ID: MRFR/CnM/2280-CR | July 2017 | Region: Global | 124 pages
Glyoxylic Acid Market overview:
The Glyoxylic Acid Market is expected to have a CAGR of 5.27% until the end of 2023. It’s expected to be worth the US $849.1 million by then. The glyoxylic acid market is anticipated to reach USD 849.1 Mn in 2023 end from USD 76.7 Mn in 2016.
Glyoxylic acid is naturally derived (it’s an organic compound.) It’s valuable because it serves as a catalyst in many chemical reactions. These are reactions that industries use to make various everyday products and goods.
Glyoxylic acid can be further broken down. It produces the following compounds:
allantoin, vanillin, among others. Many industries that make bikes and other useful products rely on the ways in which these compounds speed up naturally occurring chemical reactions. These compounds can also cause chemical reactions that are not natural to occur. This is invaluable since it would be impossible to make many products that we rely upon without these chemical reactions.
COVID-19 became a problem around the world in March of 2020. When it appeared, it seemed to be a nuisance virus at first, which people could easily recover from. However, as the months progressed, it became obvious that it was a dangerous disease with (rarely) deadly outcomes. Governments around the world sought to stop the spread of the virus by imposing temporary quarantines and indefinite lockdowns.
Many industries were adversely affected by the economic slowdown, and the glyoxylic acid marketwas no exception. Manufacturers found that the raw materials needed to make this natural compound were in short supply. Since they were forced to pay higher prices for raw materials, they found that their manufacturing costs increased dramatically. They were forced to pass the cost increase onto the end consumer in the form of higher prices. This lead to a temporary slump in glyoxylic acid sales.
● Akema Fine Chemicals - Italy
● Hubei Hongyuan Pharmaceutical Technology Co. Ltd - China
● Stan Chemicals - China
● WeylChem International Gmbh - China
● Zhonglan Industry Co - China
● Haihang Industry Co. Ltd - China
● Zhonghua Chemical - China
Many more manufacturers are responding to the increased demand for some of the derivatives of glyoxylic acid. They are producing these derivatives in bulk since it’s lucrative to do so. One such derivative is allantoin. This is a key driver of growth in the global glyoxylic acid market.
However, there are other key drivers as well. One is the fact that people around the world desire to consume healthier foods that last longer and don’t contain as many man-made preservatives. This is forcing food manufacturers to seek out natural (organic) substitutes. This is the reason why the demand for vanillin is skyrocketing. This is a natural and safe preservative that keeps foods fresher for longer!
There is increased demand for personal care products. This is leading to an increased demand for allantoin since this compound is used in the manufacture and preservation of many lotions and other personal care products. Allantoin plays a key role as a keratolytic ingredient in this market. Allantoin has the highest market share of all of the glyoxylic acid compounds.
Vanillin is used as a major preservative for many foods. It also helps enhance their natural odors. Since people want to eat more natural foods, demand for this compound is set to skyrocket. The increased demand for this compound is encouraging manufacturers to engage in research and development to come up with more innovative compounds that will have applications that reach far beyond existing applications. Manufacturers also want to enter new markets with these applications.
Personal care and pharma present a major opportunity for the global glyoxylic acid market.Women around the world want more natural cosmetics. The same is true for people and the pharma industry. In fact, they’re willing to pay a premium for these products. This is encouraging manufacturers to experiment to find new and innovative applications that will help them enter into new markets.
COVID-19 has pushed the prices of glyoxylic acid and its compounds up. This will hold back sales at least temporarily.
Manufacturers may face roadblocks in terms of trying to find innovative new applications for these compounds through extensive research and development.
Stan Chemicals is a Chinese multinational. It’s a major player in the glyoxylic acid market. The results have been the creation of a new generation of more effective acrylic products. These have innovative applications in a wide variety of industries. They are great for waterproofing and varnishing buildings. They also provide an extra layer of protection for these buildings.
They are strong, long-lasting, and provide an extra layer of insulation in the buildings that they are used in.
The glyoxylic acid market is segmented into the following derivatives: vanillin, P-hydroxy-phenylglycine, DL-p-hydroxy, allantoin, and 2-hydroxyl-phosphine acetic acid. These are just some of the compounds that belong to the derivatives category.
The glyoxylic acid market can be broken down into the following based on application: personal care, cosmetic ingredients, pharma, aromas, and agrochemicals. These are just some of the applications that the glyoxylic acid compounds can be used for.
The glyoxylic acid market is separated into the following regions: Asia-Pacific, North America, Middle East, and North Africa, the European Union, and Latin America. The Asia-Pacific region uses these compounds the most intensively in manufacturing operations and processes. This is especially true in China since it’s a global manufacturing hub. Maybe this is why all of the major glyoxylic acid manufacturers are Chinese.
Some major Chinese players include Industry Co and Haihang Industry, Co, LTD. Akema Fine Chemicals is an Italian company. However, it does have a significant presence in China. Approximately 45% of all glyoxylic acid is made in China. The Chinese are expected to retain this dominant market share until at least the end of 2023.
The North American region manufactures and uses glyoxylic acid and its compounds, but not as intensively as China or the Asia-Pacific region. The reason why North America is a key player in this market even though consumption is a bit lower in this region is that this is where the middle classes with good purchasing power are in large numbers and concentration. It’s also because consumers in this region are very health and environmentally conscious. Therefore, they are willing to pay a premium for goods that they know were made with natural materials and under manufacturing conditions that are safe for the environment.
The European Union has the third-largest consumption of glyoxylic acid and its compounds of all global regions. The European Union has a large middle class (though not as strong and numerous as the ones in North America are.) This middle class in Europe has strong purchasing power. Also, these middle classes and the European masses are very health and environmentally conscious. Like their North American counterparts, they’re willing to pay a premium for products that they know are healthy and were made in conditions that respect the environment.
The global glyoxylic acid marketremains very competitive. One reason is that there are substantially lower barriers to entry. Another key reason is that the Chinese dominate the market both in terms of production and consumption. They are very jealous of the market and therefore are loath to let newcomers enter into the market easily.
Companies are finding that they have to invest heavily in research and development to come up with a new generation of technologically advanced and innovative products. They also have to make sure that these products and compounds don’t affect human or animal health and are friendly to the environment. Companies are also entering into strategic partnerships. The intention is to enter into newer markets faster and easier. But these companies find that strategic partnerships help them keep their market share in existing markets easier. They find the same is true with mergers and acquisitions.
Stan Chemicals is one company that has found that investing heavily in research and development has its own advantages. For example, they are able to develop a new generation of more innovative and effective compounds that are more technologically advanced. This is allowing them to find innovative and useful applications for these compounds in a wider range of industries. The end consumer is satisfied as a result.
Stan Chemicals comes up with reactor 4
The global glyoxylic acid marketis growing at a CAGR of 5.27%. The Chinese dominate the industry. The compounds are increasingly used in personal care, cosmetics, and food products because they don’t affect human and animal health adversely. They are also safe for the environment.
|Historical Data||2019 & 2020|
|Forecast Units||Value (USD Million)|
|Report Coverage||Revenue Forecast, Competitive Landscape, Growth Factors, and Trends|
|Segments Covered||By Derivatives, Application and Region|
|Geographies Covered||North America, Europe, Asia-Pacific, and Rest of the World (RoW)|
|Key Vendors||Akema Fine Chemicals - Italy, Hubei Hongyuan Pharmaceutical Technology Co. Ltd - China, Stan Chemicals - China, WeylChem International Gmbh - China,Zhonglan Industry Co - China, Haihang Industry Co. Ltd - China, Zhonghua Chemical - China|
|Key Market Opportunities||There is increased demand for personal care products.|
|Key Market Drivers||One such derivative is allantoin.|
Frequently Asked Questions (FAQ) :
Glyoxylic acid (oxo-acetic acid) is an organic compound used as a chemical intermediate across the industries. Personal care & cosmetics ingredients, aromas, pharmaceutical, and agrochemicals, are the major applications of glyoxylic acid.
The valuation of the global glyoxylic acid market is anticipated to escalate to USD 849.1 MN by 2023 from USD 76.7 MN in 2016.
The global glyoxylic acid market is estimated to expand at 5.27% CAGR over the forecast period (2017-2023).
Asia Pacific holds the largest share in the global glyoxylic acid market, followed by North America and Europe, respectively.
Hubei Hongyuan Pharmaceutical Technology Co. Ltd, Akema Fine Chemicals, Stan Chemicals, Zhonglan Industry Co., WeylChem International GmbH, Zhonghua Chemical, and Haihang Industry Co. Ltd., are some of the major players operating in the glyoxylic acid market.