Acrylic acid, a key raw material used in the production of superabsorbent polymers (SAPs), paints, adhesives, and coatings, is an essential industrial chemical. Its versatile applications in various sectors, including textiles, paints and coatings, construction, and personal care, have significantly contributed to the market’s robust growth. The global Acrylic Acid Market Size was valued at around 8.44 million metric tons (MMT) in 2023 and is projected to reach 13.21 MMT by 2032, growing at a Compound Annual Growth Rate (CAGR) of 5.1% during the forecast period of 2024 to 2032.
Key Benefits of Acrylic Acid
- Versatility in Applications: Acrylic acid is used extensively in superabsorbent polymers, paints, coatings, adhesives, and textiles. Its wide range of applications provides consistent demand across industries, supporting long-term growth.
- Cost-effective: Acrylic acid is produced through relatively cost-efficient processes, making it a competitive material for manufacturers across sectors.
- Environmental Benefits: Acrylic acid derivatives, such as bio-based acrylic acid, are gaining traction due to their lower environmental footprint, aligning with the growing global focus on sustainability.
Key Industry Developments
The global acrylic acid market has witnessed several advancements, including:
- Technological Innovations: The industry is increasingly investing in bio-based acrylic acid production processes to reduce reliance on fossil fuels. Companies like BASF and Dow have made significant strides in developing bio-based alternatives.
- Expansion of Production Capacities: Major acrylic acid producers have been expanding their manufacturing capabilities to meet the growing demand, especially from emerging economies in Asia-Pacific and the Middle East.
- Partnerships and Mergers: Several players are pursuing mergers, acquisitions, and strategic partnerships to strengthen their market positions. For instance, BASF and SABIC formed a strategic alliance to bolster their acrylic acid production and distribution channels.
Driving Factors
Several factors are contributing to the growth of the global acrylic acid market:
- Growing Demand for Superabsorbent Polymers: The demand for superabsorbent polymers in personal hygiene products such as diapers, adult incontinence products, and feminine hygiene items is a significant driver of the acrylic acid market.
- Expansion of the Paints and Coatings Industry: Acrylic acid is a vital component in paints and coatings, particularly in the automotive, construction, and home décor sectors. The expanding global construction industry, coupled with increasing consumer demand for durable, high-quality paints and coatings, is driving market growth.
- Rising Adoption in the Textile Industry: Acrylic acid is extensively used in the textile sector for applications such as fabric treatments, coatings, and water repellents. As demand for high-performance textiles grows, the market for acrylic acid is expected to expand.
- Urbanization and Industrialization in Emerging Markets: Rapid urbanization, especially in regions like Asia-Pacific, the Middle East, and Latin America, is boosting demand for acrylic acid in construction, paints, and coatings applications.
Restraining Factors
Despite the growth prospects, the acrylic acid market faces certain challenges:
- Environmental Concerns and Sustainability: The conventional production of acrylic acid, derived from petroleum-based feedstocks, poses environmental concerns. The growing shift towards sustainable, bio-based alternatives might pose a challenge to traditional manufacturers.
- Fluctuating Raw Material Prices: The market is sensitive to fluctuations in the price of raw materials, especially propylene, which is a key feedstock for acrylic acid production. Price volatility can impact profit margins and hinder market growth.
- Health and Safety Regulations: Stringent regulations related to the handling and use of acrylic acid in various industries may increase operational costs, limiting market growth in certain regions.
Market Segmentation
The global acrylic acid market can be segmented by application, production process, and region:
By Application
- Superabsorbent Polymers (SAPs): The largest application segment, driven by demand from the personal hygiene and agricultural sectors.
- Paints and Coatings: Acrylic acid is used in the production of waterborne, solventborne, and powder coatings, which are widely used in the automotive, construction, and industrial sectors.
- Adhesives and Sealants: Acrylic acid plays a crucial role in manufacturing adhesives and sealants, particularly for use in automotive and construction industries.
- Textiles: Used in fabric treatments and coatings for improved durability and water resistance.
- Others: Includes applications in detergents, cosmetics, and oilfield chemicals.
By Production Process
- Propylene-based Acrylic Acid: Currently, the most commonly used production process, where propylene undergoes oxidation to form acrylic acid.
- Bio-based Acrylic Acid: The growing demand for sustainable alternatives has led to an increase in bio-based acrylic acid production, although it remains a smaller market share compared to traditional processes.
By Region
- Asia-Pacific: The largest regional market for acrylic acid, driven by strong demand from China and India, which are key consumers of acrylic acid in the construction, textile, and personal care industries.
- North America: A significant market due to the strong demand for acrylic acid in automotive, construction, and paints industries.
- Europe: A well-established market for acrylic acid, driven by demand in industries such as paints and coatings, adhesives, and textiles.
- Latin America: A growing market due to increasing demand from the construction and automotive sectors.
- Middle East & Africa: Expanding markets in countries such as Saudi Arabia and the UAE, driven by infrastructure development and industrialization.
Market Outlook
The outlook for the global acrylic acid market is positive, with sustained demand expected from key industries such as superabsorbent polymers, paints and coatings, adhesives, and textiles. The market will continue to be driven by urbanization, increasing consumer demand for hygiene products, and the shift toward sustainable production methods.
The shift towards bio-based acrylic acid is expected to gain momentum, particularly with advancements in production technologies. Additionally, the rapid growth of emerging economies in Asia-Pacific and the Middle East will contribute significantly to market expansion.
Industry Trends
- Bio-based Acrylic Acid: Increasing focus on sustainability is driving the development of bio-based acrylic acid, which is produced from renewable feedstocks, such as sugars, reducing the dependency on petroleum-based raw materials.
- Product Innovation: Manufacturers are focusing on developing new products and improving the performance of acrylic acid derivatives, such as enhancing the performance of superabsorbent polymers for improved hygiene products.
- Growing Demand for High-performance Coatings: The increasing demand for durable, high-quality coatings, particularly in automotive and construction sectors, is expected to continue to drive acrylic acid consumption.
- Automation and Digitalization: The trend towards automation in acrylic acid production facilities is expected to reduce operational costs and improve production efficiency.
Regional Analysis and Insights
- Asia-Pacific is expected to remain the dominant region, with China and India being key markets. The growth of the construction, automotive, and textile industries in these regions is driving acrylic acid demand.
- North America is seeing strong demand from the automotive, construction, and paints industries. The US and Canada are expected to remain key consumers.
- Europe has a mature acrylic acid market, with strong demand from the paints, coatings, and adhesives sectors, particularly in Germany, France, and the UK.
- Latin America is a growing market, with increasing demand from the construction and automotive sectors, particularly in Brazil and Mexico.
- Middle East & Africa are emerging markets driven by infrastructure development, industrialization, and growing demand for paints and coatings.
Major Key Players
- BASF SE
- Nippon Shokubai Co. Ltd.
- The Dow Chemical Company
- Arkema Group
- LG Chem. Ltd.
- Shanghai Huayi Acrylic Acid Co., Ltd
- Evonik Industries AG
- Mitsubishi Chemical Corporation
- SIBUR International GmbH
- Satellite Chemical Co.,Ltd.
- Wanhua Petrochemical (Yantai) Co., Ltd.
- Toagosei Co., Ltd
- China Petroleum & Chemical Corporation
- Others
Opportunities
- Expansion into Emerging Markets: Companies have significant growth opportunities in emerging markets, particularly in Asia-Pacific, Africa, and Latin America, where industrialization and urbanization are driving demand.
- Innovation in Bio-based Acrylic Acid: With the global push for sustainability, investing in bio-based acrylic acid production presents opportunities for companies to lead in environmentally-friendly solutions.
- Increased Use in Agriculture: Acrylic acid is used in agriculture for water retention and soil conditioning, presenting opportunities in the growing agricultural sector.
Challenges
- Sustainability Pressure: Increasing regulatory pressures around sustainability and environmental impact could challenge traditional acrylic acid production methods.
- Raw Material Price Volatility: Price fluctuations in key raw materials, particularly propylene, pose a challenge to manufacturers and impact overall market stability.
- Intense Competition: The acrylic acid market is highly competitive, with numerous global players vying for market share.
