Adipic Acid Market, By Application (Nylon 6, 6 Fiber, Nylon 6, 6 Resin, Polyurethanes, and Others), By End-use Industry (Automotive, Electrical & Electronics, Home Appliances, Textiles, and FMCG), By Geography (North America, Latin America, Asia Pacific, Europe, Middle East, and Africa)

Published In : Jun 2024

Code : CMI318

Pages :160

Formats :

Excel and PDF

Industry : Polymers and Resins

Market Challenges: Volatility in crude oil prices

Crude oil price volatility has emerged as a major concern negatively impacting the growth of Adipic Acid market. Adipic Acid is primarily manufactured from Cyclohexane which is derived from crude oil. Around 60-70% of the total production cost of Adipic Acid comprises of the raw material cost i.e. cyclohexane. Hence, crude oil price fluctuations directly contribute to the fluctuations in cyclohexane prices and overall production costs for adipic acid manufacturers.

Market Opportunities: Development of bio-based adipic acid

The development of bio-based adipic acid production holds great potential as an opportunity for future growth in the adipic acid market. Currently, almost all commercially produced adipic acid is made from non-renewable petroleum-based feedstocks. However, biobased production using renewable sources such as corn could provide a more sustainable alternative. Shifting even a portion of adipic acid production to biobased methods would significantly reduce dependence on petrochemicals and lower emissions. This environmental benefit has attracted interest from major companies as consumers increasingly demand green chemicals.