Specialty Resins Market Size, Share, Trends, Growth 2032

Specialty Resins Market: Industry Prospective

The global specialty resins market size was worth around USD 9.23 billion in 2023 and is predicted to grow to around USD 14.82 billion by 2032 with a compound annual growth rate (CAGR) of roughly 5.40% between 2024 and 2032.

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The report analyzes the specialty resins market’s drivers, restraints/challenges, and the effect they have on the demands during the projection period. In addition, the report explores emerging opportunities in the specialty resins market.

Specialty Resins Market: Overview

Specialty resins are resins with unique qualities that are employed in a wide range of applications. Specialty resins are more expensive than regular resins due to their advanced features. Water resistance, chemical resistance, and severe temperature performance are all advantages of specialty resins. Specialty resins are essential elements in the production of a wide range of paints and coatings, which are subsequently utilized in a number of applications. Building & construction, marine, automotive, electronics, and furniture are all industries that employ specialty resins. These resins are also used to fabricate aircraft composites in the aerospace sector.

Resins are the compound containing non-crystalline or viscous liquid substance and can be natural or synthetic organic. Specialty resins are the type of resins which are used in a wide range of applications. Specialty resins possess versatile properties such as water and chemical resistance and perform well at high temperature. Specialty resins are used as the key ingredients in the manufacturing process of the various types of paints and coatings. These resins provide significant characteristics to final coatings such as corrosion resistance, enhanced durability, strong adhesion, and thermal stability.

The global specialty resins market is projected to grow at the fastest pace due to the increased building and construction industry across the globe. Specialty resins are widely used in adhesives, coatings, and sealants to meet the quality requirements of the building & construction sector. Therefore, this is likely to boost the demand for specialty resins. Moreover, the rising demand for coatings in the automotive industry is anticipated to drive the demand for specialty resins market globally. However, the high cost of the specialty resins is estimated to hamper the market growth. In addition, the production cost of these resins is high due to its additional features and is expected to affect the market growth negatively in the upcoming years. 

COVID-19 Impact:

The COVID-19 pandemic reshaped the world in terms of economic crises, healthcare emergencies, and the shutdown of industries. During the pandemic period, organizations in the specialty resins industry prioritized the health and well-being of their employees and workers. They stepped up their efforts to halt the spread of the coronavirus and preserve the health of their customers, tourists, and communities. These efforts affected the overall production of specialty resins in the global market. However, there have been no serious supply chain interruptions of top-tier players in the specialty resins sector in North America and some parts of Asian regions. Contractors in the specialty resins sector are keeping in regular contact with logistics service providers to minimize supply chain disruptions which are expected to streamline the market growth over the forecast period.

Specialty Resins Market: Growth Drivers

Increased demand from the construction and building industry may boost market growth over the forecast period.

As specialized resins offer strong heat resistance, wear resistance, high chemical resistance, and UV resistance, they are a material of choice for usage in the building and construction industry. The worldwide building sector seems to have a bright future which is significantly increasing the need for specialized resins. Building and construction are one of Asia Pacific's fastest-growing sectors. To satisfy the quality standards of the building and construction industry in the Asia Pacific, many projects are employing the use of specialized resins in sealants, adhesives, and coatings. Further, improvements in living standards, rising consumer disposable money, and increased urbanization are all key drivers driving building activity across the world. Temperature and chemical resistance are high in specialty resins. As a result, resins are expected to be utilized extensively in the construction of infrastructure projects, as well as housing and non-residential structures, in the coming years.

Specialty Resins Market: Restraints

Instability in Raw Material Prices may hinder the market growth.

The market's expansion may be hampered by price volatility in materials. Silicone, amino, polyester, acrylics, polyurethane, and other coating resins are synthetic compounds generated from crude oil. As a result, crude oil price fluctuations may limit material production and stifle market expansion in the future. According to BP Statics, the average oil price rose to USD 71/bbl in 2018 from USD 54/bbl in 2017 but then dropped to USD 64.21/bbl in 2019. The global specialty resins market is being hampered by such variability.

Specialty Resins Market: Opportunities

The large scope for specialty resins from the water & wastewater treatment industry is expected to offer better market growth opportunities.

Over the last few years, the worldwide wastewater treatment sector has grown substantially. Only 60 percent of industrial wastewater is treated, and over 40 percent of the processed water does not meet the required criteria. In the case of municipal wastewater, the situation is critical, since urban water treatment facilities can only process 37 percent of the sewage created. In the purification of water, ion exchange resins are crucial. Acrylic acid and the crosslinking agent divinylbenzene are commonly used to make these. Ion exchange resins are made from methacrylic acid or its derivatives by some producers. They're commonly utilized to de-alkalize water in demineralization facilities. These factors suggest an increasing need for specialty resins in the wastewater treatment sector.

Specialty Resins Market: Challenges.

High prices of raw materials pose a major challenge to market growth.

Bisphenol A (BPA) and bisphenol F (BPF) are the most widely used epoxy specialty resins. Greater functionality epoxy resins are frequently required to increase quality characteristics in tough applications. Such specialty resins are made for purposes such as composites, coatings, and electrical & electric lamination. In the production of specialty resins, maleic anhydride, styrene, and phthalic anhydride are significant raw ingredients. However, the cost of these commodities has risen dramatically which poses a major challenge to the manufacturers to maintain the low cost of the final product.

Specialty Resins Market : Report Scope

Specialty Resins Market: Segmentation

The global specialty market is divided based on function, resin type, end-user, and region.

Based on the function, the global market is divided into insulation, protection, and other functions.

The resin type segment is classified into polyamides, vinyl, unsaturated polyester resin (UPR), and epoxy. The increasing demand for epoxy resins for various applications in several industries is expected to grow significantly in the coming years. Epoxy amongst the other resins contributed the largest market share in 2023 and is likely to maintain its dominance in the near future. Epoxy is widely used as binders for adhesives, sealants, coatings, and matrices for composite materials.

By end-user, the market is bifurcated into aerospace, electricals & electronics, marine, water treatment, automotive, building & construction, and other end-users. Building & construction is the dominating segment and is estimated to continue its dominance in the forecast period. The specialty resins are widely used in building & construction sectors across the globe. Specialty resins due to its versatile properties is extensively used in the construction industry. Therefore, this, in turn, is expected to drive the global specialty resins market.   

Recent Developments

• Sept 2021, Polytek Development Corp., a specialized producer of polymers for coating, mold forming, and casting applications, confirmed the purchase of Specialty Resin & Chemical. Arsenal Capital Partners has Polytek as a portfolio business.
• July 2021, PTT Global Chemical has committed to pay USD 4.8 billion to private equity company Advent International for the industrial coating resin maker Allnex. Lone Star Funds will purchase AOC, a resin maker, from CVC Capital Partners, a fellow private equity company, and DSM, a minority stakeholder.

Specialty Resins Market: Regional Landscape

The Asia Pacific to dominate the market over the forecast period.

The Asia Pacific is expected to remain the world's largest consumer of specialty resins. During the projected period, the region is predicted to dominate the global specialty resins market in terms of both volume and value. Factors such as rapid urbanization, an increase in construction activities, and more investments by major market players are driving up demand for specialty resins in the region. In the Asia Pacific, India, China, and Japan are the major users of specialty resins. As a fact, plastics, paints & coatings, and adhesives are all produced in large quantities in the region. In addition, the automobile sector in the Asia Pacific has been rapidly increasing in recent years which is also supporting the market growth. North America is likely to remain the second-largest regional market in the global specialty resins market during the forecast period.

Specialty Resins Market: Competitive Landscape

The global specialty resins market is led by players like:

• International Speciality Chemicals Ltd
• Arkema
• Emerald Performance Materials
• BASF SE
• Dow DuPont
• Radiant Color NV
• Aldex Chemical Company Limited
• Royal DSM
• Mexichem S.A.B. de C.V.
• Huntsman International LLC

The global specialty resins market is segmented as follows:

By Resin Type

• Epoxy
• Unsaturated Polyester Resin (UPR)
• Vinyl
• Polyamides

By Function

• Protection
• Insulation
• Others

By End User

• Building and Construction
• Automotive
• Water Treatment
• Marine
• Electrical and Electronics
• Aerospace
• Others

By Region

• North America
  • The U.S.
  • Canada
• Europe
  • France 
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Southeast Asia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • South Africa
  • Rest of The Middle East & Africa