Feb 09, 2016, 07:30 ET from Transparency Market Research
According to a recent market research report published by Transparency Market Research, the global polyethylene wax market is expected to develop at a CAGR of 3.7% during the period from 2015 to 2023. The report, titled "Polyethylene Wax Market - Global Industry Analysis, Size, Share, Growth, Trends and Forecast, 2015 - 2023", estimates the global polyethylene wax market to reach US$359.1 million by 2023. In 2014, the overall market was valued at US$258.9 million.
Polyethylene wax is manufactured by polymerization of ethylene, a derivative of crude oil. The process of polymerization of ethylene is significant as level of polymerization affects the physical properties of polyethylene wax. Manufacturers have developed the polymerization process to produce wax with desired properties. The report indicates that the increasing demand for polyethylene wax in production of polyvinyl chloride is expected to boost the global polyethylene wax market. Growing demand for polyethylene wax from the coatings and printing inks industries will also augment the growth of the global polyethylene wax market during the forecast horizon.
However, volatile prices of crude oil will negatively affect the overall polyethylene wax market as ethylene, the raw material for polyethylene wax, is derived from crude oil. Also, in certain applications, Fisher-Tropsch (FT) wax is used as an alternative to polyethylene wax. Therefore, the expanding market for alternatives is expected to hamper the growth of the market. The global polyethylene wax market has a huge opportunity to grow with the increasing applications of recycled pyrolytic cross-linked polyethylene wax in asphalt industry.
On the basis of various applications, the report segments the global polyethylene wax market into plastic additives and lubricants, cosmetics, adhesives and coatings, rubber, wood and firelogs, candles, packaging, and others including laminates, inks, and polishes. In 2014, in terms of volume, candles accounted for 20% of the global polyethylene wax market and emerged as the largest application segment. However, during the forecast period, plastic additives and lubricants segment is expected to emerge as the fastest growing application segment in the market and dominate the overall market. Additives and coatings is estimated to be the second-largest application segment in the global polyethylene wax market. The demand for polyethylene wax for cosmetics and packaging applications is expected to be moderate during the forecast horizon.
The report studies the global polyethylene wax market across five key geographical regions: Europe, North America, Middle East and Africa, Asia Pacific, and Latin America. With more than 30% share in the global polyethylene wax market, Asia Pacific was the leading regional market in 2014, closely followed by Europe andNorth America. During the next few years, Latin America, and Middle East and Africa are expected to witness a moderate increase in the demand for polyethylene wax, owing to the extensive use of polyethylene wax across adhesives and coatings, and plastic additives and lubricants industries. The report profiles some of the key players operating in the global polyethylene wax market such as Honeywell International Inc., The International Group Inc., Arya Chemical Inc., The Lubrizol Corporation, Westlake Chemical Corporation, and Clariant AG.