Global ferric chloride market size is slated to witness significant growth over 2022-2028. This is on account of the growing necessity and effectiveness of coagulants in the water treatment process and the emergence of ferric chloride formulation as a cost-effective coagulant. The capability of ferric chloride to be sourced from waste materials from steelmaking facilities, enabling it to function as a green option will also drive industry expansion in the years ahead. Ferric chloride refers to an inorganic compound that consists of an iron element with the oxidation number of +3. The compound generally exists as orange to brown-black solid and is slightly soluble in water. Over the years, the non-combustible ferric chloride solution has been deployed in the water purification and treatment of sewage.
Introduction of stringent regulations associated with the treatment of industrial waste and sewage water to limit pollution is one of the factors bolstering the ferric chloride market trends through 2022-2028. As per statutory norms issued by the CPCB, infrastructures such as Townships, Educational Institutions, Commercial Construction Projects, Apartments, and Area Development Projects are mandated to install sewage treatment plants. This condition, coupled with the remarkable increase in sales of smartphones and other electronic products, will further amplify ferric chloride uses, given the significant adoption of the compound in printed circuit boards for the etching process.
Considering end-use, the pharmaceutical industry segment will hold a considerable share in the ferric chloride industry by 2028, due to the rising prevalence of blood disorders such as anemia. As per the National Heart, Lung, and Blood Institute’s data, this condition affects more than 3 million people in America. This could bolster the industry demand, provided the notable usage of industrial chemicals, like ferric chloride anhydrous 96%, in the production of anemia medicine. Likewise, the ecological risks and health hazards posed by chemical sludges and wastewaters from the pharma sector will also proliferate the need for ferric chloride solutions in the upcoming years.
Latin America ferric chloride market is set to depict a strong growth rate through 2028, driven by the increasing focus on the universalization of water and sanitization services. For example, under the ‘New Sanitation Legal Framework’ launched in Brazil in July 2020, the federal government intends to guarantee access for over 99% of the country’s population to clean water as well as 90% to sewage collection and treatment by the year 2033. Such schemes, along with the high spending to support the expansion of pulp mills, will augment the requirement of ferric chloride for water treatment across such industries in the region.
The competitive landscape of the ferric chloride industry comprises companies such as Kemira, Chemifloc, Feralco (Mellby GÅRd Ab), Gulbrandsen, Malay-Sino Chemicals, Feracid, Chemical Company of Malaysia, Kem One, PVS Chemicals, Akzo Nobel Industrial Chemicals, BorsodChem (Wanhua Industrial Group), National Biochemicals, Asia Chemicals, Tessenderlo, Sidra Wasserchemie, BPS Products, and BASF, among others. Strategic product launches, collaborations, and acquisitions are the key initiatives being undertaken by these firms to strengthen their presence in the global market.
Disruption in Manufacturing Activities During COVID-19 to Impact Ferric Chloride Market Trends:
The coronavirus pandemic resulted in an immediate halt to several business activities worldwide, as countries shut down their industrial operations and transportation during strict lockdowns. The enormity of this lockdown impacted labor-intensive industries, such as manufacturing, and supply chains, thus disrupting the overall economy. These significant challenges across the manufacturing sector may have led to a decline in the treatment of industrial wastewaters and in turn, asserted a negative influence on the ferric chloride industry over the past months. However, the commendable surge in sales of cellphones, laptops, and other consumer electronics amid the pandemic may aid the industry recovery, given the adoption of this compound in electronics etchants applications.