Global Acrylic Processing Aid Market - 2022-2029

Market Overview

The global acrylic processing aid market reached US$ XX million in 2022 and is expected to record significant growth by reaching up to US$ XX million by 2030, growing at a CAGR of 7.10% during the forecast period (2023-2030).

Processing aids are materials that increase the melting processability of a polymeric compound at a cheap cost and high quality. Acrylic process aids are used in several polyvinylchlorides (PVC) applications such as rigid foam, tubing, window profile, trim board and sheet. Polyvinylchloride (PVC) compounds are increasingly used in specialty injection molding and filament winding applications.

The increase in the use of acrylic processing aid for various applications such as blown film to fiber, profile extrusion, piping, tubing & cabling processing and many others in sectors such as automotive, building & construction, consumer goods, chemical industry, plastic industry and others is driving the market growth.

Market Dynamics

The growing need for acrylic processing aid industries such as automotive, consumer goods, building & construction and packaging is driving the market. The acrylic processing aid market will be driven by factors such as replacing conventional materials with PVC and increased demand for acrylic processing aid from Asia-Pacific.

The growing demand for cost-effective aids

Industrialization has increased the demand for acrylic processing help in various sectors for various applications. In many situations, acrylic processing assistance replaces traditional building materials such as wood, metal, concrete and clay.

Because of its versatility, cost-effectiveness and great track record, it is the most important polymer in the construction industry, accounting for a major share of all polymers. These items are frequently lighter, less expensive and provide numerous performance benefits. They are making it a more prominent material than usual.

The rising usage of polyvinyl chloride in place of conventional materials

PVC has superior mechanical, electrical, abrasion, chemical and other qualities compared to conventional materials such as metals, glass, paper and ceramic. Continuous innovation and the need for lighter materials in various applications are replacing these traditional materials with plastic for various uses.

PVC manufacturers use acrylic processing aid during the fabrication process as it provides faster fusion, higher production output, enhanced melt strength and elasticity, lowered plate-out & melt texture, better surface gloss & finishing, stronger thickness & tensile strength and better thickness and tensile strength. Acrylic processing aid is more common in Asian countries due to its low cost and ability to produce high-quality products.

Limited R&D expenses in emerging countries

Emerging markets for acrylic processing aid include Asia-Pacific and South America. Europe and North America have more developed markets than these growing economies. Asia Pacific consumes more acrylic processing aid than North America and Europe combined. China, Japan and Taiwan are the largest producers of acrylic processing aid in Asia Pacific. In these countries, small and medium-sized firms dominate the market. However, small businesses' R&D expenditure is limited due to a lack of finance. It has a bad impact on the general advancement of acrylic processing help.

Similarly, expenditure in other emerging South America plastic markets is lower than in North America and Europe. The acrylic processing aid market is being hampered by emerging countries' lack of attention to R&D efforts. Some businesses are still working to develop new polymerization methods and produce higher-quality plastics with improved properties. After 3-5 years, R&D activities and technology developments may gain traction. As a result, the lack of emphasis on R&D activities is viewed as a constraint for the market in the medium term.

COVID-19 Impact Analysis

The COVID-19 epidemic has directly impacted the global economy, affecting all industries, including mining. Some underground development delays have occurred due to the COVID-19 epidemic and related complications, affecting the market for acrylic processing assistance. The construction industry was among the hardest hit by COVID-19, as it had already been suffering from a liquidity crisis due to the impact of non-banking financial institutions on the financial sector for more than a year.

The construction crisis has also impacted the demand for polyvinyl chloride (PVC), used in pipes, siding, windows and doors. According to U.S. Census Bureau, housing starts fell 19% in April compared to the previous year. During the same period, PVC consumption declined by 25%. Many projects have gone unfinished due to a lack of funds. Those that were completed remained unsold due to changing buyer tastes.

Segment Analysis

By polymer, the acrylic processing aid market is segmented into polyvinyl chloride and others.

Rising usage of polyvinyl chloride in acrylic processing aids

PVC is a synthetic resin made from polymerizing vinyl chloride. It has an amorphous structure containing polar chlorine atoms and is fire-resistant, robust and resistant to oil and chemicals. It is an odorless and sturdy plastic mostly used in automotive instrument panels, electrical wire sheathing, pipelines and doors. PVC offers flexibility, which aids in making modern automobiles affordable, safe and of excellent quality.

The content of this material changes based on the grading requirements. It also contributes to vehicle weight reduction due to its lightweight components compared to other materials. Most PVC resins are fabricated by extrusion, injection molding, thermoforming, calendaring and blow molding to make PVC goods. Depending on the application, the procedure necessitates minimal acrylic processing aid during fabrication.

Geographical Analysis

The increasing investments in the construction sector in Asia-Pacific

Asia-Pacific is expected to remain one of the world's largest and fastest-expanding building markets. Large and developed markets like China, India, Japan and South Korea are expected to expand. China accounts for most of Asia-Pacific's acrylic processing aid market demand, followed by India and Japan. Other than U.S., the five fastest-growing construction regions are all Asian countries, including China and India, which generate the development of construction investment in these regions. The strong and healthy expansion in the building sector is related to an increasing population and middle-class economy, which is likely to push Asia-Pacific residential construction market and, therefore, the acrylic processing aid market further.

In Asia-Pacific, the number of buildings with lit acrylic processing aid is rapidly increasing. The rising number of new constructions and increased refurbishment projects have propelled the market further. The construction industry is now impacted by the COVID-19 pandemic, with most industrial activities being temporarily halted. As a result, the demand and supply chain have been impacted, limiting growth in the year 2020.

Competitive Landscape

The acrylic processing aid industry is highly competitive, with several global and regional companies. Vendors are emphasizing acquisition, R&D, product differentiation and innovation. Arkema will offer PLASTISTRENGTH® 562 NA process aid in July 2020 to assist PVC converters in achieving an ideal balance between processing performance and formulation cost. This innovative solution enables consistent PVC fusion and filler integration, increased melt power and efficient processing in rigid and semi-rigid extruded or calendared PVC products.

Major global acrylic processing aid market companies include LG Chem Ltd., Kaneka Corporation, Arkema SA, The DOW Chemical Company, Mitsubishi Rayon Co., Ltd., 3M Company, BASF SE, Shandong Ruifeng Chemical Co. Ltd., Akdeniz Kimya A.S. and Shandong Rike Chemicals Co., Ltd.

LG Chem Ltd.

Overview: LG Chem has been a leading chemical corporation in Korea since its inception in 1947, steadily rising through constant difficulties and innovation. For 70 years, LG Chem has turned dreams into reality and brightened people's lives, from the durable face cream lid to the world's most advanced batteries. LG Chem is effectively implementing speedy go-to-market methods across its broad global network. LG Chem delivers batteries to local customers in the most effective and timely manner possible by developing manufacturing facilities in four key locations: Korea, China, U.S. and Poland.

Product Portfolio: Spherical particles with a core-shell structure are impact modifiers. Rubber is used for the core component. It absorbs and dissipates external impact energy. The shell helps to improve compatibility with the base polymer (PVC). The industry is also determined by the type of rubber used as the core (Butyl acrylate, butadiene). The core (Rubber) is essential for increased impact strength. Because the components of these cores are incompatible with PVC and other base polymers, the shell is made of a highly compatible substance. MBS (Methacrylate Butadiene Styrene) is added to rigid and semi-rigid PVC and technical plastics manufacturing processes to improve impact strength and processability. It is compatible with PVC and increases processability by decreasing the fusing time.

Key Development: Archer Daniels Midland Company and LG Chem 2019 announced a collaboration to produce biobased acrylic acid, a key component in producing superabsorbent polymers (SAP), which are used in various hygiene products, including diapers. With this cooperative development agreement with ADM, LG Chem has further expanded its business portfolio with eco-friendly goods that can achieve long-term growth. ADM and LG Chem, one of the world's leading manufacturers of acrylic acid, will collaborate to develop financially feasible commercial production of 100 percent biobased acrylic acid using materials from ADM maize processing.

Why Purchase the Report?

• Visualize the composition of the acrylic processing aid market segmentation by polymer, fabrication process, end-user and region, highlighting the critical commercial assets and players.
• Identify commercial opportunities in the acrylic processing aid market by analyzing trends and co-development deals.
• Excel data sheet with thousands of acrylic processing aid market-level 4/5 segmentation points.
• Pdf report with the most relevant analysis cogently put together after exhaustive qualitative interviews and in-depth market study.
• Product mapping in excel for the key product of all major market players

The global acrylic processing aid market report would provide access to an approx. 61 market data table, 52 figures and 204 pages.

Target Audience 2022

• Acrylic Processing Aid Service Providers/ Buyers
• Industry Investors/Investment Bankers
• Education & Research Institutes
• Emerging Companies
• Acrylic Processing Aid Manufacturers