Global Paraxylene Market By Type (Reagent Grade, Industrial Grade), By Application (Organic Chemical Raw Materials, Synthetic Resins, Fine Chemicals), By Region, And Segment Forecasts, 2023 to 2029

The global paraxylene market size was estimated to be valued at USD 49.7 Billion in 2023 and market is expected to touch USD 78.6 Billion by 2032, exhibiting a CAGR of 5.1% during the forecast period. There is a growing demand for resin, PET bottles, fibres, and other products which is expected to boost market growth. Increasing demand from textiles, food & beverages, pharmaceutical, and personal care, and cosmetic sectors is also expected to drive market growth. High demand for dimethyl terephthalic acid, terephthalic acid, and other derivatives of PTA is anticipated to surge market expansion. Growing demand for plastic products in the packaging industry is estimated to fuel market progress in the forthcoming years. Rising environmental awareness and consumers seeking eco-friendly options are predicted to expand market growth. Contrarily, the availability of greener and safer alternatives are anticipated to hamper market expansion. Further, the hazardous nature of aquatic organisms is predicted to reduce market development.

Drivers:

Growing Concerns about Non Disposable Plastic to Stimulate Market Expansion

• Awareness among people regarding non-disposable plastics among people is expected to boost market growth. 

• There is a growing need for eco-friendly products which is predicted to accelerate market growth. 

• Increasing government initiatives for eco-friendly and recycling plastics is anticipated to stimulate market development. 

• Additionally, there is a high demand to replace traditional plastic with paraxylene. 

• Further, high awareness about pollution, waste, and land consumption is predicted to boost product adoption. 

• Growing need for PET bottles and polyester fibres is estimated to grow market development in the forthcoming years. 

• High demand for dimethyl terephthalic acid, terephthalic acid, and other derivatives of PTA is anticipated to surge paraxylene market expansion.

Increasing Usage of PET Bottles to Expand Market Performance

An ever-increasing demand for PET bottles used for carbonated drinks and mineral water is expected to be among the main reasons for market growth. Market growth is expected because of increased use of this substance for bioplastics. Rising concern on virus protection measures causing increased hygiene levels in the healthcare industry is responsible for increasing product uptake. The increasing demand for this product in the food and beverage industry is expected to drive market expansion because it helps in preserving food freshness. For example, plastics are needed for lowering aeroplanes’ weight as well as enhancing their fuel efficiency and the automotive sector too. Furthermore, synthetic fibres which are used in making clothes are also necessitated and this could be another reason why its sales will increase. High demand in the furniture industry around its textiles is expected to drive an expansion in the next few years. Coil coating, videotapes, audio, and sheet materials use this product. It is believed that these advantages will help the paraxylene market to expand. 

Restraints:

Health Hazards and Environmental Pollution to Hamper Market Growth 

Aquatic habitats and organisms are adversely affected due to the organic compound. Safer and greener alternatives available in the market, on the other hand, hamper product demand. The mechanism is toxic, and interaction with the endocrine system is a threat to human health. Such poisonous nature of the product may restrict paraxylene market development.

Opportunities:

The global paraxylene market is experiencing  substantial expansion significantly driven by rising demand for polyester fibres and PET resins, which are essential for the textile and packaging industries. The market is experiencing rising demand with increasing consumption of PET bottles and packaging materials, particularly in emerging economies, and the growing preference for lightweight and recyclable packaging. Additionally, advancements in production technologies and the expansion of end-use industries, such as automotive and construction, further contribute to the market's robust expansion potential.

Market by System Type Insights:

The global paraxylene market is segmented by system type into purified terephthalic acid (PTA) and dimethyl terephthalate (DMT), and both crucial intermediates in the production of polyethylene terephthalate (PET) for packaging and textile applications. PTA is dominating the market due to its cost-effectiveness and extensive use in manufacturing PET bottles, fibres, and films, driven by rising demand for lightweight, durable, and recyclable materials. DMT, while used similarly, finds various applications in specialty plastics and coatings. The growing consumption of PET in food and beverage packaging, coupled with expanding textile industries, fuels the demand for paraxylene across these system types. 

Market by End Use Insights:

In 2020, packaging segment retained the predominant position in the Paraxylene Market and is anticipated to increase at a CAGR of 5.2% from 2021 to 2026. Infact, PET bottles produced out of Paraxylene are quite often in use in water and soft drink packages because of their non-breakability, and carbonated beverage packaging because of their excellent carbon dioxide barrier properties. Additionally, these are light but strong plastics which cannot be easily damaged. Packaging for carbonated and non-carbonated beverage containers are made of polyester packaging for home chemicals, toiletries, and cosmetics. Films for x-rays, magnetic tapes, photographic film, and electrical insulation. Packaging for boil-in bags, processed meats, shrink films, and blister packs Packaging for boil-in bags, processed meats, shrink films, and blister packs. According to the Reusable Packaging Association’s 2020 Reusable Transport Packaging Report, the sector hit around US$950 billion. Due to growth in the packaging sector, the Paraxylene Market is projected to exhibit growth throughout the forecast period.

Market by Region Insights:

There are significant regional variations in the global paraxylene market, with Asia-Pacific dominating mainly because of rapid industrialization and high demand for polyester fibres and PET resins in countries like China and India. The market in North America and Europe is driven by steady growth in the packaging and textile industries. The Middle East is, on the other hand, also emerging as a key player with substantial investments in petrochemical projects, while Latin America and Africa show moderate growth influenced by fluctuating economic conditions and infrastructure development. Overall, the market is expanding, driven by increasing consumption of paraxylene in various end-use industries across these regions.

Competitive Scenario:

Some of the key players in of this market are Braskem, China National Petroleum Corporation, ENEOS Corporation, ExxonMobil Corporation, Fujian Refining & Petrochemical Company Limited, Mangalore Refinery & Petrochemicals Ltd (Oil and Natural Gas Corporation Limited), Mitsubishi Gas Chemical Company Inc., National Petrochemical Company, PT Pertamina, Reliance Industries Limited, SK incheon petrochem Co. Ltd. and Toray International Inc. providing a competitive landscape of the market.

Scope of Work:

Market Segmentation:

By type:

• Purified Terephthalic Acid (PTA)

• Dimethyl Terephthalate (DMT)

• Other Applications

By geography:

• Asia Pacific

• North America

• Europe

• Middle East and Africa

• Latin America 

By system type:

• Purified Terephthalic Acid (PTA)

• Dimethyl Terephthalate (DMT)

• Polyethylene Terephthalate (PET)

• Others

By end use:

• Plastics

• Textile

• Others

Key Developments:

The market has experienced some key developments driven by increasing demand for PET production in the packaging and textile industries. Significant capacity expansions and technological advancements in production processes have been undertaken by major players to enhance efficiency and output. Strategic partnerships and mergers, such as those between leading chemical companies, have been formed to consolidate market position and optimise supply chains. Additionally, the shift towards sustainable practices has led to investments in bio-based paraxylene production, aligning with the growing emphasis on environmental responsibility and sustainability. These developments collectively highlight the dynamic and evolving nature of the paraxylene market. 

FAQs

Q1. What was the size of the global paraxylene (PX) market in 2023?

The global paraxylene (PX) market was valued at US$ 49.7 Billion in 2023.

Q2. What is the expected growth rate of the global paraxylene (PX) market during 2024-2032?

We expect the global paraxylene (PX) market to exhibit a CAGR of 5.1% during 2024-2032.

Q3. What are the key factors driving the global paraxylene (PX) market?

The growing applications of paraxylene as an eco-friendly alternative in the production of packaging materials, polyester fibres, construction materials, etc., are primarily driving the global paraxylene (PX) market.

Q4. What has been the impact of COVID-19 on the global paraxylene (PX) market?

The sudden outbreak of the COVID-19 pandemic had led to the implementation of stringent lockdown regulations across several nations, resulting in the temporary closure of numerous end-use industries for paraxylene.

Q5. What is the breakup of the global paraxylene (PX) market based on the application?

Based on the application, the global paraxylene (PX) market can be segmented into Purified Terephthalic Acid (PTA), Dimethyl Terephthalate (DMT), and others. Currently, Purified Terephthalic Acid (PTA) holds the majority of the total market share.

Q6. What are the key regions in the global paraxylene (PX) market?

On a regional level, the market has been classified into Asia Pacific, North America, Europe, Middle East and Africa, and Latin America, where Asia Pacific currently dominates the global market.

Q7. Who are the key players/companies in the global paraxylene (PX) market?

Some of the major players in the global paraxylene (PX) market include Braskem, China National Petroleum Corporation, ENEOS Corporation, ExxonMobil Corporation, Fujian Refining & Petrochemical Company Limited, Mangalore Refinery & Petrochemicals Ltd (Oil and Natural Gas Corporation Limited), Mitsubishi Gas Chemical Company Inc., National Petrochemical Company, PT Pertamina, Reliance Industries Limited, SK incheon petrochem Co. Ltd., and Toray International Inc.