Over the recent decades, many emerging countries from Asia-Pacific, Northern Africa, and Latin America region have seen fast and significant growth in their industrial, medical, and consumer goods industry with increasing GDP, rising foreign direct investments (FDI), government expenditure, improving infrastructure owing to rising urbanization, and increasing demand for better goods & services from large pool of population in these regions. 

According to the UN DESA’s (United Nations Department of Economic and Social Affairs) population division, largest urban population growth will take place in India, China, and Nigeria. These three countries will account for 37 per cent of the projected growth of the world’s urban population between 2014 and 2050. By 2050, India is projected to add 404 million urban dwellers, China 292 million, and Nigeria 212 million to the rising urbanisation. This will enhance industrial & infrastructural developments in emerging countries.

According to the World Bank, China’s economic growth rate is expected to decelerate from 6.6 percent in 2018 to 6.2 percent in 2019, compared with 6.5 percent in 2017. The major reasons are deceleration in global trade, stable commodity prices, and supportive global financial conditions. Moreover, growth in India is projected to accelerate to 7.5 percent in FY 2019/20. In rest of the Asia Pacific region, including the large economies in Southeast Asia, growth is solid and expected to pick up 7 percent in 2020 and 7.1 percent in 2021 compared to 5.1 percent in 2018. The large developing economies in the Association of Southeast Asian Nations will likely expand slightly faster in the next few years. The Philippines will benefit from higher public spending on infrastructure, an uptick in private investment, credit expansion, and increased remittances, as growth accelerates to 6.9 percent in both 2017 and 2018.

In Latin America and the Caribbean region, the growth is expected to increase slightly to 2.5 percent in 2020 from 1.7 percent in 2019, due to fixed investment and private consumption. Also, in Brazil, the weak cyclical recovery is expected to gain traction, with significant growth rising to 2.5 percent in 2020 from 1.5 percent in 2019.

With trade liberalization, the spread of process technology, numerous economic barriers, rapid growth of the newly industrialized Asian economies, growing automotive sector on account of high per capita disposable income along with rising standards of living in many developing countries, the centre of attraction of the global speciality methacrylate industry is shifting towards the Middle East, where cheap petrochemical feedstocks are available, and Asia, where labour costs remain relatively low and economic growth is high. Moreover, the growing construction activities in Asia-Pacific and development of environment friendly products offer ample revenue generation opportunities to the manufacturers of specialty methacrylate. Thus, increasing development activities and growing economies in emerging countries are expected to improve infrastructure developments, industrial manufacturing, and consumer goods industry; thereby creating significant opportunity for growth of specialty methacrylate market in the region.

According to the Meticulous Research®, specialty methacrylate market is expected to grow at a CAGR of 6.9% from 2019 to reach $3.15 billion by 2025.

Tags: Advanced Chemicals & Materials
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