ID: MRFR/CnM/0970-CR | February 2021 | Region: Global | 449 pages
Caustic Soda is used mainly for building blocks in industrial processes. As it contains the NaOH formula, it is highly corrosive in both liquid and solid forms. In contact with skin, it can cause skin rashes as well. The Global Caustic Soda Market is expected to register 5.92% CAGR and reach approximately USD 63,415.1 Million by the end of 2027.
As caustic soda is also commonly used for different industries such as soaps & detergents, paper & pulp, textile finishing, water treatment, metal processing, refining bauxite, and others. In the past few years, the demand for caustic soda has increased a lot. The increased demand for paper has also increased the growth of the market for caustic soda. Rising demand for tissues, graphic paper, and others have propelled the growth of this market very much.
Covid 19 Analysis
COVID 19 pandemic has affected almost all the industries around the world. The caustic soda market is one of them, which suffered a significant revenue loss during the pandemic. It has affected the supply chain and production in the caustic soda market. In most of the regions, the productions were paused during the pandemic. Recently, most of them started to open and work very hard to meet the market requirements.
Because of the COVID 19 spread, people started to use disposable paper products that increased the demand for the caustic soda market. Also, the activities such as pulp and paper, water treatment, and chemical manufacturing have increased which is connected with caustic soda market growth.
The alumina industry is closely related to caustic soda just like water treatment, pulp and paper, and chemical manufacturing. The alumina production has increased a lot in the past few years that affected the caustic soda market. During the forecast period, the industry is prepared to come up with new ideas and lightweight products that are most likely to drive the growth.
Another very important factor that is accelerating the growth of this market is the rapid expansion of the chemical industry. It is used for the manufacturing process of solvents, pharmaceuticals, inks, dyes, fabrics, herbicides, synthetic fibers, adhesives, coatings, and bleach as a reactant. So, the growth of the caustic soda market is expected to be very high in the forecast period.
The COVID 19 has affected the production and supply of chain but it has also offered plenty of opportunities for the caustic soda market to grow in the upcoming years. The use of products that are related to caustic soda has increased very much such as paper bags, paper cups, pharmaceuticals, industrial chemicals, and many more. It helped the business to grow more in the forecast period and provided opportunities to recover the loss of revenue during the pandemic. The cell technology of membrane is also expected to create growth opportunities for the market players.
There are some of the restraining factors that can hold back the growth rate of the caustic soda market. If sodium hydroxide gets mixed with tin, aluminum, zinc, copper, and others, then it can create some explosive gas mixtures and toxic substances. It can become a great treat for both animals and humans if exposed. The corrosive nature of it is expected to affect the market growth as it is not good for humans and the environment. Many other factors can hold down the growth of the market but with continued research and innovations, the market is expected to overcome it.
In the forecast period, the caustic soda market has to face many challenges that will slow down growth. Toxic gas production is created when it is exposed to tin, zinc, aluminum, and others. Also, the energy-intensive operations are also expected to impact the growth rate of the caustic soda market. In some of the regions like Europe and North America, the decline of consumption of products like PVD has also created challenges for the market growth of caustic soda.
The caustic soda market growth is expected to reach nearly USD 55.,557.7 in the forecast period with a CAGR of around 3.1%. The recorded market size of the caustic soda market was approx USD 44,959.2 in 2019. In the past few years, the market growth has increased a lot due to high demand. After COVID 19, the growth is expected to propel even more with more opportunities.
Value Chain Analysis
As caustic soda is used in many different industries such as pharmaceuticals, food, chemical, metals, paper, and others, the value of this market is very high. The demand of this market has increased recently with the rising need for paper, organic chemical, tactile, water treatment, and other industries.
The global caustic soda market is divided into 2 different segments as by type and by the application. Here the largest market share and sub-segments are given below.
Based on region, the global caustic soda market is divided into the Americas, Asia-Pacific, Europe, and Middle East & Africa. Among all of them, Asia Pacific holds the highest market share around 52.3%. The region is expected to have more than a 5.5% CAGR during the forecast period. After Asia-Pacific, the second-largest share of the market is occupied by North America with the rising demand in the paper industry. Both Middle East & Africa and Europe are also expected to have high growth by the end of 2027.
Recently, many new companies are joining the market of caustic soda with new innovations and strategies. However, here are some of the major companies of the caustic soda market such as Formosa Plastics Corporation, Solvay, Tata Chemicals Limited, AkzoNobel NV, DowDuPont, Westlake Chemical Corporation, and many more.
List of Competitive Companies
This report provides all the information about the growth of the global caustic soda market in the forecast period. There are different sections available that help to get in-depth information such as opportunities, challenges, drivers, COVID 19 analysis, regional analysis, competitive landscape, and others. All of the information is gathered from primary and secondary sources to provide the expected market growth of caustic soda by 2027.
|Market Size||2027: USD 63,415.1 Million|
|Forecast Units||Value (USD Million)|
|Report Coverage||Revenue Forecast, Competitive Landscape, Growth Factors, and Trends|
|Segments Covered||Type, Application and End-Use|
|Geographies Covered||North America, Europe, Asia-Pacific, and Rest of the World (RoW)|
|Key Vendors||Olin Corporation, Tata Chemicals Limited, Formosa Plastics Corporation, Westlake Chemical Corporation, Occidental Petroleum Corporation, Xinjiang Zhongtai Chemical Co. Ltd, Gujarat Alkalies and Chemical Limited, Hanwha Chemical, AkzoNobel NV, Covestro AG, PPG Industries, FMC Corporation, Brenntag North America Inc.|
|Key Market Opportunities|
|Key Market Drivers|
Frequently Asked Questions (FAQ) :
Among all the other regions, Asia Pacific is expected to dominate the global caustic soda market. The market of Asia Pacific in 2019 was estimated to be around USD 25.2 million. This region is expected to grow with the increasing rates of interest, customer expenditure, government subsidies, and others.
As the market is growing rapidly in most of the regions, many companies are entering the caustic soda market. However, the key layers in this market are Tata Chemicals Limited (India), Hanwha Chemical (South Korea), Aditya Birla Chemicals Limited (India), Formosa Plastics Corporation (Taiwan), Gujarat Alkalies and Chemical Limited (India), Olin Corporation (US), Xinjiang Zhongtai Chemical Company Limited (China), and others.
Some of the major driving factors for increasing the global market growth of caustic soda are increasing demand for alumina, pulps, increasing rates of interest, government fundings, rising demand for paper, and others. Apart from that, there are plenty of other factors that are supporting and propelling the growth of the caustic soda market.