The market for bisphenol A (BPA) is anticipated to register a CAGR of more than 5%, during the forecast period. Bisphenol A (BPA), a colorless crystalline solid belonging to the family of organic compounds, is used primarily as a strengthener in polycarbonate plastics and epoxy resins.
- Increasing demand for polycarbonate and epoxy resins in various end-user industries, such as paints and coatings, adhesives, electrical and electronics, packaging, and other end-user industries, are the major factors driving the bisphenol A (BPA) market.
- Ban on BPA in food contact materials in the United States and Europe is expected to be a major restraint, hindering the market growth.
- Untapped market of BPA in rotor-blade composites is projected to act as an opportunity for the market, in the future.
Key Market Trends
Increasing Demand for Polycarbonate Resins
- Among all other applications, polycarbonate resins application provides the major market demand for BPA, with more than 70% of the global share.
- Polycarbonates are a high-performing thermoplastic that are widely used in building and construction applications. Polycarbonate sheets are used as a substitute for glass, in a variety of skylight and window applications. They are also used as opaque cladding panels, barrel vaults, canopies, translucent walls, facades and signage, sports stadium roofs, louvers, and roof domes.
- The application of polycarbonate materials has highly increased in greenhouses, in the recent years. In Europe, countries, such as Germany, the Netherlands, Spain, and France, have larger areas for greenhouse cultivation. Europe has around 25% of the global commercial greenhouse market.
- The increasing popularity of polycarbonates, owing to their advantages over other conventional materials (which include glass and other plastics), is set to drive the polycarbonate market during the forecast period.
- Additionally, in the automotive industry, polycarbonates allow for energy absorption, weight reduction, shock absorption for bumpers, restriction of explosion risks in fuel tanks, seat belts, airbags, door and seat assemblies, subsystems, bumpers, under-bonnet components, exterior trim, and various other applications. Currently, to manufacture a typical four-wheel vehicle, 10 kg of polycarbonate is used in various forms.
- Overall, the aforementioned factors are expected to drive the market growth.
United States to Dominate the North American region
- With more than 2 billion pounds produced in the United States each year, BPA is commonly found in baby bottles and used to line metal food containers.
- The gradual growth of the commercial sector, primarily office space construction, is likely to have a positive impact on the polycarbonate market, owing to the glazing construction trends. The office space market in the country is estimated to grow by almost 10% in the next few years, which is projected to ultimately augment the market size of bisphenol A (BPA).
- The production has recorded a robust growth in the United States, for the past five years, and the sales of automotive have been increasing at a constant rate. This robust growth resulted in propelling the market demand for polycarbonates, which are used in manufacturing of sunroofs, window panes, entryway handles, inner lenses, door handles, headlight bezels, internal focal points, and radiator flame broils. This surging polycarbonate market is highly likely to boost the market demand for bisphenol A (BPA).
- The US Department of Energy projects that the country may have 404 GW of wind energy capacity by 2050, up from 89 GW in 2018.
- Emerging trends, such as the development of low-cost carbon fibers and high-performance glass fiber, are driving the increased demand for composites. This, in turn, ignites the demand for epoxy resins and, further, BPA, over the forecast period.
The bisphenol A (BPA) market is consolidated, with the top five companies accounting for most of the global production capacity. The major players include Covestro AG, DuPont, Mitsui Chemical Inc., SABIC, and LG Chem, among others.
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