Maleic Anhydride Market: Current Analysis and Forecast (2024-2032)

Maleic Anhydride is a vital chemical employed mainly in manufacturing unsaturated polyester resins (UPR), which are fundamentally used in automotive, construction, and marine applications. Its uptake in the market will continue to increase because Maleic Anhydride has many uses as an intermediate in making lubricating oil additives, agricultural chemicals, and coatings. This compound is especially useful in the formulation of UPRs; the characteristics of the material play a part in increasing the constructional values of the resins. Also, Maleic Anhydride is used in Manufacturing copolymers that work as dispersants, sizing agents, and adhesives in industrial applications. The Maleic Anhydride Market is growing at a steady rate of 4.46% during the forecast period owing to the increasing adoption of UPRs in automotive and construction industries and the overall growth in these sectors globally.

In addition, consumers constantly demand green and high-performance materials, which has forced manufacturers to seek new uses of Maleic Anhydride. For instance, in 2023, Clariant, a sustainability-focused specialty chemical company, signed an agreement with Conser, part of MAIRE Group, to supply maleic anhydride catalysts. The partners will develop next-generation catalysts based on Clariant's successful SynDane series, to offer superior productivity, cost efficiency and sustainability. The partnership comes at an opportune time as the demand for maleic anhydride continues to grow worldwide, particularly in China. This development is a significant step towards sustainable materials, addressing the increasing demand for eco-friendly products.

Based on the raw material, the market is bifurcated into benzene and n-butane. The n-butane segment dominated the market in 2023 and is expected to dominate in the forecast period. The significant factors contributing to the segment's growth included the rise in the automotive and construction sectors due to its applications in unsaturated polyester resins (UPRs), which are essential for these industries. The burgeoning adoption of electric vehicles globally has pushed the demand for the market due to its use case for manufacturing lightweight materials. Companies such as Tesla and Volkswagen announced an increased investment in electric vehicle manufacturing. Unsaturated polymer resins, produced using n-butane-based Maleic Anhydride, are crucial for manufacturing composite materials used in EV components, such as battery casings and body panels. For instance, in 2023, according to the report published by the International Energy Agency, the electric car market is seeing robust growth as sales neared 14 million in 2023. The share of electric cars in total sales has increased from around 4% in 2020 to 18% in 2023. The construction industry has also surged globally in the last couple of years. Unsaturated polymer resins produced using n-butane-based Maleic Anhydride are extensively used in the construction industry to produce materials such as fiberglass-reinforced plastics and coatings. Therefore, the growth in the construction industry directly increases the demand for n-butane derived from maleic anhydride.

Based on the application, the market is segmented into unsaturated polyester resin, butanediol, lubricant additive, and copolymers. The unsaturated polyester resin (UPR) segments generated the most significant revenue in 2023 and are expected to behave similarly in the forecast period. The primary reasons for this dominance include the extensive use of UPRs in various high-demand industries such as automotive, construction, and marine, as well as the increasing demand for lightweight and durable materials. Electric vehicle companies worldwide have significantly ramped up their production line, and robust demand from the construction industry has also led to a foreseeable future. Furthermore, technological advancements such as advances in UPR formulation and production technologies have improved the characteristics of the UPRs. Companies like Reichhold and Ashland introduced new grades of UPRs with enhanced properties such as increased flexibility, better thermal stability, and improved environmental resistance. These advancements have widened the application scope of UPRs, further boosting their demand.

For a better understanding of the market of maleic anhydride, the market is analyzed based on its worldwide presence in countries such as North America (The US, Canada, and Rest of North America), Europe (Germany, The UK, France, Italy, Spain, Rest of Europe), Asia-Pacific (China, Japan, India, Rest of Asia-Pacific), Rest of World. The Asia Pacific maleic anhydride market is expected to dominate in the forecast period due to several factors, such as a surge in the pharmaceuticals, personal care, cosmetic, automotive, and construction industries. The Asia Pacific region is one of the largest medicine manufacturers and suppliers worldwide, with countries like China, Japan, and India. The consumption of maleic anhydride is a critical intermediate in producing various pharmaceutical products, including active pharmaceutical ingredients (APIs) and drug formulations. For instance, according to the International Trade Administration, China's pharmaceutical market has been constantly growing and is expected to reach USD 161.8 billion by 2023, taking about 30% share of the global market. The increasing demand for medicines and healthcare products in the region boosts the demand for maleic anhydride. Moreover, the Asia Pacific region is the largest automotive market globally, with countries like China, Japan, and India being significant contributors. According to the International Organization of Motor Vehicle Manufacturers (OICA), China alone produced over 26 million vehicles in 2023. Furthermore, with a rising population and urbanization, the construction industry is growing at a rate of knots, with approximately USD 1.7 trillion per year in infrastructure until 2030 to maintain growth momentum, tackle poverty, and respond to climate change. The region's ongoing infrastructure development and construction activities substantially increase the demand for maleic anhydride.

Some of the major players operating in the market include BASF SE, Huntsman International LLC, LANXESS, NIPPON SHOKUBAI CO., LTD., Mitsubishi Chemical Group Corporation, Polynt S.p.A, Zibo Qixiang Tengda Chemical, YONGSAN CHEMICAL, MOL GROUP, and Cepsa.