Hydrocarbon resins are produced by polymerization and hydrogenation of pure monomer hydrocarbon feedstock. Hydrocarbon resins are seldom used alone, and have many applications. C5 type hydrocarbon resins are mostly used to tackify aliphatic polymers, especially natural rubber, EVA, SIS, and APO. C9 type hydrocarbon resins are especially applied in flooring adhesives. Whereas, C5/C9 aliphatic/aromatic resins are used in EVA, SBS, and natural rubber polymers. Also, significant growth in adhesives & sealants as well as THE rubber industry, owing to special synthetic rubber demand, is anticipated to positively impact the expansion of the overall hydrocarbon resins market size over the coming years.
Hydrocarbon Resins Market Trends
Adhesives Industry Growth Directly Influences Hydrocarbon Resin Demand: Hydrocarbon resins, owing to their color and odor-free nature, without any adverse health impact, have witnessed increased demand over the years. Changing customer and regulatory requirements further bolsters the demand for hydrocarbon resins. New requirements such as softening point, defined compatibility, and thermostability for specialized hot melt adhesives have added in to the growth in demand. Formulated resins are specifically designed for these and many other demanding applications and product requirements.
For pressure-sensitive adhesive formulations, fully hydrogenated resins are becoming increasingly popular. Food packaging, woodworking, PSAs, and diapers are some of the major end applications where hydrocarbon resin-made adhesives are used. Hydrocarbon resins are suitable for every type of adhesive used in diaper production. Hydrocarbon resin-made adhesives also provide high desired process-ability and reliable quality required for woodworking adhesives.
Several Benefits over Other Resin Counterparts: For various industrial purposes, C5 aliphatic and C9 aromatic resins can be modified and used. This includes hydrogenation of all hydrocarbon resins to improve color, odor, and stability, as well as modifying compatibility.
Compared with rosin-based resins and polyterpene-based resins, hydrocarbon resins have benefits in high thermal stability, polymer compatibility, light color, low odor, direct food contact, and excellent cold resistance. These benefits provide hydrocarbon resin higher advantage over its counterparts, and hence, creates significant demand from applications.
Several benefits of hydrocarbon resins include low acid value and chemical resistance, good solubility in organic solvents, low molecular weight, Improving viscosity durability, and excellent compatibility with EVA, rubber, SIS, SEBS, SBS, SEPS and EVA, among others. All these benefits are projected to boost the growth of the global hydrocarbon resins market over the forecast period.
Manufacturers’ Focus on Economic Range of Products: The global hydrocarbon resins market is a competitive market space, where end users demand economic range products for their end products. In order to meet this demand, manufacturers in the hydrocarbon resins market are developing high quality and affordable products. This factor is also responsible for product innovation, which increases the demand for and sale of hydrocarbon resins. In addition, end users prefer products with low carbon emissions, so that overall spending on waste disposal is reduced, which simultaneously increases profit.
Regional Outlook of Hydrocarbon Resins Market
Globally, East Asia is significantly diverse in terms of customer base, geo-political conditions, and regulations as compared to other regions of the world. China is estimated to hold a major hydrocarbon resins market share, and is expected to account for more than one-third of the market share in terms of value and volume, followed by North America and Europe.
Competition Overview: Fairly Competitive Market
The global hydrocarbon resins market is a moderately fragmented space, with several global as well as medium- and small-scale players operating in the market. Owing to the presence of a number of regional and domestic players, the market is intensely competitive. Some of the key players in the global hydrocarbon resins market are Eastman Chemical Company, Exxon Mobil Corporation, Total SA (Cray Valley), KOLON Industries Inc., Lesco Chemical Limited ZEON CORPORATION, and Arakawa Chemical Industries Ltd, among others.
COVID-19 Impact on Hydrocarbon Resins Market
The world has been thrown into chaos because of the COVID-19 pandemic. Most countries and industries have been hit as a result of trade restrictions, lockdowns, and reduced activity, all of which have been implemented to curb the spread of the virus. The hydrocarbon resins market too has suffered due to reduced demand from end-use industries as a result of drastic decrease in manufacturing. Post pandemic, the global hydrocarbon resins market will pick up pace and go back to its normal growth rate of close to 7% annually.
Manufacturers are expected to strengthen their global supply systems and continue meeting robust demand from Asia Pacific. Significant demand from applications such as adhesives & sealants and paint & coatings will set the path for market growth in the coming years. The positive economic outlook of various countries, increasing investments, and availability of raw materials, i.e. petrochemical feedstock, are expected to create numerous opportunities for the growth of the hydrocarbon resins market through 2030.
Hydrocarbon Resins Market - Scope of the Report
Persistence Market Research (PMR) recently published a report on the global hydrocarbon resins market. The report provides detailed valuation on key market dynamics, such as the drivers, trends, opportunities, and restraints, along with detailed information about the hydrocarbon resins market structure. This market research report presents exclusive facts and figures about how the hydrocarbon resins market will grow over the forecast period of 2020 to 2030.
Key indicators of market background, such as value chain analysis and supply chain, compounded annual growth rate (CAGR), and year-on-year (Y-o-Y) growth of the market are explained in PMR’s study in a comprehensive manner. This information can help readers understand the quantitative development projections of the hydrocarbon resins market over the forecast period.
The study is relevant for stakeholders in the hydrocarbon resins market, as well as manufacturers, distributors, suppliers, and investors, as it can help them understand applicable strategies to grow in the market. Stakeholders, investors, industry experts, researchers, and journalists, as well as business researchers in the hydrocarbon resins market can leverage the information and statistics presented in PMR’s research report.
The report includes facts and figures related to the macro- as well as macro-economic factors that are impacting the growth of the hydrocarbon resins market. The study also offers actionable insights based on the future trends in the hydrocarbon resins market. Furthermore, regional players and new entrants in the hydrocarbon resins market can also use the information presented in this report to make business decisions and gain momentum in the market.
Key Segments of Hydrocarbon Resins Market
PMR’s study on the hydrocarbon resins market is divided into three significant segments - type, application, and region. This report offers comprehensive data and information about the important market dynamics and growth parameters related to these categories.
Key Questions Answered in PMR’s Hydrocarbon Resins Market Report
Hydrocarbon Resins Market: Research Methodology
In PMR’s research report, exclusive research methodology is utilized to conduct comprehensive research on the development of the hydrocarbon resins market and reach conclusions on the future growth factors of the market. In this research methodology, secondary and primary research is utilized by analysts to ensure precision and reliability of the conclusions.
Secondary resources are referred to by analysts during the evaluation of the hydrocarbon resins market, which comprise facts and figures from the World Bank, IMF, US Energy Information Administration, International Energy Agency, local & regional government websites, white papers, trade journals, and external and internal databases. Analysts have thoroughly interviewed several industry experts, such as sales supervisors, sales operation managers, product portfolio managers, senior managers, market intelligence managers, marketing/product managers, engineering managers, and production managers, to provide insightful information.
Comprehensive information acquired from primary and secondary resources is validated from companies operating in the hydrocarbon resins market, to make PMR’s projections on the growth prospects of the market more accurate and reliable.