Phenolic resins are thermosetting resins made by the reaction of phenol or substituted phenol and formaldehyde. They have high heat and acid resistance properties and are used in making electrical parts, bonding agents, laminates, wood products, coatings, adhesives, among others.
The global phenolic resins market is estimated to be valued at US$ 16052.98 Mn in 2023 and is expected to exhibit a CAGR of 5.9% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
One of the key trends in the phenolic resins market is the development of no-formaldehyde binders. Strict regulations imposed on formaldehyde emissions have prompted resin manufactures to develop new binder technologies with zero or low formaldehyde emissions. No-formaldehyde binders help manufacturers comply with regulations while meeting performance requirements. These binders do not require additional hardeners or cure initiators and cure at normal production line temperatures.
Strength: Phenolic resins offer high thermal resistance and excellent bonding strength for several applications. They are cost-effective and provide better mechanical and electrical properties compared to other resins.
Weakness: Phenolic resins emit toxic fumes when burnt, limiting their usage. Strict environmental regulations also limit their usage in some applications.
Opportunity: Increasing demand for flame retardant materials from construction and automotive industries provides growth opportunities. Rapid industrialization in Asia Pacific also drives the demand.
Threats: Availability of bio-based substitutes and sustainability concerns pose threats. Stringent regulations around VOC emissions during production also restrict market growth.
The Global Phenolic Resins Market Size is expected to witness high growth, exhibiting CAGR of 5.9% over the forecast period, due to increasing demand from construction industry. Phenolic resins find wide application in construction sector as an adhesive for manufactured housing, in laminates for flooring and countertops, and in molding and tube applications.
Regional analysis: Asia Pacific dominates the global phenolic resins market and is expected to grow at the fastest rate during the forecast period. Abundant raw material availability and rapid industrialization in China, India, and other Asian countries drive the market in the region. China contributes to over half of the global phenolic resins demand due to large production of laminates, molding compounds, and other products.
Key players: The key players operating in the Phenolic Resins market are BASF SE, Chang Chun Plastics Co. Ltd., Georgia Pacific Chemicals LLC, Kolon Industries Inc., Prefere Resins, Mitsui Chemicals Inc., Sumitomo Bakelite Co., Ltd, Hitachi Chemical Co. Ltd., SI Group, Inc., and Momentive Specialty Chemicals, Inc. BASF and Hexion together account for over 35% of the global production capacity.
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it