Paraformaldehyde is a polymeric form of formaldehyde that is widely used as a chemical intermediate in various end-use industries. It is majorly used to produce resins such as urea-formaldehyde (UF) resins and melamine-formaldehyde (MF) resins. UF resins find application in wood adhesives, particleboard, and plywood manufacturing due to their high strength and water resistance. MF resins are used in decorative laminates, tableware, and molding compounds owing to their high heat resistance.
The global paraformaldehyde market is estimated to be valued at US$ 419.8 Mn in 2023 and is expected to exhibit a CAGR of 3.9% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Dynamics:
Growing Demand for Resins Applications: Paraformaldehyde is a key raw material used in the production of resins such as UF and MF resins. UF resins are majorly used as wood adhesives in various end-use industries such as furniture, construction, and packaging owing to their attributes of high strength, water resistance, and low cost. MF resins are used in decorative laminates, tableware, molding compounds, and electrical hardware industries. Thus, the growing demand for resins from end-use industries is expected to boost the demand for paraformaldehyde over the forecast period.
Technological Advancements: Various technological advancements such as development of novel purification and separation technologies are helping paraformaldehyde manufacturers to produce high-purity paraformaldehyde. This, in turn, is enhancing the performance attributes of paraformaldehyde-based downstream products such as UF and MF resins. Thus, continuous technological advancements are estimated to fuel market growth during the forecast period.
Segment Analysis
The paraformaldehyde market is dominated by the disinfectants segment which accounts for nearly 35% share of the overall market. Paraformaldehyde is a key raw material used in the manufacturing of disinfectants. The rising awareness regarding hygiene and health especially after COVID-19 pandemic has increased the demand for disinfectants from both commercial as well as household segment which is positively impacting the growth of this segment.
PEST Analysis
Political: The governments across the globe are supporting initiatives to enhance public healthcare infrastructure and prioritizing investments to strengthen disinfection practices. Various policies and regulations related to healthcare hygiene and industrial safety standards are also driving the market growth.
Economic: Rising per capita incomes, growing healthcare expenditures, increasing construction of new hospitals and clinics are some of the macroeconomic factors fueling the overall growth of paraformaldehyde market.
Social: Change in consumer preferences towards hygienic products due to COVID outbreak has raised social awareness about cleanliness and disinfection. Rapid urbanization is also propelling the market expansion.
Technological: Advancements in production technologies have enabled manufacturers to develop paraformaldehyde based products with high efficacy and minimal toxic byproducts. New application areas in resin production are further augmenting the market revenues.
Key Takeaways
The Global Paraformaldehyde Market Size is expected to reach a value of US$ 419.8 Mn by 2024, projecting a CAGR of 3.9% during the forecast period.
The Asia Pacific region dominated the global market in 2021 with a share of over 35%, followed by North America and Europe. The Asia Pacific paraformaldehyde market was valued at around US$ 142 Mn in 2021 owing to rising healthcare spending, increasing construction of hospitals and growing pharmaceutical industry in major economies like China and India. Rapid infrastructure growth and urbanization are anticipated to further propel the regional demand over the upcoming years.
Key players:
Key players operating in the paraformaldehyde market are Siemens AG, Dragerwerk AG & Co. KGaA, Getinge AB, GE Healthcare, Hill-Rom Holdings, Inc. Siemens and GE Healthcare collectively account for over 25% of the global market share primarily due to their robust product portfolio and widespread geographical presence across major markets.
*Note:
1.Source: Coherent Market Insights, Public sources, Desk research
2.We have leveraged AI tools to mine information and compile it
