The global petroleum resins market size was valued at USD 2.22 billion in 2016 and is expected to register significant growth at a CAGR of 6.9% from 2017 to 2025. Increasing consumption of petroleum resins in paints and coatings, synthetic rubber, tapes, and labels is expected to propel the market growth over the forecast period.
The large-scale use of these products owing to various advantages including excellent thermal stability, peeling strength, tack ability, heat-resistance, and a high softening point is expected to augment the industry growth over the forecast period. Rising demand for petroleum resins in various applications including contact adhesives, footwear and leather, hot melt adhesives, rubber and plastic modification, and wax modification is expected to stimulate the industry growth.
The increasing use of the products in the paints and coatings industry as it offers high gloss is expected to fuel the demand over the forecast period.The good compatibility of the resins with various products including EVA, SBS, SIS, and SEPS is further expected to increase market share over the forecast period.
Increasing application scope ranging from adhesives, printing inks, tapes & labels, rubber compounding have driven the need for innovation in this industry. The development of the paints and coatings industry in Indonesia, the U.S., India, Germany, and China along with increasing government spending in the packaging sector in India, Mexico and Saudi Arabia is expected to fuel growth.
The growing consumer awareness regarding baby hygiene products in emerging economies such as India and China is expected to be a critical factor in determining growth over the forecast period.
However, volatility in the prices of crude oil and the increasing consumption of rosin resins in various applications including construction and automotive are expected to restrict the product growth over the forecast period. Technological advancements to introduce new process technologies and increase output are expected to create new growth avenues over the forecast period.
The paints application segment is expected to witness volume rise at a CAGR of 6.4% from 2017 to 2025. Petroleum resins act as a binder resin and offer various advantages including drying fast, alkali resistance and abrasion proofing. Furthermore, the product increases the gloss of paint and improves the adhesion, hardness, and the resistance of alkali and acids.
Petroleum resins offer excellent affinity with pigments, anxiliary agents, and resin rosins to enhance the tenacity, rigidity, and adhesive force of paint material and form a smooth paint surface. Increasing demand for resins in the road marking paint industry as they offer high performance, brightness, and quick dryness is expected to create immense market potential.
Paint is widely used to mark travel lanes, loading zones, and parking spaces, Increasing infrastructure spending for constructing new highways and focus on the repair & maintenance operations are expected to be the key driving factors driving the global petroleum resins market growth.
In terms of volume, C5 resins was the dominant segment and accounted for 51.6% of the overall volume in 2016. The trend is expected to continue over the forecast period on account of the growing use of C5 resins in the tire, personal hygiene, automotive, and building and construction industries. The rising use of C5 resins owing to properties such as high chemical resistance, less pollutant, high adhesion strength, and excellent color retention is expected to augment the demand over the upcoming years.
C5/C9 hydrocarbon market is expected to witness high revenue rise at a predicted CAGR of 7.2% from 2017 to 2025 on account of increasing consumption of the product in printing ink, rubber, paints, and tire applications. The product offers various superior properties including peeling strength, tack ability, heat-resistance, chemical stability, miscibility, low molecular weight, and high waterproofing.
Factors such as low price of C5/C9 petroleum in comparison to C5 resins and the increasing usage of the hydrocarbon in the tire industry owing to excellent tack and adhesion between rubber particles and cord are expected to propel demand over the forecast period.
Construction was the dominant segment and accounted for 30.9% of the overall volume share in 2016. Hydrocarbon resins in the building and construction industry are used in the form of coatings in mortar-modified elastic waterproofing membranes, waterproofing membranes on pool decks, horizontal masonry, and top coat for commercial roof application.
These resins ensure excellent color retention, appearance, and resistance to dirt pick-up, efflorescence, and water, which is expected to increase their industry size over the forecast period. The rising construction spending in light of urbanization, population growth, and government infrastructural plan is expected to augment the market growth. Furthermore, rapid growth in social infrastructure, defense infrastructure transport, hospitals, energy, schools, government accommodation, and natural resources is expected to stimulate the industry growth.
Asia Pacific is projected to show significant revenue rise at an estimated CAGR of 7.8% from 2017 to 2025 on account of the presence of robust manufacturing base of tapes, rubber compounding, and adhesives in India, Singapore, and China. The increasing automotive production mainly in China, Indonesia, Japan, Malaysia, and Taiwan is expected to propel the demand for the product.
Ongoing industrialization and increasing foreign investments in the packaging and paints & coatings sectors are anticipated to augment the industry size over the upcoming years. In addition, favorable FDI and “Make in India” policy implemented by the Government of India is expected to create immense opportunities for the automobile industry in the country, which in turn will aid in hydrocarbon resins market growth. Furthermore, the growing demand for fast-moving consumer goods in Asia Pacific is likely to drive the demand for inks and packaging materials, which in turn is expected to spur the market growth.
MEA market was valued at USD 78.0 million in 2016 and is expected to witness substantial growth in light of the growing construction sector mainly in the UAE and Qatar owing to the economic recovery, advanced real estate regulatory framework, and increasing infrastructure project. In addition, various factors including favourable macroeconomics, positive demographics, and rising tourism activities are likely to promote the construction sector growth.
The petroleum resins market is dominated by various major participants including ExxonMobil; Zeon Chemicals; Eastman Chemical Company; Kolon; and Puyang Changyu Petroleum Resins Co., Ltd.
The market is expected to witness high competition over the forecast period on account of growing investments in the process technology and in production capacities. Key players in the industry are focusing on maintaining their market share with profitability by providing technological expertise and establishing strategic partnerships.
In April 2016, Neville Chemical Company launched NEVTAC LT, a low softening hydrocarbon tackifier for use in adhesives and sealants. In April 2016, Neville Chemical Company signed a strategic partnership agreement with Versalis Priolo to manufacture hydrocarbon resins in an attempt to enhance the company’s product portfolio.
Attributes |
Details |
Base year for estimation |
2016 |
Actual estimates/Historical data |
2014 - 2015 |
Forecast period |
2017 - 2025 |
Market representation |
Volume in Kilotons & Revenue in USD Million and CAGR from 2017 to 2025 |
Regional scope |
North America, Europe, Asia Pacific, Central & South America, and the Middle East & Africa |
Country scope |
U.S., Germany, China, and Brazil |
Report coverage |
Volume & revenue forecast, company share, competitive landscape, growth factors, and trends |
15% free customization scope (equivalent to 5 analyst working days) |
If you need specific market information, which is not currently within the scope of the report, we will provide it to you as a part of customization |
This report forecasts volume and revenue growth at a global, regional & country level, and provides an analysis on the industry trends in each of the sub-segments from 2014 to 2025. For the purpose of this study, Grand View Research has segmented the global petroleum resins market on the basis of product, application, end use, and region:
Product Outlook (Volume, Kilo Tons; Revenue, USD Million; 2014 - 2025)
C5 resins
C9 resins
C5/C9 resins
Hydrogenated resins
Application Outlook (Volume, Kilo Tons; Revenue, USD Million; 2014 - 2025)
Paints
Adhesives
Printing inks
Rubber & tires
Tapes & labels
Others
End-use Outlook (Volume, Kilo Tons; Revenue, USD Million; 2014 - 2025)
Automotive
Construction
Packaging
Consumer goods
Personal hygiene
Others
Regional Outlook (Volume, Kilo Tons; Revenue, USD Million; 2014 - 2025)
North America
U.S.
Europe
Germany
Asia Pacific
China
Central & South America
Brazil
Middle East & Africa
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