NEW
YORK, July 3, 2024 /PRNewswire/ -- The global
caustic soda market size is estimated to grow by USD 10.06 billion from 2024-2028, according to
Technavio. The market is estimated to grow at a CAGR of
4.39% during the forecast period. Increasing demand
from alumina industry is driving market growth, with a
trend towards increasing production capacity for caustic soda.
However, fluctuations in caustic soda prices poses a
challenge. Key market players include Aditya Birla Management Corp.
Pvt. Ltd., Arkema Group, BASF SE, Braskem SA, Covestro AG, Dow
Chemical Co., Formosa Plastics Corp., Genesis Energy LP, Gujarat
Alkalies and Chemicals Ltd., INEOS AG, Kemira Oyj, Nouryon
Chemicals Holding BV, Occidental Petroleum Corp., Olin Corp., Shin
Etsu Chemical Co. Ltd., Solvay SA, Superior Plus Corp., Tata Sons
Pvt. Ltd., Tosoh Corp., and Westlake Corp..
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Caustic Soda Market
Scope
|
Report
Coverage
|
Details
|
Base year
|
2023
|
Historic
period
|
2018 - 2022
|
Forecast
period
|
2024-2028
|
Growth momentum &
CAGR
|
Accelerate at a CAGR of
4.39%
|
Market growth
2024-2028
|
USD 10066.9
million
|
Market
structure
|
Fragmented
|
YoY growth 2022-2023
(%)
|
4.13
|
Regional
analysis
|
APAC, North America,
Europe, South America, and Middle East and Africa
|
Performing market
contribution
|
APAC at 73%
|
Key
countries
|
China, US, India,
Japan, and Germany
|
Key companies
profiled
|
Aditya Birla Management
Corp. Pvt. Ltd., Arkema Group, BASF SE, Braskem SA, Covestro AG,
Dow Chemical Co., Formosa Plastics Corp., Genesis Energy LP,
Gujarat Alkalies and Chemicals Ltd., INEOS AG, Kemira Oyj, Nouryon
Chemicals Holding BV, Occidental Petroleum Corp., Olin Corp., Shin
Etsu Chemical Co. Ltd., Solvay SA, Superior Plus Corp., Tata Sons
Pvt. Ltd., Tosoh Corp., and Westlake Corp.
|
Market Driver
The global caustic soda market is experiencing growth due to
rising demand from industries like alumina and paper & pulp.
Vendors, including Westlake Chemical Corporation, are expanding
production capacity to meet this demand. Westlake is setting up a
new plant in Germany, increasing
chlor-alkali production by 25 million metric tons of chlorine and
27 million metric tons of caustic soda. This expansion will support
the production of ethylene dichloride and caustic soda, with an
initial capacity of 130 thousand metric tons per year, expanding to
260 thousand metric tons in the second phase. The market is
expected to grow by 4%-6% during the forecast period, primarily in
APAC, South America, and MEA.
Alumina, PVC, and pulp mills' expansion drives the need for more
caustic soda production. In the Middle
East, with low energy costs, more projects are expected to
arise, further supporting market growth.
The Caustic Soda market has seen significant demand in various
industries. Chemicals are a major consumer, using caustic soda in
the production of chlorine and other chemicals. The pulp and paper
industry also utilizes caustic soda in the bleaching process. In
the water treatment sector, caustic soda is used for pH adjustment
and water softening. The soap and detergent industry uses caustic
soda in the manufacturing process. The demand for caustic soda is
driven by its wide application in different sectors. The market for
caustic soda is expected to grow due to increasing demand from
various industries. The production capacity is expanding to meet
the growing demand. Caustic soda is a crucial ingredient in many
industrial processes and its demand is on the rise.
Research report provides comprehensive data on
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Report
Market Challenges
- The caustic soda market faces challenges from price volatility,
which impacts growth. End-user industries' demand and production
patterns influence prices. Global economic conditions and aluminum
demand are significant factors. Regions have varying pricing
structures due to tariffs. Destocking and plant closures can
decrease consumption and increase prices, squeezing manufacturers'
profit margins. Price volatility remains a concern for market
expansion during the forecast period.
- The Caustic Soda market faces several challenges in its
production and application. One major challenge is the high
production cost due to the energy-intensive chlor-alkali
process. Another challenge is the strict regulations regarding the
handling and disposal of caustic soda, which increases operational
costs. Additionally, the demand for caustic soda is volatile due to
its wide range of applications, making it difficult for
manufacturers to maintain consistent production levels.
Furthermore, the increasing competition in the market puts pressure
on prices, making it essential for companies to optimize their
production processes and costs to remain competitive. Lastly, the
rising trend of using greener and more sustainable alternatives to
caustic soda is another challenge that the industry must address to
remain relevant in the long term.
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challenges - Request a sample report!
Segment Overview
This caustic soda market report extensively covers market
segmentation by
- Application
- 1.1 Organic chemical products
- 1.2 Soaps/detergents/textiles
- 1.3 Paper and pulp
- 1.4 Aluminum
- 1.5 Others
- Method
- 2.1 Membrane cell process
- 2.2 Diaphragm cell process
- 2.3 Mercury cell process
- Geography
- 3.1 APAC
- 3.2 North America
- 3.3 Europe
- 3.4 South America
- 3.5 Middle East and
Africa
1.1 Organic chemical products- The organic
chemical products segment is the largest application in the global
caustic soda market, driven by its use in manufacturing organic
acids, resins, and chemicals like epoxy resins, propylene oxide,
and polycarbonates. Caustic soda's role as a reactant in producing
these chemicals, particularly propylene oxide, has significant
market implications. However, the emergence of alternative
production methods using cumene hydroperoxide or hydrogen peroxide
may impact caustic soda consumption. The growing epoxy resin
market, which is expected to expand at a CAGR of 6%-7%, will
continue to fuel caustic soda demand due to its use in epoxy resin
production.
For more information on market segmentation with geographical
analysis including forecast (2024-2028) and historic data
(2017-2021) - Download a Sample Report
Research Analysis
The Caustic Soda market is a significant segment of the
commodity and specialty chemicals industry, with applications
ranging from chlorine production and pulp and paper manufacturing
to soap and detergent production and various other industries. Key
chemicals involved in the production of caustic soda include
titanium dioxide, aluminum, and water vapor. Aerosol compounds,
silica, and asbestos are sometimes used as additives. The hydroxide
anion, a primary component of caustic soda, plays a crucial role in
various chemical reactions. The demand for caustic soda is driven
by the growth of industries such as pulp and paper,
pharmaceuticals, and emerging economies. Chlorine derivatives,
including caustic soda, are essential for the production of soaps
and detergents. However, environmental concerns related to the
production and use of caustic soda are a significant challenge for
market growth.
Market Research Overview
The Caustic Soda market refers to the global trade of this
inorganic compound, primarily used as a strong base in various
industries. Its production involves the chlor-alkali process, which
also yields hydrochloric acid and sodium hydroxide. Caustic soda is
utilized in diverse applications, such as in the production of pulp
and paper, textiles, soaps and detergents, and in water treatment.
The demand for caustic soda is driven by the growth of these
industries, particularly in developing countries. The market is
characterized by its volatility due to the price fluctuations of
its raw materials and the intense competition among its producers.
The market size is significant, with a large consumption volume and
a growing demand for sustainable and cost-effective production
methods. The market trends include the increasing use of caustic
soda in the production of chlorine and PVC, as well as the
development of new applications in the chemical and pharmaceutical
industries. The market is also subject to regulatory oversight due
to the hazardous nature of caustic soda and the need for safe
handling and disposal.
Table of Contents:
1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation
- Application
-
- Organic Chemical Products
- Soaps/detergents/textiles
- Paper And Pulp
- Aluminum
- Others
- Method
-
- Membrane Cell Process
- Diaphragm Cell Process
- Mercury Cell Process
- Geography
-
- APAC
- North America
- Europe
- South America
- Middle East And Africa
7 Customer Landscape
8 Geographic Landscape
9 Drivers, Challenges, and Trends
10 Company Landscape
11 Company Analysis
12 Appendix
About Technavio
Technavio is a leading global technology research and advisory
company. Their research and analysis focuses on emerging market
trends and provides actionable insights to help businesses identify
market opportunities and develop effective strategies to optimize
their market positions.
With over 500 specialized analysts, Technavio's report library
consists of more than 17,000 reports and counting, covering 800
technologies, spanning across 50 countries. Their client base
consists of enterprises of all sizes, including more than 100
Fortune 500 companies. This growing client base relies on
Technavio's comprehensive coverage, extensive research, and
actionable market insights to identify opportunities in existing
and potential markets and assess their competitive positions within
changing market scenarios.
Contacts
Technavio Research
Jesse Maida
Media & Marketing Executive
US: +1 844 364 1100
UK: +44 203 893 3200
Email: media@technavio.com
Website: www.technavio.com/
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SOURCE Technavio