Petroleum Resins Market Is Estimated To Witness High Growth Owing To Opportunity In Construction Industry Applications
Petroleum resins are macromolecular substances obtained from the catalytic polymerization of C5 and C9 feedstocks. Petroleum resins are extensively used in applications such as building & construction, paints & coatings, packaging, personal hygiene, and other specialty applications owing to their excellent adhesion, tackiness, and binding properties. Petroleum resins provide attributes such as wide operating temperature range, high thermal stability, excellent dielectric properties, and outstanding resistance to moisture.
The global Petroleum Resins Market is estimated to be valued at Us$ 3697.05 Mn in 2023 and is expected to exhibit a CAGR Of 21% over the forecast period 2023 To 2030, as highlighted in a new report published by Coherent Market Insights.
Market Opportunity
The rising demand for petroleum resins from the construction industry provides a significant growth opportunity. Petroleum resins find widespread applications in building & construction industry for production of various adhesives, sealants, roofing felts, and waterproofing compounds. Rapid infrastructural development and growth of construction sector in emerging economies such as China, India, Indonesia, and Brazil is expected to propel the demand for construction materials including petroleum resins. Additionally, growing repair and remodeling activities of existing structures in developed nations will further support the market growth over the forecast period.
Porter’s Analysis
Threat of new entrants: The petroleum resins market requires large capital investments and has high barriers to entry due to stringent environmental regulations.
Bargaining power of buyers: Buyers have moderate bargaining power due to the presence of substitutes and differentiated products.
Bargaining power of suppliers: Suppliers have low to moderate bargaining power due to availability of raw material sources.
Threat of new substitutes: Substitutes like rosin esters and terpene resins pose moderate threat.
Competitive rivalry: Intense competition exists between existing players.
SWOT Analysis
Strength: Petroleum resins provide excellent adhesion, flexibility and moisture resistance.
Weakness: Petroleum resins face competition from bio-based substitutes. Volatility in raw material prices is also a concern.
Opportunity: Growing end-use industries like paints & coatings, adhesives, rubber, and others present opportunities.
Threats: Stringent environmental regulations and increasing demand for sustainable products are threats.
Key Takeaways
The Global Petroleum Resins Market Size is expected to witness high growth during the forecast period of 2023-2030. The global Petroleum Resins Market is estimated to be valued at US$ 3697.05 Mn in 2023 and is expected to exhibit a CAGR of 21% over the forecast period 2023 to 2030.
The Asia Pacific region dominates the global market and is expected to grow at the fastest rate, owing to high demand from developing nations like China and India.
Key players operating in the petroleum resins market are ExxonMobil, Eastman, Kolon Industries, Arakawa Chemical Industries, Lesco Chemical, Zeon, and others. Regional analysis for the Asia Pacific region comprises major economies like China and India accounting for over 60% of the regional market share. China dominates the regional market and is expected to grow at over 8% during the forecast period. India is anticipated to emerge as the fastest growing country in the region, growing at a CAGR of around 9%.
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