April 21, 2024
North America Commodity Chemicals Market

North America Commodity Chemicals Market is Estimated to Witness High Growth Owing to Increasing Demand from End-use Industries

The North America commodity chemicals market includes basic chemicals that are produced on a large scale and find numerous industrial applications. Commodity chemicals like organic and inorganic acids, salts, alkalis, polymers, petrochemicals and plastics are widely used in end-use industries including agriculture, construction, cosmetics, packaging, textiles, automotive and healthcare. The organic acids segment led by formic acid is largely consumed as preservatives and disinfectants while inorganic acids like sulfuric and phosphoric acids are primarily used in fertilizer manufacturing. Commodity plastic resins like PVC, PE and PP are major volume drivers on account of extensive usage in consumer goods and material handling.

The North America Commodity Chemicals Market is estimated to be valued at US$ 74503.08 Mn in 2024 and is expected to exhibit a CAGR of 3.8% over the forecast period from 2024 to 2030.

Key Takeaways

Key players operating in the North America commodity chemicals are BASF SE,Ecolab Inc.,Solvay SA,SNF (United Kingdom) Ltd,Cytec Industries Inc.,Akferal,Kemira Oyj,Jayem Engineers,TRIO Chemicals & Allied Products,Yide Chem,Evoqua Water Technologies,SUEZ, Feralco,Tidal Vision,Others.

The commodity chemicals market has immense opportunities in the form of rising demand from agriculture, packaging, automotive, and construction industries in the region. Increasing population, industrial growth and changing lifestyle will boost the consumption of commodity chemicals market in North America over the next few years.

The commodity chemicals market is expanding globally driven by economic growth in emerging countries and shifting production facilities to gain access to new markets. The manufacturers are focused on strategic partnerships and acquisitions for geographical expansion and penetration across developing countries in Asia Pacific and Middle East regions.

Market drivers

The main driver for the North America Commodity Chemicals Market Growth is the increasing demand from end-use industries. Commodity chemicals consume as basic raw materials find widespread applications in various sectors ranging from agriculture, construction to healthcare. Rapid industrialization and infrastructure growth activities in the region are propelling the need for basic chemicals. Changing demographics, improving standards of living are positively impacting the consumption of end-products relying heavily on low-cost commoditized chemicals.

PEST Analysis

Political: The North America Commodity Chemicals market is undergoing regulatory changes which affect market growth. Environmental regulation for disposal and production affect industry players.

Economic: Factors such as GDP growth, disposable income are driving demand for end use industries which impacts market growth. Volatility in prices of raw materials affect production cost.

Social: Rising population, urbanization and changing consumer lifestyles drive demand for consumer goods which drives market growth. Environmental awareness is growing among public and regulatory bodies.

Technological: Advancements in production technologies increase efficiency and reduce costs. New technologies aid in reducing environmental footprint of production processes. Developments in processing aids to expand application scope.

Geographical Concentration

The North America region has historically been a key market for commodity chemicals in terms of value. The United States dominates demand and accounts for over 80% of the regional market size. Abundant raw material availability, large end use industries and aggressive manufacturing base support high demand levels in the country. Canada is another major market supported by manufacturing and resource industries.

Fastest Growing Region

The Asia Pacific region is expected to be the fastest growing market for commodity chemicals over the forecast period. Rapid urbanization, rising incomes and expanding manufacturing industries are major drivers of demand from countries such as China and India. An aggressive push for development of domestic manufacturing industries has increased demand levels exponentially. Relocation of production capacities to the region also supports market growth. Abundance of economically viable production resources further aids expansion.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it