Specialty Resins Market is Poised for High Growth Owing to Increasing Demand from End-Use Industries

 Specialty resins refer to advanced polymer materials specially designed to exhibit high performance characteristics and tailored properties such as thermal resistance, chemical resistance, barrier properties etc. They find wide ranging applications in industries such as construction, automotive, aerospace, marine, electronics and consumer goods among others. Specialty resins are used for making composite materials, adhesives & sealants, paints & coatings and various engineered plastics. The growing demand for lightweight and high performance materials from end-use industries has been a major factor augmenting the demand for specialty resins globally.

The Global specialty resins market is estimated to be valued at US$ 13.63 Bn in 2024 and is expected to exhibit a CAGR of 6.3% over the forecast period 2024 to 2031.

Key Takeaways

Key players operating in the specialty resins market are BASF SE, Hexion Inc., SABIC, Royal DSM, Arkema, Radiant Color NV, Mitsubishi Chemical Corporation, The Dow Chemical Company, Huntsman International LLC, Aldex Chemical Company Limited, Thermax Limited, International Specialty Chemicals Ltd., Purolite, Kolon Industries, Revex Plasticiser, Tetra, V. B. Chem Industries, Orson Resins And Coatings Private Limited, Nye Lubricants, Inc., Scholle Ipn Corporation.

Key players operating in the Global specialty resins market Growthare focusing on capacity expansion and new product launches to consolidate their market position. For instance, in 2022 BASF expanded its specialty resin production facility in Caojing, Shanghai with an investment of $10 million.

Specialty resins market is expected to witness lucrative growth opportunities owing to the increasing demand from construction, automotive and electronics sectors. Rapid urbanization and infrastructural development particularly in Asia Pacific is positively impacting the specialty resins consumption.

Key players are undertaking strategic initiatives like acquisitions and partnerships to expand their global footprint. For example, in 2019 Hexion acquired the resin business of Asian Paints to expand its presence in the fast growing Indian specialty chemicals market.

Market Drivers

Increasing demand for lightweight composite materials from automotive industry
Growing construction activities particularly in developing nations of Asia Pacific and Middle East and Africa
Strict environmental regulations boosting the use of specialty resins in coatings, adhesives and engineered plastics industries
Rapid growth of electronics sector fueling the consumption of specialty resins for making circuits, switches and other components

Market Restrains
Volatility in raw material prices
Stringent regulatory norms pertaining to emissions of VOCs during resin production
Availability of substitutes like polyamide and polyester resins limiting the specialty resins market growth

Segment Analysis
The specialty resins market can be segmented into paints & coatings, composites, adhesives & sealants, electronics & communication, construction, and others. The paints & coatings segment dominates the specialty resins market and accounted for over 30% of the market share in 2024. This is because specialty resins including epoxy, unsaturated polyester resins, vinyl ester resins find wide utilization in the manufacture of paints and coatings products for several end-use industries like construction, automotive, aerospace, marine, industrial coatings etc. The growth of construction and automotive industries is expected to drive the demand for paints & coatings in the coming years thereby propelling the growth of specialty resins market.

Global Analysis
The Asia Pacific region dominated the global specialty resins market and accounted for over 40% share in 2024. This is owing to robust growth of end-use industries like construction, automotive, electronics, and consumer goods in emerging economies of China and India. Moreover, presence of major resin producing companies along with availability of raw materials at competitive prices further boosts the market growth in the region. North America is another major market for specialty resins driven by the recovery in oil & gas industry and growth in end-use markets. Initiatives by governments toward infrastructure development is expected to drive the specialty resins demand in regions like Middle East, Africa, and Latin America over the forecast period.

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