Industrial Hydrogen Peroxide Market - Forecast(2023 - 2028)

Industrial Hydrogen Peroxide Market size is forecast to reach around $4.5 billion by 2025, after growing at a CAGR of 5% during 2020-2025. The use of hydrogen peroxide provides various benefits like increased brightness levels, improves brightness stability, and reduces manufacturing cost. Hence, the demand for Industrial Hydrogen Peroxide is growing from various end-use industries such as cosmetics & personal care, aerospace, agriculture, and chemical synthesis, which in turn drives the growth of Industrial Hydrogen Peroxide market share. The growing consumer sector along with the e-commerce industry is also propelling the Industrial Hydrogen Peroxide market size during the forecast period. Furthermore, the growing uses of hydrogen peroxide as an oxidizing agent in the Chemical Industry is also contributing to the growth of this market.

The report: “Industrial Hydrogen Peroxide Market – Forecast (2020-2025)”, by IndustryARC, covers an in-depth analysis of the following segments of the Industrial Hydrogen Peroxide Industry.  

By Type: Bleaching, Oxidizing, Sterilizing, Propulsion, and Others

By Application: Paper & Pulp (Chemical Pulp, Mechanical Pulp, Recycled Pulp, and Others), Chemical Synthesis (Inorganic Derivatives and Organic Derivatives), Food Processing (Sterilization, Antimicrobial Agent, Oxidizing & Bleaching Agent, and Others), Electronics & Semiconductor (Etching& Cleaning, ICM, PCB, and Others), Agriculture, Healthcare/Medical, Water & Wastewater Treatment, and Others

By Geography: North America, South America, Europe, APAC, and RoW

The bleaching segment holds the largest share of more than 25% in the Industrial Hydrogen Peroxide market in 2019 owing to the growing popularity of skin-bleaching cosmetic products in Asia-Pacific and uses of hydrogen peroxide as a bleaching agent for the treatment of natural and synthetic fibers in the textile industry is driving the growth of the Industrial Hydrogen Peroxide market. Furthermore, the growing uses of bleaching as a household disinfectant and cleaning agent across the residential and commercial sectors are also driving the market growth. Moreover, the hydrogen peroxide as a bleaching agent also find various applications in paper & pulp, pharmaceuticals personal care, and medical industries including dental or wound disinfectant and decontamination of surgical instruments, further boosting the market.

Electronic and semiconductor segment is projected to witness a significant CAGR of 6% during the forecast period. Industrial Hydrogen Peroxide such as hydrogen peroxide and phosphoric acid is used in the electronic industry as an oxidizing and cleaning agent for manufacturing semiconductors as well as an etchant in the production of printed circuit boards. An increase in demand for electronic appliances increases the use of printed circuit boards which further propels the growth of the Industrial Hydrogen Peroxide market. According to The industry association for Printed Circuit Boards (IPC), total North American printed circuit board shipments in April 2019 increased by 6.6% compared to April 2018, subsequently fueling the Industrial Hydrogen Peroxide market.

The Asia Pacific region has dominated the Industrial Hydrogen Peroxide market with a share of more than 40% in 2019 followed by North America and Europe. The growing industrialization across the country is driving the growth of the Industrial Hydrogen Peroxide market in developing nations. Increasing demand for apparel and the expansion of textile industries is also aiding the growth of this market in the APAC region. Moreover, increasing usage of pesticides and fertilizers for better crop productivity by nations like China, India, Malaysia, and Indonesia is boosting the Industrial Hydrogen Peroxide market. The growing water and wastewater treatment plants across various industries are also contributing to the growth of this market in the APAC region. 

The use of hydrogen peroxide offers various benefits such as softening the water and chlorination destroys most waterborne germs to help keep water safe and reusable, which makes it extensively useful for various industrial applications. Furthermore, the growing health awareness among the consumers or employees and the rise in water treatment facilities in industries are contributing to the growth of the industrial hydrogen peroxide market over the forecast period. Besides, according to the Unites Nations Water Publication, due to the growing industrial and domestic sectors the demand for water is expected to grow from 20% to 30% above by 2050 from the current level of water use. This growth increases the need for water and wastewater treatment activities, which in turn drives the growth of this market.

Hydrogen peroxide is used as a bleaching agent in paper and pulp industry. To overcome the environmental impacts of plastics, the demand for paper for packaging applications is increasing, which further drives the growth of Industrial Hydrogen Peroxide. According to the environmental paper network (EPN), paper use is steadily increasing year on year and exceeded 400 million tons per year in 2018. Moreover, government regulations to lower the use of plastics also boost the growth of the market. For instance, New York has restricted the use of plastics by passing Senate Bill 1508 in 2019. Moreover, the growing environmental awareness among industries and stringent environment norms from developed and developing regions drive the demand for hydrogen peroxide with low volatile organic compounds (VOC). Governments globally are focusing on green practices for reducing the impacts of chemicals on human health and the environment. Industrial Hydrogen Peroxide is required to meet the inevitably strict environmental standards, as developing countries like China and India are updating instructions to control VOC which will further boost the adoption of Industrial Hydrogen Peroxides.

Although Industrial Hydrogen Peroxide finds a wide range of applications, its harmful effect on human health restraint the growth of the market. Exposure to Industrial Hydrogen Peroxide can cause severe skin burns, can irritate the nose and throat and cause difficulties in breathing. Fluctuating prices of chemical is also a major challenge for Industrial Hydrogen Peroxide market. In October 2019, Arkema has raised the price for its hydrogen peroxide range by 30 €/DMT to cover increasing electricity and labor costs whereas Solvay raised the prices in September 2018 by EUR130 per dry metric ton in Europe for all hydrogen peroxide grades and derivatives. Whereas, there are various factors responsible for the fluctuation of the raw materials such as geopolitical issues between countries, trade war, inflations, employability, labor cost, and growing population. For instance, in 2019, the trade war between the US and China has a major impact on the manufacturers, suppliers, and distributors of hydrogen peroxide products. Additionally, the outbreak of COVID-19 has adversely impacted the Industrial Hydrogen Peroxide market. Lack of manpower has led many manufacturing companies to stop their production which further results in their downfall. Electronic, aerospace and textile industries are facing huge losses, thus affecting the demand for Industrial Hydrogen Peroxide. 

Technology launches, acquisitions and R&D activities are key strategies adopted by players in the Industrial Hydrogen Peroxide market report. In 2019, the market of Industrial Hydrogen Peroxide top 10 companies accounting for xx% of the share. Major players in the Industrial Hydrogen Peroxide market industry outlook are BASF SE, The Dow Chemical Company, Solvay SA, Evonik Industries AG, AkzoNobel N.V., Ecolab Inc., Indian Peroxide Limited (IPL), Kemira Oyj, Arkema SA, Merck Group, and Mitsubishi Gas Chemical Company, Inc., among others.