Published: May, 2019
The global chlorinated paraffin wax market was valued at US$ 1,647.0 Mn in 2018 and is anticipated to expand at a CAGR of 3.3% from 2019 to 2027, according to a new report titled ‘Chlorinated Paraffin Wax Market: Global Industry Analysis, Size, Share, Growth, Trends, and Forecast, 2019–2027,’ published by Transparency Market Research (TMR) . Rise in usage of chlorinated paraffin wax as flame retardant is expected to drive the market in the near future.
Growth in Flame Retardant Industry Expected to Drive Market
Flame retardant chemicals are typically added to various materials such as plastics, textiles, paints, and resins to inhibit or delay the propagation of fire. Chlorinated paraffin wax is mixed with the base material as flame retardant additive. It accounted for around 12% share of the global flame retardant industry in 2018. Chlorinated paraffin wax is a low-cost flame retardant. It is stable up to 300°C; however, maximum temperature stability that can be reached is between 200°C and 230°C due to possible imperfections in molecules during chemical synthesis. Thus, improvement in standards of fire safety and rise in applications using specific types of plastics are anticipated to create new opportunities for the chlorinated paraffin wax market during the forecast period.
Increase in Demand for Metalworking Fluids Estimated to Propel Market
Increase in demand for metalworking fluids in automotive, aerospace, and other manufacturing sectors is projected to boost the metalworking fluids segment, as these fluids are good flame retardants and coolants. Chlorinated paraffin wax is primarily used as a key ingredient in the formulation of working or metal cutting fluids. This is likely to boost the penetration of chlorinated paraffin wax during the forecast period.
Growth in Environmental Regulations to Restrain Market
Laboratory tests confirm that the bio concentration factor for short-chain chlorinated paraffin wax is approximately 8,000, while that for medium-chain chlorinated paraffin wax is around 1,000. Currently, chlorinated paraffin wax is classified into category three carcinogens, and its prolonged exposure needs to be avoided considering the potential harmful effects. In addition to strict environmental regulations and possible threat of prohibition in numerous regions as per the Stockholm Convention on Persistent Organic Pollutants, the other major restraint of the chlorinated paraffin wax market is the need for application-specific substitutes.
High Demand for Chlorinated Paraffin Wax in Plastic Industry
Based on application, the global chlorinated paraffin wax market has been divided into lubricating additives, plastic additives, rubber, paints, metal working fluids, and others (including adhesive & sealants and fabrics). Growth in the plastic industry and increase in demand for chlorinated paraffin wax as plasticizer in various products such as resins, plasticizer extender in synthetic rubber, and chlorinated rubber are anticipated to boost the market in the near future.
Asia Pacific Dominates Global Chlorinated Paraffin Wax Market
In terms of region, the global chlorinated paraffin wax market has been split into North America, Europe, Asia Pacific, Latin America, and Middle East & Africa. Asia Pacific dominated the global chlorinated paraffin wax market in 2018. The market in the region is expected to expand at a rapid pace, led by the growth in rubber, plastic, paints & coatings, and other manufacturing industries in China, India, and South Korea. Increase in need for metalworking fluids in countries such as China, Taiwan, Australia, India, and South Korea for machining, manufacturing, and cutting processes is anticipated to augment the market in the region. The market in North America is estimated to expand due to the high demand for lubricant additives and rapid growth in plastic, rubber, and paints industries in the U.S. and Canada.
High Degree of Competition among Market Players
The global chlorinated paraffin wax market is dominated by a few major players and is moderately consolidated. Prominent players operating in the market include INOVYN, NCP Chlorchem, Dover Chemical Corporation, LEUNA-Tenside GmbH, Química Del Cinca, Caffaro Industrie S.p.A., JSC Kaustik, KLJ Group, Qualice, LLC, Makwell Group, Aditya Birla Chemicals, and Altair Chimica SpA.
Global Chlorinated Paraffin Wax Market, by Application
- Lubricating Additives
- Plastic Additives
- Metal Working Fluids
- Others (Includes Adhesive & Sealants and Fabrics)
Global Chlorinated Paraffin Wax Market, by Region
- North America
- Latin America
- Rest of Latin America
- Russia & CIS
- Rest of Europe
- Asia Pacific
- Rest of Asia Pacific
- Middle East & Africa
- South Africa
- Rest of Middle East & Africa
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