Methyl Diphenyl Diisocyanate (MDI) Market will Exhibit a Steady6.1% CAGR through 2010 - 2018
Methylene diphenyl diisocyanate (MDI) is a vital aromatic diisocyanate, mostly used in the manufacturing process of polyurethane resins. MDI is also a major raw material for the production of rigid foams polyurethane that is used in refrigerators, freezers, and construction industry for insulation packing. The rising demand from numerous end use industries such as furniture, construction, and home appliances is one of the driving factors of the methyl diphenyl diisocyanate market. Among the entire CIS region, Russia has huge resource of natural gas and crude oil, which is boosting the demand for MDI market in the CIS. Moreover, phosgene-free methyl diphenyl diisocyanate manufacturing process has furnished with tremendous opportunities for the market players to reduce the effect of MDI on environment and maintain sustainability. On the flip side, the MDI market is hampered by the constant changing prices of benzene in the CIS market.
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The methyl diphenyl diisocyanate market has been segmented on the basis of their applications, which include rigid foam, flexible foam, paints and coatings, elastomers and binders, and adhesives and sealants. Most of the methyl diphenyl diisocyanate manufactured in the CIS is utilized for further production of rigid foam polyurethanes. In 2011, rigid foam polyurethane held the largest share of MDI produced approximately accounting for 58% in CIS. Being the dominating application segment, rigid foam polyurethanes is expected to showcase rapid growth in the near future among other application segments for methyl diphenyl diisocyanate in CIS. Although a small market if compared to rigid foam polyurethanes segment, paints and coatings application is the second largest consumer for MDI in CIS. Methyl diphenyl diisocyanate is also used in manufacturing adhesives and sealants, elastomers and binders, and flexible foam.
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Among all the CIS regions, Russia is the largest consumer of methyl diphenyl diisocyanate. In 2011, Russia held 83% of the overall methyl diphenyl diisocyanate market consumption, owing to the rapid industrialization and rising foreign investments, which is fueling the demand for methyl diphenyl diisocyanate in the nation. As a result, Russia MDI market is expected to grow rapidly at 6.1% CAGR between the years 2013 and 2018. The prominent players operating in the CIS methyl diphenyl diisocyanate market include The Dow Chemical Company, Yantai Wanhua, Mitsui Chemicals, Huntsman, Bayer, and BASF.
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