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Phenol Derivatives market size to exceed $ 67bn by 2025

  • Published Date: November 7, 2019

Phenol Derivatives Market size is estimated to surpass USD 67 Bn by 2025; according to a new research report by Global Market Insights Inc.

Phenols are important precursors which are required for the synthesis of numerous products including epoxies, nylon, detergents, polycarbonates, plastics & related materials. In addition, its benefits such as low cost, dimensional stability, high strength, stiffness, and resistance to ageing, will further drive its usage in construction and automotive industries. Use of phenol across end-use industries, such as pharmaceutical, agrochemicals, personal care, and textiles will drive phenol derivatives industry growth.

The extensive demand for phenolic resins for the production of circuit boards will drive market demand. Its key characteristics such as remarkable heat resistance, dimension stability, and chemical resistance in circuit boards, will boost the market growth. Technological advancements in manufacturing have enabled efficient reaction mechanism, lower operational cost, and enhanced production capabilities in the manufacturing sector.

In addition, the adoption of technical grade phenol for producing industrial grade products, such as adhesives, plasticizers, and petroleum products, will support the industry development. Manufacturers are also using phenol derivatives for producing chemical intermediates. Phenol derivatives are also extensively employed in the production of genetic material. Biotechnology industry development will further boost market demand.

Plastic additives will remain key application for phenol demand

The increasing application of phenol for producing plastic additives will create new avenues for market expansion. Almost two-third production of phenol is destined for in the plastic industry. A widely used derivative of phenol, Bisphenol-A, is one of the major precursors for producing polycarbonates and epoxy resins. Incorporation of epoxy resins from various end use industries, such as automotive, construction, electronics, and aerospace, adhesives, paints & coatings, and will drive the demand for phenol.

Phenol derivatives are also applicable in the manufacture of dyes and pharmaceutical industry. They are considered as an extremely dangerous additive as it possesses the ability to cause mutations. One such derivative, 3-aminophenol, is widely used in the production of fluorescent dyes. Fluorescent dye is an important tool in the forensic & diagnostics sector. Mainstream sectors such as healthcare and diagnostics will encourage the growth of the phenol derivatives market

Browse key industry insights spread across 600 pages with 440 market data tables & 9 figures & charts from the report, “Global Phenol Derivatives Market share By Product (Phenol, Bisphenol A [Polycarbonate {Automotive, Optical Media, Electronics, Construction, Others}, Epoxy Resins {Paints & Coatings, Marine, Electrical & Electronics, Construction, Others}, Others], Phenolic Resins [Wood Adhesives, Foundry & Moulding Compounds, Laminates, Insulation, Others], Caprolactam [Nylon Fiber {Textile Fiber, Industrial Yarn, Carpet}], Alkyl Phenol [Detergents, Additives], Adipic Acid [Nylon 66, Polyurethane and Others]) Industry Analysis Report, Growth Potential, Price Trend, Competitive Market Share & Forecast, 2019– 2025” in detail along with the table of contents:

Rapid expansion of textile industry will drive caprolactam segment growth

Caprolactam derived from phenol is used in the production of nylon 6 fibers and resins. Textile fibers, which demonstrate fire retardant, heat-resistant, and anti-corrosive properties for the industrial purpose are major drivers for the market growth. Owing to its thermostable properties, caprolactams have gained enhanced market penetration where hazards of fire, smoke, and toxic release are prevalent. The exponential growth rate of fire injuries will promote market growth over the forecast period.

The caprolactam industry is also regulated by the progression in the nylon 6 business and its production has become geographically remote from its customer base. While nylon production is growing in India, around 40% of the caprolactam is being produced in Europe. International ties and enhanced trade activities between Europe and Asia will foster industry growth over the forecast time period.

Strong presence of paints & coatings industry in Europe will support high phenol demand

Various governments across the globe have restricted the use of solvent-based coatings owing to the emission of VOCs. These restrictions have paved way for phenol-based coatings, which will further support market growth over the forecast period. Moreover, positive prospects in the decorative laminates and the wood-adhesives industry will build a strong growth platform for phenolic resins industry growth in Europe.

Some of the key players in the market include BASF SE, Bengal Chemicals and Pharmaceuticals, Herdillia Chemicals, HOCL, Meru Chem Pvt. Ltd, Parshvachem Enterprises, INEOS, Mitsui Chemicals, Hexion Inc., Hitachi Chemical Co., Ltd., Deepak Novochem Technologies Limited, MBCI Mangalam Organics Limited, Setco Chemicals Private Limited and Covestro AG. The global phenol derivatives market outlook is consolidated in nature with key global players holding a major market share.

Authors: Kunal Ahuja, Amit Rawat