Acetone: Key market research findings
- Increasing demand for bio-based solvents drives market growth
- Industrial sector accounts for a majority of the market’s revenue
- Key vendors – BASF, CEPSA, Dow, INEOS, and Shell
Technavio’s market research analysts predict the global market for acetone to grow at a CAGR of more than 3% between 2016 and 2020. The growth of this market is fueled by the rising demand for bio-based solvents. Acetone is consumed for tool and brush cleaning, heavy cleaning, and for cleaning paint and resin spills. Bio-solvent is an eco-friendly alternative to conventional solvents such as xylene, thinners, and acetone. During 2015, the global acetone market was dominated by the APAC region with a market share of around 41%. The growth of automotive and electronics industries in emerging economies in this region will drive the growth of the acetone market in APAC during the forecast period.
The new market research report from Technavio presents a breakdown and analysis of the acetone segments based on the end market.
“At present, the use of polycarbonates in the automotive industry is on the rise. Polycarbonate is being considered as a substitute for glass and metal in the automotive industry. The material is increasingly preferred for lighting applications such as light housings, headlamp lenses, and bezels that require exceptional transparency, high-temperature resistance, and high-impact resistance. Besides, polycarbonate offers better functional integration and designing freedom,” says Chandrakumar Badala Jaganathan, Lead Analyst, Chemicals & Materials, Technavio Research.
By 2020, the industrial sector will account for around 59% of the overall market share to continue its dominance as the key revenue generating segment of the global acetone market. Acetone finds extensive use as a crucial ingredient in the manufacture of polycarbonate, which is extensively used in the automotive industry. Most taillights, headlamps bullet-proof glass, and sunroofs and windows are made of polycarbonate. Structural beams, oriented strand board, decorative glass, plywood, and skylights are some of the construction materials that are manufactured using acetone derivatives.
The key vendors in the global acetone market include BASF, CEPSA, Dow, INEOS, and Shell. APAC, which already accounts for approximately 2.95 million metric tons of the world’s acetone capacity, will see further new capacity installations in 2016. The expected launch of two new phenol and acetone plants, which are expected to be commissioned by 2016, will increase the region’s acetone capacity to more than 3 million metric tons. For instance, PTT Phenol, a company based in Thailand is anticipated to start a new acetone plant with a production capacity of 155,000 metric tons per annum in the first quarter of 2016. Similarly, South Korea-based company Kumho P&B’s is also planning to commission a new phenol plant in the second quarter of 2016 with a production capacity of 180,000 metric tons per annum.
A more detailed analysis is available in the Technavio report, Global Acetone Market 2016-2020.
We can customize reports by other regions and specific segments upon request.
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