The European polyvinyl alcohol industry is set to be valued at USD 829.7 million in 2024 and is projected to reach USD 1,418 million by 2034. The sector is expected to experience a modest compound annual growth rate (CAGR) of 5.5% over the forecast period from 2024 to 2034.
The growing use of polyvinyl alcohol (PVA) in sectors such as pharmaceuticals, agrochemicals, textiles, and cosmetics is expected to drive sales.
The European Union (EU) has enacted legislation to reduce plastic waste and promote the use of biodegradable and recyclable materials in various sectors. PVA is often preferred as an eco-friendly alternative for packaging purposes due to its high biodegradability and low toxicity.
| Attributes | Description |
|---|---|
| Estimated Europe Polyvinyl Alcohol Industry Size (2024E) | USD 829.7 million |
| Projected Europe Polyvinyl Alcohol Industry Value (2034F) | USD 1,418 million |
| Value-based CAGR (2024 to 2034) | 5.5% |
Demand for bio-compatible materials is rising from the healthcare sector for producing contact lenses and surgical implants. PVA’s lack of toxicity and biocompatibility is anticipated to propel demand for this application.
The use of PVA for food packaging in Europe continues to rise due to an increasing preference for convenient and sustainable food options. In this sector, PVA is gradually emerging as a highly desirable packaging material, thereby augmenting demand. The utilization of PVA in the European construction industry is expected to increase, particularly in applications such as adhesives, coatings, and paper manufacturing, among others.
Europe's PVA industry size is estimated to increase by 1.7 times through 2034, with a significant 3.1% increase in expected CAGR compared to the historical one. The region is experiencing growth, driven by increasing demand for biodegradable products, which promotes the use of sustainable packaging materials.
The surge is rooted in the imperative to minimize negative environmental and health effects, resulting in high consumption of PVA films across various sectors. These include packaging, textile, and laundry storage. However, growing consumer demand for eco-friendly and sustainable products made with PVA alternatives is anticipated to hamper sales. Competition from low-cost PVA producers in other regions, such as Asia, is expected to create intense pressure.
PVA films are anticipated to provide a wide range of advantages, including biocompatibility, non-toxicity, and water resistance, making these well-suited for multiple applications. Additionally, the integration of chemicals in various sectors has effectively addressed challenges associated with electronic waste disposal, a trend in the European PVA sector.
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Emergence of 3D Printing and Need for High Adaptability to Propel Demand
PVA encompasses significant film-forming, emulsifying, and adhesive capabilities. These are designed to make the polymer an ideal solution for various products, including adhesives, coatings, and materials for 3D printing. Additionally, the polymer shows properties such as resistance to oil, grease, and solvents, demonstrating high adaptability in multiple applications.
High tensile strength, flexibility, and excellent resistance to oxygen and aroma are anticipated to make the product an ideal choice in applications where stringent parameters are necessary. However, the performance of PVA is expected to be affected by fluctuations in humidity levels, which can influence various properties under different environmental conditions. Additionally, fluctuations in oil prices are affecting the cost of raw materials for PVA production, which may in turn hinder demand.
Films to Create High Sales with Surging Use in Food Packaging
The ability of PVA to provide several benefits in adhesive and sealant applications is anticipated to propel growth. As PVA adhesives are water-based, they can be easily cleaned with water, thereby minimizing the need for harsh chemicals during application. These do not emit fumes, allowing for interior applications without the need for ventilation.
In terms of cost-effectiveness, such adhesives are considered a good choice compared to alternatives such as two-component epoxies. Rapid economic growth in Eastern Europe is creating new opportunities for PVA applications. Food packaging firms are set to demand these polymers for use in packaging.
The introduction of PVA films is anticipated to be a boon for packaging manufacturers, offering innovative solutions to vendors of fruits, vegetables, meat, and cheese. With high resistance to moisture, oxygen, and other contaminants, these films are set to provide new opportunities.
Sustainability Regulations and Policies Impacting the European PVA Industry
Europe’s sector may experience a restraint due to the rise of sustainable alternatives that can surpass PVA in terms of environmental impact. Alternatives, such as polylactic acid (PLA) and cellulose-based materials, offer biodegradability, recyclability, and reduced resource consumption compared to PVA. PLA is often sourced from natural materials, such as cornstarch or sugarcane, thereby creating high demand among eco-conscious consumers.
Cellulose-based materials derived from wood pulp or agricultural residues are also gaining traction due to their enhanced environmental performance. The adoption of sustainable alternatives is anticipated to create hurdles for Europe, impacting its competitiveness and market share. Additionally, government policies promoting sustainable practices and bio-based alternatives to traditional PVA sources are expected to hinder demand.
Sales of polyvinyl alcohol in Europe grew at a CAGR of 2.4% between 2019 and 2023. Total revenue reached about USD 790.5 million in 2023. In the forecast period, the sector is set to thrive at a CAGR of 5.5%.
In the historical period, growing consumer demand for eco-friendly and sustainable products made with PVA alternatives hampered sales. In addition, competition from low-cost PVA producers in other regions like Asia hindered growth to a certain extent. Stringent trade policies impacting the import and export of PVA within Europe also acted as a key hindrance from 2019 to 2023.
The historical period witnessed several challenges and opportunities for the European PVA industry. The COVID-19 pandemic was a critical disruption during this period. The pandemic disturbed supply chains and manufacturing operations, leading to temporary slowdowns in production and distribution. However, as the situation stabilized and industries adapted to new norms, there emerged a growing demand for the polymer from various sectors. These included packaging, pharmaceuticals, and textiles.
The growing focus on hygiene and safety measures has further boosted the use of polyvinyl alcohol (PVOH) in applications such as food packaging and medical products. Despite initial challenges, the sector's resilience in Europe was evident. The region rebounded and adapted to the evolving circumstances, paving the way for continued innovation in the years to come.
Europe’s sector is poised for substantial growth through 2034. The increasing demand for water-based adhesives in cold glue applications, such as packaging, paper manufacturing, and textile production, is expected to support polyvinyl alcohol sales.
The increasing demand for laundry detergent sheets, strips, and pods containing polyvinyl alcohol is also expected to propel sales. These act as water-soluble films or coatings that envelop the detergent elements, thereby providing accurate completion and ease of use.
Films made of PVOH tend to disintegrate slowly during agitation. Upon complete dissolution, these allow detergent components to be released into the water, effectively cleaning the fabrics. This programmed dissolving process ensures even distribution of soap throughout a load, further providing an efficient cleansing procedure.
Economic growth in Eastern Europe is expected to facilitate the development of new sectors for PVA applications. Circular economy initiatives for PVA recycling in Europe are another significant factor pushing the sector forward.
However, the potential for bioplastics and natural polymers is anticipated to disrupt the European PVA sector in specific applications. Furthermore, European Union (EU) regulations on the safety and environmental impact of chemicals like PVA can pose challenges.
Tier 1 companies in Europe include DuPont de Nemours, Inc., Mitsubishi Chemical Holdings Corporation, Eastman Chemical Company, and Sekisui Chemical Co. Ltd. Out of these, DuPont de Nemours, Inc. focuses on providing high-quality chemicals like PVOH to clients across Europe and other parts of the world.
In May 2024, the company announced plans to separate into three different companies. Mitsubishi Chemical Holdings Corporation, on the other hand, provides GOHSENOL™ EG for use in cosmetic ingredients.
Tier 2 companies, such as Kuraray Co. Ltd., Denka Company Limited, and Anhui Wanwei Group Co., Ltd., are likely to create new growth opportunities in the sector. Kuraray Poval™, provided by Kuraray Co., Ltd., is a best-selling PVOH with multiple applications, including the textile, adhesive, paper, and construction sectors. The electronics, packaging, and ceramic industries also utilize the company’s PVOH for various applications.
TER Chemicals Distribution Group, Sun Chemical, and Cofermin Chemicals GmbH & Co. KG are among the Tier 3 players. These companies are offering a wide range of chemicals, including PVOH, to cater to the needs of local consumers. The companies also aim to serve various industries, including animal feed, electronics, and food.
The table below shows the estimated growth rates of the five leading PVA-producing countries in Europe. NORDICS, Italy, and Poland are set to record high CAGRs of 7%, 6.7%, and 6.4%, respectively, by 2034. Emerging applications of PVA in Europe are anticipated to create new opportunities in the countries mentioned above. The section would help potential clients get a better understanding of the impact of regional trends on European PVA demand.
| Countries | CAGR 2024 to 2034 |
|---|---|
| NORDICS | 7% |
| Italy | 6.7% |
| Poland | 6.4% |
| France | 6.1% |
| Rest of Europe | 5.8% |
Germany is considered one of the leading countries in Europe for PVOH production. The increasing demand for the polymer in the pharmaceutical and personal care industries is expected to drive sales. PVOH is also anticipated to find applications in ophthalmic drug formulations by 2034, driven by growing research activities.
The booming construction sector in Germany is likely to create a high demand for PVOH. Residential and commercial construction projects are set to seek the polymer for use in joint cement, drywall mud, caulks, and sealants. Additionally, strict regulatory approvals for PVOH utilization in food packaging and pharmaceuticals are expected to drive demand. According to the European PVA industry growth forecast, Germany is expected to hold around 22.8% of the market share in 2034.
Sales of polyvinyl alcohol in France are projected to soar at a CAGR of around 6.1% during the assessment period. The total value in the country is anticipated to reach USD 232.1 million by 2034.
The polymer plays a key role in the packaging and textile sectors. The sectors require effective encapsulation to safeguard delicate items from external environmental factors and ensure long-term performance. As France increases efforts in renewable energy projects, demand for the polymer in diverse applications is poised to surge. This is one of the emerging trends driving PVA demand in Europe.
PVA is also set to be used in adhesive labels, flexible packaging, and paper coatings. The high demand for packaging solutions with a lower ecological impact is anticipated to create new opportunities in France.
Water-based polyvinyl alcohol adhesives and coatings offer several benefits, driving demand across Italy. Minimized volatile organic compound (VOC) emissions, a reduced environmental footprint, and increased safety for both workers and consumers are a few key advantages. Sectors such as construction, packaging, and textiles are shifting towards water-based solutions to meet sustainability objectives, which are expected to drive demand.
In the construction sector, water-based adhesives are set to be applied in tasks such as wood bonding, drywall installation, and tile adhesion. Similarly, packaging companies in Italy are preferring these adhesives for moisture resistance and barrier properties. The impact of e-commerce on the European PVA industry is set to bolster Italy’s growth.
The section below illustrates the industrial-grade segment as the dominant one based on grade type. The segment is forecast to thrive at a 5.2% CAGR between 2024 and 2034. Based on the end-use industry, the paper and textile segment is anticipated to hold a dominant share in 2034. The segment is expected to exhibit a compound annual growth rate (CAGR) of 5% during the forecast period.
| Segment | Industrial Grade (Grade Type) |
|---|---|
| Value CAGR (2024 to 2034) | 5.2% |
Industrial-grade polyvinyl alcohol (PVA) is widely used across various industries, including paper, packaging, textiles, construction, electronics, and medical products. This broad versatility stands as a fundamental driver behind the significant demand for industrial PVA.
PVA possesses superior properties that make the chemical highly suitable for industrial applications. These attributes include water solubility, biodegradability, resistance to oxygen and grease, as well as emulsifying and adhesive capabilities. Such unique traits are greatly valued in numerous industrial processes and products.
The increasing demand for industrial PVA is closely tied to the growth trajectories of key end-use industries, including packaging, construction, and electronics. Particularly in burgeoning regions such as the Asia Pacific, where these industries are experiencing robust expansion, demand for industrial PVA escalates in parallel. However, the impact of rising raw material costs on European PVA prices is set to be negative.
| Segment | Paper and Textile (End-use Industry) |
|---|---|
| Value CAGR (2024 to 2034) | 5% |
Polyvinyl alcohol is set to play a key role in the paper industry, primarily due to its capacity to adhere to surfaces and impart flexibility. The use of PVA for textiles in Europe is projected to remain high in various paper-related applications, including coatings, surface sizing, fiber reinforcement, and packaging solutions.
High demand for environmentally friendly packaging materials serves as a significant catalyst, propelling the adoption of the polymer in the paper industry. Additionally, PVA offers numerous advantages in the textile sector, such as water solubility, film-forming characteristics, adhesion, and flexibility. High versatility is evident through wide applications of the polymer, ranging from yarn sizing and dyeing/printing to fabric finishing and fiber spinning processes.
The European PVA sector's competitive landscape is consolidated. Kuraray Co., Ltd., Sekisui Chemical Co., Ltd., Denka Company Limited, Mitsubishi Chemical Group Corporation, Thermo Fisher Scientific Inc., Merck KGaA, Wacker Chemie AG, Kanto Chemical Co., Inc., Chang Chun Group, Nacalai, Polysciences, Inc., Kishida Chemical Co., Ltd., and Intercol BV are the leading manufacturers and suppliers of polyvinyl alcohol listed in the report.
Key manufacturers and suppliers of polyvinyl alcohol in Europe are increasingly investing in research and development activities to develop novel materials. The focus is on enhancing existing manufacturing techniques to meet the evolving demands of end-users. A few companies are also focusing on investment in PVA production capacity expansion within Europe.
Strategies employed by leading PVA producers in Europe include acquisitions, collaborations, mergers, and facility expansions to strengthen their industry foothold and enhance capabilities. These strategic initiatives are designed to address the growing demand for polyvinyl alcohol-based products while maintaining sustained competitiveness in the industry.
Industry Updates
The industry was valued at USD 790.5 million in 2023.
The industry is set to reach USD 829.7 million in 2024.
Demand is anticipated to rise at 5.5% CAGR through 2034.
The industry size is set to reach USD 1,418 million by 2034.
Paper and textiles are expected to lead the industry.
Industrial grade is mostly used in the paper and textile sector.
The industry is segregated into fully hydrolyzed PVA, partially hydrolyzed, and sub-partially hydrolyzed.
The main grades include food grade, industrial grade, and pharmaceutical grade.
Two key forms are solid and liquid. Solid form is further trifurcated into flakes, powders, and granules.
Key functions in the industry include binder/adhesive, sizing agent, intermediate, and additive.
A few leading end-use industries are food and beverage, pharmaceuticals, cosmetics and personal care, building and construction, paper and textile, packaging, electronics, and agrochemicals. The food and beverage industry is sub-segmented into dairy-based desserts (ice cream and frozen yogurt), confectionery (chocolate bars), cereals and cereal products (ready-to-eat breakfast cereals), food supplements (tablets), and ready-to-eat savories.
Insights into prominent countries of Europe such as Germany, Italy, France, United Kingdom, Spain, BENELUX, NORDICS, Russia, Poland, and the rest of Europe are provided.
Europe Polyvinyl Alcohol Industry Analysis
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