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High Demand from APAC to Boost the Ethylene Vinyl Acetate Market | Technavio

LONDON--(BUSINESS WIRE)-- market research analysts forecast the global ethylene vinyl acetate market to grow at a CAGR of close to 4% during the forecast period, according to their latest report.

The market study covers the present scenario and growth prospects of the global ethylene vinyl acetate market for 2017-2021. The report also lists films, foams, and adhesives as the three major application segments, of which the films segment accounted for close to 40% of the market share in 2016.

According to Kshama Upadhyay, a lead analyst at Technavio for specialty chemicals research, “The demand for EVA copolymers is increasing in the packaging sector, especially in food and medical applications, because of their non-toxic nature. EVA sheets are used for encapsulating photovoltaic cells in solar panels. Increasing support by the government for the use of renewable energy sources, such as solar panels, drives market growth.”

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Technavio analysts highlight the following three market drivers that are contributing to the growth of the global ethylene vinyl acetate market:

  • Emergence of Asia as a manufacturing hub of EVA-based footwear
  • Increased use of EVA in food packaging industry
  • Regulations on the use of other substitutes such as PVC

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Emergence of Asia as a manufacturing hub of EVA-based footwear

Easy availability of low-cost raw materials such as rubber, cotton, synthetic leather, polyester, and leather; and cheap labor have led many shoe manufacturers to relocate their production units to Asia, mainly China and India. In 2016, North Asia was the largest manufacturer of footwear.

Economic growth in Asian countries such as India, Japan, and South Korea, has led to an increase in expendable incomes. Improving lifestyles fuel the demand for EVA-based flexible foam footwear. EVA slippers and sandals are popular as they have a glossy finish and are lightweight. They are odorless, easy to mold, and are cheaper compared to natural rubber.

Increased use of EVA in food packaging industry

The ever-rising global population drives the demand for food. EVA-based food packaging retains the freshness and increases the shelf life of the foods. Rapidly changing lifestyles, especially in the urban areas of the world, fuel the demand for packaged foods. Also, EVA is used in the production of hot melt adhesives that are used for sealing in the packaging division.

Increasing disposable incomes and the growing demand for packaged commodities will fuel the demand for EVA in the food packaging segment. The adoption of advanced flexible packaging in the fish, meat, snacks, poultry, and pet food sectors will boost the consumption of EVA. The market for hot melt adhesives in the food packaging segment.

“The growing demand for convenience food will drive the demand for flexible packaging solutions such as microwaveable pouches and peel-off lids. Plastic closures for beverages, vacuum packaging, barrier shrink bags, case-ready meat packaging, and dairy and cheese packaging are some of the applications of EVA in the packaging industry,” says Kshama.

Regulations on the use of other substitutes such as PVC

Vinyl acetate-based copolymers are safe for human health and environment in comparison to other substitutes. In 1999, Greenpeace conducted a study at the University of Massachusetts to find suitable alternatives to polyvinyl chloride (PVC) with a focus on children. It was found that medical devices, toys, and shower curtains that contain traces of vinyl chloride phthalates pose health risks. The study identified EVA copolymers as safe and cost-effective substitutes to plastic. Sierra Club, Center for Health, NYPIRG and other organizations urge retailers to minimize the use of PVC plastic and use PVC-free plastic and EVA. The suggested addition of vinyl acetate to the Proposition 65 list could decrease or reverse measures taken deliberately by retailers to provide safer PVC-free products.

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This project has received funding from the European Union’s Seventh Framework Programme for Research, technological development and demonstration (FP7/2007-2013) under grant agreement n° [606350].

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