U.S. Plastic, Rubber Product-Makers Expand Amid Rising Demand

Researched by Industrial Info Resources (Sugar Land, Texas)--The U.S. market for plastic and rubber products never stops growing, particularly in booming industrial sectors like lithium-ion battery manufacturing, construction products, and automotive and medical materials. Industrial Info is tracking about $1.3 billion worth of projects in the plastic and rubber product-manufacturing sector that are set to begin construction through the end of June, more than half of which is attributed to grassroot projects and plant expansions.

Click on the image at right for a graph detailing the top 10 parent companies for plastic and rubber product-manufacturing projects set to begin construction in the second quarter, by total investment value.

Even with the worst of COVID-19 in the rearview mirror, the demand for protective medical supplies remains strong. United Safety Technology Incorporated (New York, New York), which produces safety materials for the medical, food-service and other sectors, is preparing for a $150 million renovation of its nitrile rubber glove-manufacturing plant in Sparrows Point, Maryland, which will add up to 375 million new gloves per month. Subscribers to Industrial Info's Global Market Intelligence (GMI) Industrial Manufacturing Project Database can learn more from a detailed project report.

For the food-service sector, Profile Films (Walker, Michigan) is preparing to build a $55 million plastic film and sheet plant in Grand Rapids, Michigan, on renovated property to produce food-grade recyclable plastic bags, sheeting and tubing. The facility will include a pair of extrusion lines and a pair of conversion lines. Subscribers can learn more from a detailed project report.

The rapidly emerging market for electric vehicle (EV) batteries also has had an impact on the plastics market, with the U.S. subsidiary of Donghee (Seoul, South Korea) planning a $63 million expansion of its battery case-manufacturing plant in Auburn, Alabama. The facility, which will grow from 117,000 to 195,000 square feet, will cater to local EV manufacturers. Subscribers can learn more from a detailed project report.

Jaeeun Shin, the president of Donghee America, spoke to local media last year: "The business environment, continued community support and strategic location to all three Hyundai (Seoul) and Kia (Seoul) plants that will produce the upcoming EV models made it an easy decision to select Auburn for this new line of business."

Windows and doors are among the household staples that use the most plastic in their production, and Chelsea Building Products Incorporated, a subsidiary of aluplast GmbH (Karlsruhe, Germany), is kicking off construction on a $25 million component-manufacturing plant in Sewickley Township, Pennsylvania, to boost its capacity in the region. Subscribers can learn more from a detailed project report.

The recycling of plastic waste is another factor in this market, with growing calls for a more sustainable approach to using an everyday product. Cyclyx International Incorporated, a subsidiary of Agilyx ASA (Oslo, Norway), plans to build its $135 million Cyclyx Circularity Center in Houston, Texas. The facility is designed to process a wide range of plastic waste and produce as much as 300 million pounds of plastic feedstock a year for customers such as Exxon Mobil Corporation (NYSE:XOM) (Spring, Texas) and LyondellBasell (NYSE:LYB) (Rotterdam, Netherlands), both of whom are partnering with Agilyx on the project.

"This milestone is evidence of the real progress we are making to increase the circularity of plastic waste as a resource," said Joe Vaillancourt, the chief executive officer of Cyclyx, in a press release following the final investment decision in December. "The first-of-its-kind CCC in Houston will serve as a blueprint, which we can replicate across the U.S. to progress our long-term goal of increasing the recycling options for plastic waste." Subscribers can learn more from a detailed project report.

Subscribers to Industrial Info's GMI Project and Plant databases can click here for a full list of detailed reports for projects mentioned in this article, and click here for a full list of related plant profiles.

Subscribers can click here for a full list of reports for U.S.-based plastic and rubber product-manufacturing projects that are set to begin construction in the second quarter.

Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) platform helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking more than 200,000 current and future projects worth $17.8 trillion (USD).