Overview of the global ortho-xylene market
The automobile industry is witnessing significant growth on a global level. Research analysis on the global ortho-xylene market identifies that the increasing demand for ortho-xylene from the automobile industry will be one of the major factors that will have a positive impact on the growth of the market. Ortho-xylene is extensively used to coat different automotive parts such as engine, drive train, electrical system, electronics, interior, and body. It is also used in the insulation, sealing, and bonding of these automotive parts. Furthermore, ortho-xylene is highly durable, sustainable, and efficient, which in turn, will boost its application in transportation industries. The adoption of the ortho-xylene chemical in automotive coatings will continue to gain popularity due to its resistivity, safety, performance, and cost-effectiveness. Technavio’s market research analysts predict that this market will grow at a CAGR of close to 7% by 2021.
Phthalic anhydride can be produced from ortho-xylene. The demand for phthalic anhydride is increasing because it is used in the production of di-octyl phthalate (DOP). As a result, the price margin of phthalic anhydride has surged during 2016 in comparison to price margin observed during the past five years. The strong demand for phthalic anhydride to make downstream DOP is identified as one of the key trends that will propel the growth prospects for the global ortho-xylene market in the forthcoming years.
Competitive landscape and key vendors
The ortho-xylene market is moderately fragmented due to the presence of major vendors. Key vendors are trying to integrate their business in the backward direction in a cost-effective way. These vendors are increasingly competing against each other based on factors such as the cost of production, innovation in products, price, operational cost, research and development cost, and product quality. This in turn, will strengthen the competitive environment in the o-xylene market over the next five years.
Key vendors in this market are -
- Braskem
- Formosa Chemicals & Fibre
- Reliance Industries
- Royal Dutch Shell
- US Petrochemical
Other prominent vendors in the market include China National Petroleum, LOTTE CHEMICAL, MP Biomedicals, Nutan Chemicals, PTT Global Chemical, Sigma-Aldrich, and Tokyo Chemical Industry.
Segmentation by application and analysis of the ortho-xylene market
The phthalic anhydride segment includes plasticizers, unsaturated polyester resins, alkyd resins, and others. Ortho-xylene is extensively used to produce phthalic anhydride. When ortho-xylene is oxidized, an anhydride of phthalic acid is produced, which is further used in the production of plasticizers. Plasticizers are highly preferred in various industries such as the automobile, construction, plastic, paint and coating, and electrical and electronics. The most commonly used phthalate plasticizers include plasticizers, dioctyl phthalate (DOP), and diisononyl phthalate (DINP).
Segmentation by geography and analysis of the ortho-xylene market
- APAC
- Europe
- North America
- ROW
The significant economic growth in APAC is propelling growth in the construction and automotive industries. This in turn, will boost the demand for ortho-xylene from these industries. Furthermore, APAC is the largest market for phthalic anhydride. Countries such as China, India, and Japan highly use phthalic anhydride chemical in the agriculture, pharmaceuticals, and textile industry. APAC will continue to be the largest consumer of phthalic anhydride during the estimated period due to the increasing demand for the textile industry in China, India, Japan, Taiwan, Indonesia, and South Korea.
Key questions answered in the report include
- What will the market size and the growth rate be in 2021?
- What are the key factors driving the global ortho-xylene market?
- What are the key market trends impacting the growth of the global ortho-xylene market?
- What are the challenges to market growth?
- Who are the key vendors in the global ortho-xylene market?
- What are the market opportunities and threats faced by the vendors in the global ortho-xylene market?
- What are the trending factors influencing the market shares of APAC, Europe, North America, and ROW?
- What are the key outcomes of the five forces analysis of the global ortho-xylene market?
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