Global Adipic Acid Market Is Foreseen to Value Over $ 8.7 Billion by 2029 End

  • 30 Jul 2019
  • Chemicals & Advanced Materials

Global Adipic Acid Market is estimated to value over USD 8.7 billion by 2029 end and register a CAGR of over 4.9% from 2019 to 2029.

The escalating demand for adipic acid from automotive, electrical & electronics, consumer goods, and appliances industry is one of the chief drivers for the adipic acid market. The extensive research and development in textile production technology are also one of the key factors influencing the adipic acid market. The companies are focusing on developing high quality, durable, lightweight and high absorption capacity fibers that are capable of enduring extreme conditions such as high temperatures and are chemically inert as well. Adipic acid market has witnessed significant growth in the recent decade and the trend is anticipated to continue for the forecast period. However, the presence of stringent environmental regulations in different regions and the rise of hybrid fibers is expected to restrain the adipic acid market.

Increasing commercial use of adipic acid is a major trend being witnessed in this market owing to the increased manufacturer and consumer understanding of carbon footprint reduction. Adoption of adipic acid by various industries has increased due to increased demand for environment-friendly processes of chemical manufacturing owing to the harmful effects of petroleum-based processes on the environment. One of the major drivers in the market is the automotive industry which is witnessing an increase in the application of nylon 66, the main application segment of adipic acid. Nylon 66 is being used in automobiles extensively to reduce total weight which increases fuel efficiency.

Volatility in the price of raw materials, especially benzene and the rising prices of crude oil are a major restraint to the synthetic adipic acid market. Also, stringent environmental regulations considering adipic acid usage are acting as a restraint in the global adipic acid market. These concerns have led to the shift of demand from synthetic to adipic acid. The product of bio-based Adipic acid also provides economic feasibility compared to synthetic adipic acid.

The opportunity lies in the market with bio-based adipic acid which has shown the feasibility and is presently in its progress stage. Adipic acid is assumed to be useful for nearly all applications for which synthetic adipic acid is used currently. Bio-based adipic acid producers have an opportunity to replace the synthetic adipic acid market, thus propelling the market globally.

Market Segmentation

1. By Application

  • Polyamide/Nylon 66
  • Engineering Plastics
  • Automotive            
  • Packaging Films & Coating
  • Industrial/Machinery
  • Electrical & Electronics
  • Consumer Goods
  • Appliances
  • Wire & Cable
  • Others

2. By Fibers

  • Textile Filament
  • Industrial Filament
  • Carpet Filament
  • Staple Fiber
  • Polyurethanes
  • Adipic/Adipate Esters (Plasticizers)
  • Others

3. By Region

  • North America
  • Europe 
  • Asia Pacific
  • Latin America 
  • Rest of the World

Engineering polymers in North America, Europe, and the Asia Pacific regions are likely to account for the largest demand for adipic acid. Adipic acid is used as a precursor to manufacture nylon 66, a widely used ingredient in advanced engineering products, which are used in the automobile, construction, footwear, furniture, and electrical and electronics industries. The Asia Pacific holds excellent potential for market penetration as adipic acid’s supply in this region is disrupted owing to low spot prices. Adipic acid manufacturers are capitalizing on cheap, abundant raw material currently present in the market. However, it may result in overutilization, therefore bringing down the prices.

Competitive Landscape:

  •  Tier 1 players- established companies in the market with a major market share
  •  Tier 2 players
  •  Emerging players which are growing rapidly
  •  New Entrants 

FutureWise Takeaways

  •  Growth prospects
  •  SWOT analysis
  •  Key trends
  •  Key data points affecting market growth

Objectives of the Study:

  • To provide an exhaustive analysis on the global adipic acid market by application type, by fibres and by region
  •  To cater comprehensive information on factors impacting market growth (drivers, restraints, opportunities, and industry-specific restraints)
  •  To evaluate and forecast micro-markets and the overall market
  •  To predict the market size, in key regions (along with countries)—North America, Europe, Asia Pacific, Latin America, and the rest of the world
  •  To record evaluate and competitive landscape mapping- product launches, technological advancements, mergers and expansions
  •  Profiling of companies to evaluate their market shares, strategies, financials and core competencies

 

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