The global blowing agent market size is estimated at USD 1.3 billion in 2020 and is projected to reach USD 2.5 billion by 2027, at a CAGR of 9.8 %. The blowing agent market growth is majorly driven by the growing construction, automotive, and electronics industries, in the emerging economies of APAC. Also, the increasing polymeric foam application globally will drive market growth. The polymer foam market is driven by increasing demand from the packaging, automotive, building & construction, marine, transportation, appliances, bedding & furniture, and packaging industry. The growth of polymer foams market further facilitates the use of blowing agents. Thus, the expected increase in the demand of different types of polymeric foam in varied end-use application will drive the market for blowing agents in coming years.
The frequent change in choice of blowing agents with respect to environmental regulations such as Montreal protocol and other national and regional regulations are hampering the blowing agents’ market. The major focus and intention after the implementation of these protocols and regulations is to minimize the damage caused to ozone layer with the use of different types of blowing agents such as HCFCs and HFCs. Thus, the foam manufacturers are having tough time on selecting an ideal alternative which gave them perfect combination of desired foam properties and profitable operation.
The demand for environment friendly blowing agent has been rapidly increased in past few years and is expected to remain the same in future. Environment protection awareness and Governmental regulations has mandated use of eco-friendly blowing agent Thus, the shifting focus towards Shifting preference towards environment friendly blowing agents owing to severe climate changes open an opportunity for market players.
Owing to the COVID-19 disruption, there has been a significant drop in the demand for blowing agents due to the halt in the manufacturing and transportation sectors. Decline of foam products from various industries has also reduced the demand of blowing agents. Thus, to balance the supply & demand and evade inventory pile-up, several blowing agent manufacturers are expected to operate their plant with a low-capacity utilization rate in the coming period.
Honeywell International Inc. (US), Solvay SA (Belgium), Arkema SA (France), Exxon Mobil Corporation (US), Lindeplc (UK), Daikin Industries, Ltd. (Japan), The Chemours Company (US), Haltermann Carless (Germany), Foam Supplies, Inc. (US), and Harp International Ltd. (UK) are the key players operating in the blowing agent market.
APAC is estimated to be the largest blowing agent market during the forecast period. Among China, Japan, South Korea, India, Thailand, Indonesia and Rest of APAC, China was the largest consumer of blowing agents in the region as of 2020 in terms of value as well as volume. The major production base of HCFC blowing agent situated in China and the increasing usage of hydrocarbons, unsaturated HFCs and other chemical blowing agents are the major factors driving the blowing agent market in the region.
Asia Pacific dominates the blowing agents’ market and is expected to continue the same trend over the forecast period. China dominated Asia Pacific region for blowing agents consumption while other countries in this region such as India and South Korea witnessed comparatively low consumption levels in the past few years. India is expected to witness higher growth rates owing to the growing demand for performance products from the consumer segments and growth of end-user industries. Key regions such as North America and Europe are expected to witness moderate growth rates owing to stringent government regulations regarding GWP and ODP coupled with use of sustainable products derived from renewable materials.
Report : Blowing Agent Market - By Type (HC, HFC, HCFC, Others), By Foam (Polyurethane Foam (PU), Polystyrene Foam (PS), Phenolic Foam, Polyolefin Foam, Others), And By Region (North America, Asia Pacific, Europe, Middle East & Africa and Latin America) - Industry Analysis, Opportunity and Forecast 2020 To 2027