July 20, 2024

The Rising Demand For Polyurethanes (PU) Is Anticipated To Openup The New Avenue For Dodecanedioic Acid Market

Market Overview:

Dodecanedioic acid, also known as 1,12-Dodecanedioic acid, is an organic compound that exists as a white powder or crystal. It is classified as a dicarboxylic acid as it contains two carboxylic acid functional groups. Dodecanedioic acid has high tensile strength and is resistant to heat and ultraviolet rays. Due to these properties, it is primarily used in the manufacturing of polyurethanes and nylonResins. It is also used as an intermediate in the production of plasticizers, polyesters and lubricants. Key end use industries include automotive, textiles, coatings and plastics.

Market Dynamics:

The growing automotive industry is a key factor driving the growth of the dodecanedioic acid market. Dodecanedioic acid is used in the manufacturing of polyurethane elastomers and polyamides that are further utilized to produce under-the-hood components, interior furnishings and exterior panels of vehicles. According to the International Organization of Motor Vehicle Manufacturers, over 93 million vehicles were produced globally in 2019. The expanding textiles industry is also fueling market growth. Dodecanedioic acid-based polymers provide properties such as high strength and moisture resistance to textile products. Additionally, increasing demand for nylon from the electronics and construction industries is positively impacting the market. However, volatile prices of raw materials may hamper market growth over the forecast period.

Segment Analysis

The dodecanedioic acid market can be segmented based on application into plastics, lubricants, adhesives, powders, and others. Among these, the plastics segment dominates the market and accounts for over 30% share owing to high demand from polyamide resins and others. In plastics, it is used to produce polyamide 12 and other engineering resins due to their excellent properties such as good thermal stability, chemical resistance and mechanical strength.

PEST Analysis

Political: There are no significant political risks impacting the market currently.

Economic: Growth of end-use industries such as automotive, electronics and construction is driving demand for engineering plastics and lubricants, fueling growth of the dodecanedioic acid market.

Social: Increasing living standards and disposable incomes are increasing demand for consumer goods such as electronics and automobiles, thereby supporting market growth.

Technological: Advancements in polymer engineering technology are supporting development of high-performance polymers and resins using dodecanedioic acid, enabling new applications.

Key Takeaways

The Global Dodecanedioic Acid Market Demand is expected to witness high growth, exhibiting CAGR of 7.7% over the forecast period, due to increasing demand from industries such as automotive, electronics and construction. The market size for 2023 is estimated at US$ 625.32 Mn.

Regional analysis indicates that Asia Pacific dominated the global market in 2022, accounting for over 40% share owing to presence of key manufacturing hubs in China, India and Southeast Asian countries. The APAC market is projected to expand at a CAGR of over 8% during 2023 – 2030 on back of rising domestic demand.

Key players operating in the dodecanedioic acid market are BEYO Chemical Co., Ltd., Cathay Biotech Inc., Chemceed, Evonik Industries AG, Haihang Industry, Selleck Chemicals, Serena Chemicals, TCI Chemicals (India) Pvt. Ltd., Thermo Fisher Scientific Inc., and UBE Industries, Ltd. Major players are focusing on capacity expansions and new product launches to consolidate their position and cater to growing demand from end-use industries.

Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it