The global caustic soda market was worth more than USD xx billion in revenue in 2018 and is expected to cross USD xx billion in 2023, growing at a healthy CAGR of over xx% during the forecast period.
Caustic soda or sodium hydroxide is an inorganic compound produced as a by-product of chlorine production process. It is a major raw material in the manufacture of many end-use products. Some of the important uses include as a raw material for pulp and paper, alumina, soap and detergents, petroleum products and other chemicals production. Other applications include water treatment, food, textiles, metal processing, mining, and glass-making.
Rising demand for pulp and paper and end-use chemicals from various industries such as paper, soap and detergents and other industries is likely to drive the caustic soda market. As caustic soda is a major raw material for these industries, demand for pulp and paper and end-use chemicals is expected to fuel the growth of this market. Demand for paper, soap and detergents and other industries are actually increasing because of growing population and extra income in developing countries. Additionally, demand for water treatment, food, textiles and others is likely to increase at a greater rate because of an upsurge in demand due to growing population and economic growth. This demand is growing at a higher rate, which in turn will boost consumption of caustic soda.
Drivers and Restraints of Caustic Soda Market
Growing investments in downstream industries in regions like the Asia and Americas are likely to offer tremendous possibilities for caustic soda market in the future. As a result of accessibility to raw material, multinational businesses are investing in resource-rich regions to be able to limit the overall production cost.
Caustic soda has a probability of volatility in supply and price due to its availability as a by-product of chlorine manufacturing process. Caustic soda has an adverse effect on human body if exposed to it for a longer duration. Its corrosive nature often makes environmental regulatory institutions to implement strict regulations on usage of caustic soda. Existing and future regulations concerning the use of caustic soda in end products are likely to challenge the market growth.
Caustic Soda Market by Region
Asia was the largest consumer of caustic soda and this pattern is anticipated to continue to be identical over the following few years. Consumption in Asia is showing upward trend because of increase in economic activity in China and India. China, India and Vietnam were the largest consumers of caustic soda in this region. Growing demand for paper, textiles, soap and detergents and other industries will drive caustic soda market in Asia. Consumption of caustic soda in rest of the world was minimal however it is likely to grow at a reasonable rate next to Asia. North America is likely to grow at a significant rate due to demand from organic chemicals, paper and textiles industry. Demand from Europe was low relatively and is likely to stay same in the next few years.
Top players in this market include Dow Chemical Company, Formosa Plastics Corporation, PPG Industries, Ineos Group Limited, Tosoh Corporation, Hanwha Chemical Corporation, Solvay SA, FMC Corporation, Occidental Petroleum Corporation.
The report covers exhaustive analysis on:
- Global Market Segments
- Global Market Size
- Global Market Competitive Landscape
- Production Technology
- Global Market Value Chain
- In depth summary of parent market
- Altering market characteristics in the industry
- Detailed market segmentation
- Historical and forecast market size in terms of volume and value
- Current industry developments
- Competitive landscape
- Potential and niche segments, regions showing promising growth