Purified Terephthalic Acid Market size is projected to reach USD 31 billion by the end of 2036, growing at a CAGR of 9% during the forecast period, i.e., 2024-2036. In the year 2023, the industry size of purified terephthalic acid was over USD 18 billion. The major element to support the expansion of the purified terephthalic market is the rising encouragement for the adoption of bio-based feedstock to eradicate the use of crude oil to manufacture PTA due to its adverse effect on the environment. For instance, oil & gas operations are poised to influence over 14% of total energy-related emissions across the world, which further indicates about 5 billion tonnes of greenhouse gas emissions. Hence, with the growing utilization of bio-based feedstock, the purified terephthalic acid market is set to rise.
Furthermore, governments across the world have launched various strict regulations to influence sustainability. Therefore, this factor is also predicted to dominate the bio-based feedstock growth which would ultimately boost the demand for purified terephthalic acid. Additionally, government strict regulations are also encouraging the growth in the recycling of polyethylene terephthalate plastics. As a result, this factor might also drive the market revenue.
Growth Drivers
Challenges
|
Base Year |
2023 |
|
Forecast Year |
2024-2036 |
|
CAGR |
9% |
|
Base Year Market Size (2023) |
USD 18 Billion |
|
Forecast Year Market Size (2036) |
USD 31 Billion |
|
Regional Scope |
|
Type (Ortho-xylene-based, Para-xylene-based)
The para-xylene-based segment in the purified terephthalic acid market is estimated to gain the largest revenue share of 60% in the year 2036. Ongoing technological innovations are playing an important role in enhancing the efficiency of para-xylene-based PTA production. Enhanced manufacturing operations influence cost efficiencies and boost output, making para-xylene-based PTA manufacturers highly competitive in the global market. Hence, technological innovations are predicted to be key growth drivers, allowing producers to achieve the rising demand for para-xylene-based PTA in various applications.
Investments in technology have led to a 12% improvement in the para-xylene-based PTA production process efficiency globally, causing an increase in annual production capacities. Furthermore, the growing population is also estimated to encourage segment growth over the coming years. Consequently, this segment growth is predicted to influence market growth.
End User (Textile, Packaging, Automotive)
The automotive segment is expected to hold 50% share of the global purified terephthalic acid market by the year 2036. The major factor driving the segment growth is because they offer high performance and durability, to satisfy consumer expectations of quality in automotive interiors. Consumers are demanding automobiles with robust and long-lasting interior components which is why the automotive sector is necessitating the use of purified terephthalic acid-based materials for applications including fabrics for seats and carpets. It is stated that 78% of consumers consider performance features, which include durability and quality when making decisions about vehicle purchases.
Improvement in automotive interior design, such as innovative fabrics and materials derived from PTA, encourages a more adequate and contented driving experience. Moreover, rising demand for electric vehicles is also estimated to encourage the growth of the segment. Therefore, this segment is anticipated to experience a surge which is further projected to dominate the growth of the market between the years 2024 and 2036.
Our in-depth analysis of the global market includes the following segments:
|
Type |
|
|
End User |
|
APAC Market Forecast
The purified terephthalic acid market in the Asia Pacific region is projected to hold the largest market share of 40% by the end of 2036. The region's burgeoning urbanization is contributing to boosting the consumption of textiles, packaging materials, and automobiles. Hence, the growing urban population influences the demand for purified terephthalic acid-based products. Asia Pacific has more than half of the world's population, and the urban population in the region is expected to reach 54% by 2030.
The Asia Pacific region's purified terephthalic acid market is additionally dominated by the thriving textile and packaging industries, robust automotive production, investments in petrochemical infrastructure, the shift towards eco-friendly products, and the demographic dynamics of a growing population and urbanization. The growing recognition of the importance of protection of the environment is influencing end-user choices, initiating to a rise in demand for eco-friendly materials. Furthermore, this region also has the presence of several manufacturers for the market. All these elements ultimately result in regional market expansion.
North American Market Statistics
The purified terephthalic acid market in the North America region is projected to have notable growth over the forecast period. The main element to encourage the market expansion is growing disposable income which is additionally influencing them to demand frozen food. Moreover, the adoption of cosmetics is also estimated to encourage market expansion.
Furthermore, surging investment in AI and data analytics is also influencing enhanced production processes. Additionally, the production of oil is also rising in the region leading rise in the production process of purified terephthalic acid. Therefore, these two factors might also encourage the growth of the purified terephthalic acid market.
Author Credits: Smruti Ranjan, Rajrani Baghel
Copyright © 2024 Research Nester. All Rights Reserved
FREE Sample Copy includes market overview, growth trends, statistical charts & tables, forecast estimates, and much more.
Have questions before ordering this report?