Recycle and reuse practices are impacting the sales of virgin materials, resulting into lesser dependency on volume-driven growth. New materials are showcasing potential for driving value-based growth, but chemical companies are still some time away from achieving voluminous production, while maintaining high quality at the same time. Barring few exceptions, a majority of players are still prioritizing short-term volume growth over long-term value growth. Pressure on improving bottom-line is influencing manufacturers to improve efficiency and reduce operational costs. The impact of value-driven growth may not be visible in the short-term, but long-term outlook remains in favor of a balanced approach between value and volume.
Manufacturers are under increasing pressure to incorporate digital solutions in their offerings. Forward-thinking manufacturers are investing in technology to reduce human interference and streamline key operational aspects such as ordering and shipping. Resonating its influence over every industry, Internet of Things (IoT) has the potential to transform and disrupt the chemical sector. Connectivity through IoT devices is gaining traction, whereas product-level sensors on dispensing equipment and barrels are helping manufacturers track their consignments digitally. Through assessment of long-term benefits, chemical companies are capitalizing on digitization by adopting digital platforms & processes that eliminate human error in profit-associated operations.
Manufacturers continue seeking low-priced feedstock in a bid to marginally reduce pre-production costs. Industry leaders are joining forces to replace fossil fuel-derived feedstock with bio-based alternatives. However, concerns related to producing affordable and sustainable feedstock at mass scale remains a challenge. Access to quality and affordable feedstock will continue to remain a focus area for manufacturers. Chemical manufacturing processes are running on limited energy, while volume of feedstock is getting stranded at ports as disapproval from import authorities keeps disrupting supply chains in sectors, such as oleochemicals and petrochemicals industries.
Chemical manufacturers have promised support and adherence to governments & regional authorities that are committing towards green, sustainable initiatives. Development of bio-alternatives is gaining momentum. Research & academic institutes are teaming up with manufacturers to formulate sustainable substitutes for commonly-used chemical substrates. Many companies are keeping a close eye on advancements in “green chemistry.” Shift towards eco-friendly chemicals will gain momentum in the future on the back of government regulations and end-user preference. Rising costs of fossil fuels will also instrument the upsurge for sustainable chemicals manufacturing.
List of factors tracked in the Chemicals and Materials Market Report
PMR utilizes robust methodology and approach to arrive at market size and related projections. The research methodology for this report is based on 3 dimensional model. We conduct about 45-60 min duration detailed interviews with product manufacturers; apart from this we also collect market feedback from industry experts. To validate this data, we interact with senior panel members having more than 10 years of experience in relevant field. The panel members help in validating the findings and fill the gaps if any. In addition, we leverage on our existing pool of information, paid database and other valid information sources available in public domain. Usually industry interactions extend to more than 50+ interviews from market participants across the value chain.
PMR collects data from secondary sources including company annual reports, association publications, industry presentations, white papers, and company press releases apart from these we leverage over paid database subscriptions and industry magazines to collect market information and developments in exhaustive manner. After being done with desk research, detailed questionnaire and discussion guide is formulated to initiate primary research with key industry personnel; the discussion aims at collecting key insights, growth perspectives, prevalent market trends and quantitative insights including market size and competition developments. Both of these research approaches help us in arriving at base year numbers and market hypothesis.
In this phase, PMR validates the data using macro and micro economic factors. For instance, growth in electricity consumption, industry value added, other industry factors, economic performance, growth of top players and sector performance is closely studied to arrive at precise estimates and refine anomalies if any.
Data Analysis and Projection
Data analysis and projections were made based on proprietary research frameworks and statistical analysis, which was further validated from industry participants. These frameworks include Y-o-Y growth projections, macro-economic factor performance, market attractiveness analysis, key financial ratios, and others.
For public companies we capture the data from company website, annual reports, investor presentations, paid databases. While for privately held companies, we try to gather information from the paid databases (like Factiva) and based on the information we gather from databases we estimate revenue for the companies. In addition, the team tries to establish primary contact with the companies in order to validate the assumptions or to gather quality inputs.
Standard Report Structure
Governments in emerging countries are strengthening their guidance to the polyimide industry by increasing emphasis on the sector and extending investments in R&D polyimide fibers. Increasing promotion of research and development of polyimide fiber will reportedly fuel the growth of polyimide fibers market on a global level. The recent past has been seeing improved production process for polyimide fibers, which is another factor foreseen to be supporting market growth in near future.
The global market for polyimide fibers is likely to experience moderate growth between 2018 and 2026. According to a recent study conducted by Persistence Market Research, the global polyimide fibers market will thrive at a CAGR of 5.0% over 2018-2026. In 2017, the market was worth US$ 279.2 Mn and is expected to touch a valuation of US$ 433.6 Mn by the end of 2026.
Power and Utilities to Emerge As Lucrative End-users of Polyimide Fibers
Surging government initiatives for efficient disposal of waste and protecting the environment from polluting and unsustainable practices such as landfilling have led to significant growth in the waste to energy generation industries. According to the World Energy Council, the global waste to energy market was valued at US$25.32 billion in 2013. Waste to energy technologies based on thermal energy conversion is at present one of the leading industries under the power and utilities industry utilizing polyimide fibers. There has been an increase in consumption of polyimide fibers by manufactures of filter bags, which are used in separation of flue gases in the municipal solid waste incinerators. The advantage of using bags made from polyimide fibers is that it provides high thermal stability and resistivity to chemicals. Moreover, the multilobal cross sectional area in these fibers also provides higher specific area for filtration, thus accounting for significant growth.
Advanced features of polyimide fibers also make it a suitable material for being used in the power and utilities sector. Chemical decomposition of fiber starts at 450 degree Celsius, thus ensuring its deployment across high temperature exposed environment. As a result of the high thermal stability, these fibers are progressively being used in manufacturing of filter bags for the filtration of flue gases in municipal waste incinerators, cement plants, steel plants, and coal fired boilers. Moreover, polyimide fibers also provide good chemical stability to solvents such as hydrocarbons, ketones, alcohols amongst others. These fibers also offer high resistance to fat, fuels, and oil.
Chemical Industry to Register Significant Consumption of Polyimide Fibers with Altering Needs
With gushing demand arising from numerous end users, the chemical industry plant owners are increasing their throughput in order to fulfill the demand of their consumers. In order to increase the productivity of plants, major plant owners implementing new process and technological infrastructure. These newly designed process implements the series of chemical processes and mechanism that performs in high pressure and high temperature atmosphere. Conventional filter material used in the chemical industry degrades very fast and shows very less efficacy in these type of HTHP environment. In order to increase the life of filter and reduce operating cost, leading chemical plant owners are using the filter that are made of high performance synthetic fibers such as PI fiber. With a surging number of chemical plants in the globe, the demand for polyimide fiber-based products is also projected to increase over the next few years.