Isobutyl Acrylate Market Size, Share Global Analysis Report, 2022 – 2030

Industry Insights

[223+ Pages Report] According to the report published by Facts Factors, the global isobutyl acrylate market size was worth around USD 7.5 billion in 2021 and is predicted to grow to around USD 12 billion by 2030 with a compound annual growth rate (CAGR) of roughly 5.5% between 2022 and 2030. The report analyzes the global isobutyl acrylate market drivers, restraints/challenges, and the effect they have on the demands during the projection period. In addition, the report explores emerging opportunities in the isobutyl acrylate market.

Market Overview

Isobutyl acrylate (IBA) is the ester derivative of isobutyl alcohol and acrylic acid. The compound is used extensively as a raw material in the emulsions, coatings, adhesives, and plastics industries. IBA has a boiling point of 132°C and the chemical formula is C7H12O2. Isobutyl acrylate, in its liquid state, is colorless and lets out an acrid odor. IBA is less dense than water and has a flashpoint of 30°C. The two main components required to produce IBA are acrylic acid and isobutyl alcohol.

The latter is an oil solvent that has an unpleasant odor and tastes like wine. It is colorless just like the end compound. Isobutyl alcohol is created by the process of hydrogenation in isobutyraldehyde. It can also be a by-product of rectification in the production of synthetic methanol. Acrylic acid is the simplest unsaturated carboxylic acid and is used to produce polymers. It is a flammable liquid with properties like colorlessness, clarity, and corrosiveness. Acrylic acid is extremely versatile and on its own has various industrial and commercial applications. It is mostly used to produce resins and esters which are further used as raw materials in the chemical industry.

Key Insights

• As per the analysis shared by our research analyst, the global isobutyl acrylate market is estimated to grow annually at a CAGR of around 5.5% over the forecast period (2022-2030)
• In terms of revenue, the global isobutyl acrylate market size was valued at around USD 7.5 billion in 2021 and is projected to reach USD 12 billion, by 2030.
• The market is projected to grow at a significant rate due to the growing demand for paints & adhesives
• Based on product type segmentation, paints & coats were predicted to show maximum market share in the year 2021
• Based on application segmentation, sealants were the leading application in 2021
• On the basis of region, Asia-Pacific was the leading revenue generator in 2021

Growth Drivers

• Growing demand for paint and adhesives to propel market growth

Isobutyl acrylate is a common raw material that manufactures paints and adhesives along with other coating items. The paint industry is projected to grow owing to the increasing construction & building activities along with growth in housing and home renovation projects.

Paints are an integral part of a building structure as it not only provides desirable color to the unit to improve its physical appearance but is required as an additional layer of protection against various environmental factors. For instance, high-grade paint can help a building last high-intensity environmental events. It also limits the impact of ultraviolet (UV) radiation on the surface of the building or any structure the paint is applied to. The wear & tear of the surface greatly reduces if it is regularly painted.

As the population grows coupled with rampant industrialization and modernization, the demand for strong building structures will grow simultaneously. Investments in the development of smart cities are an added point of revenue in the coming years. In August 2019, the Australian government began an AUD 2 million project under the country's Smart Cities and Suburbs Program.

Restraints

• Health concerns related to emerging vapors may restrict the market growth

The major restricting growth point for the global market players are the health concerns associated with the use of isobutyl acrylate. It has been observed that the vapor emerging from the concentrations can cause eye irritation. Prolonged exposure to the chemical can lead to more serious health issues. Breathing the compound can cause severe throat and nose irritation. People who work in proximity to the compound are known to suffer from shortness of breath and fluid build-up in the lungs. These issues could severely impact the global market expansion period.

Opportunities

• Advantages associated with the use of IBA to drive more growth opportunities

The global market is projected to witness higher growth opportunities. due to several benefits associated with the use of isobutyl acrylate. Global chemical manufacturers consider it a highly beneficial feedstock used in different chemical synthesis processes due to its ability to undergo reactions with a large number of inorganic or organic compounds. The end-products display various properties when prepared using IBA. Some of these properties include hydrophobicity, chemical resistance, and weatherability.

Challenges

• Risk of an explosion to act as a major challenge

Isobutyl acrylate can cause an explosion if it is stored in a container and undergoes polymerization. Incidents of violent rupture have been reported across the globe. This acts as a major challenge for the global market players as the risk of loss of life and monetary resources is high when handling or working with IBA. There are risk-free substitutes present in the market and paint or coating producers are increasingly getting invested in trying the alternatives.

Segmentation Analysis

The global isobutyl acrylate market is segmented based on type, application, and region

Based on product type, the global market divisions are paints & coats, construction materials, and others. In 2021, the highest revenue-generating segment was the paints & coats segment owing to greater product application and an increase in demand. The segmental growth was also driven by the growing building & construction sector which is witnessing an influx of investments across developed or developing nations.

To meet the demands of the growing population, increase in the standard of living, higher disposable income, and multiple government infrastructure development projects, the paint & coats segment will register higher revenue. In 2021, Bechtel, a global project management and construction giant generated around USD 7 billion in new project awards.

Based on application, the global market segments are sealants, adhesives, and coatings. During the forecast period, the global market could register the highest CAGR in the adhesives and sealants segment due to the properties of isobutyl acrylate. Another contributing factor is the shift toward sustainable development which necessitates the use of high-grade binding decorative products like glazing foils & sheets. In May 2022, Japan laid down a USD 157 billion bond to encourage green transition in the country.

Recent Developments:

• In June 2021, Kochi Refinery, Bharat Petroleum’s largest asset completed the construction of an INR 6000 crore complex meant for the production of the petrochemical product acrylate. This move will help the country save INR 4,000 crore in terms of foreign exchange
• In May 2020, Deepak Phenolics initiated the production of isopropyl alcohol (IPA) at its manufacturing unit with a capacity of 30000 tons per annum. The company will use acetone to produce IPA

Report Scope

Regional Analysis

• Asia-Pacific to witness surging growth during the projection period

The global isobutyl acrylate market is projected to grow owing to the increasing investments in the chemical industry of China and India. With a recent revenue of USD 425 billion, the China Petroleum Chemical Corporation stood at the top spot in the list of largest chemical producers in the world. There are various factors that have influenced the country’s efforts toward enhancing the strength of the regional players in the chemical industry.

Some of these reasons include the availability of labor and low-cost capital, relaxed environment laws, and lucrative government subsidies. The hold of China’s chemical industry has allowed the regional government to come at par with the strength of the western regions since it is currently one of the largest suppliers of chemicals to various regions. As per estimates, the country produced more than 595 thousand tons of isobutyl alcohol in 2020. However, other factors like the country’s deteriorating political tie-ups with other nations could act as a major growth barrier.

Competitive Analysis

• Osaka Organic Chemical Industry Ltd. 
• BASF SE 
• Kowa Company 
• Mitsubishi Chemical Corporation

The global isobutyl acrylate market is segmented as follows:

By Product Type Segment Analysis

• Paints & Coats
• Construction Materials
• Others

By Application Segment Analysis

• Sealants
• Adhesives
• Coatings

By Regional Segment Analysis

• North America
  • The U.S.
  • Canada
  • Mexico
• Europe
  • France
  • The UK
  • Spain
  • Germany
  • Italy
  • Nordic Countries
    • Denmark
    • Sweden
    • Norway
  • Benelux Union
    • Belgium
    • The Netherlands
    • Luxembourg
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • Australia
  • South Korea
  • Southeast Asia
    • Indonesia
    • Thailand
    • Malaysia
    • Singapore
    • Rest of Southeast Asia
  • Rest of Asia Pacific
• The Middle East & Africa
  • Saudi Arabia
  • UAE
  • Egypt
  • South Africa
  • Rest of the Middle East & Africa
• Latin America
  • Brazil
  • Argentina
  • Rest of Latin America