Demand for Polypropylene in EU: A Comprehensive Analysis and Forecast Report - 2035
The demand for polypropylene in the European Union is projected to grow from USD 20.1 million in 2025 to USD 31.2 million by 2035, advancing at a CAGR of 4.5%. This steady expansion is driven by the versatile performance characteristics of polypropylene across diverse applications, including packaging, automotive, and industrial sectors.
However, the outlook remains sensitive to several risks and uncertainties, including raw material dependence, regulatory changes, and global trade fluctuations. A structured risk and sensitivity assessment highlights how these factors could reshape the industry trajectory.
Key Takeaways:
- The demand for polypropylene in the EU is projected to grow from USD 20.1 million in 2025 to USD 31.2 million by 2035, with a CAGR of 4.5%.
- The homo-polymer (HP) segment is the dominant product type, accounting for 58% of EU polypropylene sales in 2025, and is expected to decline slightly to 56% by 2035.
- The packaging segment is the largest end-user application, representing 35% of total polypropylene demand in 2025, and is expected to decline slightly to 34% by 2035.
Drivers, Restraints, and Key Trends:
- Drivers: Sustained packaging sector consumption, ongoing automotive production requiring lightweight solutions, and growing healthcare applications.
- Restraints: Feedstock price volatility affecting polymer economics, tightening plastics regulations requiring recyclability improvements, and potential demand cyclicality from automotive sector exposure.
- Key Trends: Expansion of circular economy infrastructure and recycled content integration, integration of advanced grades supporting automotive lightweighting and electrification, and growing emphasis on regulatory compliance and extended producer responsibility.
Country-wise Demand Analysis:
- Germany: The largest polypropylene market in Europe, driven by automotive and packaging sectors.
- France: Strong growth supported by automotive manufacturing, diversified packaging industry, and growing healthcare applications.
- Italy: Consistent growth with a diversified manufacturing base, including automotive components, packaging conversion, and consumer durables production.
- Spain: Focus on packaging growth and automotive expansion.
- Netherlands: Emphasis on petrochemical infrastructure and logistics hub.
- Rest of Europe: Strong growth with emerging manufacturing capacity, growing packaging sectors, and increasing automotive production.
Competitive Landscape:
- Major players include Borealis, LyondellBasell, TotalEnergies, SABIC, and regional polymer producers and compounders.
- Companies are investing in production capacity expansion, advanced catalyst technology development, and recycling infrastructure to support circular economy objectives.