Vinyl Ester Market

Market Overview

The global vinyl ester market size was valued at USD 990.50 million in 2022. It is projected to reach USD 1,516.95 million by 2031, growing at a CAGR of 4.85% during the forecast period (2023-2031). 

Vinyl ester is a resin created by esterifying epoxy resin with a monocarboxylic acid. The finished product is then dissolved in styrene or another solvent. Pipes and tanks, construction, transportation, and paint and coatings are just a few industries that use vinyl ester. It is a thermoset substance frequently used in place of polyester and epoxy. Increased strength and corrosion resistance are just two of the physical benefits of vinyl ester that make it a preferred substance among many others. It has a low viscosity and is not easily absorbed by water.

Compared to other materials, it offers superior mechanical qualities and strength. A liquid polymer, such as vinyl ester resin, is used to connect tough silicate fiber-reinforced fabrics, giving the material its stiffness and giving the component its specific corrosion, heat, and abrasion-resistant qualities. Vinyl ester is more heat resistant and highly resistant to hazardous substances, pollution, and structural deformation. Epoxies can be transformed to vinyl ester resin through esterification using acidic catalysts, giving rise to an intermediate material with mechanical properties that are lower than those of epoxy resins but higher than polyester.

Market Dynamics

Global Vinyl Ester Market Drivers

Growing Application in the Manufacture of Fiber Reinforced Plastic Tanks and Vessels

Fiberglass tanks and containers are frequently referred to as storage containers for fiber-reinforced plastic. FRP containment units will only rust when they come into touch with agricultural soils that are wet and chemically active. Underground potable water and waste storage facilities provide this premium capability. The best part is that biofuels and ethanol blends kept underground cannot contaminate sunken fiberglass vessels. Corrosion Resistance, Maintenance Free, Long Service Life of over 50 years without replacement or maintenance, Safety for the Environment, Light Weight - Easier Handling, and Smooth Inner Surface - Lower Sludge Formation are a few benefits of FRP tanks. FRP aboveground or underground storage tanks store potable water, acids, caustics, alcohol, gasoline, fire-protection water, septic water, and wastewater, among other things.

Global Vinyl Ester Market Restraint

Impact of COVID-19

The COVID-19 epidemic is now interrupting industry investments and activity and hurting the global economy. Furthermore, the virus has severely impacted portions of Asia, North America, Europe, and the Middle East. A complete lockdown has been imposed in several states and regions. Many factories are operating with deficient worker levels or are perhaps momentarily shut down. Low activity levels and numerous schedule changes or delays affect many projects. Various of these disruptions have had an impact on industrial operations and plant development projects in all industries. Due to this global situation, existing plants in end-user industries like wind energy, transportation, pulp and paper, and construction, among others, had to temporarily shut down operations, which had a detrimental impact on the vinyl esters market.

Global Vinyl Ester Market Opportunities

Growing Use of Corrosion-Resistant Fabrics in Daily Life

They come in many materials, including painted steel, glass containers, stainless steel items, and a wide range of plastics, to satisfy the requirements of most general-purpose applications. However, more specialist materials are needed in tougher situations, such as exposure to salt water, higher temperatures, abrasive settings, pressure/vacuum, or highly corrosive chemicals. FRP built of vinyl ester resin is one material that offers significantly increased resistance to assault, including various types of acids and caustic chemicals, in aggressive chemical conditions. Vinyl esters are frequently used in the construction of industrial machinery and buildings, including absorption towers, process vessels, storage tanks, pipelines, hoods, ducts, and exhaust stacks.

Regional Analysis

The global vinyl ester industry is classified into four regions: North America, Europe, Asia-Pacific, and LAMEA. 

Asia-Pacific Dominates the Global Market

Asia-Pacific is the most significant revenue contributor and is expected to exhibit a CAGR of 5.10% during the forecast period. China is the largest economy in the Asia-Pacific area in terms of GDP. Even with the trade disruptions brought on by its trade dispute with the United States, the country's GDP grew roughly 6.1% in 2019. China was the first nation to experience COVID-19 and the ensuing lockdown, but it was also the first nation to emerge from the lockdown. But COVID-19 outbreaks have often happened in the country, occasionally forcing brief lockdowns. A significant decline in the nation's manufacturing sector in Q1 2020 caused the GDP to decline by 6.8%, the smallest amount in years. The country has focused on several initiatives to boost economic recovery, including tax reductions and other incentives. China's GDP expanded by 3.2% in Q2 2020, showing evidence of a V-shaped rebound.

Europe is expected to exhibit a CAGR of 4.75% during the forecast period. The German economy is the fifth-largest in the world and the biggest in Europe. The German economy expanded by roughly 0.5% in 2019, the weakest growth rate in the previous five years. Various variables impacted the country's economic growth, such as trade conflicts restricting exports and current government policies on debt and fiscal adjustments. The nation intends to announce the availability of money (of over USD 600 billion) to ensure the development and smooth operation in various public sectors soon to stop the economic decline caused by the COVID-19 impact. Germany has fared better than other European nations in the epidemic, recording fewer COVID-19 deaths.

In the United States, the production of chemicals is a well-established business where the leading chemical product producers include Dow, DuPont, PPG Industries, Inc., Huntsman Corporation, and Eastman Chemical, among others. Around 340 chemical and plastic production projects were registered nationwide between 2010 and November 2019, demonstrating a persistent demand from the industry for vinyl ester. The United States is one of the most important nations in the world for the exploration of unconventional crude oil reserves, which suggests that the market there has a lot of untapped potential. Compared to conventionally fractured wells, the amount of oil produced by hydraulically fractured wells is dramatically rising. 

Brazil is the leading producer and exporter of crude oil in Latin America. Brazil's oil and gas sector is expected to invest USD 258 billion in Rio de Janeiro over the next few years, according to Petroleo Brasileiro SA (Petrobras). One of the top 10 chemical exporters in the world, Saudi Arabia also generates the most money from chemical sales in the Middle East and Africa. With a total capacity of 119.2 million tonnes, the nation's chemical sector produced more than USD 62 billion in revenue in 2018. One of the critical sectors in the nation's Vision 2030 effort to diversify its economy is the chemical industry, which is predicted to increase throughout the forecast period. 

Segmental Analysis

The global vinyl ester market is segmented by type and application.

Based on types, the global vinyl ester market is bifurcated into Bisphenol-A-diglycidyl Ether (DGEBA), Epoxy Phenol Novolac (EPN), and others.

The Bisphenol-A-diglycidyl Ether (DGEBA) segment is the major contributor to the market and is estimated to exhibit a CAGR of 4.90% during the forecast period. Thermoset molding resins with excellent performance are called vinyl ester resins (VER). They are created by mixing epoxy resins with - unsaturated carboxylic acids. Bisphenol A diglycidyl ether- and epoxy-based phenol novolac-based epoxy resins are the primary types used to produce vinyl esters. When these resins are entirely cured, they provide enduring laminates and coatings (cross-linked). Their performance frequently falls between that of epoxy resins and typical unsaturated polyesters. Most commercial vinyl esters resins are made from acrylic or methacrylic acid as the vinyl monomer in the polymer and bisphenol A diglycidyl ether (DGEBA) epoxy component. The bulk of vinyl esters on the market is made from bisphenol A diglycidyl ether.

Vinyl esters made with Novolac epoxy contain phenol or cresol. Novolac vinyl esters, as opposed to the more traditional and widely used bisphenol-A-based vinyl esters, are based on the multifunctional novolac epoxy. Their cross-linking density is much higher than that of DGEBA, giving them exceptional solvent resistance and mechanical qualities for handling various chemicals, notably organic solvents. The thermal performance of epoxy novolac vinyl ester resins (NVE) is also enhanced compared to conventional bisphenol A vinyl esters and UPR. Corrosion-resistant coatings, heat shields, parts for flue gas desulfurization, composite tooling, and structural composite components where high heat resistance is required are the main applications of the novolac epoxy-based vinyl esters. In various oil, gas, and chemical sectors, they are also utilized for chimneys and cooling towers.

The additional varieties of vinyl esters include vinyl ester urethane resins, amine-accelerated vinyl ester resins, and brominated epoxy vinyl ester resins. As fire retardants, brominated vinyl esters are utilized in many applications. A unique brominated novolac vinyl ester has recently been commercialized, whereas brominated bisphenol A vinyl esters have been used for a long time. High heat distortion, good corrosion performance, and extraordinary fire resistance are all combined singularly in this resin. Boiler units, engine insulation, pipelines, chemical storage tanks, and yachts are a few applications for this resin that require chemical resistance and flame retardancy. Formulations of vinyl ester resin cured by amine acceleration use BPO paste. They are appropriate for BPO-curing adhesive/bonding paste systems and chemical anchoring. 

Based on application, the global vinyl ester market is bifurcated into pipes and tanks, paints and coatings, transportation, and others.

The transportation segment is the highest contributor to the market and is estimated to exhibit a CAGR of 4.80% during the forecast period. Fiber-reinforced plastic (FRP) in tanks and pipes has recently increased. Due to their exceptional chemical resistance and low permeability, vinyl ester resins are utilized extensively across various industries. They are widely used to create duck systems, pipelines, and storage tanks made of fiber-reinforced plastic (FRP). According to estimates, the vinyl ester market's highest share belongs to the pipes and tanks category. Many industries, including the pulp and paper business, the Chlor-alkali and chemical industry, the power generation industry, the mining and metal industry, the industrial water and wastewater industry, and the food processing industry, use FRP pipes and tanks made of vinyl ester. Vinyl ester-based FRP materials are utilized in pipes and tanks in the chlor-alkali and chemical industries because they have strong chemical resistance and require little maintenance.

Vinyl ester composite materials are frequently employed in the automotive, marine, aerospace, and defense industries. Composites-based engine parts are currently progressing in the automotive industry. This drives the demand for vinyl esters in automotive applications, combined with the weight savings provided by vinyl ester composites over their metal counterparts with the exact necessary strength. Automobile body elements like truck lids, hoods, and grille opening panels are molded using vinyl esters. The automotive industry has experienced moderate development in recent years after experiencing consistent growth over the previous ten years. New car sales are declining globally, especially in Europe and the US, as business models, markets, and the competitive environment change.

Vinyl esters are also used as resins in the paint and coatings industry. Vinyl ester linings have been widely employed since the 1960s due to their high chemical and solvent resistance. Vinyl ester resins are used in the marine industry to provide coatings resistant to corrosion and chemicals. Due to their scope, these coatings, along with the other vinyl ester coatings, are included in the transportation application part of this report. They are utilized in coating applications in the chemical sector where excellent chemical resistance is necessary. Chemical applications with a lower temperature resistance than novolac vinyl ester-based coatings are required and typically use bisphenol A vinyl ester.

Recent Developments

• November 2021- Interplastic Corporation said it would increase the cost of vinyl ester resins under the CoREZYN brand by up to USD 0.10 per pound. This price hike applied to all shipments beginning on or after December 4, 2021. The price of raw materials keeps rising because of supply and demand issues. To guarantee a steady supply of goods, Interplastic keeps collaborating with our suppliers.
• October 2021- Lone Star finished buying the shares of AOC from CVC Capital Partners. AOC is a top producer of unsaturated polyester resins, vinyl ester resins, and other materials used in adhesives, traditional composite resins, colorants, visual effects, coatings, and protective barriers.