Global Acrylic Acid Market Grows Steadily at a CAGR of 4.2%

Acrylic acid (propenoic acid) is an organic compound with CH2=CHCOOH (IUPAC) formula. The most fundamental form of the unsaturated carboxylic acid in question contains a vinyl group attached directly to the carboxylic acid terminus. This odorless liquid can be identified by its pungent or sour scent. This substance is miscible with chloroform, water, alcohol, and ethers. Acrid-smelling oil derived from glycerol, acrolein, was the chemical derivative from which the term "acrylic" was first used in 1843. Acrylic acid is utilized in numerous industries, including textiles, water purification, and diapers.

Market Dynamics

Increasing Applications of Super Absorbent Polymers Drive the Global Market

A superabsorbent polymer (SAP) is a water-absorbing polymer capable of retaining an extremely large amount of a liquid relative to its mass. Hydrogels absorb aqueous solutions by forming hydrogen bonds with water molecules. The aqueous solution's ionic concentration determines a SAP's capacity to absorb water. SAPs are employed in disposable personal hygiene products such as adult diapers, baby diapers, and sanitary napkins.

SAPs are produced using acrylic acid as a raw material. In terms of volume, the market for SAPs is projected to grow at a rate of 6% per year, according to an analysis. Increasing hygienic awareness and demand for baby and adult diapers in emerging economies are the primary factors driving market growth. Due to the increasing demand for acrylic acid-neutralized salts, primarily sodium and potassium polyacrylates, acrylic acid-based SAPs dominate the market. These factors are fueling the demand for acrylic acid utilized in producing SAPs.

Growing Demand for Bio-based Acrylic Derivatives Creates Tremendous Opportunities

Increasing demand for bio-based acrylic acid derivatives is a key market growth driver. Numerous commercial and consumer products, such as acrylic paints, coatings, etc., extensively use acrylic acid derivatives derived from biomaterials. A technological advancement permits the conversion of crude glycerol to acrylic acid. The transformation is the result of oxydehydration.

In the presence of ultraviolet light and a photocatalyst, crude glycerol is converted to acrolein, which is then oxidized to form acrylic acid upon dehydration. This method eliminates VOC emissions and reduces production constraints like raw material scarcity and complexity. Due to these benefits, numerous companies are forming partnerships and adopting modern technologies to produce bio-based acrylic acid and its derivatives. For example, LG Chem and ADM collaborated in August 2019 to commercialize a bio-based acrylic acid derived from corn processing ingredients. These initiatives will create growth opportunities for the acrylic acid market during the forecast period.

Regional Analysis

Asia-Pacific is the most significant global acrylic acid market shareholder and is expected to expand significantly during the forecast period. The Asia-Pacific region dominated the market due to high demand for China, India, and Japan. China is the region's largest consumer of acrylic acid, and its demand is expected to rise in the coming years. Due to rising investments in the construction and infrastructure industries, China's demand for adhesives, paints, and coatings is also rising. In addition, China's industrialization and manufacturing sector are well-known, as is the high demand for paints and coatings. In the United States, automotive, industrial, and construction industries are significant consumers of paints and coatings. China represents around 25 percent of the worldwide coatings market. According to the China National Coatings Industry Association, the coatings industry has grown by 7 percent annually over the past few years, propelling the market for acrylic acid in coatings applications.

North America is anticipated to grow significantly. Several end-user industries expanding in the region use acrylic acid, contributing to market expansion. According to the American Coatings Association (Coatings Tech), the market for paints and coatings in the United States was worth USD 25.21 billion in 2020. It was projected to reach USD 28.06 billion by 2022. This will likely increase the demand for acrylic acid in the country's paints and coatings industry. In addition, the prominent players in the region are investing in the production and expansion of acrylic acid facilities, thereby driving market expansion. For example, in August 2021, Dow announced an investment in methyl acrylate production on the Gulf Coast of the United States to increase raw material availability and reliability by consolidating capacity. According to the plan, methyl acrylate's new 50-kiloton nameplate capacity will become operational in the first half of 2022.

Key Highlights

• The global acrylic acid market is estimated to grow at a CAGR of 4.23% during the forecast period (2023–2031).
• Based on the derivative, the global acrylic acid market is segmented into methyl acrylate, ethyl acrylate, butyl acrylate, 2-ethylhexyl acrylate, glacial acrylic acid, and superabsorbent polymer. The butyl acrylate segment owns the highest market share.
• Based on application, the acrylic acid market is segmented into paints and coatings, sanitary products, adhesives and sealants, surfactants, textiles, and other applications. The paints and coatings segment is the biggest revenue contributor to the market.
• Asia-Pacific is the most significant global acrylic acid market shareholder and is expected to expand significantly during the forecast period.

Market Segments

1. By Derivative
   1. Methyl Acrylate
   2. Butyl Acrylate
   3. Ethyl Acrylate
   4. 2-Ethylhexyl Acrylate
   5. Glacial Acrylic Acid
   6. Superabsorbent Polymer
2. By Applications
   1. Paints and Coatings
   2. Adhesives and Sealants
   3. Surfactants
   4. Sanitary Products
   5. Textile
   6. Other Applications