Global Chemical Auxiliary Agents Market - 2024-2031

Overview

Global Chemical Auxiliary Agents Market reached US$ 28.7 billion in 2023 and is expected to reach US$ 58.5 billion by 2031, growing with a CAGR of 9.3% during the forecast period 2024-2031.

The rise in market demand is caused by factors like industrialization, manufacturing sector expansion, higher need for water treatment chemicals, agricultural activity growth and chemical market globalisation. To obtain a competitive advantage in denim processing, major chemical auxiliary agent manufacturers are focusing on the development of sustainable auxiliaries, including eco-friendly chemical auxiliaries. Sustainable chemical auxiliaries are environmentally friendly additives used in various processes to reduce the harmful environmental impact.

Rudolf Hub1922, a textile chemicals firm established in Germany, offers Offuel, the first collection of environmentally friendly chemical auxiliaries for denim processing, in October 2021. The Offuel range, which includes 11 finishing auxiliaries, is made up of alternatives to crude oil and recyclable materials, with at least 90% of its components coming from renewable sources and recycled materials.

In 2023, Europe is expected to be hold about 1/4th of the global chemical auxiliary agents market. Companies in the region are undertaking initiatives to increase their presence and meet market demands. Pulcra Chemicals LLC, a German manufacturer of innovative specialty chemicals, paid an unknown sum in July 2021 to purchase Devan Chemicals NV. The acquisition is consistent with Pulcra's mission of being a leading international benchmark for sustainable chemistry and meeting evolving client needs.

Dynamics

Rising Product Innovations

Manufacturers are creating bio-based, renewable and ecologically friendly alternatives to traditional chemicals in order to reduce carbon footprint, minimise waste and comply with strict environmental requirements. Product innovation has become a popular trend in the chemical auxiliary agent market, with leading firms focusing on producing new products to boost their market positions.

Cosmo Specialty Chemicals, a specialty chemical producer based in India, introduced Silky SF, a cationic softener, in June 2022. Silky SF is indicated as a finishing product for various fabric types, particularly cotton, to provide a smoother surface and enhance the fabric's physical texture.

Rising Construction Activities

Infrastructure development, construction projects and urbanisation all drive up demand for construction chemicals and supplies. Chemical auxiliary agents play an important role in improving the performance, durability and sustainability of building materials and structures. Chemical auxiliary agents serve an important role in enhancing workability and durability in applications such as concrete admixtures, waterproofing agents and bonding agents.

According to a March 2023 report from the Office for National Statistics, quarterly building production increased by 0.3% over the third quarter of 2022. Furthermore, following a record growth of 12.8% in 2021, the annual production of construction climbed by 5.6% in 2022 compared to 2021, indicating increasing building activity boosting the chemical auxiliary agent market.

Environmental Concerns and Price Volatility

Increasing environmental laws aimed at decreasing emissions, waste and pollution might limit market growth. Chemical auxiliary agents frequently contain compounds that may have environmental consequences, necessitating greater laws on their manufacture, use and disposal. Concerns about exposure to hazardous chemicals can result in tougher laws, more liability and higher compliance costs for manufacturers.

Chemical auxiliary agents use raw ingredients derived from petrochemicals and other sources. Fluctuations in the prices of key raw materials, driven by factors such as geopolitical tensions, supply-demand imbalances and fluctuations in crude oil prices, can effect manufacturing costs and profitability.

Segment Analysis

The global chemical auxiliary agents market is segmented based on agent, end-user and region.

Rising Demand for Apparel drives the Segment Growth

Textile is expected to be the dominant segment with about 1/3rd of the market during the forecast period 2024-2031. In apparel production, a wide range of chemicals are utilized, including stabilizers, dyes, binders, softeners, levelling agents and mercerizing agents. Finishing chemicals are also widely used in apparel design and development to meet specific end-use needs.

Furthermore, clothing is an important export commodity in many countries. According to the International Labor Organization, developing nations produce more than 60% of global apparel exports, with Asia-Pacific accounting for 32% of the total. China, the largest apparel market in Asia-Pacific, reported a 17.35% increase in garment export shipments valued at US$ 189.35 billion in the first seven months of 2022, according to the General Administration of Customs China.

Geographical Penetration

Growing Textile Sector in Asia-Pacific

Asia-Pacific is the dominant region in the global chemical auxiliary agents market covering more than 35% of the market. The region leads the market due to the existence of developed downstream textile manufacturing sectors in countries such as China and India. The availability of inexpensive labour and low production costs has fueled the rise of the textile industry in these countries. Furthermore, the shift in consumer perception of economical and comfortable apparel has increased demand for high-value and functional fabrics in the region.

China's textile sector expanded steadily in the first nine months of 2022, according to data from the Ministry of sector and Information Technology (MIIT). The aggregate operational revenue of large textile firms in China increased by 3.1% year on year, reaching US$ 570 billion during that time. Consequently, it is likely to fuel the need for the chemical auxiliary agents market.

Competitive Landscape

The major global players in the market include BASF SE, The Dow Chemical Company, Sumitomo Chemical Co. Ltd., Evonik Industries AG, Covestro AG, Solvay SA, Arkema SA, Akzo Nobel N.V., Kao Corporation and Eastman Chemical Company.

COVID-19 Impact Analysis

The pandemic caused changes in demand across a variety of end-user businesses. While healthcare, pharmaceuticals and disinfection goods had increased demand for auxiliary agents, industries such as automotive, construction and textiles saw decreased demand as a result of lockdowns, supply chain disruptions and economic instability. The epidemic revealed vulnerabilities in global supply chains, emphasizing the significance of strengthening resilience.

Many businesses evaluated their supply chain strategies, focusing on diversifying suppliers, raising inventory levels and improving supply chain visibility and transparency in order to minimize future disruptions. In response to increased consumer and regulatory pressure, chemical companies have prioritized sustainable practices such as the development of eco-friendly auxiliary agents, recycling activities and carbon emission reductions.

Russia-Ukraine War Impact

Russia and Ukraine are important producers of chemicals and raw materials used to manufacture auxiliary agents. Any disruptions in the supply of key basic ingredients, such as surfactants, antioxidants and catalysts, could cause shortages and price volatility in the globally marketplace. It has the potential to disrupt chemical auxiliary agent makers globally, resulting in production delays and increased prices.

Industries that rely significantly on chemical auxiliary agents, such as water treatment, medicines, cosmetics and manufacturing, may incur production delays or increased costs as a result of supply chain interruptions. It can spread across the supply chain, influencing downstream businesses and potentially causing delays in product availability or increased prices for consumers.

By Agent

• Dispersing Agents
• Separation Agents
• Solvents
• Others

By End-User

• Building & Construction
• Personal Care
• Textile
  • Technical Textile
  • Home Furnishings
  • Apparel
  • Others
• Others

By Region

• North America
  • U.S.
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Russia
  • Rest of Europe
• South America
  • Brazil
  • Argentina
  • Rest of South America
• Asia-Pacific
  • China
  • India
  • Japan
  • Australia
  • Rest of Asia-Pacific
• Middle East and Africa

Key Developments

• In August 2022, Archroma signed a binding deal with Huntsman Corporation to buy the latter's Textile Effect business. The acquisition is expected to help Archroma establish a comprehensive range of chemical solutions to cater to the textile business.
• In February 2022, Archroma introduced the EARTH SOFT system, a revolutionary vegan textile softener based on Siligen EH1, which contains one-third plant-based active ingredients. The new product line provides an alternative for textile makers looking to minimize fossil fuel-based materials in their end products.

Why Purchase the Report?

• To visualize the global chemical auxiliary agents market segmentation based on agent, end-user and region, as well as understand key commercial assets and players.
• Identify commercial opportunities by analyzing trends and co-development.
• Excel data sheet with numerous data points of chemical auxiliary agents market-level with all segments.
• PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
• Product mapping available as excel consisting of key products of all the major players.

The global chemical auxiliary agents market report would provide approximately 54 tables, 44 figures and 202 pages.

Target Audience 2024

• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies