Global Glacial Acrylic Acid (GAA) Market Demand & Forecast Analysis, 2016-2036
Glacial acrylic acid (GAA), is a clear, colourless chemical compound used in production of variety of products such as Super Absorbent Polymers (SAP), Water Treatment, Paints and Coatings, Enhanced Oil Recovery, Adhesives, Detergents and other products. Glacial acrylic acid is produced by the polymerization of acrylic acid and is typically stored in a liquid form at low temperatures to prevent solidification. The global glacial acrylic acid market is expected to experience steady growth in the coming years. This growth can be attributed to the increasing demand for
acrylic acid-based products, such as diapers, adult Incontinence products, feminine hygiene products, adhesives, and coatings, across various end-use industries.
Based on application, the Glacial acrylic acid market is further segmented into Cross-linked Polymers and Homo-, co- and ter-polymers. Cross-linked Polymers are used in production of SAPs which is further used in production of diapers, adult incontinence, and feminine hygiene products. Homo-, co- and ter-polymers are used in detergents, specialty esters, coatings, adhesives water treatment, dispersant, and others (horticulture, soil conditioning, landscaping, cables, and drilling fluids). The global glacial acrylic acid market is dominated by Cross-linked Polymers on the back of strong demand of SAPs from diapers, adult Incontinence and feminine hygiene products.
One of the key drivers of the glacial acrylic acid market is the growing demand for
superabsorbent polymers (SAPs) in the personal care industry. SAPs are used in a range of products, such as diapers, sanitary napkins, and adult incontinence products, to absorb and retain moisture. Another major driver of the glacial acrylic acid market is the growth of the construction industry. Glacial acrylic acid is used in a range of construction applications, such as coatings, adhesives, and sealants, due to its excellent adhesive and bonding properties. The increasing demand for eco-friendly construction materials is also expected to drive the growth of the glacial acrylic acid market, as GAA can be used to produce sustainable and environmentally friendly products.
The Asia-Pacific is estimated to be the largest market for glacial acrylic acid, on the back of strong growth of various end-use industries in is the region. China is the largest consumer of glacial acrylic acid market in the region, due to the increasing demand for SAPs and coatings in the country. In terms of trade, Saudi Arabia, China, Belgium, and Germany control over 50% of the acrylic acid exports globally. While India, Malaysia, Netherlands, and France are the major importers. The glacial acrylic acid market is highly competitive, with many manufacturers operating in the market. Some of the key players in the market include BASF SE, Nippon Shokubai, Arkema S.A., LG chemicals, and Mitsubishi Chemical. In terms of capacity, top 10 producers control over half of acrylic acid production. These companies are focusing on expanding their production capacities and developing new products to cater to the growing demand for GAA across various end-use industries. In addition to its use in SAPs and construction applications, glacial acrylic acid is also used in the production of water treatment chemicals, such as flocculants and coagulants, due to its ability to improve water quality.
One of the major challenges faced by the glacial acrylic acid market is the volatility of raw material prices. Acrylic acid, which is the primary raw material used in the production of glacial acrylic acid, is derived from propylene, which is a by-product of the petroleum industry. The prices of propylene are highly volatile, which can affect the profitability of glacial acrylic acid manufacturers. In addition, the increasing environmental regulations and concerns regarding the use of petrochemicals are expected to hamper the growth of the glacial acrylic acid market. Despite these challenges, the glacial acrylic acid market is expected to continue to grow in the coming years, driven by the increasing demand for SAPs and eco-friendly construction materials.
Recent Developments in the glacial acrylic acid market
- BASF announced acrylic acid complex at Zhanjiang Verbund site in China. The complex is expected to start production of Glacial acrylic acid by 2025.
- Nippon Shokubai has started new Acrylic Acid plant in Cilegon, Indonesia. The production capacity of this complex is 100 kilo tons per year.
- BASF Petronas Chemicals is planning to increase the production capacity of its acrylic acid, glacial acrylic acid and butyl acrylate plants located in Kuantan, Malaysia, at the Verbund site. The expansion is estimated to be completed and operational by 2021, and it is aimed at meeting the rising demand for acrylic monomers in the Asia Pacific region.