Asia Pacific Metallic Stearate Market Size, Share & Trends Analysis Report By Product (Zinc, Calcium, Aluminum, Magnesium), By Application (Plastics, Rubber, Cosmetics), By Country, And Segment Forecasts, 2018 - 2025

Report Overview

The Asia Pacific metallic stearate market size was estimated at USD 1.5 billion in 2017. The market is majorly driven by growing product demand from the cosmetics, pharmaceuticals, and plastics industries. Rapid growth of the plastics industry and rising need for metallic stearates for improving surface textures of plastic goods are expected to drive the market over the forecast years.

Growth of key application industries, including plastics, rubber, cosmetics, and pharmaceuticals, in Asia Pacific has resulted in increased product demand. This trend, most notably in rapidly emerging economies like Indonesia and Thailand, is expected to augment the market development.

Metallic stearate manufacturers focus on the use of advanced production technology. Companies invest heavily in research and innovation processes to develop metallic stearates with improved properties. Manufacturers have been making efforts to enhance the free-flowing nature of the product by maintaining surface properties.

Metallic stearates have significant use, as acid scavengers, mold release agents, and lubricants, in the plastics industry. They also help improve the surface texture of plastic articles while reducing friction. Furthermore, they are also used in melt processing in the plastics industry. Various plastics such as Polyethylene (PE), Polypropylene (PP), Polystyrene (PS), and Polyvinyl Chloride (PVC), are the major applications.

The presence of key global players across emerging economies such as India, Indonesia, Malaysia, South Korea, China, Thailand, and the Philippines has led to a significant increase in plastics production over the past few years. Rapidly growing demand for high-performance plastics in key end-use applications such as automotive, consumer electronics, packaging, aerospace, and construction is expected to drive product demand over the forecast period.

Metallic stearates find application in the rubber industry as mold release agents. Transfer molding, compression molding, and extrusions are some of the processes that involve the product usage. Zinc stearate, magnesium stearate, and calcium stearate are most commonly used in the rubber industry owing to their suitable melting point. They are applied in different forms such as powders and solutions.

Asia Pacific metallic stearate market has experienced significant challenges owing to high raw material prices. Stearic acid is the key raw material required in the production of metallic stearates. Stearic acid is a long-chain fatty acid obtained from vegetable oils, such as palm kernel oil, coconut oil, soybean oil, and rapeseed oil, and animal fat. Palm kernel oil is the most widely used raw material in stearic acid production. Fluctuation in the prices of palm kernel oil leads to instability in the prices of stearic acid, which, in turn, is expected to hamper the market growth.

Product Insights

Aluminum stearate, zinc stearate, magnesium stearate, and calcium stearate among a few others, are the key product segments. In 2017, the zinc stearate segment dominated the Asia Pacific market with a share of 33.9%. They are majorly used in the plastic and paints and coatings industry. Rapid growth of the plastics industry in countries such as Vietnam and Thailand is expected to propel the product demand, thereby boosting market expansion.

Calcium stearates held a significant market share in 2017 and will witness strong demand in the coming years as they are cheap and easy to manufacture. Product demand is expected to rise further over the forecast period due to expanding end-use sectors such as cosmetics, cement, plastics, paper, and building & construction. In addition, rising disposable incomes and the resultant increase in demand for cosmetics, most notably in countries such as Malaysia and Indonesia, is further expected to boost demand.

Application Insights

On the basis of application, the Asia Pacific market is divided into plastics, rubber, cosmetics, building and construction, paints and coatings, and pharmaceuticals. In 2017, the plastics segment led the global market, in terms of share. Significant growth in plastics production in Asia Pacific is anticipated to drive product demand over the forecast period. In addition, expanding the building & construction sector in various countries, such as Philippines, owing to upcoming infrastructure development projects is expected to drive product demand in the next few years.

The rubber application segment held a significant share of the market in 2017. Metallic stearates have been used as release coatings for uncured rubber. Certain unique properties of the product, such as a high melting point, make them ideal release agents in rubber manufacturing. The manufacturing of industrial rubber products involves several processes that require uncured rubber to be kept from sticking. The strong presence of automotive manufacturers in China, Japan, and South Korea has boosted the demand for synthetic rubber. The growth of the automotive industry is anticipated to propel the demand for rubber in tire applications, thus impacting the demand for the product over the forecast period.

Country Insights

Indonesia led the Asia Pacific market in 2017 and is expected to continue its dominance over the forecast period. Recent economic growth in the country has propelled the infrastructure, residential & commercial building, and automotive sectors. This, in turn, has boosted the demand for plastics in Indonesia over recent years. Along with optimizing the production process, the product use allows processors to manufacture finished articles with lower friction and smoother surfaces.

Philippines is expected to be the fastest-growing market in Asia Pacific. Rapidly increasing manufacturing activities, foreign investments, and export demand on account of the newly industrialized status of the country is expected to drive automotive, plastics, building & construction, rubber, and personal care industries, among others.

Key Companies & Market Share Insights

The market is characterized by the presence of numerous international and domestic players of varying sizes. Major players operating in the market include Baerlocher GmbH, Faci S.p.A., Peter Greven GmbH & Co. Kg, Solvay SA, BASF SE, and Valtris Specialty Chemicals. These companies follow an integrated approach throughout the value chain.

Factors such as diminishing raw material access, development of application-specific products, the emergence of advanced technologies, and growing demand from end-user industries in developing economies are likely to result in intense competition in the market over the next few years.

Asia Pacific Metallic Stearate Market Report Scope

Segments Covered in the Report

This report forecasts revenue growth at a country level and provides an analysis of the latest industry trends in each of the sub-segments from 2014 to 2025. For the purpose of this study, Grand View Research has segmented the Asia Pacific metallic stearate market report on the basis of product, application, and country:

• Product Outlook (Volume, Kilotons; Revenue, USD Million, 2014 - 2025)

  • Zinc Stearate

  • Calcium Stearate

  • Aluminum Stearate

  • Magnesium Stearate

  • Others

• Application Outlook (Volume, Kilotons; Revenue, USD Million, 2014 - 2025)

  • Plastics

  • Rubber

  • Pharmaceutical

  • Cosmetics

  • Building & Construction

  • Paints & Coatings

  • Others

• Country Outlook (Volume, Kilotons; Revenue, USD Million, 2014 - 2025)

  • Malaysia

  • Indonesia

  • Thailand

  • Philippines

  • Vietnam