April 13, 2024

Itaconic Acid Market is Poised for Robust Growth by 2030 owing to low VOC emissions

Itaconic acid is an unsaturated dicarboxylic acid which is used as a co-monomer for various specialty polymers and copolymers. It is a versatile building block chemical that can be used to make styrene-butadiene rubber, thermoplastic polyurethanes, synthetic latexes, and specialty plastics. It is derived sustainably through fermentation of sugars and offers advantages such as biodegradability and low toxicity. The growing demand for green chemicals along with favorable properties of itaconic acid is fueling the growth of the market. The Global Itaconic Acid Market is driven by rapid urbanization, increasing per capita income, and rising consumption of itaconic acid across various end-use industries including synthetic latex, detergents, adhesives, paints & coatings and others.

The global Itaconic acid market is estimated to be valued at US$ 134.1 Mn in 2024 and is expected to exhibit a CAGR of 4.1% over the forecast period 2023 to 2030.

Key Takeaways

Key players operating in the Itaconic acid market are Itaconix Corporation, Jinan Huaming Biochemistry Co. Ltd., Qingdao Langyatai Group Co. Ltd., Zhejiang Guoguang Biochemistry Co., Ltd., Alpha Chemika, Chengdu Jinkai Biology Engineering Co., Ltd., Ronas Chemicals Ind. Co., Ltd., Iwata Chemical Co., Ltd., Shandong Kaison Biochemical Co., Ltd., Aekyung Petrochemical Co. Ltd., Spectrum Chemical Manufacturing Corp., FUJIFILM Wakao Pure Chemical Corporation, Ultimate Chem India Pvt. Ltd., Choice Oraganochem Lip., and Alfa Aesar.

The growing demand for eco-friendly chemicals from end-use industries is driving the itaconic acid market. Stringent regulations regarding sustainability and biodegradability has increased the adoption of itaconic acid derived polymers.

The market is witnessing increasing investments by key players for capacity expansion to cater to the growing global demand. For instance, Itaconix Corporation commissioned a 30,000 ton per annum itaconic acid plant in China in 2021 to extend its footprint in Asian markets.

Market Key Trends

Waterborne coatings are gaining popularity due to low VOC emissions. Itaconic acid is used as a co-monomer in waterborne coatings to enhance properties such as flexibility, adhesion and corrosion resistance. The rapid growth of the waterborne coatings industry especially in APAC is expected to drive the consumption of itaconic acid. Also, with the increasing demand for sustainable substitutes for synthetic polymers, itaconic acid demand from specialty plastics and binders industry is poised for robust growth over the forecast period.

Porter’s Analysis

  • Threat of new entrants: Low capital requirements and access to technology lower entry barriers somewhat. However, established players’ economies of scale, access to feedstock/distribution channels, and customer loyalty pose barriers.
  • Bargaining power of buyers: Buyers have some power as the market has multiple global and regional suppliers. However, switching costs and specialized applications increase supplier bargaining power.
  • Bargaining power of suppliers: Few global suppliers and access to key raw materials give suppliers significant power over prices and quantities supplied.
  • Threat of new substitutes: Substitutes exist but require significant reformulation efforts, retaining itaconic acid’s incumbent advantage in many niche applications.
  • Competitive rivalry: Competition is growing as the market expands. Players compete on technology, price, capacity expansions and customer service to gain market share.

Geographical regions

North America accounts for the largest share of the global itaconic acid market currently, driven by mature end-use industries and technological advancements.

Asia Pacific is expected to be the fastest growing regional market going forward on the back of rapid industrialization, economic growth, and capacity expansions by key manufacturers targeting emerging countries like China and India.

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