The worldwide market size for polymer emulsions is estimated at USD 25.5 billion in 2020 and is predicted to reach USD 38.9 billion by 2025, with a CAGR of 8.2%. Market expansion is primarily driven by an escalating call from growing end-use industries in emerging countries, stringent regulations regarding VOC emissions, and growing awareness of green buildings. The product is derived from crude oil and natural gas. In recent years, falling oil prices have had a negative impact on overall revenues and have been the main drag on expansion. The manufacturing process of the product involves the emission of volatile organic compounds (VOCs). This factor is predicted to jeopardize market expansion in the near future.
Product innovation, moving from solvent-based polymer emulsion to water-based variants, is driving a resurgence of the worldwide polymer emulsion market. Due to escalating standards for environmental protection, conventional solvent-based emulsion polymers are losing ground in favor of water-based products. Structurally, an emulsion polymer refers to a colloidal dispersion of polymer particles disunited in an apparatus such as water. The size of the constituent particles of an emulsion polymer is generally between 0.01 and 1.0 microns
The worldwide emulsion polymer market keeps pace with strong call due to strong expansion in the paint and coatings, adhesives, and paper and board industry. Emulsion polymers are obtained by polymerization of surfactants, monomers and water. Therefore, emulsion polymers are known as aqueous solvents because the monomer dissolves in water. Due to its low content of volatile organic compounds (VOC), it acts as a substitute for solvent polymers. With high molecular weight and better recyclability, it is widely employed in various end-user industries. The increased call for paints and coatings in the construction and automotive industries in developing regions has stimulated the call for large-scale emulsion polymers to improve the quality of paints.
There is a growing call for polymer emulsion from various end use industries such as paper, construction, textiles, transportation, consumer durables and others due to factors such as rapid urbanization changing lifestyles and escalating disposable income. The use of polymer emulsion is escalating rapidly in these end use industries for applications such as paints and coatings, adhesives and sealants and the like. Exponential economic expansion in emerging economies, which drives call for consumer goods, is driving call for polymer emulsion for various end-use industries. This includes paints and coatings, paper and cardboard, adhesives, and sealants. The low VoC content of emulsion polymers compared to alternative products increases their absorption. Additionally, polymer emulsion-based paints and coatings are non-flammable, helping to reduce handling costs and fire insurance costs for paints and coatings. The change in trend towards the adoption of environmentally friendly paints and coatings, together with the favorable regulatory scenario, is likely to support the development of low-VOC or no-VOC paints and coatings. This led to the start of emulsion polymerization on the worldwide market. The emulsion polymerization technique produces high molecular weight polymers with low viscosity. However, polymers can also be customized based on their use to display the desired morphology and composition.
The market for polymer emulsions is small due to the volatility of raw material prices. Manufacturers cannot predict a trend in raw material prices. Also, manufacturers generally prefer to purchase raw materials in bulk. This helps them get a higher profit margin.
Growing environmental concerns and growing competition among market players have encouraged manufacturers to make technological advancements and increase the use of green or bio-based products. This increases the call for low-VOC products, which use renewable materials as raw materials. Additionally, escalating efforts to construct green buildings are indirectly benefiting the polymer emulsion market. Water-based polymer emulsions are free of VoC emissions unlike their synthetic counterparts. This serves to stimulate the world market for polymer emulsions. Bio-based polymer and water emulsions should offer huge development opportunities. Increased consumer awareness of green building is predicted to boost worldwidecall during the foreseen period. Escalating awareness of end-use industries about the environmental impact of solvent-based products, along with favorable regulatory trends, is predicted to drive the market during the foreseen period.
Manufacturing low VOC polymer emulsion is one of the challenges for market players. The emission of VOCs has several adverse effects on the health of workers and end users. In addition, they cause chronic respiratory problems such as asthma and other respiratory problems. As a result, mature markets in Europe and North America have enacted strict laws on the use of high VOC products.
By Product Type:
Acrylic-based emulsion polymers are the largest revenue-generating product segment for a total of 39% of the market volume in 2020 due to various properties they possess such as quick-drying ability and water resistance. The ability of acrylic to dry paints quickly and provide good strength, quality and adhesion have been the driving factors for acrylic consumption in the paint and coatings industry.
The paint and coatings application sector dominate the emulsion polymer market with over 30% market share due to escalatingcall from the automotive and construction industry to utilize improved quality of paints and coatings. Improving GDP in developing countries, as well as changes in consumer lifestyles, have altered the call for the use of emulsion polymers in paints for construction activities.
APAC is the largest and most dynamic market for polymer emulsions. The region is experiencing expansion in the polymer emulsions market due to the rapid expansion of the building and construction, consumer durables and transportation sectors. Manufacturers are attracted to the region because the skilled labor needed to operate the manufacturing units is available at lower wages. The Asia-Pacific emulsion polymers market dominates the market segment due to escalating construction activities associated with the development of the paint and coatings industry. As China and India are a developing region, the call for paints and coatings is booming and the increased call for adhesives will also drive market call for emulsion polymers for acrylics.
Europe and North America will show steady expansion in the emulsion polymer market. Due to the economic recession in the US market, the post-recession has hampered the expansion of emulsion polymers in the paint and coatings market, particularly in construction and the automotive industry.
The Middle East and Africa are predicted to experience significant expansion due to the expansion of energy resources, which will lead to further R&D on emulsion polymers. Strict government regulations regarding chemical releases to the environment have curbed the call for emulsion polymers in the European region. The growing environmental concerns linked to the use of bio-based emulsion polymers will open an opportunity for small players in developing regions.
Innovation coupled new product development such as water based acrylic emulsion polymers has benefited players in different regions. The Key players of global Emulsion Polymers market are Celanese Corporation (U.S), BASF SE (Germany), The Dow Chemical Company (U.S), Arkema Co. (France), Koninklijke DSM N.V. (Netherlands), DIC Corporation (Japan), Trinsea Co. (U.S), Wacker Chemie AG (Germany), Omnova Solutions Inc. (U.S), Nuplex Industries Ltd (Australia) and others.
1.1 Market Definition
1.2 Study Deliverables
1.3 Base Currency, Base Year and Forecast Periods
1.4 General Study Assumptions
2. Research Methodology
2.2 Research Phases
2.2.1 Secondary Research
2.2.2 Primary Research
2.2.3 Econometric Modelling
2.2.4 Expert Validation
2.3 Analysis Design
2.4 Study Timeline
3.1 Executive Summary
3.2 Key Inferences
4. Drivers, Restraints, Opportunities, and Challenges Analysis (DROC)
4.1 Market Drivers
4.2 Market Restraints
4.3 Key Challenges
4.4 Current Opportunities in the Market
5. Market Segmentation
5.1.3 SB Latex
5.1.4 Vinyl Acetate Polymers
5.1.5 Y-o-Y Growth Analysis, By Product
5.1.6 Market Attractiveness Analysis, By Product
5.1.7 Market Share Analysis, By Product
5.2.2 Paints & Coatings
5.2.3 Adhesives & Sealants
5.2.4 Paper & Paperboard
5.2.5 Y-o-Y Growth Analysis, By Type
5.2.6 Market Attractiveness Analysis, By Type
5.2.7 Market Share Analysis, By Type
6. Geographical Analysis
6.1.1 Regional Trends
6.1.2 Impact Analysis
6.1.3 Y-o-Y Growth Analysis
6.1.4 Market Attractiveness Analysis
6.1.5 Market Share Analysis
6.2 North America
6.1.2 United States
6.3.6 South Korea
6.5 Latin America
6.4.5 Rest of Latin America
6.6 Middle East & Africa
7. Strategic Analysis
7.1 PESTLE analysis
7.2 Porter’s Five analysis
7.2.1 Bargaining Power of Suppliers
7.2.2 Bargaining Power of Consumers
7.2.3 Threat of New Entrants
7.2.4 Threat of Substitute Products and Services
7.2.5 Competitive Rivalry within the Industry
8. Market Leaders' Analysis
8.1 DIC Corporation
8.1.2 Product Analysis
8.1.3 Financial analysis
8.1.4 Recent Developments
8.1.5 SWOT analysis
8.1.6 Analyst View
8.3 BASF SE
8.4 Arkema Group
8.5 Celanese Corporation
8.7 The Lubrizol Corporation
8.8 Wacker Chemie AG
8.9 Synthorner Plc
8.10 Omnova Solutions Inc.
9. Competitive Landscape
9.1 Market share analysis
9.2 Merger and Acquisition Analysis
9.3 Agreements, collaborations and Joint Ventures
9.4 New Product Launches
10. Market Outlook and Investment Opportunities
a) List of Tables
b) List of Figures