Market Challenges And Opportunities

Drivers

The growing production of polyurethane dispersion is expected to drive the market growth of dimethylolpropionic acid. This is attributed to the rising demand for polyurethane dispersion from various end-use applications such as leather, adhesives &sealants, fiberglass, furniture, etc. Thus rising demand for polyurethane dispersions is projected to favor the market growth over the forecast period.

Rising demand for electro-deposition coatings across the metal industry is projected to stimulate market growth. Electro-deposition is low-cost coatings that offer high performance and improve functional properties of the materials. It is widely used in appliances such as HVAC system. Thus growing demand for electro-deposition coatings across the various end-use application is expected to augment the market growth of dimethylolbutanoic acid over the forecast period.

Market Restraints

The hazardous environmental effect of polyurethane dispersion is projected to restrict the use of dimethylolbutanoic acid over the forecast period.

The fluctuating price of raw materials used for the manufacturing of DMPA is expected to hamper the market growth of dimethylolbutanoic acid. Formaldehyde and propionaldehyde are widely used in the manufacturing of dimethylolpropionic acid over the forecast period.

Market Opportunities

The growing demand for powder coating from the automobile industry is expected to offer potential growth opportunity to the market of the dimethylolbutanoic acid. The automobile industry is emerging as the fastest-growing application of powder coating for enhancing the gloss and impact resistance on the component of the automobile. This is expected to accelerate market growth of dimethylolbutanoic acid over the forecast period.

Growth in the construction industry is propelling the demand for polyester resin which is further accelerating the market growth of the dimethylolbutanoic acid. Increasing development of infrastructure coupled with the rising adoption of advanced construction materials is further projected to fuel the market growth of dimethylolbutanoic acid over the forecast period.

Figure 2. Global Dimethylolpropionic Acid Market – Opportunity Analysis