|Base Year Market Size
|USD 15.54 Billion
|Forecast Year Market Size
|USD 21.73 Billion
|Fastest Growing Market
The global caprolactam market size was valued at USD 15.54 billion in 2022. It is projected to reach USD 21.73 billion by 2031, growing at a CAGR of 3.8% during the forecast period (2023-2031).
Caprolactam is a crystalline cyclic amide that is soluble in water. It is an organic compound, which is basically clear to a milky white chemical solution and is a lactam of caproic acid. Caprolactam is used in the manufacturing of synthetic fibers and the production of textiles, stiffeners, sportswear film coatings, synthetic leather, plastics, and vehicle paints, among others. Products manufactured from caprolactam exhibit excellent properties, such as elasticity, strength, chemical resistance, abrasion resistance, and thermal resistance, among others. Ongoing research and development results in technological breakthroughs and improvement in the properties of caprolactam, making it more cost-effective and driving market growth.
Today, the world is experiencing changes more rapidly than ever before, mainly due to technological advances and the use of artificial intelligence and big data that is aiding in research and development and the launching of new materials and technologies. There has been a strong demand from the economies in transition, especially in India and China, for textiles, chemicals, and automobiles. Debouching end-user trends and favorable policies are creating upswings for specialty products. There has been a growing demand for high-quality textiles that are used in the manufacturing of clothing, sports wears, and carpets, among other things. Caprolactam is used extensively in the textile industry due to its high tensile strength and superior abrasion and chemical resistance. Changing consumer trends and growing demand from various end-user industries will further propel the market growth for caprolactam during the assessment period.
In the future years, the need for bio-based caprolactam in engineering plastics and films, as well as the demand for lighter automobiles, are anticipated to boost the caprolactam market. Several governments across the globe have implemented tough regulations on vehicle emissions and fuel economy. Increasingly rigorous environmental requirements imposed by the automotive industry enhance the caprolactam business. Nylon 6 delivers greater fuel economy through weight reduction and reduced fuel emissions, consequently boosting the caprolactam market's growth. These standard rules have prompted car OEMs to boost their usage of sophisticated lightweight materials, such as nylon resins, which contribute to a vehicle's improved fuel economy. Government rules have ensured that automakers will be required to create significantly lighter automobiles in the future to comply with these norms, which is projected to function as a driver for the caprolactam market statistics during the projection period.
Nylon is resistant to fire, but it melts easily. Additionally, it can easily contract and respond to moisture, enabling it to be stretched. Nylon is hygroscopic. Thus it readily collects moisture from the air. When wet, nylon expands and deteriorates swiftly. There are numerous components that should not be exposed to nylon fasteners, which include exposure to sunlight. It lacks U.V. resistance and turns yellow regardless of its color, degrading swiftly and becoming brittle.
The global construction industry is poised to grow at a significant rate. Though the recent Covid-19 pandemic has plummeted demand and put a temporary stop to most of the projects all around the world, the long terms forecast for the construction industry looks optimistic and is expected to grow above the global Gross Domestic Product (GDP) in the coming years. According to the Oxford Economics data, the world construction industry is expected to grow by around 85.3 percent to reach a value of approximately USD 15.3 trillion by 2030, and the countries such as the U.S., India, Indonesia, and China, leading the form the front.
The world construction industry has been experiencing moderate growth even though the global economy has been showing signs of slow growth due to the ongoing pandemic. The easing of restrictions and announcement of various economic aid package infusions by governments and international organizations, such as the IMF and World Bank, is likely to boost investor sentiment and is likely to jumpstart the industry once again. The various factors there augmenting the growth of the construction sector in the long term are the demand for construction activities in economies in transition, such as India, Indonesia, and China, and up-gradation of old infrastructure in developed nations, and increasing investments in telecom and renewable energy sector.
The global caprolactam market is bifurcated into four regions, namely North America, Europe, Asia-Pacific, and LAMEA.
North America region is the highest contributor to the market and is expected to grow at a healthy CAGR during the forecast period. Today, North America is one of the important manufacturers and consumers of caprolactam. As per the International Monetary Fund World Economic, North America tops the world in terms of nominal Gross Domestic Product and stands second in terms of purchasing power parity (PPP). The automobile sector in the U.S. is one of the largest in the world. According to the data released by the International Trade Administration (ITA), the U.S. Department of Commerce, the total sales of light vehicles in the U.S. was around 14.92 million units in the year 2021. Caprolactam is also used in the manufacturing of high-quality textiles that are used in the interiors of cars and trucks. All these factors present a favorable ground for the growth of the caprolactam market. Furthermore, the increasing space programs by government entities like NASA and private players, such as SpaceX, are likely to create upswings for the market in this region during the assessment period.
Europe is expected to witness dynamic growth in the caprolactam market during the forecast period. The strong manufacturing base of the textile & fabric sector, coupled with rising domestic demand in Germany, Italy, France, and the U.K., is anticipated to contribute to the expansion of the caprolactam market throughout the forecast period. Lightweight vehicles in the automobile industry replace metals with tailored polymers due to qualities such as reduced moisture absorption and strong mechanical strength.
Asia-Pacific is expected to witness significant growth in the caprolactam market during the forecast period. Rapid industrialization resulting in the development of numerous automobile and appliance manufacturing plants, notably in India and China, is projected to have a beneficial effect on the expansion of the industry over the next several years. In addition, the rising demand for passenger automobiles in India and China, as a result of rising disposable incomes, is anticipated to increase product demand even further. In China and India, the expansion of the textile sector is anticipated to be bolstered by an increase in disposable income as well as a rise in market share as a result of the launch of new goods. It is anticipated that this will have a good effect on the caprolactam market.
The LAMEA region is expected to witness moderate growth in the global caprolactam market during the forecast period. The GCC dominates the LAMEA region. Political unrest and economic instability are likely to be significant growth restraints in the region, resulting in a moderate increase in demand. Likewise, Latin America is anticipated to experience moderate expansion over the predicted period. Social and economic instability is likely to inhibit the region's growth. However, improving conditions are expected to give healthy growth possibilities throughout the medium to long term.
|By Raw Material
|AdvanSix Inc. Alpek S.A.B. de C.V. The Aquafil Group BASF SE Capro Co. China Petrochemical Development Corporation Domo Chemicals GrupaAzoty Gujarat State Fertilizers & Chemicals Limited Highsun Group KuibyshevAzot PJSC Lanxess AG Luxi Chemical Group Co. Ltd. China Petroleum & Chemical Corporation (Sinopec) Spolana Sumitomo Chemical Co. Ltd. Toray Industries Inc. Ube Industries Ltd. Zhejiang Hengyi Group Co. Ltd
|U.K. Germany France Spain Italy Russia Nordic Benelux Rest of Europe
|China Korea Japan India Australia Taiwan South East Asia Rest of Asia-Pacific
|Middle East and Africa
|UAE Turkey Saudi Arabia South Africa Egypt Nigeria Rest of MEA
|Brazil Mexico Argentina Chile Colombia Rest of LATAM
|Revenue Forecast, Competitive Landscape, Growth Factors, Environment & Regulatory Landscape and Trends
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The global caprolactam market is segmented by product and end-user.
Based on the product, the global market is bifurcated into nylon 6 fibers and nylon 6 resin.
The nylon 6 fibers segment is the highest contributor to the market and is expected to grow at a healthy CAGR during the forecast period. Nylon 6 fibers are manufactured using caprolactam derived from ammonia, sulfuric acid, and a few other chemicals. In addition to toothbrushes, raincoats, sportswear, bedsheets, curtains, racket strings, threads, ropes, and sleeping bags, Nylon 6 fibers are utilized in a variety of applications. This is likely to stimulate product expansion in the next years.
The nylon 6 resins segment is expected to witness a higher CAGR. The automotive industry incorporates nylon polymers into wheel covers, louvers, and other exterior body components. Moreover, it is utilized in the production of gears, bearings, fan blades, fittings, power steering fluids, and pollution control canisters. In the creation of automotive components, nylon 6 resin is frequently employed in automotive applications. This is anticipated to have a beneficial effect on product demand over the foreseeable future.
Based on the end-user, the global market is bifurcated into construction, textiles, automobiles, Industries, and plastic.
The textile segment is the highest contributor to the market and is expected to grow at a healthy CAGR during the forecast period. Textile yarn is widely utilized in a variety of applications, including clothing and home furnishings. In the coming years, the increasing demand for textile yarn and the usage of nylon 6 fibers in bedspreads, carpets, upholstery, and curtains are anticipated to have a favorable impact on the business.
The industry segment is expected to grow at a significant rate. Conveyor belts, packaging apparel, ropes, cables, and mechanical rubber goods are just a few of the products that can be made with nylon fabric from industrial yarn. Over the course of the projection period, the market is anticipated to benefit from rising demand for nylon fabrics because of their high tensile strength, flexibility, scrub resistance, and heat resistance.