The global chlorinated paraffin market is extremely fragmented, as per Transparency Market Research on the basis of a recently published report. This is mainly due to the presence of innumerable players in the market. With expanding product portfolios coupled with increasing number of players, the competition is expected to further intensify. Most players are focusing on innovations and developments in order to attract a large number of consumers across the globe.
Participating in mergers & acquisition, partnerships, and collaborations, improving geographical reach, and bringing forth product differentiation are key strategies implemented by most players in the global chlorinated paraffins market. INOVYN, Ajinomoto Fine-Techno Co., Inc., Altair Chimica SpA, NCP Chlorchem, Dover Chemical Corporation, Leuna Tenside GmbH, Química del Cinca, Caffaro Industrie S.p.A., JSC Kaustik, KLJ Group, Qualice, LLC, United Group, Makwell Group, and Aditya Birla Chemicals, are key businesses operating in this sector.
Statistically speaking, the global chlorinated paraffin market is expected to gain revenue worth US$1.98 bn by 2023. Such growth is prophesized to occur at steady CAGR of 3.2% during the forecast by 2015 to 2023. By carbon chain length, the market for M grade is anticipated to expand at an impressive pace on account of high demand from lubricating additives, PVC additives, and metalworking fluids. Geography-wise, the global chlorinated paraffins market depicts Asia Pacific as a winning segment owing to strong metal working industry in the region. These chlorinated paraffins play a crucial role in processing of metalworking industry.
Extensive Industrialization Ensures that Demand of Paraffins Remains
A rising demand for quality metal-cutting activities mainly due to a surge in relevant applications is primarily driving the global chlorinated paraffins market. These substances are largely used in industrial cutting fluids. And with widespread industrialization occurring all over the globe, the demand for the chlorinated paraffins is increasing steadily. Apart from industrialization, a fast-developing automobile industry too is driving the global chlorinated paraffins market. This is mainly due to extensive use of the paraffins in the form of paints, adhesives, sealants, and lubricating additives, during the manufacturing processes of the vehicles. A major factor driving the market is the mushrooming paint industry.
Increasing Environmental Concerns Poses as a Risk to Market’s Expansion
However, harmful effects of the chemicals on human health as well as on the environment are chief factors affecting the global chlorinated market in a negative manner. With favorable initiatives taken by several governments regarding effective use of the chlorinated paraffin, the market is expected to undergo through several roadblocks in the near future. Moreover, lack of availability of the paraffins chemicals in remote and independent regions too poses as a significant factor restraining the global chlorinated paraffins market. Nevertheless, many companies are expected to improve their services, thus offsetting most hindrances affecting the global chlorinated paraffins market.