IndexBox: Adipic Acid Market to Reach $17.2B by 2030
NEW YORK, Jan. 12, 2023 (GLOBE NEWSWIRE) -- Here are some of the most interesting takeaways from a recent report by IndexBox on the global adipic acid market.Adipic Acid Market OutlookThe
NEW YORK, Jan. 12, 2023 (GLOBE NEWSWIRE) -- Here are some of the most interesting takeaways from a recent report by IndexBox on the global adipic acid market.
Adipic Acid Market Outlook
The global adipic acid market is forecast to reach USD 17.2 billion by 2030, from USD 13.3 billion in 2022, at a CAGR of 3.3% during the forecast period. The increasing demand for adipic acid from end-use industries such as transportation, construction, and electronics is expected to drive the growth of the market. The major drivers for the market growth include the growing demand for polyurethanes and nylon 66 and the favorable properties of adipic acid.
The growing demand for these applications is driving the demand for adipic acid. Other factors that are driving the growth of the adipic acid market include the growing population and the increasing purchasing power of consumers. The global population is expected to reach 9.7 billion by 2050, and the middle class is projected to grow significantly over this period. This growth will create new opportunities for businesses operating in the adipic acid market.
In terms of volume, Asia-Pacific held the largest market share, and it is also expected to be the fastest-growing market during the forecast period. The growing demand from end-use industries such as textile and detergent in the Asia-Pacific region is driving the growth of the adipic acid market in this region. North America followed by Europe are the other major regions for the adipic acid market globally. The North American region is projected to grow at a significant CAGR during the forecast period. The presence of major end-use industries such as construction and transportation in this region is expected to drive the growth of the market.
Adipic Acid Market Challenges
The main challenge faced by the market is the fluctuating raw material prices. Adipic acid is manufactured from two main raw materials, namely, naphtha and benzene. The prices of these raw materials are highly volatile in nature, which in turn affects the price of adipic acid. This volatility makes it difficult for manufacturers to plan their production in advance, resulting in lower capacity utilization and higher production costs.
Another challenge faced by the market is the stringent environmental regulations. The manufacturing process of adipic acid emits large amounts of hazardous pollutants such as carbon dioxide and nitrogen oxides. In order to comply with strict environmental regulations, manufacturers have to invest heavily in pollution control equipment and technologies. This increases their overall production costs, which hampers the market's growth.
Adipic Acid Market Prospects
The major drivers for the market growth are the growing demand from the automotive and construction industries, and the increasing use of adipic acid as a detergent in the textile industry.
The automotive industry is the largest consumer of adipic acid, accounting for over 50% of the total demand. Adipic acid is used in the production of nylon 6,6, which is used in various automotive applications such as seat belts, airbags, carpets, and tires. The demand for adipic acid from the nylon application segment is projected to grow at the highest CAGR during the forecast period. The growing demand for lightweight vehicles is expected to boost the demand for nylon 6,6, and consequently drive the growth of the adipic acid market.
The construction industry is another major consumer of adipic acid. It is used in the production of insulation materials such as polyurethane foam and phenolic resin. Polyurethanes are extensively used in construction applications such as insulation, sealants, adhesives, coatings, and foams due to their superior physical and chemical properties. The increasing construction activities across the globe are expected to drive the demand for insulation materials, and thereby propel the growth of the adipic acid market. The growing construction industry in Asia-Pacific and Latin America is expected to drive the demand for polyurethanes and adipic acid during the forecast period.
The textile industry is another significant application area for adipic acid. It is used as a detergent in textile processing owing to its ability to remove greasy stains from fabric. The growing demand for apparel and home furnishings is expected to drive the demand for adipic acid in this application segment.
IndexBox is a market research firm developing an AI-driven market intelligence platform that helps business analysts find actionable insights and make data-driven decisions. The platform provides data on consumption, production, trade, and prices for more than 10K+ products across 200 countries.
Companies Mentioned in the Report
BASF SE, DuPont, Dow Chemical Company, Lonza Group Ltd., Invista, Wacker Chemie AG, Invista, Huntsman International LLC, Zibo Qixiang Tengda Chemical Co., Ltd
World - Adipic Acid - Market Analysis, Forecast, Size, Trends and Insights
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U.S. - Adipic Acid - Market Analysis, Forecast, Size, Trends and Insights