SYNTHETIC & BIO-BASED ADIPIC ACID MARKET ANALYSIS

Synthetic & Bio-based Adipic Acid MarketSize and Trends

Global Synthetic & Bio-based Adipic Acid Market was valued at US$ 9.79 Billion in 2022, exhibiting a CAGR of 5.5% in terms of revenue, over the forecast period (2023 to 2030) to reach US$ 15.04 Billion by 2030. Adipic acid is an important raw material used in the production of industrial fiber such as Nylon 6.6. Adipic acid is basically produced by using various raw materials such as cyclohexane, benzene, and phenol. The lower purity grade of adipic acid is used to produce polyurethane whereas the high purity grade is used to produce nylon. Adipic acid is a chemical compound that appears white crystalline organic acid that contains six carbon atoms and two carboxylate groups. It is mainly used as a key raw material for the manufacturing of nylon 6.6. Automotive, medical, food, packaging & consumer goods, construction, electrical & electronics, and furniture are some of the major end-user of adipic acid.

Global Synthetic & Bio-based Adipic Acid Market

The recent outbreak of coronavirus had a negative impact on the adipic acid market because of the  profitable slowdown caused by the pandemic, the use of nylon and nylon- grounded products, particularly in the  machine industry, has declined significantly. As a result, demand for adipic acid in the market for the manufacture of nylon dropped. The civil lockdowns and restrictions on export- import activities have significantly impacted the global adipic acid market's supply chains and operations. On the other hand, due to the high demand for drugs during the pandemic, the use of adipic acid in the pharmaceutical industry increased. This has redounded in an increase in market demand for adipic acid.

Figure 1. Global Synthetic & Bio-based Adipic Acid Market, By Application, 2022

Global Synthetic & Bio-based Adipic Acid Market - Drivers

 Growing demand for nylon from the automotive industry

• The growing demand for nylon from the automotive industry is predominantly fueling the market growth of adipic acid. Nylon 6, 6 is widely used in the manufacturing of lightweight automobile components such as intake manifolds, as these materials have better resistance which makes them ideal substitutes for metals. Thus, the growing demand for nylon 6.6 from the automotive industry is majorly driving the market growth of synthetic and bio-based adipic acid. For instance, in 2021 INVISTA announced plans for Asia Innovation Center at the Shanghai Chemical Industry Park to advance nylon 6, 6 application development. INVISTA Nylon Chemicals (China) Co. announced plans to establish its new Asia Innovation Centre in Shanghai, with the inauguration ceremony held at Shanghai Chemical Industry Park (SCIP)

Rising demand for the footwear industry

• Expansion of the footwear market as polyurethane is used in the production of footwear is expected to fuel the market growth of synthetic and bio-based atopic acid. According to World Footwear, footwear production worldwide reached 24.2 billion pairs, increase by 2.7%. Thus, growth in the footwear market due to increasing production and demand among consumers is expected to augment the market growth of the adipic acid over the forecast period.

Global Synthetic & Bio-based Adipic Acid Market - Trends

Rapidly expanding packaging industry

Rapidly expanding packaging industry due to the growing trend of online shopping around the globe is expected to foster market growth. Polymers such as polyurethane produced from adipic acid are widely used in the production of packaging materials such as rigid packaging. In addition to the growing demand for packaged food due to the changing lifestyle of the consumer is again anticipated to augment the market growth of synthetic and bio-based adipic acid.