Industrial salt: Key market highlights
- Increase in the production of chloralkali globally
- The market is dominated by the chemical processing segment
- Key vendors include The Chemours, Iluka Resources, Rio Tinto, Trimex Sands, and Tronox
Technavio’s market research analysts estimate the global industrial salt market to grow at a CAGR of more than 2% between 2016 and 2020. The increase in chloralkali production worldwide is the fundamental driver for the market. The development of construction and paper industries in countries such as China is stimulating an increase in the consumption of chloralkali chemicals. The market is also reaping benefits from the rise in consumption of chlorine in ethylene dichloride production. In 2015, the APAC region dominated the global industrial salt market by accounting for a market share of around 40%. The rise in economic and industrial development in China and India along with the increase in emphasis on the development of the chemical industry by the government of China are factors that are likely to propel growth of the market in this region by 2020.
The new market research report from Technavio presents a breakdown and analysis of the industrial salt segments by end-users.
“One of the upcoming trends that the market is witnessing is increased consolidation. There is a substantial increase in the number of mergers and acquisitions, strategic alliances, and joint ventures. Many major vendors and emerging players in the market are looking at mergers and acquisitions as a means to enhance their market presence across the globe due to the decline in salt demand in Europe. For instance, Morton International, a subsidiary of K+S, has entered into a joint venture with CNSIC to tap into the growing Chinese market,” says Chandrakumar Badala Jaganathan, Lead Analyst, Chemicals & Materials, Technavio Research.
The chemical processing segment dominated the global industrial salt market in 2015 by accounting for around 67% of the overall market share. The majority of demand for industrial salts is from chloralkali and synthetic soda ash producers as industrial salts are consumed as a primary feedstock, with APAC accounting for almost half the demand for industrial salts. The upsurge in the demand for chloralkali chemicals across the globe is expected to have a positive influence on the growth of this segment during the forecast period.
The key vendors in global industrial salt market are The Chemours, Iluka Resources, Rio Tinto, Trimex Sands, and Tronox. The market is highly fragmented and extremely competitive with the presence of many regional and global players. Due to the increasing demand for salts in the chemical industries in developing regions, the key players are expected to enter into strategic agreements and M&As with the regional players.
A more detailed analysis is available in the Technavio report, Global Industrial Salt Market 2016-2020.
We can customize reports by other regions and specific segments upon request.
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