Itaconic acid finds wide application as a monomer in the production of synthetic latex and copolymers owing to its carboxyl and vinyl functional groups. It is used as a comonomer in the production of acrylonitrile butadiene styrene (ABS), acrylic fibers, and styrene butadiene latex. Itaconic acid helps impart strength and durability to polymers produced for automotive and construction applications. Rising demand for high-performance polymers from end-use industries such as paints coatings, adhesives, and pharmaceuticals is expected to drive the demand for itaconic acid over the forecast period.
The global itaconic acid market is estimated to be valued at US$ 134.1 Mn in 2023 and is expected to exhibit a CAGR of 4.1% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Opportunity:
One of the key opportunities for growth in the itaconic acid market is its increasing usage in the production of synthetic latex. Synthetic latex finds wide application in the manufacture of paints, adhesives, sealants, and nonwoven fabrics. Itaconic acid helps improve several properties of synthetic latex such as adhesion, flexibility, and durability. The growing demand for synthetic latex from the construction and packaging industries is expected to boost the consumption of itaconic acid. Additionally, itaconic acid improves the water-resistance and aging resistance of latex, enabling its use in more demanding applications. The superior properties imparted by itaconic acid to synthetic latex are expected to increase its demand over the forecast period.
Porter's Analysis
Threat of new entrants: The threat of new entrants in the itaconic acid market is moderate. Startup costs for production is medium but developing expertise is difficult due to the need for technology and RD.
Bargaining power of buyers: The bargaining power of buyers is medium to high as itaconic acid has substitutes. Buyers can switch to alternatives if pricing is unjustified.
Bargaining power of suppliers: The bargaining power of suppliers is medium as key raw materials like maleic anhydride are produced by few manufacturers globally. Suppliers possess some pricing power.
Threat of new substitutes: The threat of substitutes is high as alternatives like malic acid, succinic acid and fumaric acid can be used in place of itaconic acid in certain applications.
Competitive rivalry: Competitive rivalry is medium to high among the few global players. Companies compete based on pricing and product quality.
SWOT Analysis
Strengths: High usage of itaconic acid in adhesives due to inherent acid functionality. Wide applications in specialty chemical and agriculture sectors.
Weaknesses: Labor intensive production process increases costs. Raw material supply subject to price volatility.
Opportunities: Growing end use industries like construction and transportation boosting demand. Potential for new applications in cosmetics and pharmaceuticals.
Threats: Regulations on plastic usage can reduce demand from polymer industry. Threat from substitutes limits pricing flexibility.
Key Takeaways
The global itaconic acid market is expected to witness high growth over the forecast period of 2023-2030. The market size is projected to grow from US$ 134.1 Mn in 2023 to US$ 191.5 Mn by 2030, at a CAGR of 4.1% during the forecast period. Itaconic acid finds wide usage in specialty chemicals, construction chemicals, agrochemicals and detergents industries owing to its acid functionality.
North America leads the global itaconic acid market, accounting for over 35% share in 2023. Presence of key players and high demand from industrial sectors such as plastic polymers and agrochemicals drive market growth. Asia Pacific exhibits fastest growth during the forecast period with a CAGR of 5.1% due to expanding end use industries in China, India and Southeast Asian countries.
Key players operating in the itaconic acid market are Itaconix Corporation, Jinan Huaming Biochemistry Co. Ltd., Qingdao Langyatai Group Co. Ltd., Zhejiang Guoguang Biochemistry Co., Ltd., Alpha Chemika, Chengdu Jinkai Biology Engineering Co., Ltd., Ronas Chemicals Ind. Co., Ltd., Iwata Chemical Co., Ltd., Shandong Kaison Biochemical Co., Ltd., Aekyung Petrochemical Co. Ltd., Spectrum Chemical Manufacturing Corp., FUJIFILM Wakao Pure Chemical Corporation, Ultimate Chem India Pvt. Ltd., Choice Ora
