Epoxy Resins Industry Report by Regional Category Spend, Price Analysis, Key Demand, and Price Indicators, and Best Buying Practices

The global Epoxy Resins market reached a value of about USD 6.33 billion in 2021. The industry is projected to grow at a CAGR of around 6.1% in the forecast period of 2022-2027 to reach a value of about USD 9.23 billion by 2027.

The global Epoxy Resins industry report gives a comprehensive analysis of the industry, including key segments, trends, drivers, restraints, the competitive landscape, and other essential market aspects. The market is driven by rising demand for coatings, adhesives, and composites in various applications. In the industry report, the key demand indicator is the highest category spender by region—Asia Pacific.

Industry Definition and Segmentation

Epoxy resin is a volatile prepolymer and also is a polymer that includes epoxide groups. They are made up of a family of essential components, and cured end products are known as epoxy. These resins react either by themselves or with various co-reactants like amines, phenols, and thiols when catalysts are present. Epoxy resin is used in a wide range of industrial applications, and it has multiple properties such as mechanical qualities and heat and chemical resistance. The Epoxy Resins industry report comprises segments by application (Electrical & Electronics, Powder Coatings, Marine & Paints, Civil Engineering, Can & Coatings, Automotive Coatings, Composites, Adhesives) and region (North America, Europe, Asia Pacific, the Middle East, and Africa, and South America).

The Asia Pacific Region is Propelling the Growth of the Industry

The Asia Pacific region has the largest share in the industry as China is the primary producer of electronics and one of the significant regions in the construction sector. Furthermore, growing governmental initiatives give rise to infrastructural activities driving market growth.

The industry is being driven by the rising demand for products in the paints and coatings sector. In the construction sector, laminated wood is commonly used for flooring, windows, roofs, walls, and decks, further boosting the market growth. As a result, the increasing construction activities promote the need for the product. In addition, it is used in various sectors, including adhesives, composites, and electronic encapsulation. Due to the multiple properties of the substance like corrosion resistance, high thermal stability, superior mechanical strength, remarkable toughness, prolonged durability, chemical and moisture resistance, and exceptional adhesion, it is gaining traction among end-use sectors. It is appropriate for protecting metals and other surfaces because of its features and abilities of rapid drying, toughness, great adhesion, adequate curing, abrasion resistance, and excellent water resistance.

However, the adverse effects of the hazardous gases produced in the product's manufacturing and its non-biodegradable nature are hampering the market's growth.

Best Procurement Practices

The global Epoxy Resins industry report by Procurement Resource gives an in-depth analysis of the best buying practices followed by major global Epoxy Resins regions, such as engagement models, contract terms, and buyer and supplier negotiation levers, among others.

Category Management Studies

epoxy manufacturers do not typically sell epoxy resins in a form usable by smaller end users. Another group of companies buys epoxy raw materials from the major producers and then compounds (blends, modifies, or otherwise customises) epoxy systems from these raw materials. These formulators create the bulk of epoxy systems supplied, accounting for more than 60% of the epoxy market's total worth. These formulators can change epoxies in various ways, including adding mineral fillers (talc, silica, alumina, etc.), flexibilities, viscosity reducers, colourants, thickeners, accelerators, adhesion promoters, and so on. These changes are being made to cut costs, increase performance, and complete processing more convenient. As a result, the average formulator offers hundreds, if not thousands, of different formulations, each one suited to the needs of a specific application or market. Epoxy resin raw ingredients are mainly produced from petroleum today, while apparent plant-based alternatives are becoming commercially available (e.g., plant obtained glycerol that is applied to make epichlorohydrin).

Various Applications of the Product, Further Driving the Procurement of Epoxy Resins

The market is being propelled by the wide range of applications of the product. Epoxy coatings are expected to become more popular as demand from the electric vehicle (EV), marine, and aerospace sectors grow. Epoxy resins also provide better mechanical performance in wind turbine blades, notably tensile and flexural strength. As a result, market development is likely to be aided by increased adoption of this resin in the wind power industry. Rising market demand for readily available and processed foods and beverages in developed and developing countries is pushing up packing needs. Can interior coatings using epoxy resins be used to increase the shelf life of canned foods and drinks. These are commonly used to retain the flavour, texture, and colour of F&B items and provide corrosion protection. Moreover, the development of bio-based epoxy resins generated from natural polyphenols and natural oils with similar mechanical qualities to petroleum-based adhesives is expected to boost market growth. The potential usage of bio-based epoxy resins as a substitute for petroleum-based materials in the aviation sector is expected to boost epoxy resin market growth.

The regional markets for the industry can be divided into Europe, North America, the Asia Pacific, South America, and the Middle East and Africa.

Key Industry Players Mentioned in the Epoxy Resins Industry Report

• Kukdo Chemical Co., Ltd.
• Jiangsu Sanmu Group
• Hexion Inc.
• Huntsman Corporation
• Olin Corporation

Market Landscape

The epoxy resins market is fragmented mainly due to several different companies. These companies are introducing new products and broadening their market reach. The quality of products supplied, product development skills, and new technologies employed in product formulations are all factors that critical competitors in the industry compete on. Established businesses invest in developing creative and long-term solutions for creating unique and improved resins to gain a competitive advantage.

Key Initiatives by Companies

• Hexoin Inc stated in November 2021 that it had reached a binding deal with Westlake Chemical Corporation. Hexion Inc. will sell its global epoxy business to Westlake Chemical Corporation for roughly $1.2 billion. Following usual closing conditions, the deal is expected to close in the first half of 2022.
• Covestro completed the acquisition of Royal DSM's Resins & Functional Materials division (RFM) on April 1, 2021. Covestro's range of sustainable coating resins will rise due to the purchase.