UNSATURATED POLYESTER RESINS MARKET ANALYSIS

Fluctuating prices of raw materials like unsaturated fatty acids, maleic anhydride, phthalic anhydride and styrene which are used to manufacture unsaturated polyester resins have negatively impacted the stable growth of the global market. These raw materials are crude oil derivatives and their prices depend on fluctuations in crude oil prices internationally. In recent years, due to uncertainties caused by the trade wars between major economies and the Covid-19 pandemic, crude oil prices have witnessed wide swings which directly affects the cost of producing polyester resins.

Market Opportunities: Growth in end use industries

The global unsaturated polyester resins market is well positioned to benefit tremendously from the anticipated growth in key end-use industries in the coming years. Construction and infrastructure development activities are expected to significantly increase worldwide due to rapid urbanization and growing investments by governments to boost economic development. According to World Bank data, the global construction industry is projected to grow at an annual rate of 3.6% between 2019 and 2023. Majority of this growth will come from residential and commercial construction projects in developing nations to meet the housing needs of expanding populations. Unsaturated polyester resins find wide application in manufacturing fiber reinforced plastic products used in construction such as panels, pipes, ducts and roofing materials owing to their excellent mechanical and thermal properties. Thus, the projected strong growth in construction output globally present a big opportunity to drive the demand for unsaturated polyester resins.