Global Adipic Acid Market By Raw Material(Cyclohexanol, Cyclohexanone), By Form(Powder Form, Liquid Form), By Application(Nylon 6, 6 Fiber, Nylon 6, 6 Resin, Polyurethane, Adipate Esters, Others), By End-Use(Automotive, Electrical and Electronics, Packaging and Consumer Goods, Building and Construction, Textile, Others) , By Region and Companies - Industry Segment Outlook, Market Assessment, Competition Scenario, Trends and Forecast 2024-2033

Report Overview

The global Adipic Acid Market size is expected to be worth around USD 9.1 billion by 2033, from USD 6.1 billion in 2023, growing at a CAGR of 4.1% during the forecast period from 2023 to 2033.

The Adipic Acid Market refers to the global industry and economic environment surrounding the production, distribution, and consumption of adipic acid. Adipic acid is a white crystalline compound primarily used as a precursor for the production of nylon (nylon-6,6) by combining it with hexamethylene diamine. It is one of the most important industrial dicarboxylic acids, found in many everyday products such as footwear, automotive parts, carpeting, and clothing due to its role in manufacturing synthetic fibers.

Apart from its pivotal use in nylon manufacturing, adipic acid is also employed in the production of various other products. It serves as an ingredient in plasticizers and polyurethane resins, which are used in a variety of consumer goods and industrial applications. Adipic acid is also utilized as a food additive where it acts as a flavorant and gelling aid, and it is a component in some pharmaceuticals.

The market dynamics for adipic acid are influenced by factors such as the demand for nylon, environmental regulations concerning its production, advancements in production technologies, and global economic conditions. For instance, the shift towards more sustainable manufacturing processes and materials has led to research into bio-based alternatives to traditional petroleum-derived adipic acid, which could reshape market trends and competitive dynamics in the future.

The adipic acid market is a crucial component of the global chemical industry, and its growth is closely linked to industrial and consumer product manufacturing sectors, particularly where high-performance materials are required.

Key Takeaways

• Market Growth: Adipic Acid Market to reach USD 9.1 billion by 2033, with a 4.1% CAGR from USD 6.1 billion in 2023.
• Raw Material Dominance: Cyclohexanol commands a 57.4% market share in 2023 for its role in adipic acid production.
• Preferred Form: Liquid adipic acid claims over 56.4% market share in 2023 for its handling ease and precise dosing.
• Top Application: Nylon 6,6 Fiber leads with a 42.3% market share in 2023, widely used in textiles and automotive.
• End-Use Industries: Building & Construction dominates with a 45.2% market share in 2023, followed by automotive, electronics, packaging, and textile sectors.
• North America emerges as the largest of the global Adipic Acid Market, holding the largest revenue share of 35.4% in 2023.

By Raw Material

In 2023, Cyclohexanol held a dominant market position in the Adipic Acid Market, capturing more than a 57.4% share. This prevalence is primarily due to cyclohexanol’s role as a key intermediate in the production of adipic acid through the oxidation process.

Cyclohexanol, when oxidized, forms cyclohexanone, which is further processed to produce adipic acid. This pathway is favored for its efficiency and the high purity of adipic acid it yields, making it ideal for sensitive applications like nylon manufacturing and resin production.

On the other hand, Cyclohexanone, directly used as a raw material alongside cyclohexanol, also plays a crucial role in the adipic acid production chain. While it captures a smaller market share, its direct involvement in the production process as an oxidation product of cyclohexanol and as a direct reactant in the synthesis of adipic acid underscores its importance. The use of cyclohexanone is essential in optimizing the production process to achieve higher yields and cost-effectiveness in adipic acid manufacturing.

Both raw materials are integral to the adipic acid market, each contributing to the overall efficiency and sustainability of the production process. The demand for these chemicals is closely tied to the performance of the end-use industries, particularly in sectors that require synthetic fibers and resins.

By Form

In 2023, Liquid Form held a dominant market position in the Adipic Acid Market, capturing more than a 56.4% share. This format’s popularity stems from its ease of handling and application in various industrial processes, particularly in the production of nylon and polyurethane, where liquid form can be integrated more seamlessly than powder. The liquid form is also preferred for its precise dosing capabilities, which reduce waste and enhance process efficiency in large-scale manufacturing settings.

Conversely, the Powder Form of adipic acid, while holding a smaller market share, is favored for its storage stability and ease of transport. It is commonly used in applications where longer shelf life and controlled release of material are crucial, such as certain pharmaceuticals and specialty chemicals. Powder form is also advantageous in applications requiring batch processing and where precise weight control is necessary.

Overall, both forms of adipic acid serve critical roles across various industries, with the choice of form largely dependent on specific application needs and processing requirements. The dominance of liquid form reflects its broader utility in continuous industrial processes, underscoring the ongoing industrial demand for efficiency and integration capability.

By Application

In 2023, Nylon 6,6 Fiber held a dominant market position in the Adipic Acid Market, capturing more than a 42.3% share. This segment’s strength is attributed to the extensive use of Nylon 6,6 Fiber in various applications such as textiles, carpets, and industrial fabrics where its durability and resilience are valued. The high demand for this fiber in the automotive and electronics industries, where it is used for components that require high mechanical strength and heat resistance, also contributes significantly to its market share.

Following closely, Nylon 6,6 Resin is another major application, utilized widely in the manufacturing of engineering plastics and automotive parts. This resin is preferred for its high melting point and ability to produce molded parts with excellent dimensional stability.

The Polyurethane segment also represents a significant portion of the market. Adipic acid is used here primarily as a building block in the synthesis of polyurethane foams, which are critical for insulation materials, footwear, and furniture, highlighting its versatility and importance in consumer goods.

Adipate Esters form a smaller, yet essential part of the market. These esters are used as plasticizers in PVC and other plastics, improving their flexibility and durability which is crucial in consumer products, packaging, and construction materials.

By End-use

In 2023, Building & Construction held a dominant market position in the Adipic Acid Market, capturing more than a 45.2% share. This substantial market share is largely due to the extensive use of adipic acid in the production of nylon 6,6 and polyurethane products, which are crucial for various construction materials. These include everything from insulation and piping to flooring and sealants, reflecting the sector’s broad applications and significant demand for durable, high-performance materials.

The Automotive sector also significantly utilizes adipic acid, especially in the manufacture of nylon 6,6 for car parts such as airbags, interiors, under-the-hood components, and connectors, where its thermal stability and strength are essential.

In the Electrical & Electronics industry, adipic acid-based polymers are used to create components that require high resistance to wear and abrasion, contributing to safer and more durable electronic products.

Packaging & Consumer Goods is another important segment, where adipic acid derivatives are used in packaging films and coatings that require flexibility and strength, enhancing the shelf life and safety of consumer products.

The Textile industry benefits from the use of nylon 6,6 fibers made with adipic acid, valued for their durability and resistance to wear, making them ideal for high-quality apparel and furnishings.

Key Market Segments

By Raw Material

• Cyclohexanol
• Cyclohexanone

By Form

• Powder Form
• Liquid Form

By Application

• Nylon 6, 6 Fiber
• Nylon 6, 6 Resin
• Polyurethane
• Adipate Esters
• Others

By End-Use

• Automotive
• Electrical & Electronics
• Packaging & Consumer Goods
• Building & Construction
• Textile
• Others

Drivers

Expanding Nylon 6,6 Applications in Various Industries

A major driver for the Adipic Acid Market is the expanding range of applications for Nylon 6,6, which is primarily derived from adipic acid. Nylon 6,6, known for its exceptional strength, durability, and resistance to abrasion and chemical damage, is increasingly utilized across various industries, significantly boosting the demand for adipic acid.

As a versatile polymer, Nylon 6,6 is pivotal in sectors such as automotive, electrical and electronics, textiles, and more, where its properties are essential for manufacturing components that require high mechanical strength and thermal stability.

In the automotive industry, Nylon 6,6 is used in the production of high-performance parts such as gears, bearings, and other under-the-hood components. The need for lightweight and durable materials in automotive manufacturing to improve fuel efficiency and reduce emissions is a critical factor driving this demand. Similarly, in the electrical and electronics industry, the miniaturization of devices and the need for materials that can withstand high temperatures have made Nylon 6,6 a material of choice for connectors, insulators, and housing components.

The construction sector also leverages Nylon 6,6 for its robustness and longevity in applications ranging from residential to commercial buildings, such as in the form of carpets, fittings, and various fixtures that require long-term durability and resistance to wear and tear. Furthermore, the textile industry values Nylon 6,6 for high-end apparel and performance wear due to its resilience and ease of maintenance.

Moreover, the ongoing advancements in polymer technology and the development of new applications for Nylon 6,6 continue to open new markets and opportunities for adipic acid. The polymer’s adaptability to various composite materials and its ability to be blended with other fibers enhance its applications in innovative uses such as in eco-friendly products and recycling processes.

Additionally, the global push towards more sustainable manufacturing practices has stimulated research into bio-based adipic acid, which promises to reduce the environmental impact of traditional adipic acid production methods. This shift not only addresses environmental regulations but also caters to the growing consumer preference for sustainable products, further propelling the market growth.

Restraints

Environmental Concerns and Regulatory Challenges

A significant restraint on the growth of the Adipic Acid Market is the environmental impact associated with its production, along with the stringent regulatory challenges that manufacturers face. Adipic acid is primarily produced from the oxidation of cyclohexanol and cyclohexanone, processes that release nitrous oxide (N₂O), a potent greenhouse gas with a global warming potential significantly higher than carbon dioxide. The environmental footprint of adipic acid production has drawn scrutiny from both environmentalists and regulators, leading to tighter controls and higher compliance costs for producers.

This environmental concern is compounded by the global push towards reducing greenhouse gas emissions as part of broader initiatives to combat climate change. In regions like the European Union, North America, and parts of Asia, environmental regulations governing industrial emissions are particularly stringent. Manufacturers are required to invest in technology that mitigates the release of harmful byproducts, which can lead to increased operational costs and impact the profitability of adipic acid production.

Moreover, the trend towards sustainability is influencing consumer and industrial buyers’ preferences, with an increasing demand for products manufactured using greener processes. This shift is pushing the adipic acid industry towards exploring and adopting alternative production methods, such as bio-based adipic acid, which though environmentally friendly, is currently more expensive and less efficient at a commercial scale than traditional methods.

The combination of high regulatory compliance costs, the need for investment in clean technology, and shifting market preferences poses a significant challenge to the growth of the traditional adipic acid market. These factors compel producers to innovate and adapt but also act as barriers to market entry and expansion, particularly in regions with the strictest environmental standards.

Opportunity

Growth in Bio-based Adipic Acid

One significant opportunity in the Adipic Acid Market is the growing interest and potential for bio-based adipic acid. This shift is driven by the increasing demand for sustainable and environmentally friendly manufacturing practices. Bio-based adipic acid is produced from renewable raw materials, such as glucose derived from corn or sugarcane, rather than petroleum-based sources. This not only reduces the environmental impact associated with traditional adipic acid production, which involves hazardous emissions and heavy reliance on fossil fuels but also aligns with global sustainability goals and consumer preferences for green products.

The move towards bio-based adipic acid is particularly opportune given the tightening of environmental regulations worldwide. Governments and regulatory bodies are increasingly implementing policies that encourage or mandate the use of sustainable materials. This regulatory environment, combined with incentives or subsidies for cleaner production technologies, presents a fertile ground for growth in the bio-based sector of the adipic acid market.

Additionally, the end-use industries for adipic acid, particularly the plastics, textiles, and automotive sectors, are under significant pressure to reduce their carbon footprints. These industries are actively seeking out greener alternatives that can replace traditional petrochemical-based inputs without compromising on quality or performance. Bio-based adipic acid meets these criteria, offering a drop-in replacement for conventional adipic acid in applications ranging from nylon production to polyurethane foams.

Moreover, advancements in biotechnology are making the production of bio-based adipic acid more economically viable. Innovations in genetic engineering and fermentation processes have led to more efficient conversion of biomass into adipic acid, reducing production costs and making it competitive with petrochemical methods. As technology continues to improve, the cost-effectiveness of bio-based adipic acid is expected to increase further, enhancing its attractiveness to manufacturers.

The market for bio-based adipic acid is also benefiting from a growing consumer advocacy for sustainable products. Consumers are more aware than ever of the environmental impacts of their purchases and are demanding products made from renewable resources. This consumer shift is prompting manufacturers to adopt bio-based materials like adipic acid to maintain market share and appeal to eco-conscious shoppers.

Trends

Increasing Use of Adipic Acid in Polyurethane Production

A major trend in the Adipic Acid Market is the increasing use of adipic acid in the production of polyurethane, driven by the expanding applications of this versatile polymer in various industries. Polyurethane is widely used due to its exceptional flexibility, durability, and resistance to abrasion and chemicals, making it ideal for applications in automotive interiors, furniture, footwear, and insulation materials.

As industries seek more advanced materials to improve product performance and longevity, the demand for adipic acid as a key component in polyurethane production has seen significant growth.

The automotive sector, in particular, is leveraging polyurethane for lightweight and durable components, which are essential for enhancing fuel efficiency and reducing vehicle emissions. This aligns with global trends towards more environmentally friendly and energy-efficient automotive designs. Similarly, in the construction industry, polyurethane made with adipic acid is used for high-performance insulation materials that contribute to energy savings and sustainability in buildings.

Moreover, the trend is supported by innovations in polyurethane formulations that cater to increasingly stringent environmental standards. Manufacturers are developing new types of polyurethanes that use adipic acid to create products that are easier to recycle or have a lower environmental impact during production and disposal. This innovation addresses the growing consumer and regulatory demand for materials that support a circular economy and reduce the carbon footprint.

Additionally, the versatility of polyurethane allows it to be used in a wide range of consumer goods, from apparel to sports equipment, where comfort, performance, and durability are key. The ability of adipic acid to enhance these properties in polyurethane compositions makes it a valuable component in the consumer goods sector.

The trend towards using adipic acid in polyurethane production is also being driven by economic factors, as manufacturers seek cost-effective yet high-performance materials to maintain competitiveness in high-pressure markets. The broadening of the application scope of polyurethanes, combined with advancements in material science and environmental technology, is expected to continue driving demand for adipic acid.

Regional Analysis

North America emerges as the largest of the global Adipic Acid Market, holding the largest revenue share of 35.4% in 2023. The region shows high growth potential due to increased awareness of healthy lifestyles and consumer preference for nutritious spreads. Peanut butter holds cultural significance in North America, deeply ingrained in American cuisine.

The US and Canada are major producers, exporters, and consumers of Adipic Acid. Canada, in particular, holds a significant share, with 61% of global exports. Factors like rising demand for plant-based products and adoption of organic foods drive agricultural innovation, impacting Adipic Acid production globally.

Key Regions and Countries

• North America
  • The US
  • Canada
• Europe
  • Germany
  • France
  • The UK
  • Spain
  • Italy
  • Russia & CIS
  • Rest of Europe
• APAC
  • China
  • Japan
  • South Korea
  • India
  • ASEAN
  • Rest of APAC
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • South Africa
  • Rest of MEA

Key Players Analysis

In the Adipic Acid Market, key players such as Invista, BASF SE, and Asahi Kasei Corporation dominate, leveraging extensive production capacities and global presence. These companies invest significantly in research and development to innovate and introduce advanced adipic acid-based products tailored to diverse industry needs.

Market Key Players

• Ascend Performance Materials
• Asahi Kasei Corporation
• BASF SE
• INVISTA
• LANXESS
• Liaoyang Tianhua Chemical Co., Ltd
• Radici Partecipazioni S.p.A.
• Solvay
• Sumitomo Chemical Co., Ltd.
• DOMO Chemicals

Recent Developments

By March 2023, Ascend Performance Materials successfully launched new adipic acid-based products tailored to meet evolving industry needs, enhancing its competitive edge.

In 2023, Asahi Kasei Corporation demonstrated significant strides and strategic initiatives in the Adipic Acid market.

Report Scope