Global Isocyanate Market is Segmented By Type(Methylene diphenyl diisocyanate (MDI), Toluene diisocyanate (TDI), Aliphatic isocyanate, Others), By Manufacturing Process(Phosgenation Process, Nonphosgenation Process), By Application(Rigid Foam, Flexible Foam, Paints and Coatings, Adhesives and Sealants, Elastomers, Binders, Others), By End-User(Building and Construction, Automotive, Healthcare, Furniture, Others), and By Region (North America, Latin America, Europe, Asia Pacific, Middle East, and Africa) ā Share, Size, Outlook, and Opportunity Analysis, 2024-2031
Market Overview
The global isocyanate market report analyses the shares, size, recent trends, future market outlook, and competitive intelligence. Isocyanate usage in building and construction is on the rise. Demand from building and construction, automotive in Asia-Pacific is growing. The competitive rivalry intensifies with Huntsman International LLC, DOW, and others active in the market.
Market Summary
| Metrics | Details |
| Market CAGR | High |
| Segments Covered | By Type, By Manufacturing Process, By Application, By End-User, and By Region |
| Report Insights Covered | Competitive Landscape Analysis, Company Profile Analysis, Market Size, Share, Growth, Demand, Recent Developments, Mergers and acquisitions, New Product Launches, Growth Strategies, Revenue Analysis, and Other key insights. |
| Fastest Growing Region | Asia Pacific |
| Largest Market Share | North America |
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Isocyanate is an organic chemical made by reacting phosgene and amines with water to produce molecules containing the isocyanate group (-NCO). It's a highly reactive chemical made from crude oil, propylene, toluene, aniline, and benzene as raw components. Aliphatic isocyanate, methylene diphenyl diisocyanate (MDI), and toluene diisocyanate are the most common isocyanates (TDI).
Furthermore, isocyanates are highly reactive compounds with the isocyanate functional group. Isocyanates are categorized as diisocyanate or polyisocyanate based on the number of isocyanate groups. Methylene diphenyl diisocyanate, toluene diisocyanate, and naphthalene diisocyanate are diisocyanate chemical compounds with two isocyanate groups. Polyisocyanates are generated from diisocyanates and contain numerous isocyanate groups. Among the most common polyisocyanates are HDI isocyanurate and HDI biuret.
Isocyanate is mostly utilized to make polyurethane (PUR)-based foams, paints, coatings, sealants, binders, and sealants. Isocyanate is employed in construction, automotive, healthcare, furniture, and aerospace.
Market Dynamics
Rising demand for isocyanate among end-user industries is driving the market share for the product. Improving market share for bio-based isocyanate is creating huge market opportunities for the product to grow in the forecast period.
Rising demand for isocyanate among end-user industries is driving the market share for the product.
Building and construction, automotive, health care, and aerospace are just a few of the major end-user industries for isocyanates that boost the product's market share.
One of the primary drivers driving the market's growth is significant growth in the automobile sector, accompanied by growing industrialization worldwide, particularly in emerging economies. Furthermore, the construction industry's growing adoption of isocyanate-based products is helping to drive market expansion.
Because of their outstanding insulation characteristics, isocyanates are utilized in rigid PU foams to insulate panels and gap fillers in the surrounding doors and windows. It is also utilized on the exterior components of vehicles to reduce total vehicle weight and increase fuel efficiency.
The worldwide isocyanates market is predicted to grow faster than the paints and coatings sector. Isocyanates are frequently employed in producing paints, varnishes, and elastomers. Hexamethylene diisocyanate (HDI) and isophorone diisocyanate are commonly used in automotive paints. As a result, increased vehicle production is likely to contribute to market growth.
Isocyanates are also primers or adhesives and produce flexible and rigid foams and fibers. Methylene diphenyl diisocyanate (MDI) and toluene diisocyanate (TDI) are used as adhesives and sealants because of their weather resistance. The use of methyl isocyanate (MIC) in insecticides has increased its use in the agricultural sector. Thus improving demand for isocyanate among various end-users is boosting the market share for the product
Improving market share for bio-based isocyanate is creating huge market opportunities for the product to grow in the forecast period.
The development of bio-based isocyanates is expected to drive market growth by reducing isocyanate consumption extracted from crude oil. It's pricing on the worldwide market changes the amount in the context of manufacturing.
Furthermore, suppliers engaged in infrastructure apps are anticipated to benefit greatly from consumer markets as the boom in developing economies in these industries will boost the demand for products.
Several research studies have emphasized advancements in phosgene- and isocyanate-free polyurethane methods and the applicability of bio-derived diols/polyols in modifying final polyurethane qualities. On the other hand, the design and synthesis of bio-based di-/poly-isocyanates, required to synthesize conventional polyurethanes of industrial importance, has received significantly less attention.
Furthermore, in recent years, the preparation of PUs from renewable sources such as vegetable oil-based materials, limonene, lignin, and even coffee grounds has been receiving increasing attention because of economic and environmental concerns.
Carbohydrates haven't been substantially researched in the context of PU synthesis, even though, as multi-hydroxyl compounds, they can easily function as crosslinkers. They can also give the PUs-created mechanical strength, biodegradability, and biocompatibility.
Because of the increased interest in environmentally friendly polymeric materials, several scientists are working on converting polyurethanes into bio-analogs known as bio-based polyurethanes (bio-PUs) by utilizing bio-based components in their production. The most notable advantage of bio-PUs is that they may be made using a variety of polyols and isocyanates, resulting in a variety of shapes and forms.
Changing the chemical makeup of polyurethanes and the formulation or processing conditions can easily alter their qualities. As a result, PUs are classified as stiff and elastic foams, thermoplastics, elastomers, coatings, adhesives, and fibers.
Hazardous effects associated with isocyanate and stringent government regulations have shown challenging scenarios for the product's growth.
Phosgene, utilized in manufacturing isocyanates, is harmful to the environment and poses serious health risks to humans. Isocyanates can provide serious occupational health risks, such as skin irritation, wheezing, and coughing and long-term exposure to isocyanates can lead to asthma. Environmental and health risks connected with isocyanates are the primary issues limiting the market's growth.
Exposure to isocyanates can have several negative health consequences. According to the Indian government, the Bhopal catastrophe resulted in the deaths of over 4000 people due to the discharge of MIC in 2014. Isocyanates can cause respiratory irritation/sensitization or occupational asthma in persons who inhale them.
Isocyanates can cause dermatitis, irritation of the mucous membranes, eyes, nose, and throat, and gastrointestinal irritation, among other things. Furthermore, the usage of isocyanates has been restricted by several regulatory bodies worldwide. These obstacles are projected to stifle market expansion.
Furthermore, crude oil makes certain isocyanates, such as toluene diisocyanate. As a result, the industry is characterized by raw material price instability, which has stifled market expansion for isocyanates. Isocyanate has been produced from bio-based sources after extensive investigation. Bio-based isocyanates with high efficiency are expected to rise rapidly in the Isocyanates market.
COVID-19 Impact on Market
Due to a low worker force, industrial facility closures, and supply chain disruptions worldwide, the recent COVID-19 pandemic has negatively influenced the global isocyanate market size. Isocyanate application is among different industries that have acted as a primary market growth driver. The reduction in demand from the industries has reduced the isocyanate market during COVID-19.
For instance, the automotive industry has faced numerous issues due to COVID-19. U.S., Germany, UK, Italy, South Korea, Spain, and Japan are among the leading industrialized economies negatively affected. According to a Boston Consulting Group analysis, several hazards remain despite hopeful reports on vaccination advances. Sales in Europe and U.S. are not expected to recover to pre-COVID levels until 2022.
The construction industry has faced numerous obstacles as a result of COVID-19. U.S., Germany, UK, Italy, South Korea, Spain, and Japan are most severely affected by the pandemic. Thus reduction in the construction and automotive industry has shown several challenges in the growth of the isocyanate market during the 2019-2020 period.
Market Segmentation
The global isocyanate market can be segmented on type, manufacturing process, application, end-users, and region.
MDI demand is expected to rise in the coming years as its use in sealants, adhesives, and elastomers expand
The global isocyanate market is segmented on type into methylene diphenyl diisocyanate (MDI), toluene diphenyl diisocyanate (TDI), aliphatic isocyanates, and others. Out of the mentioned types, methylene diphenyl diisocyanate (MDI) dominates the market. MDI resin accounts for more than two-thirds of the global isocyanates market sales. MDI demand is expected to rise in the coming years as sealants, adhesives, and elastomers expand.
The product's distinctive features, functional versatility, and the growing use of polyurethane foams for insulation drive the MDI market. However, due to excessive exposure to MDI, the market confronts a few issues, including skin and respiratory tract irritation, asthma, and dermatitis.
Furthermore, the major end-user industry for the MDI market is buildings and construction, which is employed in various domestic, commercial, and industrial applications.
Using rigid PU foam as wall and roof insulation, insulated panels, and gap fillers for the space around doors and windows is one of the most common applications. Most rigid PU foam used in construction applications is polyiso laminate board stock, largely used in roofing and wall insulation. To seal gaps and cover uneven shapes, firm PU foams can be used.
For instance, in April 2021, Mitsui Chemicals, Inc. announced plans to increase the methylene diphenyl diisocyanate (MDI) production capacity of affiliate Kumho Mitsui Chemicals Inc.
Market Geographical Share
Asia-Pacific has shown unprecedented market growth in the Isocyanate market due to the rising end-use sectors such as construction, electronics, and automotive in emerging economies such as China and India.
Over the projected period, Asia-Pacific is expected to rise significantly, with China and India driving the majority of demand. Furthermore, growing end-use sectors such as construction, electronics, and automotive in emerging economies such as China and India are likely to supplement the Asia-Pacific market growth.
The Asia-Pacific region is the world's largest isocyanate market and practically all developing economies will grow globally, with China dominating the top ten economies by GDP in PPP terms.
In addition, North America is projected to observe a significant amount of growth in the isocyanate market due to the increasing regulatory intervention from agencies, including EPA, related to environmental and health effects associated with MDI and TD. Furthermore, the increase in the number of stringent environmental regulations is expected to boost the isocyanate market in the region in the approaching years.
Companies and Competitive Landscape
The isocyanate market is highly competitive with local and global companies. Some prime companies contributing to the market's growth are Huntsman International LLC, DOW, Mitsui Chemicals, Inc., BASF SE, Asahi Kasei Corporation, Bayer AG, Chemtura CorporationHebei Cangzhou New Century Foreign Trade Co., Ltd., Evonik Industries AG, Dahua (Group) Co. Ltd., Wanhua Chemical Group Co. Ltd., Vencorex, GNF Limited, and others.
The major companies adopt several growth strategies such as acquisitions, product launches, and collaborations, contributing to the global isocyanate market's growth.
- For instance, in June 2020, Mitsui Chemicals, Inc. received an Incentive Award as part of the 19th GSC Awards 1 run by The Japan Association for Chemical Innovation. Mitsui Chemicals won the award for developing 1,5-Pentamethylene diisocyanate, the world's first bio-based isocyanate, and a polyisocyanate hardener derived from it.
BASF SE
Overview BASF SE is a growing German multinational chemical corporation that is the world's growing chemical manufacturer. The company is branched in Asia, Europe, Australia, the Americas, and Africa and has joint ventures in over 80 countries, and operates in six integrated production sites and 390 other production sites.
Product Portfolio: The Company has a product portfolio of isocyanate that includes:
- Lupranat isocyanates: BASF's Lupranat isocyanates are used in a wide range of applications and industries. Products included under the categories are monomeric and polymeric methylene diphenyl isocyanate (MDI), toluene diisocyanate (TDI), modified MDI, and MDI prepolymers.
Key Development
- For instance, on January 18, 2021, BTC Europe GmbH (BTC) was appointed as BASF's new European distributor for aromatic isocyanates and polyols for polyurethane applications. The Lupranat, Lupranol, and Lupraphen polyurethane basic goods will be part of the collaboration, which will begin on February 1, 2021.
Why Purchase the Report?
- Visualize the global isocyanate market segmentation by type, manufacturing process, application, end-user, and region, highlighting critical commercial assets and players.
- Identify commercial opportunities in the global isocyanate market by analyzing trends and co-development deals.
- Excel data sheet with thousands of global isocyanate market-level 4/5 segmentation points.
- PDF report with the most relevant analysis cogently put together after exhaustive qualitative interviews and in-depth market study.
- Product mapping in excel for the key product of all major market players
The global isocyanate market report would provide approximately 69 market data tables, 68 figures, and 190 pages.
Target Audience 2024
- Service Providers/ Buyers
- Textile Companies
- Automotive Companies
- Research Laboratory
- Manufacturers
- Logistics companies
- Distributors
