Global Chloroacetic Acid Market, By Product Type (Monochloroacetic Acid, Trichloroacetic Acid, Dichloroacetic Acid), By Application (Healthcare, Petrochemical, Textiles, Personal Care, Other Applications), By Region and Companies - Industry Segment Outlook, Market Assessment, Trends, and Forecast 2023-2032

Report Overview

In 2022, the global chloroacetic acid market accounted for USD 1371.5 million. This market is estimated to reach USD 2,048.4 million in 2032 at the highest CAGR of 4.2% between 2023 and 2032. Chloroacetic Acid is an organic compound with high adaptability.

This is a key raw material for the production of various chemicals, drugs, and agrochemicals. It is created by chlorinating acetic acid and has a mostly toxic and caustic character. With the chemical formula C2H3ClO2, chloroacetic acid is a crystalline, colorless & extremely caustic organic substance.

The primary driver for the market is anticipated to be the expanding use of this chemical in end-use sectors like healthcare, petrochemicals, textiles, and personal care.

The substance and its derivatives are likely to be used more frequently in surfactants, oil field uses, and tin stabilizers for processing polyvinyl chloride, among other applications. The production of cellulose ethers, herbicides, and thioglycolic acid are further industrial applications. The pharmaceutical industry’s rising need for chloroacetic acid.

Key Takeaways

1. Market Growth: In 2022, the global chloroacetic acid market was valued at USD 1371.5 million. It is projected to grow at a Compound Annual Growth Rate (CAGR) of 4.2% between 2023 and 2032, reaching USD 2,048.4 million by 2032.
2. Chloroacetic Acid Overview: Chloroacetic acid is an organic compound known for its high adaptability. It is a crucial raw material for the production of various chemicals, drugs, and agrochemicals. This crystalline, colorless substance is highly caustic and toxic.
3. Market Drivers: The expanding use of chloroacetic acid in healthcare, petrochemicals, textiles, and personal care industries is driving market growth. It is used in the production of surfactants, oil field products, and tin stabilizers for polyvinyl chloride processing, among other applications.
4. Pharmaceutical Industry: The pharmaceutical industry’s demand for chloroacetic acid is increasing due to its use in manufacturing various drugs, including local anesthetics and anti-cancer medications.
5. Carboxymethyl Cellulose: Carboxymethylcellulose, a product made using chloroacetic acid, is in high demand, particularly in textiles, detergents, and paper products. The rising demand for these products is expected to drive chloroacetic acid consumption.
6. Market Restraints: Chloroacetic acid’s toxicity and corrosiveness can pose risks to both humans and the environment, resulting in increased costs and regulatory obstacles for manufacturers. Fluctuations in raw material prices can also affect chloroacetic acid production profitability.
7. Application Segments: In 2022, the healthcare segment accounted for the largest revenue share in the chloroacetic acid market, followed by the petrochemical segment. The use of chloroacetic acid in healthcare is driven by its role in manufacturing anticancer medications and local anesthetics.
8. Product Types: Monochloroacetic Acid (MCA) is the most widely used chloroacetic acid derivative, with applications in carboxymethylcellulose, herbicides, and surfactants. Trichloroacetic Acid (TCA) finds primary use in the cosmetic and pharmaceutical sectors.
9. Regional Analysis: Asia Pacific led the global chloroacetic acid market in 2022, accounting for over 50% of worldwide demand. The growth is attributed to increasing product demand from healthcare, textiles, and personal care industries, especially in countries like China and India.
10. Key Players: The chloroacetic acid market is highly competitive, with major players including AkzoNobel N.V., CABB GmbH, and Daicel Corporation.
11. Latest Trends: There is a growing demand for bio-based chloroacetic acid due to the increasing focus on sustainability. Technological developments in production processes, including the application of advanced technologies like flow chemistry, are expected to boost the market.
12. Growth Opportunities: The textile sector presents a significant growth opportunity for chloroacetic acid due to the production of carboxymethylcellulose, a key additive in the textile industry. Additionally, the increasing industrial use of chloroacetic acid derivatives is expected to drive demand in various industries.

Driving Factors

Chloroacetic Acid demand in the pharmaceutical industry is increasing: This acid is the main ingredient in the manufacturing of various drugs, including local anesthetics & anti-cancer drugs. Because chronic diseases are becoming more prevalent and there is a greater demand for personalized medication, the demand for chloroacetic acid in the pharmaceutical industry is anticipated to increase.

The need for carboxymethyl cellulose is rising: Carboxymethylcellulose is in high demand. CMC can be made using chloroacetic acid. Textiles, detergents, and paper all contain significant amounts of CMC. Due to the rising demand for these products, chloroacetic acid consumption is expected to increase.

Restraining Factors

Chloroacetic Acid’s Toxicity and Corrosiveness: Chloroacetic Acid can be highly toxic and corrosive, which poses risks to the human body and environment. This can lead to increased costs & regulatory Obstacles for manufacturers. This also restraining the market growth.

Raw material price volatility: Chloroacetic Acid production is dependent on raw materials like acetic and chlorine. The profitability of Chloroacetic acid companies can be affected by fluctuations in raw material prices.

Stringent Rule & Regulations: Chloroacetic Acid production and use is subject to strict environmental and safety regulations. These regulations may increase production costs and reduce growth potential.

By Product Type Analysis

The Monochloroacetic Acid Segment Accounted for the Largest Share of Chloroacetic Acid Market in 2022.

In terms of market share. MCA is one of the chloroacetic acid derivatives that is most widely utilized. It is used in different products like carboxymethylcellulose, herbicides & surfactants. The requirement for MCA is expected to rise in the future years owing to the increasing demand for these products. In terms of market share, Trichloroacetic Acid (TCA) is the second-largest market for chloroacetic acid.

The cosmetic & pharmaceutical sectors primarily utilize TCA as a peeling chemical as well as a preservative. TCA demand is expected to rise over the next few decades due to an increase in skin diseases and an increased demand from consumers for skin care.

By Application Analysis

The Healthcare Segment Accounted for the Largest Revenue Share in Chloroacetic Acid Market in 2022.

The Healthcare segment dominates the Chloroacetic acid market share. In the healthcare sector, chloroacetic acids are widely used for a variety of purposes, including the manufacture of anticancer medications and local anesthetics. Chloroacetic Acid demand will rise over the future years as a result of rising chronic illness prevalence & rising requirements for personalized medication.

The market for chloroacetic acid’s second-largest application segment is petrochemicals. Chloroacetic Acid can be utilized to produce a variety of petrochemical products, such as glycolic acid & methacrylate ester.

Key Market Segments

Based on Product Type

• Monochloroacetic Acid
• Trichloroacetic Acid
• Dichloroacetic Acid

Based on Application

• Healthcare
• Petrochemical
• Textiles
• Personal Care
• Other Applications

Growth Opportunity

Expanding Textile Sector: The market for chloroacetic acid has a considerable development opportunity in the textile sector. The production of carboxymethylcellulose, a thickening agent & textile additive commonly used in the textile industry, requires chloroacetic acid.

The textile industry is expected to increase its demand for chloroacetic acids in future years. Owing to the rising requirement for textiles & the increased use of carboxymethylcellulose in various end-use sectors.

Increasing Industrial Use of Chloroacetic Acid Derivatives: Thioglycolic acid & methacrylate esters are just a few examples of the many industrial uses for chloroacetic acid and its derivatives, which are also utilized to make paints, adhesives, and other industrial chemicals.

The increasing demand for these products is anticipated to drive the requirement for chloroacetic acid in the petrochemical industry as well as other industries’ applications in the future years.

Latest Trends

Increasing demand for Bio-based Chloroacetic Acid- Growing Demand for Biobased Chloroacetic Acid. With an increasing focus on sustainability, environmental concerns, and other factors there is a rising demand for biobased Chloroacetic Acid.

Diverse companies invest in research and development to produce chloroacetic acid from renewable sources, including waste materials and biomass. In the coming years, there will be a rise in the requirement for biobased chloroacetic acid.

Technological developments in production processes: Chloroacetic acid production techniques have seen major technological developments, which have decreased costs and increased productivity. The market for chloroacetic acid is expected to increase over the next few years as a result of the application of advanced technologies like flow chemistry and microwave-assisted synthesis.

Regional Analysis

Asia Pacific Accounted the Largest Market Share in Chloroacetic Acid Market in 2022.

Asia Pacific was the largest market; it led to more than 50% of worldwide demand. It is predicted that the market will continue to dominate over the forecasting period. Due to rising product demand from a wide range of end-use industries, including healthcare, textiles, and personal care.

Population growth and increased consumer disposable income in developing nations like China and India are expected to fuel regional growth. It is projected that China will experience tremendous development as a result of rising domestic manufacturing investments and rising exports from industrialized nations like the United States.

Key Regions and Countries

• North America
  • The US
  • Canada
  • Mexico
• Western Europe
  • Germany
  • France
  • The UK
  • Spain
  • Italy
  • Portugal
  • Ireland
  • Austria
  • Switzerland
  • Benelux
  • Nordic
  • Rest of Western Europe
• Eastern Europe
  • Russia
  • Poland
  • The Czech Republic
  • Greece
  • Rest of Eastern Europe
• APAC
  • China
  • Japan
  • South Korea
  • India
  • Australia & New Zealand
  • Indonesia
  • Malaysia
  • Philippines
  • Singapore
  • Thailand
  • Vietnam
  • Rest of APAC
• Latin America
  • Brazil
  • Colombia
  • Chile
  • Argentina
  • Costa Rica
  • Rest of Latin America
• Middle East & Africa
  • Algeria
  • Egypt
  • Israel
  • Kuwait
  • Nigeria
  • Saudi Arabia
  • South Africa
  • Turkey
  • United Arab Emirates
  • Rest of MEA

Key Players Analysis

The Chloroacetic Acid Market is highly competitive. To fulfill the growing demand, many players are concentrating on boosting their production capabilities and creating new products.

Small and mid-sized enterprises make up a significant portion of the market, which is highly fragmented. AkzoNobel N.V. CABB GmbH and Daicel Corporation are the main players in the chloroacetic market.

Market Key Players

• Arkema S.A
• CABB GmbH
• Daicel Corporation
• Niacet Corporation
• Akzo Nobel N.V
• Dow Chemical
• Denak Co. Ltd.
• MCAA
• Other Key Players

Recent Developments

In December 2021– The value stream of the chlorine industry will have significantly extended by the end of December 2021 because of PCC MCAA Sp. new ultra-pura MCAA manufacturing facility, which started operating in 2016. As MCAA is a novel substance used in our Surfactants division’s production of betaine, it also permits backward vertical integration. Although it is also used in the food, pharmaceutical, and agricultural industries, ultra-pure MCAA is primarily used as a middleman in the manufacturing of personal care products.

In October 2021– Akzo Nobel received a patent in October 2021 for the production of monochloroacetic acids. This invention is a method of producing monochloroacetic acids by using acetic and chlorine in the presence of an acid catalyst. The method and the reactive distillation apparatus are less complex than conventional reactors. They also produce monochloroacetic acids with a lower proportion of chlorinated compounds.

Report Scope