Report Overview
From 2023 to 2030, the market for speciality chemicals is expected to develop at a compound annual growth rate (CAGR) of 5.1%, with a market size estimated at USD 616.2 billion in 2022. This is due to an increase in the demand for chemicals used in building, water treatment, and electronics, as well as developments in process technology and trade liberalisation. The rise in demand for flavours and perfumes, food and feed additives, and specialty chemicals, among other industries, is another factor contributing to the expansion of speciality chemicals. As processed food and beverages have gained popularity in industrialised countries, the demand for flavouring agents has grown. Additionally, it is predicted that growing consumer taste for unusual flavours and scents in food products would support industry expansion.
The US market for specialty chemicals is expected to expand dramatically during the coming years. It is anticipated that a range of end-use industries, including those involved in transportation, electronics, and water treatment, will offer the goods promising prospects. Future demand for specialised chemicals is anticipated to increase due to growth in these industries. During the projection period, rising sales of cleaning supplies, crop management chemicals, detergents, and personal care products will all contribute to an increase in demand for specialised chemicals.
The global value chain of the specialty chemical business has been damaged by the Covid-19 pandemic epidemic. Temporary plant closures of chemical manufacturing facilities across the globe and restrictions on the flow of commodities for the first and second quarters of 2020 were indicators of a decline in chemical production and demand. The demand for specialty chemicals from end-use industries has a negative impact on their production and consumption.
The European geopolitical crisis raised oil prices, which also had an impact on the price of producing chemicals. Rising oil costs are expected to have a substantial influence on the market for specialised chemicals. According to the corporation, increased chemical costs as a result of rising energy costs led to a slight reduction in profitability. Supply interruptions had an effect on the import and export of raw materials across regions, particularly in the European region, which in turn had an effect on the specialised chemical sector as a whole.
Product Insights
The other product category was the market leader in 2022, accounting for a 26.7% global sales share. The Others category includes other chemical products, such as lube oil enhancers and surfactants, to name a few. The primary driver of the segment’s growth is consumers’ growing knowledge of the benefits of specialty chemicals. Additionally, it is projected that the rise of end-use industries would further fuel market growth during the duration of the estimate.
In addition to commodity surfactants, specialty surfactants are utilised as surfactants, which are crucial components in a variety of household and industrial goods. High-performance, low-volume compounds such alkyl polyglycosides, sulfosuccinates, and others that act as surfactants alongside commodity surfactants are examples of fast-growing niche applications for specialty surfactants. The demand for lubricating oil additives is anticipated to increase over the projected period as a result of the expansion of the automotive, metalworking, and other end-use sectors.
The institutional and industrial cleaners category is predicted to grow during the forecast period. These cleansers represent the majority of industrial chemical use. They are the primary components used in all-purpose cleaning, industrial floor and surface cleaning, and other applications where convenience, effectiveness, sanitary practises, technical performance, and food safety are important considerations.
Due to the recurrent nature of the legal requirements, goods, and services for cleanliness and hygiene, the industrial and institutional cleaning sector is rapidly expanding and diversifying. The demand for eco-friendly, efficient, and labour-saving cleaning products, wherein surfactants operate as wetting agents, detergents, foaming agents, dispersants, and emulsifiers, is the main driver for industrial and institutional cleaning products.
Report Coverage & Deliverables
Regional Insights
In 2022, the Asia Pacific region held the biggest revenue share (48.5%) in the market. This is ascribed to elements including advancing economic conditions, industrialisation, and expansion of significant end-use industries. The two biggest nations boosting the Asia Pacific market for specialty chemicals are China and India. Food and beverage production, personal care and cosmetics products, and medicinal uses all have an impact on the demand for additives in the area. The main manufacturing nations in the region are China, India, and Japan, with China leading global manufacturing, which also promotes the expansion of the product market.
By 2030, the market in the Middle East and Africa region is anticipated to grow at a CAGR of 3.6%. This increase is linked to the rising demand for cosmetics in nations like the United Arab Emirates, Kuwait, and Saudi Arabia, which is seen to be stimulating the industry’s penetration. Over the course of the projection period, a young, active population with strong spending power is anticipated to support market expansion.
Additionally, the Middle Eastern food and beverage industry has provided numerous chances for overseas investors to flourish. The growth of the food and beverage industry in the region has been significantly influenced by reliance on food trade, global tastes, shifting consumer preferences and lifestyles, strategic geographic location, and Gulf food programmes. It is predicted that these factors will also lead to an increase in the demand for specialty chemicals over the upcoming years.
Over the course of the forecast period, it is anticipated that the presence of significant manufacturers like Cargill, Inc., General Mills, and Kraft Foods will significantly increase demand for speciality chemicals in Latin America. The other major end-use industries for specialised polymers, coatings, adhesives, sealants, plastic additives, lubricants, and others are anticipated to be the automotive, transportation, chemical processing, and construction sectors. Exxon Mobil Corporation, Royal Dutch Shell plc, Petrobras, and YPF are the principal producers of synthetic lubricants in Latin America.
Key Companies & Market Share Insights
The manufacturing businesses sell their specialty chemical products directly to end-use industries like mining and the oil and gas industries, catalysts, consumer chemicals, and others through suppliers and distributors. These chemicals are either directly produced by end-use businesses to generate product in fixed quantities and specifications, or they are manufactured utilising the batch process in batch chemical factories.
Key end customers of speciality chemical products in Asia Pacific, Europe, and North America include businesses like Saudi Arabian Oil Co., SABIC, Farabi Petrochemicals Co., Total, and Chevron Corporation. At both the regional and national levels, these completed goods are provided to significant end-use industries such automotive, construction, electronics and electrical, pulp and paper, water treatment, medicines, and consumer goods. Leading companies in the market for specialised chemicals include:
- Solvay
- Evonik Industries AG
- Clariant AG
- Akzo Nobel N.V.
- DuPont
- Kemira Oyj
- Lanxess
- Croda International Plc
- Huntsman International LL
- The Lubrizol Corporation
- Albemarle Corporation
Global Specialty Chemicals Market Segmentation
This study provides an analysis of the most recent market trends in each of the sub-segments from 2017 to 2030 and estimates revenue growth at the global, regional, and national levels. The global speciality chemicals market research has been divided into segments for the purposes of this study based on application and region:
- Product Outlook (Revenue, USD Billion, 2017 – 2030)
- Specialty Polymers
- Institutional & Industrial Cleaners
- Electronic Chemicals
- Rubber Processing Chemicals
- Flavors & Fragrances
- Construction Chemicals
- Food & Feed Additives
- Cosmetic Chemicals
- Oilfield Chemicals
- Mining Chemicals
- Pharmaceutical & Nutraceutical Additives
- Plastic Additives
- Printing Inks
- CASE (Coatings, Adhesives, Sealants & Elastomers)
- Specialty Pulp & Paper Chemicals
- Specialty Textile Chemicals
- Catalysts
- Water Treatment Chemicals
- Corrosion Inhibitors
- Flame Retardants
- Others
- Regional Outlook (Revenue, USD Billion, 2017 – 2030)
- North America
- U.S.
- Canada
- Mexico
- Europe
- Germany
- U.K.
- France
- Asia Pacific
- China
- India
- Japan
- Latin America
- Brazil
- Middle East & Africa
- Saudi Arabia
South Africa