Maleic Anhydride Market Is Estimated To Witness High Growth Owing To Rising Demand From Unsaturated Polyester Resins

The maleic anhydride market is estimated to be valued at US$ 4.56 Bn in 2024 and is expected to exhibit a CAGR of 5.6% over the forecast period 2024- 2031, as highlighted in a new report published by Coherent Market Insights.

The maleic anhydride market is primarily driven by rising demand from unsaturated polyester resins. Unsaturated polyester resins (UPRs) find wide application in glass-reinforced plastics due to their versatility and relatively low costs. They comprise approximately 60% of the total maleic anhydride market. Additionally, growing construction activities in developing regions of Asia Pacific and Latin America are fueling demand for glass-reinforced plastics, which in turn is propelling the maleic anhydride market growth.

Key Market Trends:

Adoption of bio-based maleic anhydride-Bio-based maleic anhydride is emerging as a promising substitute for petroleum-based maleic anhydride. It is produced through fermentation of sugars obtained from renewable biomass sources such as corn and sugarcane. Leading players are increasingly focusing on R&D activities to develop cost-effective production technologies for bio-based maleic anhydride in order to cater to the growing demand for sustainable solutions.

Increasing penetration in unsaturated polyester resins for automotive components-Maleic anhydride is extensively consumed in the production of unsaturated polyester resins that are further used to manufacture automotive components such as fenders, hoods, and deck lids. The growing automobile production across the globe driven by the mounting demand for passenger vehicles is expected to drive the consumption of maleic anhydride for unsaturated polyester resins. More coverage can be found in the sample copy.

Maleic Anhydride Market Opportunities

The maleic anhydride market is expected to witness significant growth over the forecast period owing to rising demand from construction and automotive industries.

The maleic anhydride market is expected to see ample opportunities owing to increased demand from the growing construction industry. Maleic anhydride is used in concrete admixtures to improve workability and water resistance of concrete mixtures. It is also used in construction chemicals to produce polymeric concrete admixtures and corrosion inhibitors. The rapidly growing construction activities across both commercial and residential sectors worldwide is anticipated to boost demand for maleic anhydride significantly over the next few years.

The automotive industry offers huge growth potential for the maleic anhydride market. Maleic anhydride is used in automotive parts like brake pads, gaskets, and clutch facings. It is also used in various automotive liquids like antifreeze, oils, and greases. With rising vehicle production worldwide owing to increasing disposable incomes, stringent emission norms, and growing preference for electric vehicles, demand from the automotive sector is projected to escalate demand for maleic anhydride in the coming years.

Key Market Takeaways

The global maleic anhydride market size was valued at USD 4.56 Bn in 2024 and is anticipated to witness a CAGR of 5.6% during the forecast period 2024-2031, owing to growing construction and automotive industries.

Based on raw material, the n-butane segment dominated the market in 2019 with a share of around 35% due to its availability and low cost. This segment is expected to maintain its lead over the forecast period.

In terms of application, unsaturated polyester resins accounted for the largest share of over 35% in 2019. This segment is projected to continue dominating the market during the forecast period due to wide usage of unsaturated polyester resins in construction, automotive, and marine industries.

Regionally, North America held the largest share of more than 30% in the global maleic anhydride market in 2019 due to high consumption in the automotive and construction industries in the US and Canada. North America is anticipated to continue dominating the market over the forecast period.

Competitor Insights:

BASF SE

LANXESS AG

Mitsubishi Chemical Holdings

Ningbo Jiangning Chemical Co, Ltd

Zibo Qixiang Tengda Chemical Co. Ltd

Ashland

DSM

Polynt,

Thirumalai Chemicals Ltd

Recent Developments in Maleic Anhydride Market

In June, global chemical firm Huntsman announced plans to boost production capacity at its mobile, Alabama plant by 25% through a multimillion-dollar expansion project. The plant currently has annual output of 110,000 tons of maleic anhydride and will increase capacity to 140,000 tons per year once the expansion is complete in early 2024. Huntsman cited strong demand growth from customers in the construction, automotive, and food packaging sectors as the impetus for the investment. Company executives expect global consumption of maleic anhydride to increase by 3-4% annually over the next five years, driven primarily by Asia and emerging markets.

In July, German specialty chemicals company LANXESS agreed to acquire global maleic anhydride supplier TPC Group’s operations in Virton, Belgium for approximately $90 million. The acquisition added annual production capacity of 45,000 tons to LANXESS’s existing network. It gives the company a larger footprint in Europe to better serve the region’s sizable copolymers and solvents markets. LANXESS CEO Matthias Zachert commented that the Virton site’s flexible production capabilities and multi-modal logistics support strengthen LANXESS’s competitive position in the maleic anhydride industry. Full coverage of the report available here.