TAGS: Sealants
In terms of revenue, Transparency Market Research (TMR) anticipates that the solvents market which stood at USD 31.3 Bn in 2020, is poised to reach USD 45.2 Bn by 2031 at a CAGR of 3.4% between 2021 and 2031 forecast period.
The solvents market is expected to grow in response to the increasing demand for solvents in the construction and manufacturing sectors. Leading companies operating in the market will, therefore target opportunities prevalent in these sectors to establish a strong foothold.
Dominance of Alcohol-Based Solvents
Besides this, they are likely to adopt various marketing strategies to create a brand image across the world. These include Dow Chemical Company, Celanese Corporation, BASF SE, Maruzen Petrochemical, Exxon Mobil Corporation, Sasol Solvents, Shell Chemical, and Solvay Chemicals.
Among products available in the market, the alcohol-based solvents segment is forecast to emerge dominant. The segment held 30.3% of the market on the basis of volume in 2020.
Regionally, Asia Pacific held a major share of the global solvents market in 2020. As per TMR, Asia Pacific accounted for nearly 43.4% of the global market in the year. Rise in demand for solvents in the paints, pharmaceutical, and cosmetics industries, which are the key end users of solvents, is expected to boost the market in the Asia Pacific.
Rising Demand for Solvents in Manufacturing Industries
The global solvents market is likely to witness steadily rising demand from construction and manufacturing industries. Therefore, exemplary growth of these industries in emerging markets will tip scales in favor of the global solvents market.
The demand for solvents in the construction sector in BRIC nations is expected to rise considerably over the next few years. Solvents are increasingly used in pharmaceuticals, printing inks, adhesives & sealants, and other applications. Besides these, demand for organic solvents is high across the globe, creating lucrative prospects for market growth.
Stringent Regulations to Hinder Market
On the downside, volatility in crude oil prices in international markets and soaring environmental concerns is likely to create obstacles in the growth for the global solvents market. Additionally, the market may find it difficult to continue at a strong pace in the U.S. due to rising legislation controlling the use and production of solvents in the country.
Favorable regulatory measures encouraging the use of organic solvents have bolstered opportunities for “green solvents”, which are more environment-friendly. Furthermore, the market is likely to derive benefits from the steady demand across developed markets.
The market is likely to gain impetus from the rise in residential and commercial projects worldwide. This, coupled with the increasing demand for automobiles in emerging nations, is expected to boost the market through the forecast period. Given the scenario, the rise in demand for solvents in emerging nations such as India and China is estimated to drive the solvents market in the near future.
Source: Transparency Market Research