“Automotive Plastics Industry”-New trends| How suppliers can cash in the moment and deal with environmental concerns on plastic consumption
The automotive industry has shown rapid growth in the past few years. It is so rampant that it has become a major part of one of every six businesses in America.
Statistics show that around two million cars were assembled in U.S. plants in 2020, while retail sales of light vehicles in the United States reached about 14.5 million. As the industry grows, the manufacturing materials also get along in which Plastic is a big cheese for the automotive industry. The latest trends in the plastic automotive industry, their impact on suppliers, revolutionized opportunities and environmental concerns are the points of concern for manufacturers.
1) New Trends in Automotive Plastics
Statistics say that due to expected growth, it is predicted that the market value of automotive plastics will increase to almost 84 billion U.S.D by 2027. The interiors of vehicles have been made full of life by the use of plastics like Polyvinyl Chloride. Now it’s time for plastic usage in the main parts of the car.
I. Under the hood plastic components:
Engine, radiator, AC compressor, brakes, Windshield Wiper Fluid are now being made of plastics. Polypropylene (PP) will replace the metal parts. PP will reduce the battery weight.
II. Anti-lock Braking System
The use of an Anti-lock Braking System (ABS) in wheels will be increased due to its strength and the ability to work at high temperatures.
III. High-density Polyethylene (PE):
High-density Polyethylene (PE) will be used in electric vehicles as the plastic is suitable for high-intensive environments and for the manufacture of self-cleaning surfaces for the consumer.
“I don’t think anything here has the same explosion, in terms of growth, that you see in plastics and composites,”
(Bernard Swiecki, director of Automotive Communities Partnership at CAR)
2) Effects of these trends on suppliers
Plastics contributed the global market value of nearly 36 billion U.S.D in 2019 in automotive applications. Aluminum has gained the attention of OEMs and thus can be a replacement for plastic materials due to its toughness and strength. Traditional companies are a challenge for suppliers as they are preoccupied with metal and steel. Introducing comparatively better plastic components is the crux of the matter for plastic suppliers.
3) How plastic suppliers can adapt to the trending Automotives- Better opportunities
Polypropylene (PP), Polyurethane foam (PU), Acrylonitrile butadiene styrene (ABS), Polyethylene (PE), Polyvinyl chloride (PVC and Polyethylene terephthalate (PET) can be used for making interiors, seatbelts, drink trays, and under the hood materials. Polyurethane can be used for the manufacture of car seatings and can be reconverted into monomer.
4) Role of Plastic in Electric Vehicle revolution
Due to its lightweight and durable properties, plastic will be the core component of electric vehicles. Chevrolet expanded its EV portfolio, in February, with the all-electric 2022 Bolt EUV (Electric Utility Vehicle) alongside its redesigned 2022 Bolt EV. The use of battery boxes to cover the battery will reduce the chances of heating up. Heavy-duty structural chassis members and body panels in EVs are being focused to be made of plastics.
“I think electric cars can help save Detroit.
(Chris Paine)
5) OEMs aptitude towards alternatives
OEMs manufacturers are seen to be highly attracted to electric vehicles since electric cars are ecosystem and cost-friendly. OEMs are determined to use data-driven methods to increase sales and customer trust and are building strategies to resist disruption. GM is investing $27 billion in electric and autonomous vehicles in the next five years.
6) Environmental Concerns
Not all plastic parts are recycled. Bumpers, battery casings, and dashboards can be recycled and so suppliers have a major responsibility to tackle these environmental concerns to satisfy both- the OEMs and the consumer.
7) How plastic suppliers can deal with them Environmental Concerns
Thermoset materials cannot be reshaped as they get rigid on heading and once molded, they can never gain the state of processability. While polyurethane foam (PU) foam is the big cheese for the suppliers as it can be recycled and used in the manufacture of underlying car carpets.
Final thought
Hence changing trends can bring more opportunities to the plastic industry with the introduction of Electric Vehicles that can be proved as a game-changer for the automotive plastic industry and the key is that suppliers cash in the moment by manufacturing better plastic components to win the trust of OEMs.
