An ESOMAR-certified and consulting firm’s projections on the global pigments and dyes market reveals a positive albeit modest outlook, with an anticipated CAGR of above 3% across the 2021-2031 forecast period. The market is expected to surpass US$ 38 billion by the end of the said period. Growth is expected to be majorly centered across emerging economies in Asia Pacific.
Historically, substantial gains were posted across regions, with the market being valued at slightly above US$ 30 billion as of 2020. Recessionary pressures induced by the COVID-19 pandemic were felt in the initial months, with sluggishness eventually fading away with the resumption of factory operations.
Bulk of demand for dyes and pigments is anticipated to be generated by construction and textile industries. According to Oxford Economics, the global construction market is poised to reach US$ 8 trillion by 2030, primarily driven by China, the U.S., and India. Hence, maximum sales are expected across these regions. Likewise, the global textile industry is scheduled to surpass US$ 1 billion in half-a-decade, opening frontiers for future expansion.
Key Takeaways from Market Study
- By classification, reactive pigments and dyes contributed nearly 60% of total revenue in 2020
- Demand for disperse dyes to increase at above 3% CAGR across the forecast period
- Sales of pigments and dyes across the textile industry constituted over 3/5 of overall share in 2020
- The U.S. to generate high growth opportunities, being valued at above US$ 8 billion in 2020
- China to experience a CAGR of more than 5% until 2031, and be valued at around US$ 8 billion
- India, Australia, and South Korea to jointly account for over US$ 5 billion by 2031
“Extensive development of construction and textile production activities across key emerging economies in Asia is prompting manufacturers to concentrate their operations across the Eastern Hemisphere, generating high growth prospects,” says the research analyst.
Competitive Landscape
Prominent pigments and dyes manufacturers are capitalizing on new product launches, strategic mergers & acquisitions, collaborations and extensive R&D spending to introduce new technologies into the mainstream market. Presence of a multitude of players renders the landscape quite fragmented.
- In April 2021, LANXESS AG expanded its unique Trixene Aqua range of water-based blocked isocyanate dispersions. The product family now includes new grades, specifically designed to expand application areas, such as the Trixene Aqua BI 120 and Aqua BI 220.
- In October 2017, Cathay Industries introduced the CATHAYTHERMTM thermostable inorganic color pigments, specifically designed for thermoplastic and thermosetting applications, including plastics, powder coatings and high bake temperatures.
These insights are based on a report on Pigments and Dyes Market by Fact.MR.
