Paper Chemicals Market Leader & Key Revenue Pockets - 2023
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Kemira Oyj (Finland), BASF (Germany), Solenis (US), Akzonobel N.V. (Netherlands), Ecolab (US), Ashland Inc. (US), Harima Chemicals Group (Japan), Buckman Laboratories International Inc. (US), Archroma (Switzerland), and Chemisphere Paper Technologies (South Africa) are the leading paper chemicals manufacturers.
Browse 33 market data Tables and 38 Figures spread through 97 Pages and in-depth TOC on "Paper Chemicals Market"
Kemira Oyj (Finland) is one of the leading players in the paper chemicals market. The company has been focusing on both organic and inorganic strategies to maintain its leading position in the market. For example, in July 2016, it acquired AkzoNobel’s paper chemicals business. This acquisition is estimated to strengthen Kemira’s market position, especially in the APAC region. In addition, in June 2017, the company opened its new AKD emulsion and cationic rosin production at its production site in Nanjing, Jiangsu (China). With this new production line, Kemira is planning to produce and supply all types of sizing agents (ASA, AKD, cationic rosin, and surface size) to serve customers in Mainland China, Taiwan, Vietnam, Japan, and other countries in APAC. This expansion is expected to broaden the company’s paper chemicals product offering and strengthen its position in the paper chemicals market.
Solenis (US) is another major player in the paper chemicals market. The company adopted inorganic growth strategies to establish its market position, globally. For example, Solenis and BASF signed an agreement to combine BASF’s paper and water chemicals business with Solenis to jointly create a customer-focused global specialty chemicals company. The combined venture is expected to operate under the Solenis brand and will provide expanded offerings and cost-effective solutions for customers in two specialty chemical businesses, which are paper technologies and industrial water technologies. In addition, in August 2018, the company acquired the pulp and paper chemical distribution business from Connell Bros. Co. (CBC) in Thailand, Philippines, Malaysia, and Vietnam. With this acquisition, the company plans to build strong business relationships with customers in Southeast Asia and strengthen its position in the paper chemicals market.
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The paper chemicals market is estimated to be USD 36.4 billion in 2018 to USD 40.2 billion by 2023, at a CAGR of 2.0% between 2018 and 2023. The demand for paper-based packaging due to the increasing stringent regulations on the use of plastics is spurring the packaging production, which in turn, is driving the paper chemicals market. Bio-refineries are expected to be the new revenue pockets in the paper chemicals market. The pulp producers in South America are focusing on new bio-based products by processing lignin. This presents opportunities to the paper chemical producers for developing new pulp processing chemicals.
The paper chemicals market has been segmented on the basis of type, form, and region. On the basis of type, the functional chemicals segment of the market is projected to register the highest CAGR between 2018 and 2023. This high growth is attributed to its increasing consumption in paper and paperboard production. The increasing per capita expenditure on food and beverages, increasing disposable income, and growing awareness about sustainable packaging have fueled the packaging industry, which in turn, is expected to create a demand for paper chemicals for the production of pulp and paper. On the basis of form, the specialty chemicals segment is projected to register the highest CAGR between 2018 and 2023. The growth of the segment is mainly attributed to the increasing demand for specialty paper in packaging and printing applications.
The APAC paper chemicals market is projected to register the highest CAGR between 2018 and 2023. The increasing disposable income, large consumer base, low labor cost, and easy availability of raw materials are attracting pulp and paper manufacturers from North America and Europe to shift their production facilities to APAC. China and India are the leading pulp and paper producers in the region.
Bio-refineries are becoming an attractive future revenue option for the pulp and paper chemical producers. Traditional Kraft mill bio-refineries have long produced methanol, lignin, rosins, and turpentine. Kraft pulp mill bio-refineries are the potential areas to develop new revenue streams. Cellulose, hemicellulose, and lignin are the major components of wood that are converted into useful bio-products using a variety of process chemicals. For instance, many cellulose products such as micro-fibrillated cellulose, transparent films, and transparent films can be derived from the pulp. The key market players are focusing on the development of new products for pulp processing and are investing in R&D activities in this area.
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