The organic peroxide market size was valued at USD 1.7 billion in 2022. The organic peroxide industry is projected to grow from USD 1.77 billion in 2023 to USD 2.46 billion by 2032, exhibiting a compound annual growth rate (CAGR) of 4.20% during the forecast period (2024 - 2032).Growing demand for thermoplastics and polymers, increasing research and development activities for organic peroxide, and growing demand for lightweight materials are the key market drivers enhancing the market growth.
Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review
Market CAGR for organic peroxide is driven by the rising demand from several end-use industries such as automotive, construction, electrical & electronics, and composites. The demand for organic peroxide as a catalyst in manufacturing commodities for packaging, personal care, and detergents is estimated to fuel the organic peroxide market share during the forecast period. The increasing usage of engineered plastics has enhanced the existing manufacturing capacity of the plastic sector, thereby intensifying the requirement for organic peroxide in polymerization processes. Furthermore, rapid urbanization, increasing infrastructure activities, and industrialization are expected to enhance the demand for plastic.
The growing production of synthetic rubber and elastomers are acting as prominent driving factors for market growth for organic peroxide. As per The International Rubber Study Group (IRSG), the world production of natural rubber enhanced by 5.4% from 13.065 million tonnes in 2020 to 13.770 million tonnes in 2021. Similarly, as per the National Bureau of Statistics China, the production of tires from January to August 2021 was 596.04 million, which increased by 22.1% compared to 2020. The growing production of rubber and thermoplastics, which uses organic peroxide in manufacturing, is expected to drive organic peroxide market revenue.
The paradigm shift in the textile industry is highly based on the application of new information and communication technologies which has entirely improved the long-distance supply chain capabilities and established a virtual exchange base that made a stable interactive platform for suppliers and buyers. Such revolutionary change in the entire industry had brought consumers much closer to various products and enabled all interested parties to reconsider the role of stakeholders in the entire value chain. Higher demand for textiles over the forecast period will substantially increase the requirement for organic peroxide altogether.
Fluctuating raw material prices often play a major role in determining the future demand for manufacturing such catalysts. High raw material prices reflect the market price over the end products, eventually contributing to higher profits. The presence or absence of any end-use industry will certainly swing the demand on either side over the projected period, and the requirement for the premium product is anticipated to surge. The expanding interest of consumers' preference to use engineered plastics has increased the existing manufacturing capacity of industries, thereby escalating the requirement of products for polymerization processes drives the market for organic peroxide.
The organic peroxide market segmentation, based on type, includes ketone peroxide, diacetyl peroxide, percarbonates, peroxy ketals, and others. The ketone peroxide segment dominated the market, accounting for major market revenue over the forecast period. This is due to the increasing demand for plastic-reinforced glass or commonly known as fiberglass, on account of the production of watercraft in marine parts, substituting the use of wood and steel structures, and increasing demand for automotive in emerging economies is expected to propel the consumption of ketone for various crosslinking. Rising growth in the aviation sector based on the increasing demand for low-cost fares is anticipated to swing the requirement for high-end fiberglass thus increasing the consumption of the product over the forecast period drives the market for organic peroxide.
The organic peroxide market segmentation, based on application, includes paper & textiles, detergents, plastic & rubber, coatings & adhesives, personal care, and others. The plastic & rubber category generated the most income over the forecast period. This is due to the increasing requirement for hardened plastics such as polyvinyl chloride, thermosetting plastics, and plastic-reinforced glasses because of growing demand in residential construction and profile application is anticipated to multiply the production rate, which will surge the demand for the market.
Figure 1: Organic Peroxide Market, by Application, 2022 & 2032 (USD billion)
Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review
By region, the study provides market insights into North America, Europe, Asia-Pacific, and the Rest of the World. The North America organic peroxide market area will dominate this market, owing to the shifting interest of manufacturers towards competitive regions that has abundant raw material and low-cost labor. Increasing expenditure in establishing new product lines depending on the type of plastic, process, and application will surge the demand as a catalyst in this region. Further, the Canada organic peroxide market held the largest market share, and the US organic peroxide market was the fastest-growing market in the North America region.
Further, the major countries studied in the market report are The U.S., Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.
Figure 2: ORGANIC PEROXIDE MARKET SHARE BY REGION 2022 (%)Â 
Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review
Europe organic peroxide market accounts for the second-largest market share due to the increasing construction activities in the region have led to the increased demand for paints and coatings. Further, the German organic peroxide market held the largest market share, and the UK organic peroxide market was the fastest-growing market in the European region.
The Asia-Pacific organic peroxide market is expected to grow at the fastest CAGR from 2023 to 2032. This is due to increasing synthetic rubber production in the region. As per the National Bureau of Statistics China, the country produced 807.47 million tires in 2020, which declined from 844.45 million units produced in 2019. Moreover, China organic peroxide market held the largest market share, and the India organic peroxide market was the fastest-growing market in the Asia-Pacific region.
Leading market players are investing heavily in research and development to expand their product lines, which will help the organic peroxide market grow even more. Market participants are also undertaking various strategic activities to expand their footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, the organic peroxide industry must offer cost-effective items.
Manufacturing locally to minimize operational costs is one of the key business tactics manufacturers use in the organic peroxide industry to benefit clients and increase the market sector. Major players in the organic peroxide market, including Nouryon, Arkema Group, United Initiators, NOF Corporation, Pergan GmbH, and others, are attempting to increase market demand by investing in research and development operations.
Arkema SA is a specialty chemical and advanced materials company. The company offers solutions for adhesives, biobased materials, coatings, composites, health care, and sports equipment. Its product portfolio includes technical polymers, filtration and adsorption, organic peroxide, biochemicals, fluoro gases, organic peroxide, acrylics, coating resins, photocured resins, rheology additives, and others. The company's products are used in various sectors such as agriculture, air conditioning, automotive, chemicals, construction, coating, consumer goods, electrical, oil, health, packaging, plastics, pulp, rubber, sports, and water treatment. In October 2022, Arkema declared that the company would reorganize the distribution of its Luperox and Retic organic peroxide, with Weber and Schaer, The Dolder firm, and Univar Solutions, for the crosslinking market in several European countries as of January 1st, 2023.
Akzo Nobel NV is a paints and coatings provider. It manufactures and supplies specialty chemicals. The organization's product portfolio comprises functional chemicals, industrial chemicals, surfactants, vehicle refinishes, pulp and performance chemicals, powder coatings, industrial coatings, wood finishes and adhesives, and marine and protective coatings. Its products find application in consumer goods, buildings, infrastructure, industrial, and transportation markets. The firm markets its products under Bruguer, Dulux, Sadolin, Flexa, Marshall, Coral, Alba, Inca, Cetol, Ceta Bever, Levis, and Herbol brands, among others. In February 2019, AkzoNobel Specialty Chemicals planned to increase their capacity for emulsion-based organic peroxide, which is placed in Los Reyes, Mexico, to fulfill the customer demand in the polyvinyl chloride (PVC) market of the North American region.
United Initiators GmbH (Germany)
Pergan (Germany)
Arkema (France)
Akzonobel N.V. (Netherlands)
NOF Corporation (Japan)
MPI Chemie B.V. (Netherlands)
AKPA KIMYA (Turkey)
Ace Chemicals (India)
Plastic Pigments Pvt. Ltd. (India)
Novichem (Poland)
As-Ambalaj (Turkey)
R.T. Vanderbilt Holding Company, Inc. (U.S.)
Kawaguchi Chemical Industry Co., LTD. (Japan)
July 2022:Â United Initiators completed the recent TBHP-TBA facility with 25 ktons/an in Huaibei, Anhui Province, China. The new facility represents the organization's first step in producing downstream organic peroxide. The company has strengthened its product portfolio and its presence through expansion.
December 2021:Â Nouryon has started full-scale production at its world-class and innovative organic peroxide greenfield site in Tianjin, China, to help the growing demand from Packaging, Paints and Coatings, and Construction consumers in the region. The site consists of three manufacturing facilities equipped with the latest safety, energy efficiency, and environmental protection technology.
June 2020:Â Nouryon completed the expansion of organic peroxide in Brazil. The expansion has doubled the capacity of the manufacturing facility.
Organic Peroxide Type Outlook
Ketone Peroxide
Diacetyl Peroxide
Percarbonates
Peroxy Ketals
Others
Paper & Textiles
Detergents
Plastic & Rubber
Coatings & Adhesives
Personal Care
Others
Organic Peroxide Regional Outlook
| Report Attribute/Metric | Details |
| Market Size 2022 | USD 1.7 billion |
| Market Size 2023 | USD 1.77 billion |
| Market Size 2032 | USD 2.46 billion |
| Compound Annual Growth Rate (CAGR) | 4.20% (2024-2032) |
| Base Year | 2022 |
| Market Forecast Period | 2024-2032 |
| Historical Data | 2018- 2022 |
| Market Forecast Units | Value (USD Billion) |
| Report Coverage | Revenue Forecast, Growth Factors, Market Competitive Landscape, and Trends |
| Segments Covered | Type, Application, and Region |
| Geographies Covered | North America, Europe, Asia Pacific, and the Rest of the World |
| Countries Covered | The U.S., Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil |
| Key Companies Profiled | United Initiators GmbH (Germany), Pergan (Germany), Arkema (France), Akzonobel N.V. (Netherlands), NOF Corporation (Japan), MPI Chemie B.V. (Netherlands), AKPA KIMYA (Turkey), and Ace Chemicals (India) |
| Key Market Opportunities | Growing research and development due to the multi-functionality of organic peroxide Rising demand for renewable raw materials |
| Key Market Dynamics | Growing demand for thermoplastics and polymers |
Organic Peroxide Market Highlights:
Frequently Asked Questions (FAQ) :
The organic peroxide market size was valued at USD 1.7 Billion in 2022.
The organic peroxide market is projected to grow at a CAGR of 4.20% during the forecast period, 2024-2032
North America had the largest share of the organic peroxide industry
The key players in the market are United Initiators GmbH (Germany), Pergan (Germany), Arkema (France), Akzonobel N.V. (Netherlands), NOF Corporation (Japan), and Ace Chemicals (India)
The ketone peroxide category dominated the market in 2022
Plastic & rubber had the largest share of the organic peroxide market
Senior Research Analyst With an experience of over five years in market research industry (chemicals & materials domain), i gather and analyze market data from diverse sources to produce results, which are then presented back to a client. also, provide recommendations based on the findings. as a senior research analyst, i perform quality checks (qc) for market estimations, qc for reports, and handle queries and work extensively on client customizations. also, handle the responsibilities of client proposals, report planning, report finalization, and execution
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