| Study Period | 2019 - 2030 |
| Market Size (2025) | USD 760.56 Million |
| Market Size (2030) | USD 991.67 Million |
| CAGR (2025 - 2030) | 5.45 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | Asia Pacific |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Chlorinated Polyethylene Market Analysis
The Chlorinated Polyethylene Market size is estimated at USD 760.56 million in 2025, and is expected to reach USD 991.67 million by 2030, at a CAGR of 5.45% during the forecast period (2025-2030).
The chlorinated polyethylene market witnessed several hurdles and interruptions in terms of supply and demand during the COVID-19 pandemic. Due to logistical and supply chain issues and government restrictions, chlorinated polyethylene suppliers faced challenges procuring raw materials for production and labor issues. However, the market has recovered from the pandemic and is growing significantly.
- Over the short term, the rising demand for CPE-based impact modifiers in PVC products and the growing demand for CPE-based hoses and tubes in the automotive industry are projected to drive the growth of the chlorinated polyethylene market.
- However, growing competition from potential alternatives is expected to hinder the market's growth during the forecast period.
- However, research and development related to advanced grades of chlorinated polyethylene are expected to offer lucrative opportunities to the market.
- Asia-Pacific is expected to dominate the market and witness the highest annual growth rate during the forecast period.
Chlorinated Polyethylene Market Trends
Impact Modifier is Expected to Dominate the Market
- Chlorinated polyethylene (CPE) is a thermoplastic elastomer created by chlorination. CPE, known for its consistent chlorination, offers heightened flexibility and a distinct whiteness. These characteristics render it a favored choice for numerous high-end applications in plastics and rubbers.
- Key attributes of CPE, bolstering its role as an impact modifier, include white hue, non-toxic, and odorless. Its unique structure enhances compatibility, dispersibility, and processability with other polymers and imparts superior physical and chemical properties.
- Further, it has excellent flexibility, bolstering impact resistance, performing well at low temperatures, and exhibiting remarkable weather resistance. It has exceptional flame retardancy and is cost-effective as an impact modifier.
- Chlorinated polyethylene is mainly used as an impact modifier but is also employed in various products, such as PVC profiles, pipes, fittings, and CPVC pipes. It also acts as a toughening agent for plastics like ABS, CPVC, PP, and PS.
- Plastics production on a global scale has surged in recent years, primarily driven by heightened demand across diverse end-user industries.
- Breaking down the figures, China led the charge, accounting for 32% of the world's production capacity, followed by North America at 17% and Europe at 14%.
- With rising demands for various polymers, especially from sectors like packaging, automotive, and others, the spotlight is turning to Styrene-Butadiene Copolymers (SBCs). These SBCs play a crucial role in polymer modification, further fueling the market's growth trajectory.
- Research conducted by the Kansas Technology Center emphasizes that pipes and fittings are the dominant applications for PVC, representing over 40% of its usage. Asia and the United States emerged as pivotal centers for PVC production.
- Insights shared by the European Council of Vinyl Manufacturers underscore that 70% of Europe's PVC production caters to windows, pipes, fittings, and flooring. This solidifies PVC's position as the primary plastic in Europe's construction industry.
- Recent data from the International Pipe Producers Association highlighted a 15% increase in global pipe production in 2023 compared to the previous year, with this growth trend expected to continue into 2024.
- Also, plastic compounders are expanding their global operations to meet escalating demands. For instance, in June 2023, PVC compounder Manner Polymers announced a USD 54 million investment in constructing a PVC compounding facility at a new manufacturing plant in Illinois, United States.
- Additionally, the growing incorporation of plastics across industries worldwide due to the requirement of improved weight and cost reductions is expected to propel the demand for impact modifiers and, thus, ultimately enhance chlorinated polyethylene demand. For instance, according to Our World in Data, the global plastics production volume is expected to reach nearly 573.42 million tons in 2029 compared to 475.39 million tons in 2022.
- Given these trends, the demand for impact modifier applications of chlorinated polyethylene (CPE) is expected to rise significantly during the forecast period.
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Asia-Pacific is Expected to Dominate the Market
- PVC products such as PVC window profiles, pipes, fittings, siding, panels, and fencing are generally considered the major consumers of chlorinated polyethylene as they are crucial in enhancing PVC's performance. These components are widely used in the building and construction industry.
- With the rise in housing construction activity, the demand for PVC products such as PVC window profiles and PVC pipes for potable water supply, drain, waste, and vent systems increases, increasing demand for CPE. For instance:
- The availability of affordable housing in India is projected to rise by around 70% by 2024. As per Invest India, India’s construction industry is expected to reach USD 1.4 trillion by 2025. Also, by 2030, more than 30% of the population is projected to live in urban India, creating a demand for around 25 million additional mid-end and affordable units, likely increasing demand for PVC-based products and chlorinated polyethylene.
- Further, the Finance Minister said that the outlay for PM Awas Yojana is being enhanced by nearly 66% to over INR 7,90,000 million (~USD 21,810 million), which is certainly a boost for affordable housing under the Budget of 2023-2024.
- In 2023, China's real estate developers completed a staggering 998.31 million square meters of floor space, marking a notable increase of over 16% from the preceding year. While China's housing completion rates have largely held steady over the past decade, there was a dip in 2022, attributed to the dual impact of the COVID-19 pandemic and structural issues within the real estate industry.
- Therefore, all the factors above are expected to substantially impact the demand in the market during the forecast period.
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Chlorinated Polyethylene Industry Overview
The chlorinated polyethylene market is fragmented in nature. The major players (not in any particular order) include Hangzhou Keli Chemical Co. Ltd, Dow, Resonac Holdings Corporation, Weifang Yaxing Chemical Co. Ltd, and Shandong Xiangsheng New Materials Technology Co. Ltd.
Chlorinated Polyethylene Market Leaders
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Hangzhou Keli Chemical Co. Ltd
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Dow
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Resonac Holdings Corporation
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Weifang Yaxing Chemical Co. Ltd
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Shandong Xiangsheng New Materials Technology Co. Ltd
- *Disclaimer: Major Players sorted in no particular order
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Chlorinated Polyethylene Market News
- May 2024: Aurora Plastics LLC (Aurora) announced the acquisition of EnCom Polymers Inc., extending its product offering to include chlorinated polyethylene alloys (CPE). This acquisition strengthened Aurora Plastics LLC's product portfolio.
Chlorinated Polyethylene Industry Overview
Chlorinated polyethylene (CPE) is classified as a thermoplastic elastomer produced by chlorinating high-density polyethylene. CPE exhibits high flexibility, impact resistance, chemical resistance, weatherability, and thermal stability, which makes it a superior alternative to standard-grade polyethylene. The product is used in applications in critical industrial functions such as impact modifiers, wire and cable jacketing, adhesives, hose and tubing, and infrared absorption.
The chlorinated polyethylene market is segmented by product, application, and geography. By product, the market is segmented into CPE 135A, CPA 135B, and other products. By application, the market is segmented into impact modifiers, wire and cable jacketing, hose and tubing, adhesives, and other applications. The report also covers the market sizes and forecasts for chlorinated polyethylene in 15 countries across major regions. For each segment, the market size and forecasts are done based on value (USD).
| By Product | CPE 135A | ||
| CPA 135B | |||
| Other Products | |||
| Application | Impact Modifier | ||
| Wire and Cable Jacketing | |||
| Hose and Tubing | |||
| Adhesives | |||
| Other Applications | |||
| Geography | Asia-Pacific | China | |
| India | |||
| Japan | |||
| South Korea | |||
| Rest of Asia-Pacific | |||
| North America | United States | ||
| Canada | |||
| Mexico | |||
| Europe | Germany | ||
| United Kingdom | |||
| France | |||
| Italy | |||
| Rest of Europe | |||
| South America | Brazil | ||
| Argentina | |||
| Rest of South America | |||
| Middle East and Africa | Saudi Arabia | ||
| South Africa | |||
| Rest of Middle East and Africa | |||
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Chlorinated Polyethylene Market Research FAQs
How big is the Chlorinated Polyethylene Market?
The Chlorinated Polyethylene Market size is expected to reach USD 760.56 million in 2025 and grow at a CAGR of 5.45% to reach USD 991.67 million by 2030.
What is the current Chlorinated Polyethylene Market size?
In 2025, the Chlorinated Polyethylene Market size is expected to reach USD 760.56 million.
Who are the key players in Chlorinated Polyethylene Market?
Hangzhou Keli Chemical Co. Ltd, Dow, Resonac Holdings Corporation, Weifang Yaxing Chemical Co. Ltd and Shandong Xiangsheng New Materials Technology Co. Ltd are the major companies operating in the Chlorinated Polyethylene Market.
Which is the fastest growing region in Chlorinated Polyethylene Market?
Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2025-2030).
Which region has the biggest share in Chlorinated Polyethylene Market?
In 2025, the Asia Pacific accounts for the largest market share in Chlorinated Polyethylene Market.
What years does this Chlorinated Polyethylene Market cover, and what was the market size in 2024?
In 2024, the Chlorinated Polyethylene Market size was estimated at USD 719.11 million. The report covers the Chlorinated Polyethylene Market historical market size for years: 2019, 2020, 2021, 2022, 2023 and 2024. The report also forecasts the Chlorinated Polyethylene Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.
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Chlorinated Polyethylene Industry Report
Statistics for the 2025 Chlorinated Polyethylene market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Chlorinated Polyethylene analysis includes a market forecast outlook for 2025 to 2030 and historical overview. Get a sample of this industry analysis as a free report PDF download.
