May 26, 2024

The Global Paraformaldehyde Market Is Driven By Increasing Demand From Resin Production Industry

Paraformaldehyde is a thermoplastic polymer commonly used in resin production processes for a variety applications. It is an essential component used in the manufacture of urea-formaldehyde (UF) resins and melamine formaldehyde (MF) resins, which are widely utilized to manufacture wood adhesives that are extensively used in the construction and furniture industries. UF and MF resins produced using paraformaldehyde demonstrate high bond strength and water resistance properties suitable for various wood working applications. Paraformaldehyde is also used as a disinfectant and preservative in medical and scientific applications.

The global paraformaldehyde market size is estimated to be valued at US$ 483.61 million in 2024 and is expected to exhibit a CAGR of 3.9% over the forecast period 2024-2031, as highlighted in a new report published by Coherent Market Insights.

Market key trends: One of the key trends gaining traction in the paraformaldehyde market is the increasing use of renewable feedstock sources for its production. Traditionally, paraformaldehyde was manufactured using methanol as the primary feedstock. However, with growing emphasis on reducing dependence on non-renewable resources, manufacturers are increasingly adopting bio-based feedstocks such as glycerol for paraformaldehyde production. Glycerol is a byproduct obtained from biodiesel production and its use mitigates competition for food-based feedstocks. Moreover, glycerol-based production routes are more economical and help lower greenhouse gas emissions vis-a-vis traditional methanol routes. Leading paraformaldehyde producers are investing in R&D to develop viable renewable alternatives to concretize their commitment toward sustainability.

Porter’s Analysis
Threat of new entrants: The paraformaldehyde market faces low threat from new entrants due to high initial capital requirements and dominance of established players.
Bargaining power of buyers: Buyers in the market have moderate to high bargaining power due to availability of substitutes and increased competition in the market.
Bargaining power of suppliers: Suppliers have moderate bargaining power due to availability of substitutes and differentiated products.
Threat of new substitutes: Threat of substitution is moderate as paraformaldehyde has few substitutes that can be used for some end-use applications.
Competitive rivalry: The market witnesses high competitive rivalry among existing players due to their dominance and no major differentiation in products.

Key Takeaways
The Global Paraformaldehyde Market Growth is expected to witness high over the forecast period. The growing demand from end-use industries such as construction, agriculture, pharmaceutical and healthcare is driving the market. The global paraformaldehyde market size is estimated to be valued at US$ 483.61 million in 2024 and is expected to exhibit a CAGR of 3.9% over the forecast period 2024-2031.

Regional analysis: Asia Pacific region currently dominates the paraformaldehyde market and is expected to grow at the fastest rate during the forecast period. The high growth in the region can be attributed to rapid industrialization and infrastructure development in emerging economies of China and India.

Key players: Key players operating in the paraformaldehyde market are Siemens AG, Dragerwerk AG & Co. KGaA, Getinge AB, GE Healthcare, Hill-Rom Holdings, Inc., KARL STORZ GmbH & Co. KG, Mizuho OSI, Koninklijke Philips N.V., STERIS Corporation, Stryker Corporation, Shenzhen Mindray Bio-Medical Electronics Co., Ltd., BenQ Medical Technology, Mediland Enterprise Corporation, Alvo Medical Sp. z o.o., Famed Zywiec Sp. z o.o., Heal Force, OPT Surgisystems S.R.L. (TKB Group), Medifa-hesse GmbH & Co. KG, UFSK-International OSYS GmbH, Taicang Kanghui Technology Development Co., Ltd, Ningbo Techart Medical Equipment Co., Ltd., Fazzini SRL, Lojer Oy, and AGA Sanitaetsartikel GmbH.

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