Paraxylene is referred to as an aromatic hydrocarbon employed as feedstock for manufacturing dimethyl terephthalate (DMT), notably purified terephthalic acid (PTA), and industrial chemicals. DMT and PTA are further used in the production of polyethylene terephthalate (PET) polyester. PET is employed for the production of bottles which are further used as containers for beverages, water, and soda owing to its superior physical attributes such as light weight, sturdy, and shatter resistant.
The growth of the global paraxylene market is likely to be augmented by the progress of the global market for polyester. This growth can be attributed to the growing demand for textile applications and the rising need for polyethylene terephthalate (PET) in Asia Pacific. Although smooth growth is expected for the market over the next couple of years in Asia Pacific, it might witness limited avenues for growth in developed economies such as Europe and North America. The market will witness dramatic influence from the restrictions imposed by governments regarding the use of non-biodegradable materials and growing awareness among consumers regarding the use of products which are plastic-free.
According to the report published by Transparency Market Research, the global market for paraxylene is anticipated witness a CAGR of 7.0% during the forecast period of 2016 and 2024. The market is expected to be touch US$60.04 bn by the end of 2024 from a valuation of US$33.03 bn in 2015.
Asia Pacific to Emerge as Leading Region in terms of Consumption of Paraxylene
Recently, Asia Pacific has surfaced as the most profitable regional market backed by soaring demand from China. In 2015, Asia Pacific accounted for a massive share of 84% in terms of volume in the global paraxylene market with China alone accounting for over 50% of the total uptake of the region in the same year. The market for paraxylene in South Korea and India are also expected to grow substantially in the coming years due to the growing demand for PET in the packaging sector of food and beverages.
Growing Awareness regarding Harmful Effects of Plastic to Inhibit Growth of Global Paraxylene Market
The market for paraxylene is likely to be challenged by the growing concerns over the oversupply of it in Asia Pacific. The rising awareness among consumers regarding the use of plastic free products is expected to further hamper the growth of the global paraxylene market in the coming years. Governments across the globe have imposed stringent regulations barring the use of plastic-based products, thus having direct negative influence on the paraxylene market. Chemicals such as aldehydes, acetaldehyde, and antimony oxide are employed in the manufacturing of polyethylene terephthalate products. The negative effect of these chemicals on human health and environment is further expected to challenge the growth of the market in the near future.
Browse the full Global Paraxylene Market report https://www.mrrse.com/paraxylene-market
Some of the key companies operating in the global paraxylene market are BASF SE, Lotte Chemical Corporation, CNOOC Limited, Jurong Aromatics Corporation, Reliance Industries Limited, JX Nippon Oil & Energy Corporation, China National Petroleum Corporation, Sinopec Corporation, Exxon Mobil Corporation, and BP plc.