Acrylic Acid Market Expected To Reach $ 19.2 Billion by 2030

According to a new published report by Allied Market Research titled, “Acrylic acid Market by Derivative Type and End-User: Global Opportunity Analysis and Industry Forecast, 2021–2030,” the global acrylic acid market size was valued at $12.0 billion in 2020, and is projected to reach $19.2 billion by 2030, growing at a CAGR of 4.8% from 2021 to 2030.

Acrylic acid is an organic compound, which acts as a precursor for various chemical processes and an intermediary for industrial processes such as surface coating, paper treatment, plastic additives, textiles, sealants, and adhesives. Furthermore, it is also used to make plastics, molding powder for signs, construction units, decorative emblems and insignias, polymer solutions for coatings applications, emulsion polymers, paint formulas, leather finishing, and paper coatings, among other things. It is also used in medicine and dentistry for dental plates, artificial teeth, and orthopedic cement. Acrylic acid monomer is commonly utilized in latex applications to improve stability and avoid premature coagulation, leading to breaking of emulsion in coating applications.

The global acrylic acid market is expected to grow at a considerable rate with the rising demand in emerging economies for superabsorbent polymers, water treatment processes, and surface coating applications. Acrylic-based adhesives and sealants have high bond strength and excellent resistance for absorbing water and solvents, thus finding application in the medical and construction sector. However, volatile prices of raw derivative type and stringent regulations pertaining to environmental protection hinder its market growth.

On the basis of derivative type, the acrylic polymer segment dominated the global acrylic acid market in 2020, and is expected to maintain its dominance during the forecast period, owing to increasing adoption of superabsorbent polymers by the manufacturers of disposable diapers.

On the basis of end-user, the diapers segment dominated the global acrylic acid market in terms of revenue, in 2020, owing to rapid rise in consumers’ disposable income and growth in urbanization are driving the adoption of acrylic based diapers in emerging and developed economies.

Major players operating in the global acrylic acid market include Mitsubishi Chemical Holdings Corporation, Arkema S.A., BASF SE, The Dow Chemical Co., The Lubrizol Corporation, Evonik, Industries Ag, LG Chem Ltd., Myriant Corporation, Formosa Plastic Group, and SIBUR.

Key Findings Of The Study

• On the basis of derivative type, the acrylic polymer segment emerged as the global leader by acquiring more than 47.0% of the market share in 2020.
• On the basis of end-user, the diapers segment emerged as the global leader by acquiring more than 27.0% of the market share in 2020.
• On the basis of region, Asia-Pacific is the major consumer of acrylic acid among other regions. It accounted for around 53.7% of the global market share in 2020.

Impact Of Covid-19 On The Global Acrylic Acid Market

Superabsorbent polymers (SAP) manufacturers benefitted from a short-term hike in sales as consumers sought to stock up on nappies and other hygiene products owing to national lockdowns implemented due to the COVID-19 pandemic. This was particularly noticeable in the European and American markets, where there was a surge in demand that resulted in a temporary tightening of the system and empty grocery shelves. However, as the supply chain was normalized and buying habits restored to a more typical pattern, the situation was relieved.

The construction industry has faced difficulties as a result of the COVID-19 epidemic, including logistics and shortage of raw derivative type. Attributed to the massive drop in financial markets around the world, it is projected that construction investments have been withdrawn globally. As a result, the demand for acrylic acid has decreased. The restrictions imposed by governments to combat the virus's impacts may result in lack of raw derivative type and people as well as disrupted supply chains, making it more difficult to meet contractual responsibilities. Furthermore, COVID-19 pandemic has forced builders to postpone the projects. These factors will hinder the acrylic acid market growth.

According to the International Finance Corporation, due to the COVID-19 crisis, it is expected to slow down global investments in the water sector. According to a survey conducted by Global Water Leaders Group, the outbreak will reduce industrial water demand by about 27%. As a result, demand for water treatment chemicals is expected to fall in the water sector, which will negatively impact the acrylic acid market.