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Inorganic Chemicals Market Demand and Forecast 2025

Inorganic chemicals are a combination of two or more elements other than carbon. Carbon monoxide, carbon dioxide, carbides, carbonates, and cyanides are exceptions, as these are inorganic chemicals despite having carbon. Rising demand for inorganic chemicals in the fertilizers industry is expected to be one of the prime factors driving market growth. Moreover, due to stringent government regulations and stagnant economy in the developed countries of North America and Europe, the market is estimated to fuel growth of the market in emerging economies of Asia Pacific and Middle East. Cheap labor costs in countries such as China and India, makes these the preferred production hubs for global manufacturers. This helps reduce the overall cost of production of inorganic chemicals. Increasing environmental consciousness and implementation of stringent regulations influences market players to switch technology shifting and producing environment friendly products.

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Inorganic Chemicals Market Taxonomy

On the basis of product type, the global market is classified into:

Chlor alkali
Ammonium nitrate
Ammonium sulfate
Inorganic acid
Sodium hydroxide
Hydrogen peroxide
On the basis of geography, the global market is classified into:

North America
Rest of Europe
Asia Pacific
South Korea
Rest of Asia Pacific
Latin America
Rest of Latin America
Middle East
GCC Countries
Rest of Middle East
Northern Africa
Central Africa
South Africa
Inorganic Chemicals Market Outlook – Surge in Demand for Ammonia for Agricultural Application Augmenting Market Growth

Population explosion witnessed over the last five decades has put considerable strain upon the already stretched thin agricultural sector. Moreover, rapid urbanization led to steep fall in farmland which force down the farmer for duel cultivation, characterized by large volumes of fertilizers being used to maintain optimum soil fertility. Nitrogen-based fertilizers are widely used by farmers, as it is easily available, cost-effective, and rather effective in increasing fertility of the soil. This in turn is expected to fuel the inorganic chemicals market during the forecast period. Ammonia is also used for cold storage and food preservation in the food & beverages industry. Moreover, the explosive manufacturing industry uses ammonium nitrate in bomb manufacturing. Asia Pacific is expected to be one of the most lucrative markets of manufacturers of inorganic chemicals, due to strengthening of the economy and strong agricultural base in China, India, and South East Asian countries.

Inorganic Chemicals Market Challenges – Fluctuating Crude Oil Price and Stringent Government Regulations

Fluctuating prices of crude oil and natural gas is expected to significantly dampen growth of inorganic chemicals market. Crude oil and natural gas are the basic building blocks of numerous inorganic chemicals industry. Moreover, the Frank R. Lautenberg Chemical Safety for 21st Century Act upon Toxic Chemicals and Chinese State Environment Protection Administration and General Administration of Custom has enforced strict regulation upon import and export of certain hazardous chemicals and pesticides. These are few challenges for inorganic chemical manufacturing company during the forecast period.

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Inorganic Chemicals Market – Regulatory Scenario:

February 24, 2004, U.S. Department of State enforce the Rotterdam Convention as an international treaty designed to facilitate informed decision-making by countries with regard to trade in hazardous chemicals.
January 01, 2006, The State Environment Protection Administration and the General Administration of Custom of China, In order to strictly prevent illegal export of toxic chemicals and earnestly improve the implementation of the Rotterdam Convention on the Prior Informed Consent Procedure for Certain Hazardous Chemicals Pesticides in International Trade and the Stockholm Convention on Persistent Organic Pollutants.
June 22, 2016, the Frank R. Lautenberg Chemical safety for 21st century act updated the 1976 toxic substances control act, which allows EPA to protect the people of US from toxic chemicals.

Key players in the inorganic chemicals market include Akzo Nobel, BASF SE, Bayer, The Dow Chemicals Company, DuPont, Evonik Industries, Formosa Plastics, Ineos, LG Chem, LyondellBasell Industries, Mitsubishi Chemicals, Sabic, The Royal Dutch Shell, Sinopec, Sumitomo Chemicals. Strategic mergers and acquisitions is the new trend in the industry. For instance, BASF SE and Avantium on March 15, 2016, collaborated to establish production and marketing of furandicarboxylic acid and PEF based. Moreover, May 10, 2016, BASF SE launch new cross linking and water based dispersion coating product.

About Coherent Market Insights:
Coherent Market Insights is a prominent market research and consulting firm offering action-ready syndicated research reports, custom market analysis, consulting services, and competitive analysis through various recommendations related to emerging market trends, technologies, and potential absolute dollar opportunity.

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