Adipic Acid Market (Updated Version Available)

Key Market Overview:

Adipic acid market was worth USD 5.6 Billion in 2022 and is estimated to reach over USD 8.2 Billion by 2030, growing at a CAGR of 4.8% from 2022 to 2030.

Adipic acid, also known as hexanedioic acid, is a white crystalline organic chemical compound formed by the oxidation of multiple fats. This compound is also made synthetically specifically for the manufacturing of nylon. The adipic acid is mainly synthesized by exposing cyclohexene to specific oxidation-type conditions with hydrogen peroxide or potassium permanganate as the oxidizing agents. This chemical is mainly produced on an industrial level by a method that includes oxidation of KA oil (which stands for ketone-alcohol oil) with concentrated nitric acid. The ketone-alcohol oil is a mixture of cyclohexanone and cyclohexanol which ultimately form adipic acid as the result of the reaction.

Further, adipic acid is a monomer majorly used for the production of nylon 66 via polycondensation reaction with hexamethylene diamine. Along with this, adipic acid is also used as a food ingredient along with its esters as plasticizers specifically in polyvinyl chloride (PVC). Additionally, this chemical compound is primarily used to manufacture food additives, polyurethanes, adhesives & sealants, coatings, and others due to its properties such as water and alcohol solubility, texture, and chemical compatibility.

Report Attributes	Report Details
Study Timeline	2016-2030
Market Size in 2030 (USD Billion)	8.2 Billion
CAGR (2022-2030)	4.8%
By Application	Nylon 66 Fibers, Synthetic Lubricants, Nylon 66 Engineering Resins, Unsaturated Polyester Resins, Adipate Esters, Plasticizers, Food Additives, Polyurethanes, Wet Paper Resins, Coatings, and Others
By End Use	Automotive, Pharmaceutical, Food and Beverages, Electrical and Electronics, Textiles, Personal Care, Paper, and Others
By Geography	Asia-Pacific [China, Southeast Asia, India, Japan, Korea, Western Asia] Europe [Germany, UK, France, Italy, Russia, Spain, Netherlands, Turkey, Switzerland] North America [United States, Canada, Mexico] Middle East & Africa [GCC, North Africa, South Africa] South America [Brazil, Argentina, Columbia, Chile, Peru]
Key Players	DOMO Chemicals, LANXESS (Germany), TCI Chemicals Pvt. Ltd. (India), INVISTA (U.S.), BASF SE (Germany), Solvay S.A. (Belgium),PetroChina Company Limited (China), Asahi Kasei Corporation (Japan), Rhodia, BioAmber Inc (U.S.), Ascend Performance Materials (U.S.), Radici Partecipazioni SpA (Italy), Sumitomo Chemical Co. Ltd. (Japan), Shandong Hongye Chemical Company Ltd. (China), DSM, PetroChina Company Limited

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Market Dynamics:

Driver:

The rising demand for product innovations especially in the textile industry supports the adipic acid market growth. The chemical is widely used in the production of nylon 66 which is primarily processed for usage in automobile tire cords, carpeting, and clothing. Additionally, the growing demand for furniture, packaging, construction, electrical, and electronics industries also propels the market demand. Adipic acid is mainly used for manufacturing the insulation materials such as polyurethane, external panels, housing electronics, and many other substances that play a crucial role in the above-mentioned industries. Further, the growing consumer demand for convenience food also fuels the demand for adipic acid for manufacturing nylon 66 used in food packaging. This chemical compound is also used for gelatin and flavoring applications in powdered drinks and food mixes, which supports the surged demand for packaged food among consumers.

Restraint:

Fluctuating costs of raw materials and strict rules related to environmental externalities caused during the production of adipic acid, specifically the emission of nitrous oxide mainly restrict the market growth. Additionally, the chemical compound also poses potential health risks such as skin and eye irritation along with toxicity to the gastrointestinal tract and nervous system. Thus, such health concerns restrict the market demand in case of improper management of such chemical compounds.

COVID-19 Impact:

The initial phases of COVID-19 created disrupted circumstances for the market in terms of halted manufacturing processes and reduced supply chain of raw materials. As adipic acid observes increased demand from automobiles, food, and other industries, the overall disrupted businesses resulted in the decline of market statistics. However in the context of pharmaceuticals, adipic acid witnessed a significant demand due to its usage in the production of controlled-release formulation-based matrix tablets. During the pandemic, the demand for such tablets suddenly increased which resulted in the adipic acid market growth. With the resumed businesses across the globe post-pandemic, the market circumstances have been stabilized, resulting in an overall moderate impact.

Adipic Acid Market Segmentation:



By Application

The application segment is categorized into nylon 66 fibers, unsaturated polyester resins, nylon 66 engineering resins, synthetic lubricants, polyurethanes, adipate esters, plasticizers, wet paper resins, coatings, food additives, and others. The nylon 66 fibers contribute over 89.6% of the adipic acid market shares. These nylon fibers offer excellent performance for tire applications, high mechanical damping, and good stability under high temperatures. The adipic acid is primarily used in the polycondensation method with hexamethylenediamine for the synthesis of such high-grade nylon 66 fibers. Additionally, polyurethanes (PU) are anticipated to contribute the fastest CAGR growth to the market during the forecast period. Adipic acid acts as a precursor for the synthesis of polyester polyols used in thermoplastic polyurethanes and polyurethane systems.

By End-Use

The end user segment is categorized into automotive, electrical and electronics, textiles, food and beverages, personal care, pharmaceutical, paper, and others. The automotive contributed substantial shares to the market growth in terms of volume. Adipic acid is mainly used to manufacture lightweight polymers used in engineering plastics and synthetic lubricants. The primary application of adipic acid, nylon 66, is mainly used in creating molded parts and carpeting integrated within the car chassis and interior respectively. Additionally, nylon 66 is an ideal material for automotive applications such as radiator caps, friction bearings, and tire ropes. Thus, the large demand for top-grade automobiles is anticipated to increase the market demand during the forecast period. Furthermore, the food and beverages sector also largely utilizes Adipic acid as an acidulant, gelling aid, and buffering agent. This chemical is also used to add texture to specific types of cheese and serve as the leavening agent in cake mixes, baking powder, and baked goods.

By Region

The regional segment comprises Europe, Asia Pacific, North America, Latin America, and the Middle East and Africa. North America is anticipated to support the Adipic acid market statistics with the largest share contribution. The presence of an established network of supply hubs specifically designed for engineered polymers and increased demand within industrial processes is projected to support the market growth during the forecast period.



Furthermore, Europe is also expected to support market growth in terms of revenue. The established presence of the automotive industry offers a high demand for nylon 66 to manufacture high-performing engineering plastic and molded parts. Additionally, the growing expenditures by market players for sustainable alternatives to existing chemical products also propel the market circumstances in the European region.

Adipic Acid Market Competitive Landscape:

The adipic acid market is primarily competitive in nature due to the established presence of a wide range of market players. These competitors adopt numerous business strategies and introduce product innovations to emphasize getting profits. Such competitive nature of the market allows other players to form joint ventures and collaborative efforts for focusing on generating revenue opportunities in the forecast period. The following are the major market players that comprise the current market concentration–

• DOMO Chemicals
• LANXESS (Germany)
• TCI Chemicals Pvt. Ltd. (India)
• INVISTA (U.S.)
• BASF SE (Germany)
• PetroChina Company Limited (China)
• BioAmber Inc (U.S.)
• Asahi Kasei Corporation (Japan)
• Rhodia
• Ascend Performance Materials (U.S.)
• Radici Partecipazioni SpA (Italy)
• Solvay S.A. (Belgium)
• Sumitomo Chemical Co. Ltd. (Japan)
• Shandong Hongye Chemical Company Ltd. (China)
• DSM
• PetroChina Company Limited

Recent Developments

• In March 2020, the German multinational company named DOMO Chemicals introduced plans to make a huge investment of over EUR12 million for launching new nylon manufacturing plants in Zhejiang, China. This plant is expected to support the increased demand for nylon in textile and other industrial applications.

• In August 2022, Toray Industries, Inc., made an announcement the firm has created the first ever 100% bio-based adipic acid from inedible biomass-derived sugars. This launch is accomplished by using a patented synthesis technique in combination with the company\'s chemical purification technology and microbial fermentation technology for harnessing separation membranes. This latest compound acts as the raw material for the production of nylon 66 (polyamide 66).