Polylactic Acid Price Trend

Polylactic Acid Prices December 2023

In the USA, the price of Polylactic Acid fell in Q4 2023, reaching a quarter-ending price of USD 3345/MT. The decline was driven by weak demand from the packaging industry, lower import prices, and limited downstream industry demand. As ompared to the same quarter last year, prices decreased, and there was no significant change from the previous quarter.

There were no plant shutdowns reported during the quarter in South Korea. The price of Polylactic Acid CFR Busan at the end of the quarter is USD 1847/MT with a rise in price comparison between the first and second half of the quarter.

PLA prices in Europe showed a slight improvement in Q4 2023. The market faces both upward and downward pressures. Recent events in Belgium related to water pollution caused by plastic packaging prompted the EU government to consider immediate action to ban food packaging materials.

Polylactic Acid Price Trend, Market Analysis, and News

IMARC’s newly published report, titled “Polylactic Acid Pricing Report 2024: Price Trend, Chart, Market Analysis, News, Demand, Historical and Forecast Data,” offers an in-depth analysis of polylactic acid pricing, covering an analysis of global and regional market trends and the critical factors driving these price movements.

It encompasses an in-depth review of spot price of polylactic acid at major ports, a breakdown of prices including Ex Works, FOB, and CIF, alongside a region-wise dissection of polylactic acid price trend across North America, Europe, Asia Pacific, Latin America, the Middle East and Africa.

The report examines the elements influencing polylactic acid price fluctuations, such as changes in raw material costs, supply-demand dynamics, geopolitical factors, and industry-specific developments. Additionally, it integrates the latest market news, providing stakeholders with up-to-date information on market shifts, regulatory changes, and technological advancements, thereby offering a comprehensive overview that aids in strategic decision-making and forecasting.

Polylactic Acid Market Analysis

The global polylactic acid market size reached US$ 993.4 Million in 2023. By 2032, IMARC Group expects the market to reach US$ 3530 Million, at a projected CAGR of 14.70% during 2023-2032.

• The gradual increase in awareness of environmental issues and push for sustainable solution propel the demand for biodegradable and bioplastics like polylactic acid. Governments and consumers are actively seeking alternatives to petrochemical derived plastics which are more harmful to the environment. According to a report published by McKinsey and company, every year, United States consumer spending reaches over $14 trillion with two third of it going to Consumer-Packaged Goods (CPG). The good industry has millions of employees and trillions of dollars in annual sales making it pivotal in building a more sustainable economy. Studies show that 60% of US consumers are willing to pay more for a product with sustainable packaging, while 78% prioritize a sustainable lifestyle according to a recent NielsenIQ study. The consumer awareness about sustainable and ecofriendly packaging is driving the market demand for biodegradable bioplastics like polylactic acid further across the world.
• The global market demand for polylactic acid is significantly stimulated by its widespread adoption across various end use sectors mainly in packaging, textiles and biomedical applications. For instance, in the food and packaging industry PLA is highly preferred for its biodegradability and its inherent food safety qualities making it an ideal choice for single use containers utensils and films. These applications are driving the global market demand for polylactic acid.
• The global movement towards sustainable packaging to mitigate plastic waste has notably influenced the market for polylactic acid. This trend is driven by an increase in environmental concerns and consumer demand for ecofriendly products. Nowadays companies across various industries are integrating polylactic acid into their packaging solutions to align with these sustainability goals. For instance, a PR Newswire's article data reveals that 71% of consumers prioritize sustainability when choosing products, especially younger buyers and high earners. Interest in products with eco-friendly packaging has grown since 2022.

Polylactic Acid News

The report covers the latest developments, updates, and trends impacting the global polylactic acid market, providing stakeholders with timely and relevant information. This segment covers a wide array of news items, including the inauguration of new production facilities, advancements in polylactic acid production technologies, strategic market expansions by key industry players, and significant mergers and acquisitions that impact the polylactic acid price trend.

Latest developments in the polylactic acid industry:

• In 2023, NatureWorks announced the construction of their fully integrated Ingeo PLA biopolymer manufacturing facility in Thailand. The facility, located in Nakhon Sawan Province, will have an annual capacity of 75,000 tons and will include production sites for lactic acid, lactide, and polymer. It is expected to be completed in the second half of 2024, meeting the rising demand for sustainable, low-carbon biomaterials.
• In 2024, PsiQuantum, Mitsubishi UFJ Financial Group, and Mitsubishi Chemical partner to design energy-efficient materials using PsiQuantum's fault-tolerant quantum computer, aiming to accelerate innovation in computational studies in chemistry and materials. The partnership focuses on Mitsubishi Chemical's research to model and analyze energy-efficient materials.

Product Description

Polylactic acid also known as PLA. It is a biodegradable and bioactive thermoplastic which is derived from renewable sources like cornstarch, sugar cane or tapioca roots. Polylactic acid acts as an ecofriendly alternative to various petroleum-based plastics. It stands out because of its ability to decompose in water and carbon dioxide under industrial composting conditions. Polylactic acid is commonly used in the production of biodegradable medical implants, packaging, disposable tableware and bioplastics. Polylactic acid's popularity in sustainable materials market is driven by increasing environmental awareness and various regulatory policies favoring green products. It not only offers an end-of-life advantage in terms of biodegradability but also exhibits a wide range of physical and mechanical properties which makes it suitable for various applications including 3D printing.

Regional Coverage

The report provides a detailed analysis of the polylactic acid market across different regions, each with unique pricing dynamics influenced by localized market conditions, supply chain intricacies, and geopolitical factors. This includes price trends, price forecast and supply and demand trends for each region, along with spot prices by major ports. The report also provides coverage of ex-works, FOB, and CIF prices, as well as the key factors influencing the polylactic acid price trend.

Global Polylactic Acid Price

The report offers a holistic view of the global polylactic acid pricing trends in the form of polylactic acid price charts, reflecting the worldwide interplay of supply-demand balances, international trade policies, and overarching economic factors that shape the market on a macro level. This comprehensive analysis not only highlights current price of polylactic acid but also provides insights into historical price trends, enabling stakeholders to understand past fluctuations and their underlying causes.

The report also delves into price forecast models, projecting future price movements based on a variety of indicators such as expected changes in supply chain dynamics, anticipated policy shifts, and emerging market trends. By examining these factors, the report equips industry participants with the necessary tools to make informed strategic decisions, manage risks, and capitalize on market opportunities. Furthermore, it includes a detailed polylactic acid demand analysis, breaking down regional variations and identifying key drivers specific to each geographic market, thus offering a nuanced understanding of the global pricing landscape.

Europe Polylactic Acid Price

The polylactic acid (PLA) market in Europe in Q4 2023 has been bullish with steady demand from the downstream food packaging industry. There are expectations of decreasing freight rates and ample domestic inventory supporting a price drop. The recent amendment of the Packaging and Packaging Waste Regulation (PPWR) by the European Parliament to remove and modify packaging reuse targets has affected the market.

This analysis can be extended to include detailed polylactic acid price information for a comprehensive list of countries.

North America Polylactic Acid Price

The North American polylactic acid market experienced a bearish sentiment during Q4 2023 due to weak demand from downstream industries, particularly in the packaging sector. There has been a moderate to high supply of polylactic acid, and weak import levels from Asian countries have contributed to the overall supply situation. The United States experienced the most significant price changes, with a 7.5% decline attributed to weak demand, easing import prices, and limited improvement in downstream industry demand.

Specific polylactic acid historical data within the United States and Canada can also be provided.

Middle East and Africa Polylactic Acid Price

The report explores the polylactic acid pricing trends in the Middle East and Africa, considering factors like regional industrial growth, the availability of natural resources, and geopolitical tensions that uniquely influence market prices.

In addition to region-wise data, information on polylactic acid prices for countries can also be provided.

Asia Pacific Polylactic Acid Price

The polylactic acid (PLA) market in the APAC region witnessed a bearish situation in Q4 2023 due to a decrease in overseas orders and freight rates. However, initiatives supporting the ban on plastics and sustainable packaging materials generated positive sentiments in downstream markets. The top reasons for the market situation were manufacturers ramping up their upstream storage, China's economic recovery, and high energy prices supporting production costs. No plant shutdown was reported in this quarter.

This polylactic acid price analysis can be expanded to include a comprehensive list of countries within the region.

Latin America Polylactic Acid Price

The analysis of polylactic acid prices in Latin America provides a detailed overview, reflecting the unique market dynamics in the region influenced by economic policies, industrial growth, and trade frameworks.

This comprehensive review can be extended to include specific countries within the region.

Report Coverage

Key Benefits for Stakeholders:

• IMARC’s report presents a detailed analysis of polylactic acid pricing, covering global and regional trends, spot prices at key ports, and a breakdown of Ex Works, FOB, and CIF prices.
• The study examines factors affecting polylactic acid price trend, including raw material costs, supply-demand shifts, geopolitical impacts, and industry developments, offering insights for informed decision-making.
• The competitive landscape review equips stakeholders with crucial insights into the latest market news, regulatory changes, and technological advancements, ensuring a well-rounded, strategic overview for forecasting and planning.
• IMARC offers various subscription options, including monthly, quarterly, and biannual updates, allowing clients to stay informed with the latest market trends, ongoing developments, and comprehensive market insights. The polylactic acid price charts ensure our clients remain at the forefront of the industry.