Adc Blowing Agents Market - Forecast(2023 - 2028)

Adc Blowing Agents Market Overview

Adc Blowing Agents Market size is forecast to grow at a CAGR of 4.1% during 2022-2027. Adc blowing agent is a substance that is capable of producing a cellular structure via a foaming process in a variety of materials that undergo hardening or phase transition, such as polymers, plastics, and metals.  ADC is the most economical and most widely applied organic chemical blowing agent. It is a type of yellow or light-yellow crystal in powder form. By adding some activating agent to ADC, it will lower its decomposition temperature down to 150 degree celsius or even lower, which further enlarges its application fields. ADC has good dispersibility, a large gas yield, and nontoxic decomposition products. It is mainly used for the production of closed-cell foam products. The application of Adc blowing agents includes polyvinyl chloride, polyethylene, polypropylene, polystyrene, polyurethanes, and polyamide. Thus, the growing demand for plastic in the packaging, construction, and automotive industry is escalating the market growth of Global Adc blowing agents, for instance, a group of more than 40 Canadian companies from leading brands to waste management firms, government institutions, and NGOs have unveiled the Canada Plastics Pact, a plan to recycle or compost 50 percent of Canada’s plastic packaging by 2025. Besides, plastic packaging accounts for 47 percent of all plastic waste, it is the immediate focus of the CPP’s collective efforts, which will center around four targets by 2025.

Covid-19 Impact

The outburst of the covid-19 has specified several extraordinary challenges to all manufacturers and production companies. The Global Adc blowing agents industries also confronted a lot of difficulties in assembling plastic and receiving the workforce as the whole world was under quarantine. The gathering of the raw material and the delivery of the end product all was at stake during the lockdown. However, after a while, the market was back to normal when certain rules were changed. With the change where everyone around the world has to turned into extra aware of environmental safety. As the lifestyles have transformed people are choosing to be healthier and more sustainable after the pandemic.

Report Coverage                             

The “Adc Blowing Agents Market Report– Forecast (2022-2027)”, by IndustryARC, covers an in-depth analysis of the following segments of the Global Adc Blowing Agents Industry.

Key Takeaways

• The Asia Pacific region dominates the Adc Blowing Agents Market owing to a rapid increase packaging industry.
• Growing rising demand for plastic consumption in the construction and automotive sector is driving the market growth during the forecast period.
• Stringent government regulations and banning of the polymer product is hampering the market growth

The polyethylene segment accounted for approximately 22% of the market share in 2021 and is estimated to grow at a 3.8% CAGR during the forecast period. Polyethylene is the utmost used polymer in the world and is a high gloss, crack-resistant transparent plastic. As a raw material, it is considered as a safe, strong, lightweight, flexible, and non-toxic material that can be effortlessly recycled. It is extensively used in numerous applications such as automotive, electronics, packaging, and others. The large-scale adoption of foam blowing agents is evident as a result of growing demand in the building and car industries for polyurethane foams. However, the market for foam blowing agents has been encouraged by rising energy efficiency and better insulating properties. The construction and automotive industry serve the leading end users on the market for foam-blowing agents. Due to the rising demand of natural spray blowing products, the applications of foam blowing agents are expected to develop in the coming years.

Adc Blowing Agents Market Segment Analysis - By End-Use Industry

Packaging sector held the largest share in the Adc Blowing Agents Market in 2021 and is estimated to rise at a CAGR of 4.8% in terms of revenue during the forecast period from 2022-2027. Adc blowing agents are used while manufacturing plastics or polymers. Thus, an increase in disposable income and changing consumer behavior are certainly anticipating the market growth of Global Adc blowing agents. Furthermore, Canada is witnessing an increasing growth in food services sales, which, in turn, is boosting the polymers market positively impacting the Adc Blowing Agents Market. Besides, a group of more than 40 Canadian companies from leading brands to waste management firms, government institutions, and NGOs have unveiled the Canada Plastics Pact, a plan to recycle or compost 50 percent of Canada’s plastic packaging by 2025. The rising demand for plastics from the packaging industry is positively impacting the market growth, for instance, according to Invest India, the Indian Packaging Market was valued at $50.5 bn in 2020, and it is expected to reach US$204.81 bn by 2025, registering a CAGR of 26.7% during the period of 2022-2025. Thus, anticipating the growth of Adc Blowing Agents Market in the different companies in the forecast period.

Adc Blowing Agents Market Segment Analysis - By Geography

Asia-Pacific had accounted for the largest share of 38% in 2021, and is estimated to grow with a CAGR of 4.9% during the forecast period 2022-2027, followed by North America and Europe. China, being an emerging economy in the Asia-Pacific region, is witnessing an exponential rise in the number of manufacturing activities, which would require high-performance components that consume plastic in various end-user industries. For instance, according to DCC China, the production of bottled drinking water, by volume, is expected to reach a total annual consumption of 49 million metric tons by the end of 2020. The government of Japan plans to reduce its carbon footprint with EVs, which has resulted in substantial investments toward EV infrastructure development, which includes plastics, polymers, and lightweight metals. Japan witnessed an increase in the number of EV charging stations, to support the rising number of EVs, on account of the introduction of government subsidies for EV buyers. For instance, according to the Japan Automobile Dealers Association (JADA), sales of electric vehicles in 2020 reached close to 1.4 million, a 3.2% increase compared to the previous year.  Japanese market demand for HEVs has been strong since the Toyota Prius was first introduced here.  In fact, 97.8% of the new electric vehicle sold in 2020 were HEVs, followed by PHEVs 1.1%, BEVs 1.1%, and FECVs 0.1%. On the other hand, according to India Brand Equity Foundation, in 2021, Indian Oil Corporation (IOC) and two other public sector oil firms have announced that they will install 22,000 electric vehicles (EV) charging stations over the next 3–5 years. Thus, anticipating the overall growth of Global Adc blowing agents

Adc Blowing Agents Market Drivers

Rising Demand of Plastic Consumption in Construction

Plastics is helping to save energy and landfill space and are used in new building and construction applications. Recycled plastics can be blended with virgin plastic to reduce cost without sacrificing performance and consuming plastics as a primary construction material is sufficient to encounter the average annual energy needs of 4.6 million Canadian households which is equivalent of all the households in 11 out of 50 states. The rapid increase in applications like roofing tiles, concrete for sideways, driveways, and more for its properties like lighter material, durability, long term energy saving. Thus, the rising growth of the construction sector drives the market growth, for instance, according to International Trade Administration (ITA), China is expected to witness an increase in construction industry revenue value from US$968 billion to US$1.1 trillion in 2021 -2023. Besides, In India, according to the Department for Promotion of Industry and Internal Trade (DPIIT), the construction development sector activities stood at US$25.93 billion between 2010-2020. Such continual expansion of these sectors is anticipated to drive the need Adc Blowing Agents Market during the forecast period the forecast period

Growing demand from the Automotive sector

The demand of plastics for interior components in the automotive industry is expected to increase largely owing to the increased focus on lightweight and fuel-efficient vehicles. Demand is expected to gain more traction with the improvement in economic conditions. Regulations aimed at lowering gross vehicle weight in order to increase fuel efficiency and ultimately minimize carbon emissions have facilitated the use of plastics for the manufacturer of automotive components as a replacement for metals, including aluminum and steel. Also, owing to the strict regulations on carbon emissions and price sensitivity of some end-users, vehicle manufacturers choose plastics in their designs as per the Canadian government. For instance, in 2020 Plastic Component Industries (PCI) has introduced its first international facility in Ontario, Canada. And invested US$4 million, which will help to strengthen the company’s global footprint by catering to Ontario’s resilient automotive sector. The investment and development in the production of automotive positively anticipate the growth of Global Adc blowing agents. For instance, according to India Brand Equity Foundation, the Government of India expects the automobile sector to attract US$ 8-10 billion in local and foreign investments by 2023. On the other hand, according to the US Bureau of Economy Analysis, US affiliates of major foreign-owned firms in the US automotive Industry invested US$7.5 billion in innovative R&D in the automotive sector in 2020. Thus, increasing the demand of plastics in the automotive sector, boosting the Global Adc blowing agents.

Adc Blowing Agents Market Challenges

Stringent Government Regulations and Banning of Polymer Products

The FDA has pressurized manufacturers to submit data regarding the long-term health impact of inorganic substances in Plastics particularly hormonal effects and contributors to anti-biotic resistant bacteria, to ascertain the safety of medical use Plastics products like gloves. These regulations are to ensure the safety of consumers by regulating the hygiene quality product by the manufacturers. Material use regulations are likely to impact the growth of the plastics industry. In response to increasing concerns about the harm caused by polymers to the environment, strict government legislation and other policies have come into the picture. Many producers and policymakers have made efforts to introduce greener and non-polymer alternatives to minimize environmental pollution caused by the use of polymers. Thus, negatively impacting the growth of Adc Blowing Agents Market.

Global Adc Blowing Agents Industry Outlook

Technology launches, acquisitions, and R&D activities are key strategies adopted by players in the Adc Blowing Agents Market. Adc Blowing Agents Market top 10 companies include:

1. Arkema
2. Otsuka Chemical
3. Solvay
4. Dongjin Semichem
5. Jiangxi Selon Industrial Stock
6. Ningxia Risheng Industry
7. Fujian Longyan Longhua Chemical
8. Haihong Fine Chemical
9. Weifang Yaxing Chemical
10. China First Chemical Holdings

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