Caprolactam Market is projected to be worth USD 18.63 Billion by 2028, registering a CAGR of 8.40% during the forecast period (2021-2028).
An important driver driving the global caprolactam market is the growing demand for nylon as a synthetic fiber in end-use industries such as automotive, transportation, textiles, and home furnishings. It is also widely used for manufacturing engineered resins and films, which find usage in agricultural, packaging, medical, and military industries. Fast-paced industrialization in developing nations and high investments in expanding these industries in the developed nations fuel the demand for synthetic fibers; this drives the demand for caprolactam.
COVID-19 Impact on the Caprolactam Market:
The spread of the global Covid pandemic has fundamentally affected the caprolactam market and has additionally affected the creation, manufacturing, and advertising levels of the market products to an impressive degree. Since the arrival of the coronavirus pandemic worldwide in March 2020, by far most of the assembling and manufacturing units have either shut down because of the lockdown and limitations forced, or some have given up in rising competition and further, constrained the stoppage of the market undertakings as there has been a decrease in the accessibility of market assets and raw materials for ideal production. The market tasks are further, being hampered because of the severe working hours and burden of standards on the skilled labor.
The spread of the Covid-19 pandemic has been given from people to the corporate world and working of the worldwide market players and contenders. Like, the MNC's are moving to the technique for telecommuting and changing to virtual working. The rising dependence on the web is transforming into a cruel reality. The caprolactam market size is headed to improvement due to the rising ventures and various product portfolios at the international market scale. The rising investments in the research and development departments are fueling the chances for the expansion of the market operations during the forecast period.
By End Use
North America is expected to emerge as the fastest-growing regional market due to various factors such as increasing use of molded components of plastics, availability of raw materials, and development of various end-use industries such as packaging and others. The US is anticipated to dominate the North American market over the forthcoming years.
European market can lead to an increase in manufacturing of product from various countries, including Italy, Turkey, and Germany. Moreover, a wide range of application in paint and coatings for protective film applications further provides lucrative opportunities to the regional market growth. Furthermore, there are nearly 61,800 plastic companies present in Europe, with around 20 raw material producers of caprolactam and around 1000 converting companies of plastic is offering an optimistic growth for caprolactam in this region.
The growth in the Asian textile industry, constantly changing fashion trends, growth in the packaging industry are a few factors leading to the growth of the caprolactam market in this region. In the recent past, the consumption of caprolactam has grown remarkably in the textile industry owing to the presence of key producers in this region. China, India, Uzbekistan, Brazil, Japan, South Korea, Thailand, Vietnam, Iran, etc., are the key producers of textile fabrics across the globe.
Latin America is expected to show moderate growth in the market due to social and economic instability in the region.
In Middle East and Africa, due to political turmoil and ecomic instability growth in this region is expected to be moderate over the forecast period. However, improving conditions are anticipated to provide healthy growth opportunities to over mid term and longterm forecast.
The global Caprolactam market is characterized by the presence of global, regional, and local players, which are segregated into BASF SE (Germany), Honeywell International Inc (US), Kuibyshevazot (Russia), China Petroleum & Chemical Corporation (Sinopec Limited) (China), LANXESS (Germany), DSM (Netherland), Toray Industries (Japan), Sumitomo Chemical Company Limited (Japan), UBE Industries (Japan) and China Petrochemical Development Corporation (China). The global market remains fragmented with the majority of companies like BASF SE, Honeywell International Inc, Toray Industries, LANXESS, Sumitomo Chemical Company Limited hold the largest share of the global caprolactam market. The global market for caprolactam is anticipated to grow at a healthier CAGR during the forecast period, owing to the increasing demand from the packaging and textile industries.
Furthermore, the growing application of caprolactam in textile stiffeners, films coating, plastics and the production of nylon 6 is expected to offer optimistic opportunities to manufacturers in the coming years. However, players such as BASF SE, DSM and Honeywell has increased the prices of caprolactam product, which is expected to hinder the growth of the market studied significantly.
The key manufacturers of caprolactam compete based on manufacturing cost, product durability, availability of raw materials, and product quality. They are engaged in expanding their production capacity and investing in R&D activities to gain an edge over competitors.
Some of the key developments include:
The Caprolactam market is segmented by source, end use and region in the report. In terms of insights, this report has focused on various levels of analysis such as market dynamics, value chain analysis, Porter's five forces, competitive landscape, and company profiles—all of which comprise and discuss views on the global Caprolactam emerging and fast-growing segments, regions, and countries.
Objectives of the Study
|Market Size||2028: USD 18.63 Billion|
|Forecast Period||2021 to 2028|
|Forecast Units||Value (USD Billion)|
|Report Coverage||Revenue Forecast, Competitive Landscape, Growth Factors, and Trends|
|Segments Covered||Source and End USe|
|Geographies Covered||North America, Europe, Asia-Pacific, and Rest of the World (RoW)|
|Key Vendors||BASF SE, Honeywell International Inc, Kuibyshevazot Ojsc, China Petroleum & Chemical Corporation (Sinopec Limited), Lanxess Ag, Royal DSM N.V., Shandong Haili Chemical Industry Co. Ltd., Sumitomo Chemical Company Limited, UBE Industries, China Petrochemical Development Corporation (CPDC)|
|Key Market Opportunities||Rapid adoption of bio-based caprolactam|
|Key Market Drivers||Widespread use in the textile industry|
The global Caprolactam market would register a growth of 8.40% .
Volatile raw material prices
The global Caprolactam market is characterized by the presence of global, regional, and local players, which are segregated into BASF SE (Germany), Honeywell International Inc (US), Kuibyshevazot (Russia), China Petroleum & Chemical Corporation (Sinopec Limited) (China), LANXESS (Germany), DSM (Netherland), Toray Industries (Japan), Sumitomo Chemical Company Limited (Japan), UBE Industries (Japan) and China Petrochemical Development Corporation (China).