The market for Chloromethane is expected to grow at a CAGR of over 4% during the forecast period. Major factors driving the market studied are increasing usage of silicone in various end-user industries and growing construction industry in the Asia-Pacific region. On the flipside, stringent regulations on chloromethane is the major restraint, which is expected to hinder the growth of market.
- Ongoing research and development in the production of chloromethane is expected to offer various lucrative opportunities for the growth of market.
- By application, silicones segment is expected to dominate the market owing to the increase in the usage of silicone elastomers in the construction and automotive industries.
- Asia-Pacific region dominated the chloromethane market across the globe with the largest consumption from countries such as China, India, and Japan.
Key Market Trends
Increasing Usage of Silicone in Various End-user Industries
- A major part of the chloromethane produced is used as feedstock in the manufacturing of the chemical intermediate like methyl chlorosilanes. These methyl chlorosilanes are employed in the production of silicone fluids.
- Silicone fluids made using chloromethane are used in a broad range of products, such as processing aids (antifoaming agents, release agents, and light-duty lubricants), and specialty chemicals for consumer products (cosmetics, furniture polishes, auto polishes, and paper coatings).
- Silicone resins are used in water-repellent resins, coatings, molding resins, electrical insulation, laminating resins, etc.
- Properties, such as solubility in organic solvents, water-repellence, and flexibility, make silicones a better material of choice as intermediates.
- Silicone elastomers are used in the construction industry as adhesives and sealants, in automotive applications, like wire and cable insulation, and surgical and other medical applications.
- The global silicone market is expected to register a CAGR of over 4% during the forecast period. This is expected to create lucrative opportunities for the chloromethane market.
- The aforementioned factors are expected to continue to drive the consumption of silicones in the coming years, thus driving the market for chloromethane.
Asia-Pacific Region to Dominate the Market
- Asia-Pacific region is expected to dominate the market for chloromethane during the forecast period. In countries like China, India, Japan and South Korea, owing to increasing demand for silicones from various end-user industries, the demand for chloromethane has been increasing in the region.
- Silicone is one of the prominent intermediate products in various end-user industries, including automotive, electronics, consumer products, healthcare, construction, and energy. It is used to enhance the characteristics of existing materials that are incorporated into thousands of articles and end-products. Due to this, demand of silicone is increasing in the region, which is consequently driving the chloromethane market.
- Additionally, chloromethanes are widely utilized as a chemical intermediate in the production of chlorine derivatives such as methylene chloride, methyl chloride, and carbon tetrachloride. Methylene chloride is further used as an intermediate in the production of polycarbonate and others, whereas methyl chloride is used to manufacture agrochemicals such as paraquat, disodium methanearsonate, and others. Owing to these factors, the demand of chloromethane is expected to increase in the region.
- Furthermore, silicone elastomers are majorly used in the construction industry as sealants and adhesives. The Asia-Pacific adhesives and sealants market is expected to register a CAGR of over 5% during the forecast period, which provides a highly suitable market arena for chloromethane to exhibit huge growths.
- Some of the major companies operating in Asia-Pacific region are - Gujarat Alkalies and Chemical Limited, AGC Chemicals, and Nouryon.
- The aforementioned factors, coupled with government support, are contributing to the increasing demand forpolymer processing aid during the forecast period.
The Chloromethane market is consolidated with top players accounting for a major share of the market. Some of the key companies in the market include Gujarat Alkalies and Chemical Limited, Occidental Petroleum Corporation, AGC Chemicals, Nouryon, and KEM ONE.
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