Hydrogen peroxide (H2O2) is a colorless liquid slightly viscous than water and bitter in taste at room temperature. Hydrogen peroxide easily decomposes into water and oxygen. It undergoes spontaneous reaction when it comes in contact with any organic material. Lower concentration of hydrogen peroxide (3-9%) is used for medical applications and as a bleach for cloth & hair. Higher concentrations (35%, 50%, and 70%) are generally used in paper & pulp, textile, chemical industries, and as a part of rocket fuel.
The global hydrogen peroxide market was valued at 5,107.01 Kilo Tons in 2021 and is expected to register a CAGR of 3.4% in terms of volume over the forecast period (2022– 2030).
Technological advancements in the production of hydrogen peroxide is projected to drive growth of the market in the near future. For instance, in January 2019, researchers at Ulsan Institute of Science and Technology (UNIST, South Korea) announced that they developed a new catalyst to produce hydrogen peroxide using electricity. The researchers developed a high-performance carbon catalyst, which can convert oxygen to hydrogen peroxide.
Hydrogen peroxide is used to make sodium perborate and sodium percarbonate, which are further utilized as bleaching agents in detergent manufacturing. Industry grade hydrogen peroxide is expected to witness increasing demand among consumers due to large number of applications and expansion of the paper and pulp industry across the world.
Hydrogen peroxide is extensively used in various food applications, owing to its biological degradability and remarkable chemical properties. It is the most commonly used as oxidizing reagent for bleaching purpose in the food processing industry. Hydrogen peroxide is majorly used in products such as natural sugars, starches, gums, natural oils, and waxes among others. Hydrogen peroxide is also used in food products such as cheese, whey, instant tea, natural fatty acid emulsifiers, and herring.
Among region, Asia Pacific region accounted for the largest market share of around 44.9% in 2021, owing to high demand & presence of hydrogen peroxide manufacturers in the region. Local players operating in China, India, and South East Asia are investing in hydrogen peroxide industry to tap potential local market. For instance, in June 2019, in India, Meghmani Finechem Ltd (MFL), an essential chemical manufacturing company invested US$ 4,000 Mn for expansion of existing projects and a new project at its facility in Dahej, Gujarat. The company received funding for its projects through internal accruals and the plant was commissioned by June 30, 2019.
Figure 1. Global Hydrogen Peroxide Market Value Share (%), By Region, 2021
Stringent regulations imposed by agencies such as Occupational Safety and Health Administration (OSHA) based on exposure of hydrogen peroxide is expected to hamper the hydrogen peroxide market growth. Moreover, policies implemented by regulatory agencies such as the Food & Drug Administration (FDA), Environmental Protection Agency (EPA), and Registration, Evaluation, Authorisation and Restriction of Chemicals (REACH) is expected to hinder growth of the hydrogen peroxide market over the forecast period. For instance, the U.S. Food and Drug Administration (FDA) warn consumers not to use highly concentrated hydrogen peroxide such as 35% food grade hydrogen peroxide for medicinal purposes.
Hydrogen Peroxide Market Report Coverage
|Base Year:||2021||Market Size in 2021:||5,107.01 Kilo Tons|
|Historical Data for:||2017-2020||Estimated Year:||2022|
|Forecast Period 2022 to 2030 CAGR:||3.4%||Forecast Period:||2022-2030|
Arkema S.A., Evonik Industries A.G., Solvay S.A., Mitsubishi Gas Chemical Company Inc., Kemira Oyj, Thai Peroxide Limited (TPL), Taekwang Industrial Co. Ltd., PeroxyChem LLC, Hansol Chemical, and Nouryon
|Restraints & Challenges:||
Although, pulp & paper, chemical synthesis, and other demand-generating industries continue to lead the industry, specialty application areas have also emerged as significant potential market growth drivers. Recent years have seen a noticeable increase in demand across the electronics sector, which is likely to place it as the fastest-growing end user in future. The semiconductor industry's growing preference for high-purity concentration grades is projected to create new business opportunities for key players.
Figure 2. Global Hydrogen Peroxide Market Value Share (%), By Application, 2021
Among application, paper & pulp segment accounted for the largest market volume share of 46% in the global hydrogen peroxide market in 2021. This segment is expected to hold dominant position in the market over the forecast period, owing to rising adoption of hydrogen peroxide as a clean oxidizing agent by paper & pulp industries.
Global Hydrogen Peroxide Market- Impact of Coronavirus (Covid-19) Pandemic:
The worldwide hydrogen peroxide market is adversely impacted by the COVID-19. Lockdown and closing down of organizations have prompted disturbances in the value chain. Despite the fact that the Covid-19 pandemic has weakened all organizations in the hydrogen peroxide market, manufactures are creating potential opportunities owning to the increasing uses of hydrogen peroxide. The developing interest for industrial hydrogen peroxide in different industries like paper and pulp, mining, chemical, healthcare, wastewater treatment, and textiles are generating revenue streams for manufactures in the hydrogen peroxide market. Manufactures are taking efforts to recover from losses because of the COVID-19 pandemic and exploring different opportunities to overcome challenges in the hydrogen peroxide market.
Major players operating in the global hydrogen peroxide market include Arkema S.A., Evonik Industries A.G., Solvay S.A., Mitsubishi Gas Chemical Company Inc., Kemira Oyj, Thai Peroxide Limited (TPL), Taekwang Industrial Co. Ltd., PeroxyChem LLC, Hansol Chemical, and Nouryon.
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