Polybutylene Succinate (PBS) Production Capacity, Demand, Pricing and Market Outlook Report Till 2032

In terms of PBS demand by application, the Packaging segment dominates the market. PBS is used as an adhesive and sealant in packaging applications including corrugated boxes, fibreboard cartons, paper cups and plates, PET bottles, and cans among others. The rising demand for packaged food products is expected to boost the PBS market in the forecast period.

The packaging segment holds the largest share of the PBS market. It is widely used for sustainable packaging, in the manufacture of single-use shopping bags, single-serve coffee cups, compostable plastic bags, cutlery, etc. It is used as a bonding medium in toys, home appliances, electronics, furniture, etc.

PBS is used as an adhesive in electronics applications, including computer chipsets, display panels, and motherboards. The increasing demand for high-quality electronic components is expected to boost the PBS demand. They are used in the automotive industry for the manufacture of lightweight automotive components.

Rising demand from the agriculture industry

In the agriculture industry, PBS is widely used in the manufacture of mulching films or delayed-release materials for pesticides and fertilizers. Mulch films are used to alter the soil temperature, prevent moisture loss, limit the growth of weeds, and improve the yield. PBS is used as a water-repellent and soil-binding agent in agriculture applications such as crop protection, fruit and vegetable production, and livestock feed. The increasing demand for organic products is expected to drive the PBS market over the forecast period.

Rise in demand from the packaging industry

The packaging application is the largest segment in the PBS market, owing to the increasing usage of PBS for packaging purposes. PBS has a high heat resistance as compared to the other resins and it also has high compatibility with fiber. It exhibits many properties including biodegradability, melt processability, as well as thermal and chemical resistance. These advantages of PBS are the major factor driving its demand for the application of packaging films during the forecast period.

Fluctuation in crude oil prices

The raw materials used for the production of PBS are succinic acid and 1,4-butanediol which are derived from petroleum feedstock. Fluctuations in the prices of crude oil directly affect the prices of PBS raw materials which affects the overall PBS market. The price of PBS also rises as a result of the uncertainty in the crude oil prices.

Polybutylene Succinate (PBS) Region Analysis:

Asia Pacific dominates the PBS market, owing to the increasing agricultural investments by the governments in the region. Governments are also investing extensively in agricultural projects and investments because it is one of the most effective ways to improve environmental sustainability. The increasing efforts from the government to boost the agriculture sector in the Asia Pacific region.

MCPP (Mitsubishi), Succinity GMBH (JV between BASF & Corbion), Showa Denko, PTT MCC BioChem, and Roquette are some of the PBS manufacturers globally. Xinfu Pharmaceutical is the world’s largest PBS producer with an annual capacity of 20 Kiloton. In 2021 April, Mitsubishi Chemical Corporation company announced the development of the world’s first Marine-Biodegradable form of BioPBS.