Polylactic Acid Market Grows with Green Packaging Demand: Set to Surge at 17.8% CAGR by 2035

Polylactic acid market is gaining traction as global plastic bans push industries toward sustainable alternatives.

CA, UNITED STATES, August 26, 2025 /EINPresswire.com/ -- Polylactic Acid (PLA) market is projected to grow at a CAGR of 17.8% during the forecast period (2025-2035). The polylactic acid market is driven by the rising demand for sustainable and biodegradable polymers from several end-use industries such as packaging, textiles, and agriculture. PLA is extensively utilized due to its favorable properties, including clarity, ease of processing, biocompatibility, and effectiveness as a low-carbon alternative for petroleum plastics. Governance measures and efforts by the European Commission, the U.S. Environmental Protection Agency (EPA), and national waste regulatory authorities are promoting the application of bio-based packaging and green materials. Commercial sustainability objectives, consumer demand, and prohibitions on single-use plastics that contaminate the environment are also increasing the use of PLA in developed and emerging markets.

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Market Limitations and Challenges

• Composting Infrastructure Shortfalls: PLA requires industrial composting environments for complete biodegradation; however, composting facilities are restricted in several regions.
• Feedstock Price Volatility: Price volatility of corn and sugarcane affects PLA manufacturing costs, especially in countries relying on farm imports.
• Heat Resistance Problems: The poor heat resistance of PLA (about 60°C) limits applications in certain packaging and industrial uses.

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Market Players Outlook

The major companies operating in the global polylactic acid market include BASF SE, FUTERRO S.A., NatureWorks LLC, Sulzer Ltd., and Total Corbion PLA, among others. Market players are leveraging partnerships, collaborations, mergers, and acquisitions to expand their businesses and develop innovative products, thereby maintaining their market positioning.

Recent Developments

• In June 2025, TotalEnergies Corbion released new Life Cycle Assessment (LCA) results while underlining key progress in low-carbon bioplastics. This reveals that Luminy PLA delivers up to 85% less carbon footprint than conventional plastics and can further reach carbon neutrality with 30% recycled content and even achieve a negative carbon footprint with 100% recycled PLA, while considering biogenic carbon.
• In May 2025, Futerro declared partnership with its sister company Galactic to install Europe's biorefinery in Normandy, integrating lactic acid, lactide, and PLA manufacturing with chemical and mechanical recycling.
• In December 2024, Emirates Biotech selected Sulzer to construct the world's largest PLA production plant in the United Arab Emirates. The facility will be built in two phases with an annual capacity of 80,000 tons (total 160,000 tons annually). The construction of the plant will commence in 2025 and be completed in early 2028.

Some of the Key Companies in the Polylactic Acid Market include-

• BASF SE
• BBCA Biomaterial Co., Ltd.
• Futerro SA
• Good Natured Products Inc.
• LG Chem
• Merck KGaA
• MiniFIBERS, Inc.
• NatureWorks LLC
• RadiciGroup SpA
• RTP Co.
• Salfeco, LLC
• Sulzer Ltd.
• Think3D
• Thyssenkrupp AG
• Total Corbion PLA
• Toyo Engineering Corp.
• Zhejiang Hisun Biomaterials Co., Ltd.

Polylactic Acid Market Segmentation Analysis

Global Polylactic Acid Market by Application
• Packaging
• Construction Material
• Catering and Tableware
• Agriculture Material
• Consumer Goods
• Electronic Material
• Automobile
• Others

Global Polylactic Acid Market by Raw Material
• Corn Based PLA
• Sugar Based PLA
• Cassava Based PLA
• Other Raw Materials-Based PLA

Regional Analysis
• North America
o United States
o Canada
• Europe
o UK
o Germany
o Italy
o Spain
o France
o Rest of Europe
• Asia-Pacific
o China
o India
o Japan
o South Korea
o ASEAN Economies (Singapore, Thailand, Vietnam, Indonesia, and Other)
o Australia and New Zealand
o Rest of Asia-Pacific
• Rest of the World
o Latin America
o Middle East and Africa

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Anurag Tiwari
Orion Market Research Pvt Ltd
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