Global Polybutylene Adipate Terephthalate Market Size Study & Forecast, by Grade, Application, End-Use Industry and Regional Forecasts 2025-2035

The Global Polybutylene Adipate Terephthalate (PBAT) Market is valued at approximately USD 1.92 billion in 2024 and is projected to register a robust CAGR of 13.10% over the forecast period from 2025 to 2035. PBAT—a biodegradable thermoplastic polymer derived from adipic acid, 1,4-butanediol, and terephthalic acid—has increasingly become the go-to alternative for industries navigating the complex challenge of balancing performance and sustainability. With single-use plastics facing mounting regulatory backlash globally, PBAT stands out due to its similar mechanical properties to conventional plastics and its compostability, making it suitable for a wide array of industrial and consumer applications.

Amid intensifying global environmental mandates and a surging demand for eco-friendly materials, PBAT has carved a unique niche in flexible packaging, agriculture films, hygiene products, and biomedical sectors. The film segment in particular has gained extraordinary momentum as manufacturers shift towards biodegradable bin liners, cling wraps, and mulch films. Additionally, advancements in polymer compounding are enhancing the heat resistance, processability, and mechanical strength of PBAT, thereby expanding its applicability beyond just thin films to molded items and adhesives. Moreover, the growing R&D investments aimed at optimizing PBAT cost-efficiency and performance are creating a fertile ground for innovation and market penetration.

Regionally, the PBAT market is witnessing significant adoption trends across North America, Europe, and Asia Pacific. North America continues to lead due to its strong sustainability frameworks, government-backed initiatives, and widespread acceptance of compostable packaging in food service and retail. Europe, with its stringent single-use plastic directives, is rapidly integrating PBAT into mainstream production pipelines. Meanwhile, the Asia Pacific region—particularly China and India—is experiencing explosive growth, attributed to increasing environmental consciousness, expanding middle-class consumption, and domestic policies pushing for green packaging solutions. Additionally, industrial-scale manufacturing capabilities and cost-efficient production make the APAC region a global hotspot for PBAT development and export.

Major market player included in this report are:
• BASF SE
• SK Chemicals
• Kingfa Sci. & Tech. Co., Ltd.
• Jinhui Zhaolong High Technology Co., Ltd.
• Anqing Hexing Chemical Co., Ltd.
• Sinopec
• Wuhan Huali Environmental Technology Co., Ltd.
• Toray Industries, Inc.
• Mitsubishi Chemical Group
• Indorama Ventures Public Company Limited
• LyondellBasell Industries Holdings B.V.
• Novamont S.p.A.
• Changsu Industrial Co., Ltd.
• TEIJIN Limited
• FUJIFILM Corporation

Global Polybutylene Adipate Terephthalate Market Report Scope:
• Historical Data – 2023, 2024
• Base Year for Estimation – 2024
• Forecast period – 2025–2035
• Report Coverage – Revenue forecast, Company Ranking, Competitive Landscape, Growth factors, and Trends
• Regional Scope – North America; Europe; Asia Pacific; Latin America; Middle East & Africa

The objective of the study is to define market sizes of different segments & countries in recent years and to forecast the values for the coming years. The report is designed to incorporate both qualitative and quantitative aspects of the industry within the countries involved in the study. The report also provides detailed information about crucial aspects, such as driving factors and challenges, which will define the future growth of the market. Additionally, it incorporates potential opportunities in micro-markets for stakeholders to invest, along with a detailed analysis of the competitive landscape and product offerings of key players.

The detailed segments and sub-segments of the market are explained below:

By Grade:
• Standard
• Custom

By Application:
• Films
• Sheets & Bin Liners
• Coatings & Adhesives
• Molded Products
• Fibers

By End-Use Industry:
• Packaging
• Consumer Goods
• Agriculture
• Bio-medical

By Region:

North America
• U.S.
• Canada

Europe
• UK
• Germany
• France
• Spain
• Italy
• Rest of Europe

Asia Pacific
• China
• India
• Japan
• Australia
• South Korea
• Rest of Asia Pacific

Latin America
• Brazil
• Mexico

Middle East & Africa
• UAE
• Saudi Arabia
• South Africa
• Rest of Middle East & Africa

Key Takeaways:
• Market Estimates & Forecast for 10 years from 2025 to 2035.
• Annualized revenues and regional level analysis for each market segment.
• Detailed analysis of geographical landscape with Country level analysis of major regions.
• Competitive landscape with information on major players in the market.
• Analysis of key business strategies and recommendations on future market approach.
• Analysis of competitive structure of the market.
• Demand side and supply side analysis of the market.

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