North America Biodegradable Plastics Market Outlook

The North America biodegradable plastics market is projected to grow from US$ 1,703.17 million in 2022 to US$ 4,904.16 million by 2028, at a compound annual growth rate (CAGR) of 19.3% during the forecast period.

Government Clean-Up Initiatives Fuel Market Growth

Biodegradable plastics have emerged as a sustainable alternative to conventional single-use plastics, offering comparable technical properties while significantly reducing greenhouse gas emissions. Continued investment in research and development has led to the creation of novel biodegradable materials with enhanced properties, enabling manufacturers to boost production efficiency and minimize environmental impact.

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Supportive government regulations are playing a pivotal role in market expansion. For example, ASTM D6400 is a North American standard that requires biodegradable or compostable plastic products to completely decompose in industrial composting environments within a specified timeframe, leaving no toxic residue behind. Such regulations and bans on traditional plastics have accelerated the adoption of biodegradable alternatives.

Additionally, environmental disasters like oil spills have underscored the urgent need for sustainable solutions. These incidents, depending on their magnitude and location, can cause long-term damage to ecosystems. Biodegradable plastics can help mitigate some of these harmful effects by reducing overall plastic pollution.

Regional Overview

The North America biodegradable plastics market is segmented into the US, Canada, and Mexico. The region's growth is driven by the presence of major players such as BASF SE, Eastman Chemical Company, Cargill Incorporated, and SABIC. Increased environmental awareness and government initiatives aimed at reducing carbon emissions are further fueling market growth.

In January 2022, the U.S. Department of Energy (DOE) announced US$ 13.4 million in funding to support next-generation plastics technologies that aim to lower energy consumption and carbon emissions associated with single-use plastics. Moreover, numerous companies are committing to the use of recyclable or biodegradable packaging as part of their shift toward sustainability.

Rising Consumer Awareness and Corporate Adoption

Consumer awareness around plastic pollution and global warming continues to rise, increasing demand for eco-friendly products. Biodegradable plastics are increasingly replacing conventional plastics in industries such as food packaging. In response to strict environmental regulations, many fast-moving consumer goods (FMCG) companies are adopting biodegradable materials to align with legal and environmental standards.

Additionally, organizations such as the Biodegradable Products Institute (BPI)—North America’s leading certifier of compostable products—are helping validate and promote sustainable packaging solutions. BPI certification ensures that products bearing its logo meet rigorous, science-based compostability standards and can be recovered through commercial or municipal composting systems.

North America Biodegradable Plastics Strategic Insights

Strategic insights for the North America Biodegradable Plastics provides data-driven analysis of the industry landscape, including current trends, key players, and regional nuances. These insights offer actionable recommendations, enabling readers to differentiate themselves from competitors by identifying untapped segments or developing unique value propositions. Leveraging data analytics, these insights help industry players anticipate the market shifts, whether investors, manufacturers, or other stakeholders. A future-oriented perspective is essential, helping stakeholders anticipate market shifts and position themselves for long-term success in this dynamic region. Ultimately, effective strategic insights empower readers to make informed decisions that drive profitability and achieve their business objectives within the market.

key company profiles

  BASF SE

  FKuR Kunststoff GmbH

  Green Dot Bioplastics Inc

  Novamont SpA

  Kingfa Science and Technology Co Ltd

  NatureWorks LLC

  Mitsubishi Chemical Holdings Corp

  Plantic Technologies Ltd

  TotalEnergies Corbion BV

  API SpA

Regional Insights: North America Biodegradable Plastics Market
The geographic scope of the North America biodegradable plastics market encompasses the distinct regions where businesses operate and compete. A deep understanding of regional differences—such as consumer preferences, economic conditions, and regulatory frameworks—is essential for developing tailored strategies. For example, demand may vary based on local sustainability priorities or usage patterns in packaging, agriculture, or consumer goods. By identifying underserved areas and adapting products to meet regional needs, companies can expand their market presence. A focused regional approach enables efficient resource allocation, targeted marketing efforts, and stronger positioning against local competitors, ultimately supporting sustainable growth across North America

North America Biodegradable Plastics Market Segmentation

The North America biodegradable plastics market is categorized by type, end user, and country.

• By Type:
  The market is segmented into polylactic acid (PLA), polyhydroxyalkanoates (PHA), starch blends, polybutylene succinate (PBS), polybutylene adipate terephthalate (PBAT), and others. Among these, the starch blends segment held the largest market share in 2022.
• By End User:
  Segments include packaging and bags, agriculture and horticulture, consumer goods, and others. In 2022, packaging and bags emerged as the dominant end-user segment in the region.
• By Country:
  The market is divided into the US, Canada, and Mexico. The US accounted for the largest share of the North America biodegradable plastics market in 2022.

Key Players:
Leading companies in the market include BASF SE, FKuR Kunststoff GmbH, Green Dot Bioplastics Inc., Novamont SpA, Kingfa Science and Technology Co., Ltd., NatureWorks LLC, Mitsubishi Chemical Holdings Corporation, Plantic Technologies Ltd., TotalEnergies Corbion BV, and API SpA.

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Author's Bio
Akshay
Senior Market Research Expert at Business Market Insights