Global Demand for Textile Chemicals to reach $19 Billion in 2012

World demand for textile chemicals is projected to increase 2.8 percent per year to $19 billion in 2012.  Boosting growth will be the rising level of personal income in both developed and developing countries, which will promote the production of textiles used in apparel, upholstery, household furnishings and floor coverings.  While colorants and auxiliaries will remain the biggest product segment, faster gains will be seen in finishing chemicals, which impart specific aesthetic, physical and functional properties to textiles.  The Asia/Pacific region, China and India in particular, will continue to be the largest consumer of textile chemicals, and is also forecast to experience the fastest growth. These and other trends, including market share and product segmentation, are presented in World Textile Chemicals, a new study from The Freedonia Group, Inc., a Cleveland-based industry research firm.

Textile finishing chemicals are expected to post the strongest gains through 2012, continuing a decade-old trend.  While generally not necessary to the actual production of textile goods, finishing chemicals allow garment makers and other manufacturers of textile products to differentiate their products. 

The replacement of natural fibers with less expensive, better performing manmade alternatives in many market applications will limit demand somewhat for reactive, vat and direct dyes, as well as sizing and preparation chemicals, which are more commonly used in the processing of natural fibers.  Nonetheless, natural fibers will continue to constitute a large share (almost 38 percent) of fiber demand and provide some opportunities, especially for higher-value non-chlorine bleaching agents and other products such as finishing chemicals. 

Following established trends seen over the past decade, the Asia/Pacific region will increase its share of global textile chemical demand, with over 60 percent of global textile chemical demand in 2012, up from 41 percent in 1997.  China is by far the largest single consumer in the world and one of the fastest growing markets.  India will also post strong increases, but demand levels will remain well below that of China.  Together, these two countries are expected to account for over 90 percent of overall demand gains for both textile fibers and chemicals between 2007 and 2012. 

The Freedonia Group is a leading international business research company, founded in 1985, that publishes more than 100 industry research studies annually. This industry analysis provides an unbiased outlook and a reliable assessment of an industry and includes product segmentation and demand forecasts, industry trends, demand history, threats and opportunities, competitive strategies, market share determinations and company profiles.