The Polyurethane market was valued at US$ 54,917.09 million in 2021 and is projected to reach US$ 1,02,916.80 million by 2028; it is expected to grow at a CAGR of 9.4% from 2020 to 2028.

Polyurethane is a thermosetting polymer that is composed of organic units joined by carbamate links and does not melt on heating. It is light in weight, resistant to corrosion, elastic in nature and possesses considerable strength. In most of the cases, PU is an alternative to paper, glass, and metals. High mechanical strength enables polyurethane to provide insulation and replace metals for automobile parts. The polyurethane market is anticipated to grow in the forecast period owing to an upsurge in demand for lightweight and durable materials from automotive, packaging, furniture, footwear, and other end-user industries. Moreover, demands for high-performance interior components further contributes to the polyurethane market growth. However, fluctuations in raw materials and economic downturn in developing countries affect products sales which hinder growth of the polyurethane market. On the other hand, adoption of bio-based polyurethane is likely to provide growth opportunities to the key players operating in the polyurethane market during the forecast period.

Based on application, the polyurethane market is segmented into furniture and interiors, construction, electronics and appliances, automotive, footwear, packaging, and others. The furniture and interiors segment led the Polyurethane market with the highest market share in 2020. Polyurethane in the form of flexible foam is the most popular material utilized in home furnishings, including furniture, bedding, and carpet underlay. As a cushioning material for upholstered furniture, flexible polyurethane foam acts to make furniture more durable, comfortable also supportive. Carved, embossed, also profiled surfaces in which a brush could leave drips, polyurethane works better. Also, it is useful for hiding superficial scratches, mainly in previously finished wood. Its thin film delivers moderate protection from abrasion. Polyurethane for furniture and interiors is available in gloss as well as satin sheens, also in oil-based & water-based oil-modified formulations. High-build or oil-based polyurethane is good for tabletops and other surfaces which are subject to abrasion. It further delivers maximum durability with just two coats.

Geographically, the global polyurethane market is segmented into North America, Europe, Asia Pacific, South America, the Middle East & Africa. Asia Pacific holds the largest share in the global polyurethane market, which is followed by North America and Europe. China is dominating the polyurethane market in APAC region, followed by India and Japan. The growth of polyurethane market in APAC is attributed to the growth of construction, automotive, and packaging industries. The chemicals and manufacturing sectors amongst the fastest-growing industries with strong market potential for international companies. Increasing investment in the research & development activities to explore the applications of polymer material for various industries, besides the development of eco-friendly thermoplastic polymer materials, is propelling the market growth.

The ongoing pandemic has been drastically altered the status of the plastic polymer industry and has negatively impacted the growth of the polyurethane market. The COVID-19 outbreak has further distorted operational efficiency also disrupted the value chains due to the sudden closure of national and international boundaries, creating revenue loss and damage. The disruptive value chain has had a negative impact on the raw material supply, which, in turn, is impacting the growth of the polyurethane market. However, as the economies are planning to revive their operations, the demand for polyurethane is presumed to rise globally. The packaging industry is a dynamically growing contributor to this demand since consumers are inclined toward ordering products online. Moreover, the previously postponed construction projects are anticipated to resume, which would further provide an opportunity for the polyurethane market players to regain normalcy. Since most of the people are confined to their homes amid the pandemic, re-designing and home improvement projects are expected to increase. Moreover, the furniture & interior segment is likely to bring growth opportunities for the market as polyurethane is highly used in making several furniture and products for interior design. The corporate sectors have also resumed their operations with the imposition of several safety measures such as ensuring limited direct contact with visitors, strengthening, and communicating proper hygiene practices, conducting complete sanitations, and eliminating personnel contact during shift changes.

Covestro AG; The Dow Chemical Company; BASF SE; Mitsui Chemicals, Inc.; and Huntsman Corporation are among the major players operating in the global polyurethane market.

The overall polyurethane market size has been derived in accordance with to both primary and secondary sources. To begin the research process, exhaustive secondary research has been conducted using internal and external sources to obtain qualitative and quantitative information related to the market. Also, multiple primary interviews have been conducted with industry participants and commentators to validate the data, as well as to gain more analytical insights into the topic. The participants of this process include industry experts such as VPs, business development managers, market intelligence managers, and national sales managers, along with external consultants such as valuation experts, research analysts, and key opinion leaders, specializing in the global polyurethane market.