Expanded Polypropylene (EPP) Foam Market - Growth, Trends, COVID-19 Impact, and Forecasts (2021 - 2026)

The Expanded Polypropylene (EPP) Foam Market is Segmented by Raw Material (Synthetic Polypropylene and Bio-based Polypropylene), Form (Fabricated EPP, Molded EPP, and Other Forms), Application (Automotive, Dunnage, Furniture, Food Packaging, HVAC, Sports and Leisure, and Other Applications), and Geography (Asia-Pacific, North America, Europe, South America, and Middle-East and Africa). The report offers the market sizes and forecasts in terms of revenue (USD million) for all the above segments.

Market Snapshot

Expanded Polypropylene (EPP) Foam Market Overview
Study Period: 2016 - 2026
Base Year: 2020
Fastest Growing Market: Asia Pacific
Largest Market: Asia Pacific
CAGR: >6 %

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Market Overview

The expanded polypropylene (EPP) foam market is projected to register a CAGR of over 6% during the forecast period (2021-2026).

The market was negatively impacted due to COVID-19 in 2020. Owing to the pandemic scenario, several countries around the world went into lockdown to curb the spread of the virus. The supply and demand chain disruptions due to lockdowns being practiced had severe effects on the demand for expanded polypropylene (EPP) foam in various applications such as automotive, furniture, food packaging, and others. However, the condition is expected to recover in 2021, which may restore the growth trajectory of the market over the forecast period.

Over the medium term, the non-toxic and recyclable nature of the material and the rising demand from packaging industries may drive the market's growth.

On the flip side, higher prices among other structural foams and the negative impact of the COVID-19 pandemic are likely to act as restraints for the market studied.

The rising demand for bio-based polypropylene foam and its emergence as a replacement for other products are likely to act as opportunities in the future.

The Asia-Pacific region dominated the market, and it is expected to witness the highest CAGR over the forecast period.

Scope of the Report

The expanded polypropylene (EPP) foam market is segmented by raw material, form, application, and geography. By raw material, the market is segmented into synthetic polypropylene and bio-based polypropylene. By form, the market is segmented into fabricated EPP, molded EPP, and other forms. By application, the market is segmented into automotive, dunnage, furniture, food packaging, HVAC, sports and leisure, and other applications. The report offers the market sizes and forecasts for 16 countries across the major regions. For each segment, market sizing and forecasts have been done on the basis of revenue (USD million).

Raw Material
Synthetic Polypropylene
Bio-based Polypropylene
Fabricated EPP
Molded EPP
Other Forms
Food Packaging
Sports and Leisure
Other Applications
South Korea
Rest of Asia-Pacific
North America
United States
United Kingdom
Rest of Europe
South America
Rest of South America
Middle-East and Africa
Saudi Arabia
South Africa
Rest of Middle-East and Africa

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Key Market Trends

Increasing Demand from the Automotive Industry

The automotive sector is currently the largest consumer of EPP foams. The demand for EPP foams has increased over the years, as the EU regulations pertaining to emissions have become more rigorous and the laws on recycling of vehicles withdrawn from use have been introduced.

The increasing usage of EPP foams in seating and other automotive components reduced the vehicle’s overall weight by ~10%, and the fuel consumption reduced by ~7%. The share of recyclable materials in vehicles that can be reused is increasing simultaneously. In addition, increasing electric cars promote the EPP foam market’s growth, as EPP foams play a significant role in making electric cars lightweight and thermally insulated, enhancing the energy absorption capabilities. EPP foams are also used in the manufacturing of door pads, headliners, and mats. They make it possible to maintain a constant air temperature in the cockpit and generate ideal conditions for battery operations. Excellent recoverability and the ability to absorb impact energy increase the usage of EPP foams in bumpers. In a collision, molded EPP parts built into bumper bar systems reduce the pressure and minimize the amount of impact energy transmitted to the chassis.

Despite an encouraging term of growth in the automotive sector during the past decade, the momentum slowed down in recent years. The sales and production of new vehicles are going down in various parts of the world, including Europe, Asia-Pacific, and the United States. This affected the previously growing automotive production in most nations. Business models, markets, and the competitive landscape are undergoing changes.​​ This is slowing down the demand for EPP foams.

According to the OICA data, global automotive production declined by around 5% and reached 91.78 million in 2019. ​The car sales declined by more than 3 million in 2019. In the first six months of 2020, automobile production witnessed a huge downfall across the globe due to the impact of COVID-19. According to OICA, in 2020, the global automotive production was about 17,860 thousand units in the first quarter, 31,133 thousand units in the second quarter, and 52,009 thousand units in the third quarter, declining by about 23.1%, 32.4%, and 22.9%, respectively, from the previous year at the same time.

However, with growing concerns related to environmental pollution from petrol- and diesel-based vehicles, the production of electric vehicles is expected to pick up pace over the next five years. This is likely to drive the demand for EPP foams over the forecast period.

According to IEA, in 2030, global electric vehicle sales are expected to reach 125 million as per the New Policies Scenario (excluding two/three-wheelers). In the [email protected] Scenario, in 2030, around 70% of the vehicle sales in China are expected to be EVs. Also, half of the vehicles sold in Europe are EVs, along with 37% in Japan, 30% in Canada and the United States, and 29% in India.

Hence, such growing demand for electric vehicles in recent years and the upcoming consumer shift to electric vehicles are likely to create an opportunity for EPP foams during the forecast period.

All the aforementioned factors are expected to affect the usage of expanded polypropylene (EPP) foams in automotive applications.

Expanded Polypropylene (EPP) Foam Market Revenue Share

Asia-Pacific is Expected to Dominate the Market

The Asia-Pacific region dominated the global market share. In Asia-Pacific, China is the largest economy in terms of GDP.

China is the largest consumer and manufacturer of EPP foams in the Asia-Pacific region. The growing manufacturing activities in the country are increasing the consumption of plastics and polymers in the region, which is expected to drive the expanded polypropylene (EPP) foam market.

The country’s automotive sector has been shaping for product evolution, with the country focusing on manufacturing products that ensure fuel economy and minimize emissions, owing to the increasing environmental concerns (due to mounting pollution in the country).

The Chinese automotive manufacturing industry is the largest in the world, with a production share of just over 28% in 2019. The industry witnessed a slowdown in 2018, wherein the production and sales declined. A similar trend continued in 2019, with the production declining to 25.7 million vehicles, a drop by about 7.5% year-on-year.

The number of passenger cars produced in November 2020 was about 2.33 million, which registered a staggering 11.8% month-on-month growth, while 518 thousand commercial vehicles were produced in November with a 10.6% M-o-M growth. The number of passenger cars produced from January to November was down by 8.1% year-on-year compared to the same period last year, while commercial vehicle production increased by 22.2%. The uncertainties in the automobile industry are expected to impact the market studied.

Compared to other countries, China is a late starter in the packaging industry, which has grown to a large-scale industry over the decades. CHINAPLAS 2019, a technology-oriented and innovation-driven trade fair, is shaping a bright future for the packaging industry in the country.

Additionally, the market competition in China has become increasingly fierce in the food and beverage industry, which has enabled companies to tap into overseas markets with an aim to seek more resources and business opportunities.

As the standard of living continues to improve in China, people are becoming increasingly willing to invest in home decoration. Consumers’ increasing purchasing power has driven the furniture market to develop in leaps and bounds.

As China’s leading policy of stimulating domestic demand in the years to come, urbanization is bound to drive the furniture market’s growth.

All such positive factors are expected to drive the market for expanded polypropylene (EPP) foams in the region through the forecast period.

Expanded Polypropylene (EPP) Foam Market Growth By Region

Competitive Landscape

The expanded polypropylene foam market is consolidated, with the top five companies accounting for a major share of the overall market. The major players include BASF SE, JSP, Hanwha Group, Izoblok, and DS Smith, among others.

Recent Developments

In August 2020, JSP announced that its brand of ARPRO expanded polypropylene (EPP) is going full circle. JSP launched its new product line ARPRO 5134 RE, with a recycled content of 25% made from recycled EPP.

In March 2020, BASF extended the product range of its expanded polypropylene foam (EPP) Neopolen. Neopolen® P 9235+ offers improved surface properties, a color impression deepened by 20%, and optimized filling behavior in manufacturing.

Table of Contents


    1. 1.1 Study Assumptions

    2. 1.2 Scope of the Study




    1. 4.1 Drivers

      1. 4.1.1 Non-toxic and Recyclable Nature of the Material

      2. 4.1.2 Rising Demand from the Packaging Industry

    2. 4.2 Restraints

      1. 4.2.1 Higher Price among Other Structural Foams

      2. 4.2.2 Negative Impact of the COVID-19 Pandemic

    3. 4.3 Industry Value Chain Analysis

    4. 4.4 Porter's Five Forces Analysis

      1. 4.4.1 Bargaining Power of Suppliers

      2. 4.4.2 Bargaining Power of Consumers

      3. 4.4.3 Threat of New Entrants

      4. 4.4.4 Threat of Substitute Products and Services

      5. 4.4.5 Degree of Competition

    5. 4.5 Price Analysis

    6. 4.6 Substitution Analysis

    7. 4.7 Raw Material Analysis

  5. 5. MARKET SEGMENTATION (Market Size by Revenue)

    1. 5.1 Raw Material

      1. 5.1.1 Synthetic Polypropylene

      2. 5.1.2 Bio-based Polypropylene

    2. 5.2 Form

      1. 5.2.1 Fabricated EPP

      2. 5.2.2 Molded EPP

      3. 5.2.3 Other Forms

    3. 5.3 Application

      1. 5.3.1 Automotive

      2. 5.3.2 Dunnage

      3. 5.3.3 Furniture

      4. 5.3.4 Food Packaging

      5. 5.3.5 HVAC

      6. 5.3.6 Sports and Leisure

      7. 5.3.7 Other Applications

    4. 5.4 Geography

      1. 5.4.1 Asia-Pacific

        1. China

        2. India

        3. Japan

        4. South Korea

        5. Rest of Asia-Pacific

      2. 5.4.2 North America

        1. United States

        2. Canada

        3. Mexico

      3. 5.4.3 Europe

        1. Germany

        2. United Kingdom

        3. France

        4. Italy

        5. Spain

        6. Rest of Europe

      4. 5.4.4 South America

        1. Brazil

        2. Argentina

        3. Rest of South America

      5. 5.4.5 Middle-East and Africa

        1. Saudi Arabia

        2. South Africa

        3. Rest of Middle-East and Africa


    1. 6.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements

    2. 6.2 Market Share (%)/Ranking Analysis**

    3. 6.3 Strategies Adopted by Leading Players

    4. 6.4 Company Profiles


      2. 6.4.2 BASF SE

      3. 6.4.3 Chemische Fabrik Budenheim KG

      4. 6.4.4 Clark Foam Products Corporation

      5. 6.4.5 DS Smith

      6. 6.4.6 Hanwha Group

      7. 6.4.7 Izoblok

      8. 6.4.8 JSP


      10. 6.4.10 K.K. Nag Ltd

      11. 6.4.11 Knauf Industries

      12. 6.4.12 Package Design & Mfg

      13. 6.4.13 Polyfoam Australia Pty Ltd

      14. 6.4.14 Sonoco Products Company

      15. 6.4.15 Woodbridge

    5. *List Not Exhaustive

    1. 7.1 Increasing Demand for Bio-based Polypropylene Foam

    2. 7.2 Emergence as a Replacement for Other Products

**Subject to Availability

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Frequently Asked Questions

The Expanded Polypropylene (EPP) Foam Market market is studied from 2016 - 2026.

The Expanded Polypropylene (EPP) Foam Market is growing at a CAGR of >6% over the next 5 years.

Asia Pacific is growing at the highest CAGR over 2021- 2026.

Asia Pacific holds highest share in 2020.

BASF SE, Hanwha Group, JSP, Izoblok, DS Smith are the major companies operating in Expanded Polypropylene (EPP) Foam Market.

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