Itaconic Acid Market Analysis and Forecast by Application

Itaconic Acid Market Analysis and Forecast by Application

The itaconic acid market has gained immense traction in the recent years. Itaconic acid is a unsaturated organic acid produced by fermentation or chemical synthesis. It is used in the manufacturing of chemicals, resins and polymers that have applications in construction industry, paints & coatings and agriculture among others.

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.

Itaconic acid has properties such as biodegradability, UV stability and versatility which makes it suitable for use in the construction industry. It is used in the manufacturing of resins for concretes, adhesives and grouts which have high demand owing to rise in construction activities globally.

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. Among these Itaconix Corporation is the largest producer of itaconic acid globally.
• Demand for itaconic acid is rising at a faster pace owing to its increasing use in paints & coatings and construction chemicals industries. It is used as a co-monomer for synthesis of polymers and resins that have wide application in these end use industries.
• Technological advancements are expanding the scope of applications for itaconic acid. Research is being conducted for developing techniques of producing itaconic acid from renewable resources sustainably through fermentation process which will further boost the market growth.

Market Trends

• Growing preference for bio-based materials: With rising environmental concerns, manufacturers are focusing on developing bio-based and biodegradable alternatives to conventional petrochemical materials. Itaconic acid derived polymers are finding increased adoption as eco-friendly substitutes.
• Product innovation through R&D: Companies are investing in R&D to expand the applications of itaconic acid in new end use industries like textiles, pharmaceuticals etc through development of novel polymers and resins using itaconic acid as monomer. This is expected to drive the future demand.

Market Opportunities

• Untapped opportunities in Asia Pacific: The Asia Pacific region presents lucrative growth opportunities for itaconic acid market owing to rapidly expanding construction and coatings industries in China and India. Local players are establishing production facilities to cater to the rising regional demand.
• Increasing demand from developing economies: Emerging economies like Latin America, Middle East, Africa are witnessing rise in infrastructure development activities. This will boost the use of itaconic acid based construction chemicals, thereby driving the market growth over the forecast period.

Impact of COVID-19 on Itaconic acid Market

The outbreak of the COVID-19 pandemic has significantly impacted the growth of the global itaconic acid market. With nationwide lockdowns imposed across various countries to curb the spread of the virus, both the supply and demand side of the itaconic acid market was disrupted.

The lockdowns led to shutting down of manufacturing facilities and logistical issues hindered the supply chain of itaconic acid. This led to reduction in availability of raw materials and shortage of itaconic acid across various end-use industries like synthetic latex, unsaturated polyester resins, acrylic paints, adhesives, and coatings.

On the demand side, closure of various facilities across end-use industries significantly lowered the consumption of itaconic acid. For instance, shutdown of automotive plants brought down the consumption of itaconic acid used in resin formulation. Similarly, reduced construction activities reduced the demand from unsaturated polyester resin industry.

However, with eased lockdowns and resumption of industrial operations in late 2020 and 2021, the itaconic acid market is witnessing steady recovery. The demand is increasing from end-use industries as their production increases gradually. The suppliers are also stabilizing supply chains to cater to the growing demand. The market is expected to reach pre-pandemic levels in the coming years, supported by government initiatives to boost economies. Companies are pursuing strategies like capacity expansions and collaborations to strengthen their positions in the recovering market.

Geographical regions with concentrated Itaconic acid market in terms of value

Currently, the itaconic acid market is concentrated in North America and Europe in terms of value. The USA and Germany have emerged as the major consumers of itaconic acid. This is attributed to strong presence of end-use industries like synthetic polymers, paints & coatings, agrochemicals in these regions. The growing construction activities along with increasing automotive production in North America and Western Europe has been driving the consumption of unsaturated polyester resins and paints & coatings, thereby supporting the demand for itaconic acid.

Fastest growing region for Itaconic acid market

Asia Pacific region is expected to be the fastest growing market for itaconic acid during the forecast period. The growth can be attributed to increasing industrialization and urbanization in emerging countries like China and India. Factors like rising disposable incomes, growth in the automotive industry and infrastructure development are supporting the consumption of end-use products in the region. Additionally, manufacturing units being set up by key players in Asia to cater to the growing demand will further propel the itaconic acid market growth in the region over the coming years.