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Demand for Bioplastics Expected to Surge in China

Demand for biodegradable plastics have surged in China over the last few months due to rising concerns from consumers over the impact plastic products have on the environment.

Chinese plastic manufacturers which are responsible for 29% of global plastic production are now looking to develop more biodegradable plastic products, worried that concerns over plastic use may lead to regulators banning single-use, non-biodegradable plastics such as cutlery and packaging in the country.

Biodegradable plastic production is now expected to climb by more than 15% per year up to at least 2022 in China. To capture this trend, more Chinese companies are also looking to expand their biodegradable plastic production capabilities.

Nasdaq-listed China XD which manufactures plastic car parts will be looking towards promoting bioplastics in packaging and aims to build additional production capacity of 300,000 tons of bioplastics this year.

Despite the rising popularity of bioplastics in China, production of these materials still remains nearly insignificant with just 2.27 million tons produced in 2017, compared to a global plastic production of 335 million tons.

However, many analysts are expecting the use of bioplastics to explode over the next few years as people view the material as a possible solution to current environmental problems.



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