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Ethylene Dichloride Market size is set to increase considerably during the forecast period of 2023-2032 on account of rapid urbanization and industrialization across the world and a steady surge in chemical R&D activities. Ethylene dichloride is a synthetic, colorless, oily, and clear chlorinated hydrocarbon in liquid form. It is widely used to develop vinyl chloride monomers, which are an integral component in the production of polyvinyl chloride (PVC).
Growing number of research activities across the globe is a major factor propelling ethylene dichloride market expansion over the coming years. Many companies are also involved in establishing new production facilities to cater to the growing demand for EDC.
Based on manufacturing process, the direct chlorination segment is expected to capture a large share of ethylene dichloride industry by 2032. Direct chlorination is usually performed in the liquid stage, wherein pure ethylene and liquid chlorine are reacted in the presence of ferric chloride. While the reaction can be conducted in both low and high temperatures, the latter process uses the heat from the reaction to distill EDC, which results in major energy savings. These advantages will prompt more end-users to opt for direct chlorination process to manufacture EDC, further improving the market trends.
Ethylene dichloride market size from the construction application segment is estimated to record a commendable CAGR through 2032, as PVC is widely used in construction activities. Nearly 70% of the demand for PVC products across the globe comes from the construction sector. PVC is considered an ideal material for building components, such as cabling and window profile as it consists of a wide range of positive attributes, such as electrical insulation, flame retardancy, and high flexibility.
Since the need for eco-friendly construction materials is rising at a strong pace every year, many companies are introducing advanced versions of PVC products that can decrease carbon emission levels. The new product is said to have a lower manufacturing carbon footprint as compared to that of other water-based materials. Such launches can boost the usage of EDC in PVC production, thereby strengthening the market potential.
North America ethylene dichloride market revenue is projected to record a substantial increase by 2032 as the region is witnessing a rapid expansion in PVC production capacity.
This involved expansion of the complete PVC production chain at the firm’s complex in Plaquemine, Louisiana, which includes a new vinyl chloride monomer unit with a production capacity of around 1 million mt/year and an ethylene dichloride unit with a capacity of 680,388 mt/year. These developments can positively impact ethylene dichloride industry forecast.
Companies, such as Formosa Plastics, Westlake, Punjab Chemicals & Crop Protection Ltd., Horizon Chemical Industry, LG Chem, Olin, Occidental Chemical, and PPG Industries, among others, are the leading players operating in ethylene dichloride market.