Global Phthalic Anhydride Marke - 2021-2028
The phthalic anhydride market size was worth US$ XX billion in 2020 and is estimated to reach US$ XX billion by 2028, growing at a CAGR of XX % during the forecast period (2021-2028).
Phthalic anhydride is a white crystalline compound, toxic used to manufacture phthaleins and other dyes, plasticizers, resins and insecticides. This colorless solid is a crucial industrial chemical, especially for the large-scale plasticizers production for plastics. It is obtained by catalytic oxidation of naphthalene or ortho-xylene.
Phthalic anhydride is widely used worldwide for a comprehensive range of applications ranging from the plastics industry to the synthesis of agricultural fungicides, resins and amines.
The increasing investment in paint & coating is expected to drive the demand for the phthalic anhydride market
The phthalic anhydride market is expected to drive with increasing investments in the paint & coating industry. Phthalic anhydride is a significant reference resin for manufacturing paints and coatings based on high-performance materials and alkyd resin, such as solvent-based architectural coatings. The expanding paint & coating industry is due to rapid investments in developing counties on better infrastructure. For instance, In 2019, the trade value of the Indian paint industry was valued at over 57 trillion Indian rupees. Moreover, phthalic anhydride-containing materials are widely used in coatings applications for automobiles, home appliances, medical devices and furniture. Acid anhydrides are used as plasticizers for PVC and other plastics for temperature stability in coatings for wires and cables. Hence, the increasing applications of phthalic anhydride in paint & coating are expected to drive the market growth.
The health impacts associated with phthalic anhydride is likely to hinder the market growth.
The phthalic anhydride market is impacted by the health impacts caused due to phthalic anhydrides, such as problems like irritation to the eyes, respiratory tract, and skin. Common Chronic effects that are observed in workers include conjunctivitis, rhinoconjunctivitis, rhinitis, bronchitis, and irritation of the skin and mucous membranes of the respiratory tract. Moreover, regulatory restrictions for the consumption and production of chemicals are the major factor for restricting
COVID-19 Impact Analysis
Due to the pandemic, stakeholders across the phthalic anhydride industry have seen a notable impact as all the production work, factories and other activities were closed. The production was hindered by halts and supply chain disruption globally. After the pandemic, the governments still impose various restrictions, such as working with half the workforce and fewer operating hours hindering the production cycle of the market. The losses are incorporated with less demand from the automotive, electronics, paint & coating and other associated industries. However, the market is expected to recover after the pandemic, with sectors aiming to complete the existing projects with higher production rates to recover from the incorporated losses.
By application, the phthalic anhydride market is broadly classified into dyes and pigments, alkyd resins, unsaturated polyester resins, insecticides, plasticizers, Engineered plastics, Flame retardants and others.
The phthalic anhydride for plasticizers is expected to grow at the fastest CAGR during the forecast period (2021-2028)
The phthalic anhydride for plasticizers is expected to hold the largest market for phthalic anhydride market and is expected to continue its dominance in the forecast period. Phthalic anhydride produces various phthalate plasticizers such as Vestinol 9 DINP, used to produce flexible PVC. The primary consumption of PA comprises in manufacturing phthalate plasticizers. These include Wire & Cable applications, roofing membranes, coated fabrics, and swimming pool liners. The extensive use of phthalic-based plasticizers is due to its benefits such as low-temperature performance, flexibility, heat resistance and electrical resistivity.
Various companies have been expanding their production capacities like KLJ Plasticizers has announced building a new 100,000 tonnes/year phthalic anhydride capacity at Jhagadia in western Gujarat by 2023. The project is part of the greenfield integrated phthalate plasticizers and PA complex at the market growth site.
Asia Pacific region holds the largest market share for the global phthalic anhydride market
Asia Pacific region holds the largest market share for the phthalic anhydride market globally and is expected to continue its dominance in the forecast period. The rapid growth in construction and automotive industries in the counties like China and India are surging the market demand in the region. According to the statistics, China exported 442.05 tons of and imported 14383.40 tons of phthalic anhydride in June 2020, being the major producer and consumer of the market. Moreover, the phthalic anhydride market is hyped with increasing production of the alkyd resins used in paints and lacquers, certain dyes, insect repellents and polyester polyols for polyurethanes.
Many leading market players have been expanding the production of phthalic anhydride to cater to the industry's demand. For instance, Thirumalai Chemicals plans to execute a manufacturing site with 180,000 tons per year production of phthalic anhydride and 30,000 tons per year of fine & specialty chemicals.
In 2019, Jiangsu Jinneng's innovative catalytic combustion unit and Clariant's Envisat VOC catalyst successfully operated at the phthalic anhydride plant of Shandong Qilu Plasticizers Co. Ltd. The partners' emission control solution is used to purify production off-gas, containing volatile organic compounds and carbon monoxide (CO).
The phthalic anhydride market is consolidated with the local player's presence, followed by the global companies, contributing to the major share in the market growth. In addition, some of the key players contributing to the growth of the market are IG Petrochemicals Limited, UPC Technology Corp., Aekyung Petrochemicals, BASF SE, KLJ Plasticizers, ExxonMobil Chemical, Polynt SpA, Shandong Hongxin Chemical Co. Ltd, Koppers Inc., C-Chem Co. Ltd, Stepan Company and others. The major players are adopting various new strategies to dominate the market, such as expansions, acquisitions and collaborations, contributing to the growth of the phthalic anhydride market globally.
IG Petrochemicals Limited
Overview: IG Petrochemicals Limited is Indian based company founded in 1992. The company produces 2,22,110 MTPA of Phthalic Anhydride, 8000 MTPA of Maleic Anhydride, 1300 MTPA of Benzoic Acid and 8,400 MTPA of plasticizers in a single location.
Product Portfolio: The Company offers phthalic anhydride (PAN), maleic anhydride, plasticizers and benzoic acid (BA).
Key Development: In 2021, IG Petrochemicals have approved the greenfield expansion of Phthalic Anhydride up to 80,000 MTPA in Gujarat with a capital outlay of Rs 600 crore. The project is expected to complete within three years.
The global phthalic anhydride market report would provide access to an approx: 69 market data table, 68 figures and 230 pages.
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