Resorcinol Market Overview
Report on Global Resorcinol analyses the market size, shares, recent trends, competitive intelligence, and future market outlook. Demand from Tire manufactureing industry in Asia Pacific is rising. Competitive rivalry intensifies with Akrochem Corporation, Castle Chemicals Ltd, Sigma-Aldrich and others operating in the market.
Resorcinol is a white crystalline compound used largely in the rubber industry and in wood bonding applications and is an important source of chemical intermediate in the manufacture of specialty chemicals. Other uses of the chemical include the manufacture of dyestuffs, pharmaceuticals, flame retardants, ultra-violet absorbents, agricultural chemicals, fungicidal creams and lotions, and hair dye formulations.
Resorcinol Market Scope and Summary
| Metrics | Details |
| Market CAGR | High |
| Segments Covered | By Application 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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Resorcinol Market Trends and Dynamics
The growing demand for resorcinol-formaldehyde in the rubber industry is boosting the global resorcinol market.
Further, an increase in demand for rubber products in the tire industry is adding fuel to the growth of the market in the upcoming years.
The companies are focused on the expansion of production capabilities in order to strengthen market position through annual production capacity.
For instance, in November 2017, Sumitomo Chemical Co. Ltd. increases its production capacity of resorcinol, a raw material used in automotive tires and other applications. The company’s annual production capacity by 2,000 tons to 12,000 tons at its Oita Works facility in Japan in 2018. The firm’s automotive and other tires account for half of all resorcinol applications.
However, research and development of resin adhesive systems which can replace resorcinol and formaldehyde is the major restraint of the global resorcinol market.
For instance, in March 2019, Continental and Kordsa jointly developed a new sustainable, RF-free adhesive technology for bonding textile reinforcing materials with rubber compounds have been branded ‘Cocoon’ friendly in order to replace resorcinol and formaldehyde.
In September 2018, Jarocol Royal Blue and Jarocol Rich Black jointly developed and launched resorcinol-free products in order to replace resorcinol allowing formulators.
Booming Demand for UV Stabilizers
UV stabilizers are critical in the polymer industry to enhance the durability and longevity of plastics and coatings exposed to sunlight. The growing need for durable materials in construction, automotive, and consumer goods is driving the demand for UV stabilizers, thereby boosting the resorcinol market. Resorcinol is used in the formulation of these stabilizers, making it a key ingredient in the growing market. With more products being used outdoors, such as outdoor furniture, automotive components, and agricultural products, the demand for UV stabilizers is on the rise. These stabilizers protect products from UV-induced degradation, and as their use expands, so does the market for resorcinol, a primary component in stabilizer formulations.
The automotive and construction industries are increasingly incorporating UV stabilizers in their materials to ensure that parts and structures retain their appearance and structural integrity over time. As these sectors continue to grow, especially in emerging markets, the resorcinol market will benefit from the heightened need for UV stabilizers.
UV stabilizers are also widely used in packaging materials, especially those exposed to sunlight, to prevent degradation. As the demand for more durable and long-lasting packaging solutions increases, so does the need for resorcinol in the production of UV stabilizers, thus boosting the resorcinol market.
Advances in UV protection technologies are spurring demand for more effective and efficient UV stabilizers. As innovations in UV stabilizer formulations evolve, resorcinol remains a key ingredient in these advancements. The expanding applications of resorcinol in the creation of next-generation UV stabilizers are positively impacting the market.
Resorcinol Market Segmentation Analysis
Based on the application, the global resorcinol market is broadly segmented as rubber products, wood adhesives, UV stabilizers, flame retardants, and others (dyes and dyestuffs). Among all of the applications, Rubber products such as tires and conveyors are leading the charge in terms of developing market.
According to Bryan Garnier & Co. report in 2017, the global demand for car and light commercial vehicles tires is increased from 1,536 million units to 1,634 million units, especially in international markets, with increased unit shipments of 6.38 percent primarily in North America and Asia Pacific.
Further, the wood adhesive is also estimated to offer lucrative opportunities to the resorcinol market in the next few years. It is owing to use in the construction industry.
According to American Wood Industry, Currently, adhesives used in North American wood products fall into two primary groups: adhesives for structural products and adhesives for interior, non-structural products.
Global Resorcinol Market Geographical Share
The global resorcinol market is segmented into North America, Europe, Asia Pacific, South America, and Middle East & Africa. The Asia Pacific is the leading market for resorcinol with China leading the charge followed by India and Japan.
The demand for resorcinol is increasing in Asia Pacific countries owing to the growing number of manufacturing industries.
For instance, in April 2019, Continental Tire has officially started its tire manufacturing operations at its Greenfield tire plant in Rayong, Thailand.
In November 2016, Apollo Tyres officially started its new manufacturing facility in Andhra Pradesh to manufacture tires for two-wheeler and pick-up vehicles. The company invested around Rs 500 crore in the new facility.
Also, China’s tire production increased by 5.4 percent from 2016 to 926 million units, a third of the global total. Tire makers' production had a 7.1 percent raise to 653 million units, According to the data from China's ministry of industry and IT in 2017.
Further, according to the data from U.S. Tire Manufacturers Association in 2017, the demand for high-performance tires in the U.S. increased for the eighth straight year and now accounts for nearly 56 percent of original equipment and 45 percent of replacement market shipment.
Additionally, aftermarket shipments of H-rated tires rose 11.7 percent to 48.8 million units; V-rated tires rose 8.4 percent to 25.8 million units, and Z-rated were up 3.6 percent to 17.4 million units in 2017.
Resorcinol Market Companies
Some of the key players profiled in resorcinol market research report include Sumitomo Chemicals, Akrochem Corporation, Indspec Chemical Corporation, Atul Limited, Castle Chemicals Ltd., Jay Organics, Sigma-Aldrich, Alfa Aesar, Dynea AS, and Haihang Industry Co., Ltd.
