The automotive industry has long been a hub of innovation, driven by the need for efficiency, sustainability, safety, and aesthetics. One of the most transformative trends shaping the industry in recent decades is the growing use of automotive plastics. Once seen merely as cosmetic additions or non-structural components, plastics have evolved into essential materials used across the vehicle—under the hood, inside the cabin, and even in structural components. The automotive plastics market is now witnessing rapid growth, influenced by a blend of technological advancements, environmental regulations, and evolving consumer demands.

As per MRFR Analysis, the Global Automotive Plastics Market was valued at USD 29.5 Billion in 2022 and is projected to grow from USD 30 Billion in 2023 to USD 42 Billion by 2030, with a CAGR of 4.4% during the forecast period (2024 - 2032). The market is driven by the adoption of lightweight materials to meet stringent emission and fuel economy regulations, as well as the rising demand for fuel-efficient vehicles. Key applications include interior and exterior components, with polypropylene being the leading type due to its extensive use across various industries. The Asia-Pacific region dominated the market with over 45% share in 2021, driven by shifting production bases and increasing investments in advanced technologies.

Key Market Trends & Highlights

The automotive plastics market is witnessing significant growth due to various trends.

  • Automotive Plastics Market Size in 2022: USD 29.5 Billion.
  • Projected Market Size by 2030: USD 42 Billion.
  • Asia-Pacific accounted for over 45% of the market share in 2021.
  • CAGR during 2024-2032: 4.4%.

 

Common Applications of Automotive Plastics

1. Interior Components

  • Dashboards
  • Instrument panels
  • Door panels
  • Seat components
  • Infotainment systems

Interior parts benefit from plastics’ aesthetic appeal, soft-touch surfaces, and integration with electronics.

2. Exterior Components

  • Bumpers
  • Grilles
  • Mirrors
  • Fenders
  • Lighting systems

Plastics enhance design flexibility and help improve impact resistance, weather resistance, and aerodynamics.

3. Under-the-Hood and Engine Components

  • Engine covers
  • Air intake manifolds
  • Cooling systems
  • Battery trays

These components demand materials that can withstand high temperatures and corrosive environments—areas where engineering plastics excel.

4. Electrical Components

  • Connectors
  • Switches
  • Battery insulators
  • Wire harnesses

As the shift toward connected and electric vehicles grows, plastics are playing a more vital role in safeguarding electrical systems.

Key Companies in the Automotive Plastics market include

    • Teijin Ltd (Japan)
    • AkzoNobel N.V (Netherland)
    • Evonik Industries (Germany)
    • Johnson Controls (U.S.)
    • Magna International (Canada)
    • Momentive (U.S.)
    • Covestro AG (Germany)
    • The Dow Chemical Company (U.S.)
    • BASF SE (Germany)
    • SABIC (Saudi Arabia)

 

Automotive Plastics Market Segmentation

Automotive Plastics Type Outlook

    • Polypropylene
    • Polyurethane
    • PVC
    • Acrylonitrile-Butadiene-Styrene (ABS)
    • Polyamide
    • Polycarbonate
    • Polymethyl Methacrylate
    • Others

Automotive Plastics Application Outlook

    • Interior
    • Exterior
    • Under the hood
    • Powertrain
    • Drivetrain
    • Instruments Panel
    • Electronics
    • Others

Automotive Plastics Regional Outlook

    • North America
      • US
      • Canada
    • Europe
      • Germany
      • France
      • UK
      • Italy
      • Spain
      • Rest of Europe
    • Asia-Pacific
      • China
      • Japan
      • India
      • Australia
      • South Korea
      • Australia
      • Rest of Asia-Pacific
    • Rest of the World
      • Middle East
      • Africa
      • Latin America

Regional Insights

By region, the study provides market insights into North America, Europe, Asia-Pacific, and the Rest of the World. Asia Pacific dominated the market and accounted for a revenue share of over 45.0% in 2021. Shifting production bases from developed regions to emerging economies of Asia Pacific, particularly in China, India, Thailand, Vietnam, and Indonesia, is expected to boost the market growth. Expanding manufacturing base and increasing investments in advanced technologies for vehicular production are expected to bring about a new era of automobiles, positively influencing the market for automotive plastics. Consumers in Europe and APAC are highly conscious of fuel efficiency. This has also driven the demand for sustainable plastics. For instance, in November 2021, the Indian Oil Corporation (IOC) and two other public sector oil companies declared plans to build 22,000 charging stations for electric vehicles over the next three to five years.

Future Outlook

The automotive plastics market is set for continued expansion, supported by technological breakthroughs in polymer science, 3D printing, sustainable materials, and smart plastics capable of integrating electronics or responding to environmental stimuli.

Moreover, with the rapid evolution of autonomous vehicles, connected cars, and smart interiors, the demand for high-performance plastic components that can integrate sensors, displays, and AI interfaces is expected to rise.