industry. The automotive industry in Germany is also a significant consumer of tie layer resins. Tie layer resin is used in the production of automotive interior trims, such as door panels, dashboard skins, and center console covers, among others. As the automotive industry in Germany continues to grow and evolve, the demand for tie layer resins is expected to increase.

• Car manufacturing in Germany increased by 11% in 2022 compared to 2021 to reach 3.4 million units which are further expected to reach 4.7 million units by 2026.

The German government has implemented various regulations and initiatives aimed at reducing the environmental impact of packaging materials, which is further driving the demand for tie layer resins.

Why is the China Tie Layer Resins Market Expected to Be Highly Lucrative?

The demand for tie layer resins in China has been increasing steadily due to the growing packaging industry in the country. Tie layer resins are widely used in the production of multilayer packaging materials, which are in high demand in China, particularly for food packaging.

China is home to a large number of tie-layer resin manufacturers, and they have been expanding their production capacity in recent years. The increasing production capacity in China is likely to lead to a rise in the supply of tie-layer resins, which could have an impact on the pricing dynamics in the global market. As the demand for such products continues to grow, the demand for tie layer resins is also expected to increase.

Category-wise Insights

Why are Non-Reactive Tie Layer Resins Gaining Traction?

Non-reactive tie layer resins are generally less expensive than reactive tie layer resins, making them an attractive option for cost-conscious manufacturers. They offer a good balance between cost and performance, making them suitable for a wide range of applications.

Non-reactive tie layer resins can bond with a wide range of materials, including polymers, metals, and paper. This makes them a versatile choice for a variety of applications, such as flexible packaging, laminated tubes, and protective films. Non-reactive tie layer resins are considered to be more environmentally friendly than reactive tie layer resins because they do not require the use of chemical crosslinking agents or solvents, which can be harmful to the environment.

Why is LLDPE the Preferred Base Resin by Tie Layer Resin Manufacturers?

Linear Low-Density Polyethylene (LLDPE) is a popular base resin for tie layer resin manufacturers as it offers several advantages over other polymers. LLDPE has excellent mechanical properties, including high tensile strength, good tear resistance, and high puncture resistance. These properties make it an ideal choice for use in multilayer packaging materials, where it provides strength and durability to the final product.

LLDPE has good barrier properties, which help to prevent the permeation of gases and moisture. This is important for packaging applications where the contents need to be protected from external factors such as oxygen, moisture, and light.

Competitive Landscape

Prominent tie layer resins manufacturers are Arkema SA, Dow Inc., Kraton Corporation, Lotte Chemicals, LyondellBasell, Mitsubishi Chemical Corporation, Mitsui Chemicals, SK Functional Polymers, Wetlake Chemical Corporation, and Yparex.

The world’s leading manufacturers of tie-layer resins are focusing on increasing their production capacity. Key players in the market are focusing on partnering with various end-use industries to sell their products directly to them. Players are also focusing on offering products that are suitable for various packaging materials.

• In July 2021, SK Functional Polymer launched a brand new tie resin OREVAC 18603, suitable for polyester-based flexible and rigid multilayer packaging. OREVAC 18603 is a maleic anhydride modified ethylene methyl-acrylate (EMA) copolymer resin.

Fact.MR has provided detailed information about the price points of key manufacturers of tie layer resins positioned across regions, sales growth, production capacity, and speculative technological expansion, in the recently published report.

Segmentation of Tie Layer Resins Industry Research

• By Type :

  • Reactive
  • Non-reactive

• By Base Resin :

  • HDPE
  • LDPE
  • LLDPE
  • EVA
  • PP
  • Others (SEBS & Others)

• By Bonding Material :

  • Polymers
    • Ethylene Vinyl Alcohol (EVOH)
    • Polyamide
    • Polyethylene
    • Polypropylene
    • Polyester (PET)
    • Polystyrene
    • Polycarbonate
    • Others
  • Metals
    • Steel
    • Aluminum
    • Others
  • Others (Glass & Others)

• By Application :

  • Films
    • Blown film
    • Cast film
  • Coextrusion coating
  • Metal Coating
  • Blow molding
    • Bottles
    • Containers
    • Others
  • Thermoforming
  • Others

• By End Use :

  • Food & Specialty Packaging
    • Flexible
    • Rigid
  • Paperboard Coating
  • Multilayer Bottles
  • Barrier Sheets
  • Nylon Modification
  • Wood-plastic composites
  • Automotive (Gas Tanks & Others)
  • Others

• By Region :

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