Bromobenzene is an aryl halide with the formula C6H5Br. Older samples may appear yellow, while the liquid is colorless. It is a reagent used in organic synthesis. Bromobenzene is mostly used to make phenylmagnesium bromide, a Grignard reagent that can be used to make benzoic acid, secondary amines, benzophenones, and other chemicals. In coupling reactions such as Suzuki reactions, bromobenzene is also used to introduce phenyl groups. These reactions are widely used in the pharmaceutical and fine chemical industries to synthesize intermediates. Bromobenzene is also used as a precursor in the production of phencyclidine, a dissociative drug. It is expected to be in high demand as the pharmaceutical industry expands.
The Global Bromobenzene Market was valued at US$ 57.6 Mn in 2020. It is expected to reach US$ 96.2 Mn by 2028 and exhibit a CAGR of 5.4% during the forecast period (2021-2028).
Bromobenzene is widely used in the manufacturing of phenylmagnesium bromide, which is used as a Grignard reagent. The reagent is used as an intermediate in the manufacturing of various organic chemicals such as benzoic acid, triphenylmethanol, and others. Bromobenzene is also used in the synthesis of other organic chemicals such as para-bromo nitrobenzene and bifenthrin alcohol. Increasing demand for organic chemicals is expected to drive the demand for bromobenzene over the forecast period.
Increasing global population and surging urbanization are expected to fuel the growth of end-use industries such as agrochemicals, pharmaceuticals, food & beverages, and cosmetics. This, in turn, is fueling the bromobenzene market growth. For instance, according to the United Nations’ World Urbanization Prospects 2018, the growth of the world’s population could add another 2.5 billion people to urban areas by 2050, with close to 70% of this increase taking place in Asia.
Figure 1. Global Bromobenzene Market Revenue Share (%), By Region, 2020
Among regions, Asia Pacific held a dominant position in the global bromobenzene market in 2020, accounting for 83.7% market revenue share, followed by North America and Europe. The growing agrochemicals market in the region is expected to drive the demand for bromobenzene during the forecast period. For instance, according to the India Brand Equity Foundation (IBEF), India is the world’s fourth largest producer of agrochemicals. Asia Pacific is the largest manufacturer of Active Pharmaceutical Ingredients (API), which is also expected to drive the demand for bromobenzene during the forecast period. According to the U.K. Medicines and Healthcare Products Regulatory Agency (MHRA), Chinese API manufacturers produce around 40% of all APIs used worldwide.
Overexposure to bromobenzene may cause eye and skin irritation, nose and throat irritation, headache, dizziness, light-headedness, and passing out. Bromobenzene may also damage the human liver and the kidneys. These drawbacks associated with the usage of bromobenzene are expected to hamper its demand to some extent. According to harmonized classification and labelling approved by the European Union, bromobenzene is toxic to aquatic life with long-lasting effects. It is a flammable liquid and vapour and causes skin irritation.
|Base Year:||2020||Market Size in 2020:||US$ 57.6 Mn|
|Historical Data for:||2017 to 2019||Forecast Period:||2021 to 2028|
|Forecast Period 2021 to 2028 CAGR:||5.4%||2028 Value Projection:||US$ 96.2 Mn|
CM Fine Chemicals GmbH, Hawks Chemical Company, Hebei Yingong New Material Technology Co., Ltd., Heranba Industries Ltd., Jiangsu Dacheng Pharmaceutical and Chemical Co., Ltd., Luyunjia Chemistry Xiamen Limited, Merck KGaA, Mody Chemi-Pharma Limited, RX MARINE INTERNATIONAL, and Yancheng Longsheng Chemical Co., Ltd.
|Restraints & Challenges:||
Diethyl ether or THF (Tetrahydrofuran) is another commercially available form of phenylmagnesium bromide. It is also used in coupling reactions such as Suzuki reactions to introduce phenyl groups. These reactions are widely used in the pharmaceutical and fine chemical industries to synthesize intermediates. As a result, phenylmagnesium bromide is expected to be the leading product type segment during the forecast period.
Figure 2. Global Bromobenzene Market Revenue Share (%), By Product Type, 2020
Among product type, the Phenylmagnesium bromide sub-segment held a dominant position and generated a revenue of US$ 27.6 Mn in 2020. It is expected to generate a revenue of US$ 39.4 Mn by 2028 and exhibit a CAGR of 5.2% over the forecast period. Phenyl magnesium mostly used for alkylation of aldehydes and ketones. It is also used in the industrial production of tamoxifen (used as a selective estrogen receptor modulator to prevent breast cancer). The growth of the chemical industry is expected to drive the demand for phenyl magnesium bromide during the forecast period. For instance, according to CEFIC (European Chemical Industry Council), the global chemical industry was valued at US$ 2,899.8 billion in 2010, which increased to US$ 4,263.2 billion in 2020.
Global Bromobenzene Market - Impact of Coronavirus (COVID-19) Pandemic
The COVID-19 outbreak was first reported in December 2019 in Wuhan, China. Due to lockdowns, travel bans, and business closures, the outbreak has affected economies and industries in various countries. The majority of businesses had to shut down their operations. The coronavirus pandemic has also affected one of the most important sectors of the global economy, the chemicals industry. According to Coherent Market Insights Analysis, the chemical industry contributes around 7.0% to the global GDP and provides employment to around 120 million people (including directly and indirectly). The production of bulk chemicals has declined across the globe due to lower demand from the end-use industries such as coatings, agriculture, consumer durables, electronics, healthcare, food processing, construction, and automotive Over the past decade, China has drastically increased the production capacity of commodity chemicals such as bromine, benzene, etc. in the country and has become one of the largest exporters of commodity chemicals to the world. A decline in the production of chemicals in China during the pandemic has created major disruptions in the supply chain and trade imbalance of commodity chemicals. In March 2020, the National Bureau of Statistics of China stated that the manufacturing of chemicals in China dropped by 21% in the first two months of 2020, compared to the year-ago period, and profits slumped by 66%.
Major players operating in the global bromobenzene market include CM Fine Chemicals GmbH, Hawks Chemical Company, Hebei Yingong New Material Technology Co., Ltd., Heranba Industries Ltd., Jiangsu Dacheng Pharmaceutical and Chemical Co., Ltd., Luyunjia Chemistry Xiamen Limited, Merck KGaA, Mody Chemi-Pharma Limited, RX MARINE INTERNATIONAL, and Yancheng Longsheng Chemical Co., Ltd.