PUBLISHER: The Business Research Company | PRODUCT CODE: 1669427
PUBLISHER: The Business Research Company | PRODUCT CODE: 1669427
Basic chemicals are substances produced in large quantities and serve as fundamental building blocks for various industries, playing a crucial role in the economy. They are widely used in the production of other chemicals and in the manufacturing of products that contribute significantly to various sectors.
The main types of basic chemicals are organic and inorganic. Organic chemicals, also referred to as organic compounds, consist of carbon atoms bonded with other elements such as hydrogen, oxygen, nitrogen, sulfur, and halogens. These organic chemicals find applications in pharmaceuticals and medical products. They are also used in various industries, including chemical manufacturing, food and beverages, textiles, pharmaceuticals, pulp and paper, and polymers. The applications range from fibers, rubber, fertilizers, soaps and detergents, adhesives, to building materials, among others. The end-use industries benefit from the versatile properties of these basic chemicals, contributing to the overall economic development.
The basic chemicals market research report is one of a series of new reports from The Business Research Company that provides basic chemicals market statistics, including basic chemicals industry global market size, regional shares, competitors with a basic chemicals market share, detailed basic chemicals market segments, market trends and opportunities, and any further data you may need to thrive in the basic chemicals industry. This basic chemicals market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The basic chemicals market size has grown strongly in recent years. It will grow from $708.83 billion in 2024 to $744.51 billion in 2025 at a compound annual growth rate (CAGR) of 5.0%. The growth in the historic period can be attributed to consumer goods manufacturing, oil and gas industry development, growth in healthcare and pharmaceuticals sectors, world war periods, environmental regulations
The basic chemicals market size is expected to see strong growth in the next few years. It will grow to $931.47 billion in 2029 at a compound annual growth rate (CAGR) of 5.8%. The growth in the forecast period can be attributed to transition to green chemistry, renewable resources utilization, circular economy initiatives, energy transition and clean technologies, digitalization and industry 4.0. Major trends in the forecast period include customization and tailored solutions, focus on safety and risk management, circular economy implementation, health and personal care chemicals, advanced materials development.
The demand within the food and beverage industry is projected to drive the growth of the basic chemicals market in the future. The food and beverage industry encompasses a wide and complex sector that involves various operations related to the production, processing, packaging, distribution, and retailing of food and drink products. Basic chemicals are utilized in this industry as additives, including flavorings, thickeners, sweeteners, colorants, and preservatives. For example, in June 2023, Aviko, a Netherlands-based food company, reported that the UK fast food sector experienced a 9% growth, rising from $20.57 billion in 2021 to $22.44 billion in 2022. Additionally, in June 2023, 45% of UK consumers indicated that they had dined at fast food establishments. Therefore, the demand in the food and beverage industry is fueling the growth of the basic chemicals market.
The burgeoning growth of the basic chemicals market is significantly bolstered by the escalating building and construction activities worldwide. These activities encompass the intricate processes involved in erecting structures such as buildings, bridges, roads, and various other infrastructure elements. Critical raw materials required for these endeavors are often derived from basic chemicals, serving as fundamental components in manufacturing construction materials such as plastics, adhesives, coatings, and sealants. For instance, data from a 2022 report published by the US-based Bureau of Economic Analysis (BEA) revealed a substantial increase in the size of the US construction industry, rising from $1.916 trillion in the first quarter of 2021 to $2.016 trillion in the first quarter of 2022. Consequently, the burgeoning global building and construction activities are poised to drive the basic chemicals market further.
Notable advancements within the basic chemicals market involve major companies engaging in product innovation to uphold their market positions. A case in point is Evonik Industries AG, a German specialty chemicals firm, introducing the ELATUR DINCD plasticizer in January 2022. This plasticizer, a cyclohexanone variant, offers commendable UV resistance and flexibility at low temperatures. Its simplified processing, owing to low viscosity, makes it particularly suitable for demanding applications in both exterior and interior realms. These applications span textile fabrics, roofing membranes, floor coverings, adhesives, sealants, paints, and coatings.
Prominent companies in the basic chemical market are strategically investing in the establishment of state-of-the-art sulfuric acid plants, leveraging innovative technologies to fortify their market position. The implementation of new sulfuric acid plants involves the construction and operation of advanced facilities for sulfuric acid production. For example, in October 2022, Andritz AG, a technology group based in Austria, achieved a milestone by inaugurating the world's inaugural sulfuric acid plant for Klabin's Ortigueira mill in Brazil. This cutting-edge facility has the capacity to generate 150 metric tonnes of commercial-grade sulfuric acid daily (>98%) from concentrated odorous vapors and elemental sulfur. The technology deployed in this plant is grounded in Andritz's proprietary A-Recovery+ concept, empowering pulp mills to extract valuable side streams from the pulping process and transform them into marketable goods and commodities. Notably, this facility is a significant component of Andritz's CircleToZero product line, designed to eliminate waste byproducts, create new commodities with added value, and establish the groundwork for zero-emission, zero-waste manufacturing. This strategic initiative underscores the commitment of major industry players to adopting advanced technologies and sustainable practices to enhance operational efficiency and maintain a competitive edge in the market.
In December 2022, INEOS Group Limited, a United Kingdom-headquartered chemicals corporation, completed the acquisition of ASHTA Chemicals Inc. The financial terms of this acquisition remain undisclosed. This strategic move aims to bolster INEOS' existing portfolio and establish a sustainable, strategic alignment for the local market's production and utilization of chlorine and potassium hydroxide. ASHTA Chemicals Inc., a chemical manufacturing company based in the United States, specializes in the production of chlorine, potassium hydroxide, hydrochloric acid, and chloropicrin.
Major companies operating in the basic chemicals market include Reliance Industries Limited, BASF SE, Saudi Basic Industries Corporation (SABIC), LyondellBasell Industries Holdings B.V., China National Chemical Corporation (ChemChina), LG Chem Ltd., Mitsubishi Chemical Corporation, Yara International ASA, INEOS Group Limited, Sumitomo Chemical Co. Ltd., Asahi Kasei Corporation, Shin-Etsu Chemical Co. Ltd., Solvay SA, DuPont de Nemours Inc., Lotte Chemical Corporation, Eastman Chemical Company, Eurochem Agro GmbH, Israel Chemicals Limited, Celanese Corporation, Formosa Plastics Corporation, Tosoh Corporation, Nippon Shokubai Co Ltd, UBE Industries Ltd, Borealis AG, Versum Materials Inc., Tata Chemicals Limited, Jordan Bromine Company Limited, Tokyo Chemical Industry Co. Ltd., Indo Chemicals Pvt. Ltd., Bhavani Chemicals
Asia-Pacific was the largest region in the basic chemicals market in 2024. North America is expected to be the fastest-growing region in the forecast period. The regions covered in the basic chemicals market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the basic chemicals market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The basic chemicals market consists of sales of ammonia, bromine, calcium carbonate, chlorine, fluorine, hydrogen, hydrogen chloride, and hydrogen fluoride. Values in this market are 'factory gate' values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Basic Chemicals Global Market Report 2025 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on basic chemicals market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for basic chemicals ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The basic chemicals market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The forecasts are made after considering the major factors currently impacting the market. These include the Russia-Ukraine war, rising inflation, higher interest rates, and the legacy of the COVID-19 pandemic.