H1 2023: In H1 2023, the Asia Pacific region emerged as the largest consumer of Isophthalic Acid. Isophthalic acid prices in China maintained a positive trajectory until the end of April 2023, primarily driven by increased Xylene prices. This cost pressure led to higher pricing not only for isophthalic acid but also for other value chains. Supply and demand dynamics remained relatively stable, with strong demand fundamentals in the Chinese market. However, prices experienced a sudden decline in May 2023. In North America, the isophthalic acid price trend in the first half of 2023 exhibited mixed patterns. In January 2023, isophthalic acid prices significantly dropped due to low-cost imports from Asian markets. Nevertheless, a shift in market sentiment in February led to a substantial price increase in North America. The cost of importing isophthalic acid into the US surged due to rising prices in the Asia Pacific region. From April to June 2023, isophthalic acid prices followed a downward trend, attributed to reduced end-user demand (PET and coating resins) and lower manufacturing costs. The decline in mixed xylene prices, a primary feedstock for isophthalic acid production, had a proportional impact on the overall cost of isophthalic acid production in the North American market.
The global Isophthalic Acid market stood at approximately 1570 thousand tonnes in 2022 and is anticipated to grow at a CAGR of 4.15% during the forecast period until 2032. The global market for isophthalic acid is driven by factors including the rising demand for food packaging and plastic bottles, which are mostly manufactured of polyethylene terephthalate (PET). Isophthalic acid is also a necessary raw ingredient for the manufacture of PET resins. It is also anticipated that isophthalic acid, which is utilized in the coating, lubricant, and automotive industries, will propel the market over the projected period.
In the chemical molecule isophthalic acid, carboxy groups are at positions 1 and 3 of the benzene molecule. This aromatic dicarboxylic acid is utilized as a precursor to produce significant polymers. Isophthalic acid's high glass transition temperature and exceptional hardness provide better resistance to dampness, chemicals, stains, and corrosion. These properties support the coatings industry's use in coil coating, automotive, aircraft, general metal, and maintenance applications. Additionally, the main application of isophthalic acid is as a constituent of the copolymer of polyethylene terephthalate (PET). The esterification process of a combination of terephthalic and isophthalic acids with ethylene glycol yields polyethylene terephthalate, or PET. In turn, PET is utilized extensively to create bottles, receptacles, and cutlery. All over the globe over, PET bottle consumption is rising quickly, and this is predicted to fuel market growth. The food industry also uses PET as a packaging material. Also, Coatings, polyester resins, unsaturated polyester resins, special fibers, hot melt adhesives, printing inks, modifiers for coloring polyester fibers, and resin plasticizers can be made using isopthalic acid. Polymers with electrical and thermal resistance can be made from isophthalic acid, an intermediary chemical. Due to its ability to maintain stiffness and toughness at high temperatures, polybenzimidazole fiber is one type of synthetic fiber that is utilized to create high-performance protective gear, including astronaut spacesuits, firefighter's gear, high-temperature gloves, and airplane wall textiles.
Over the course of the forecast period, one of the main factors driving the growth of the worldwide isophthalic acid market is the increased manufacturing of PET resins and unsaturated polyester resins. Primarily, unsaturated polyester resins, alkyd, and polyester coating resins use isophthalic acid as an intermediary. Significant packaged food and beverage consumption is also anticipated to support market expansion. It is anticipated that as polyester fibers become more widely used in the textile industry, more fabric and apparel manufacturers will start using them. The creation of unsaturated polyester resins, thermo-resistant coatings, thermosetting fibers, and copolyester polymers, among other uses for pure isophthalic acid, is propelling the market's revenue growth. The global Isophthalic Acid market is anticipated to reach nearly 2400 thousand tonnes by 2032.
Based on region, Asia Pacific region is the biggest consumer of Isophthalic Acid. The Food & Beverages industries' rapid expansion is predicted to boost demand of Isophthalic acid. Increased consumer demand for PET goods, which require isophthalic acid as a necessary part, is another factor anticipated to propel the Asia Pacific market's revenue growth. The demand for the production of isophthalic acid has increased due to rapid industrialization and urbanization, which is predicted to support the expansion of the Asia Pacific market's revenue. Other factors anticipated to propel revenue growth of the market in this region include the expanding need for isophthalic acid in the fabric industry due to its numerous applications.
Based on the end-user industry, the global Isophthalic Acid market is divided into PET Resin, Unsaturated Polyester resin (UPR), Surface Coatings, and Others. However, PET Resin is the major segment and held approximately 37% of the global Isophthalic Acid market in 2022. The growing use of PET bottles and household products is anticipated to fuel the segment's revenue growth. Other characteristics like low weight, great strength, durability, and clarity are anticipated to fuel the segment's expansion and increase demand for isophthalic acid in the plastic manufacturing industry. The plastics industry's rapid expansion is predicted to fuel the segment's revenue growth as well.
Major players in the Global Isophthalic Acid market are Eastman Chemicals, HELM, BASF-YPC, Formosa Petrochemical Corporation, Lotte Chemical, Veritas, SRL Chemical, Perstorp, Beijing Yanshan Petrochemical Company Ltd. (BYPC), and Hefei TNJ Chemical Industry Co.,Ltd.
Years considered for this report:
Historical Period: 2015- 2022
Base Year: 2022
Estimated Year: 2023
Forecast Period: 2024-2032
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Objective of the Study:
• To assess the demand-supply scenario of Isophthalic Acid which covers production, demand and supply of Isophthalic Acid market in the globe.
• To analyse and forecast the market size of Isophthalic Acid
• To classify and forecast Global Isophthalic Acid market based on end-use and regional distribution.
• To examine competitive developments such as expansions, mergers & acquisitions, etc., of Isophthalic Acid market in the globe.
To extract data for Global Isophthalic Acid market, primary research surveys were conducted with Isophthalic Acid manufacturers, suppliers, distributors, wholesalers and Traders. While interviewing, the respondents were also inquired about their competitors. Through this technique, ChemAnalyst was able to include manufacturers that could not be identified due to the limitations of secondary research. Moreover, ChemAnalyst analyzed various segments and projected a positive outlook for Global Isophthalic Acid market over the coming years.
ChemAnalyst calculated Isophthalic Acid demand in the globe by analyzing the historical data and demand forecast which was carried out considering the production of raw material to produce Isophthalic Acid. ChemAnalyst sourced these values from industry experts and company representatives and externally validated through analyzing historical sales data of respective manufacturers to arrive at the overall market size. Various secondary sources such as company websites, association reports, annual reports, etc., were also studied by ChemAnalyst.
Key Target Audience:
• Isophthalic Acid manufacturers and other stakeholders
• Organizations, forums and alliances related to Isophthalic Acid distribution
• Government bodies such as regulating authorities and policy makers
• Market research organizations and consulting companies
The study is useful in providing answers to several critical questions that are important for industry stakeholders such as Isophthalic Acid manufacturers, customers and policy makers. The study would also help them to target the growing segments over the coming years (next two to five years), thereby aiding the stakeholders in taking investment decisions and facilitating their expansion.
Report Scope:
In this report, Global Isophthalic Acid market has been segmented into following categories, in addition to the industry trends which have also been detailed below:
Attribute
Details
Market size Volume in 2022
1570 thousand tonnes
Market size Volume in 2032
2400 thousand tonnes
Growth Rate
CAGR of 4.15% from 2023 to 2032
Base year for estimation
2023
Historic Data
2015 – 2022
Forecast period
2024 – 2032
Quantitative units
Demand in thousand tonnes and CAGR from 2023 to 2032
Report coverage
Industry Market Size, Capacity by Company, Capacity by Location, Operating Efficiency, Production by Company, Demand by End- Use, Demand by Region, Demand by Sales Channel, Demand-Supply Gap, Company Share, Manufacturing Process.
Segments covered
By End-Use: (PET Resin, Unsaturated Polyester resin (UPR), Surface Coatings, and Others)
By Sales Channel: (Direct Sale and Indirect Sale)
Regional scope
North America, Europe, Asia Pacific, Middle East and Africa, and South America.
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What was the net market size of Isophthalic Acid in terms of volume in 2022?
Ans:
The global market size of Isophthalic Acid had reached approximately 1570 thousand tonnes in 2022.
Q2.
Which region is the major consumer of Isophthalic Acid?
Ans:
Asia Pacific region is the leading consumer of Isophthalic Acid globally.
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