The global isophthalic acid market size is expected to witness potential gains in the future, and register a significant CAGR of 4% over the forecast period (2019 - 2027).

Market Overview

Isophthalic acid is an organic compound in which benzene is substituted by carboxy groups at position 1 and 3. It has a slight unpleasant odor and is colorless and solid. This aromatic dicarboxylic non-toxic acid is used as precursor (in the form of acylchloride) to commercially important polymers. Properties such as excellent hardness and high glass transition temperature of isophthalic acid offer improved chemical, stain, humidity, and corrosion resistance. These figures promote its use in coatings for industrial maintenance, automotive, aerospace, general metal and coil coating applications. Isophthalic acid is also used primarily as a component of polyethylene terephthalate (PET) copolymer,

Market Dynamics

Increasing production of PET bottle resins and unsaturated polyester resins is a major factor boosting growth of the global isophthalic acid market over the forecast period. Isophthalic acid is used as an intermediate primarily for unsaturated polyester resins and alkyd and polyester coating resins. Significant consumption of packaged food and beverages is also expected to boost growth of the market. Addition of isophthalic acid in unsaturated polyester resins improves thermal resistance and mechanical performance, as well as resistance to chemicals and water.

However, presence of alternatives such as polybasic acids or anhydrides including phthalic anhydride, terephthalic acid, adipic acid, and trimellitic anhydride and secondary diol such as diethylene glycol and cyclohexanedimethanol (CHDM) is expected to hinder growth of the market.

Market Outlook

The global isophthalic acid market is expected to witness significant growth over the forecast period, owing to increasing use of PET bottle resin in Asia Pacific and Middle East. The production of PET bottle resins and unsaturated polyester resins in China is rapidly increasing. However, China is not self-sufficient in the supply of isophthalic acid and majorly depends on imports to fulfil domestic demand. Increasing application of adhesives and aramid fiber is also expected to boost the market growth in Asia Pacific.

Increasing PET bottle resin manufacture is expected to boost market share of Latin America and Middle East over the forecast period. Moreover, growing construction activity in the Middle East is leading to high demand for surface coating and unsaturated polyester resins, thereby boosting growth of the market.

Key Players

Key players operating in the global isophthalic acid market include, Alfa Aesar, Eastman Chemical Company, Sigma Aldrich Corporation, and The Chemical Company

Key Development

Several key players in the market are focused on developing organic or inorganic growth strategies such as plant capacity expansion, mergers and acquisition in order to enhance their global presence. For instance,

  • In April 2018, Indorama Ventures acquired the purified isophthalic acid (PIA), polyethylene terephthalate (PET) and purified terephthalic acid (PTA) facilities of Cepsa Química in Spain, the chemical subsidiary of energy company Cepsa. The acquired assets produce 220,000 MT per year of PIA.
  • The company started commercial production of purified isophthalic acid (PIA) plant located at Alabama, U.S. in December 2018.
  • In September 2018, Ineos, the chemical company, signed an agreement to acquire Flint Hills Resources’ intermediates business that produces trimellitic anhydride, purified isophthalic acid and maleic anhydride in Joliet.
  • In February 2018, Lotte Chemical Corp., the chemical manufacturing company based in Korea, invest US$ 47.1 million to add production facilities for high value-added purified isophthalic acid (PIA).

Research Methodology

Coherent Market Insights followsa comprehensive research methodology focused on providing the most precise market analysis. The company leverages a data triangulation model which helps company to gauge the market dynamics and provide accurate estimates. Key components of the research methodologies followed for all our market reports include:

  • Primary Research (Trade Surveys and Experts Interviews)
  • Desk Research
  • Proprietor Data Analytics Model

In addition to this, Coherent Market Insights has access to a wide range of the regional and global reputed paid data bases, which helps the company to figure out the regional and global market trends and dynamics. The company analyses the industry from the 360 Degree Perspective i.e. from the Supply Side and Demand Side which enables us to provide granular details of the entire ecosystem for each study. Finally, a Top-Down approach and Bottom-Up approach is followed to arrive at ultimate research findings.

Data Triangulation Methodology | Coherent Market Insights

Coherent Market Insights desk research is based on a principle set of research techniques:

  • National level desk research: It Includes research analysis of regional players, regional regulatory bodies, regional trade associations, and regional organization.
  • Multinational level desk research: The research team keeps a track of multinational players, global regulatory bodies, global trade associations, and global organization.

Coherent Market Insights has a large amount of in-house repository of industry database. This is leveraged as a burner for initiating a new research study. Key secondary sources include:

  • Governmental bodies, National and international social welfare institutions, and organizations creating economic policies among others.
  • Trade association, National and international media and trade press.
  • Company Annual reports, SEC filings, Corporate Presentations, press release, news, and specification sheet of manufacturers, system integrators, brick and mortar - distributors and retailers, and third party online commerce players.
  • Scientific journals, and other technical magazines and whitepapers.

Market Analysis | Coherent Market Insights

Preliminary Data Mining

The raw data is obtained through the secondary findings, in house repositories, and trade surveys. It is then filtered to ensure that the relevant information including industry dynamics, trends, and outlook is retained for further research process.

Data Standardization

Holistic approach is used to ensure that the granular and uncommon parameters are taken into consideration to ensure accurate results. The information from the paid databases are further combined to the raw data in order to standardize it.

Coherent Statistical model

We arrive at our final research findings through simulation models. Coherent Data Analytics Model is a statistical tool that helps company to forecast market estimates. Few of the parameters considered as a part of the statistical model include:

  • Micro-economic indicators
  • Macro-economic indicators
  • Environmental indicators
  • Socio-political indicators
  • Technology indicators

Data Processing

Once the findings are derived from the statistical model, large volume of data is process to confirm accurate research results. Data analytics and processing tools are adopted to process large chunk of collected informative data. In case, a client customizes the study during the process, the research finding till then are benchmarked, and the process for new research requirement is initiated again.

Data Validation

This is the most crucial stage of the research process. Primary Interviews are conducted to validate the data and analysis. This helps in achieving the following purposes:

  • It provides first-hand information on the market dynamics, outlook, and growth parameters.
  • Industry experts validates the estimates which helps the company to cement the on-going research study.
  • Primary research includes online surveys, face-to face interviews, and telephonic interviews.

The primary research is conducted with the ecosystem players including, but not limited to:

  • Raw Material Suppliers
  • Manufacturers
  • System Integrators
  • Distributors
  • End-users