Launch of Nylon 6 Products and Increasing Demand for Personal Protective Gear Made From Nylon to Augment Growth of Adipic Acid Market

 

Adipic acid is the organic compound, which is insoluble in water. It is used as a precursor for the production of nylon, polyurethane, and PVC. In small amounts, it is also used as a food ingredient as a flavoring agent and gelling aid.

Market Dynamics

Launch of nylon 6 products is expected to propel growth of the global adipic acid market. For instance, in August 2020, Nylstar, a textile technology company based in Blanes, Spain, launched yarn made from Invista recycled nylon 6,6 polymer with global recycled standard certification.

Emergence of Covid-19 is expected to offer lucrative growth opportunities for players in the global adipic acid market. For instance, globally, as of 9:47am CET, 13 January 2021, there have been 90,054,813 confirmed cases of COVID-19, including 1,945,610 deaths, reported to the World Health Organization. The pandemic has led to increasing demand for personal protective gear made from Nylon 6. In April 2020, Invista Kingston announced that the company’s Nylon 6,6 to be used to make medical gowns.

However, increasing concerns over greenhouse gas emission is expected to hinder growth of the global adipic acid market. Production of adipic acid leads to emissions of nitrous oxide, a potent greenhouse gas and cause of stratospheric ozone depletion. Increase in prices of adipic acid is also expected to aid in growth of the market. For instance, in December 2020, Lanxess increased its prices for adipic acid to US$ 109.59 per metric ton.

The global adipic acid market is witnessing several M&A activities. For instance, in February 2020, Lanxess completed the acquisition of Itibanyl Produtos Especiais Ltda, a Brazil-based biocide manufacturer.

Competitive Landscape

Major players operating in the global adipic acid market include, Asahi Kasei Corporation, Ascend Performance Materials Inc., BASF SE, Invista, Lanxess Ag, PetroChina Liaoyang Petrochemical, Radici Group, Rhodia, Shandong Haili Chemical Industry Company Ltd., and Shandong Hongye Chemical Company, Ltd., Rennovia Inc.

Major players operating in the global adipic acid market are focused on R&D of more cost-effective and environmentally friendly synthesis of adipic acid derivatives. For instance, in February 2020, Evonik, a specialty chemicals company, and catalysis research institute Leibniz Institute for Catalysis (LIKAT), successfully achieved the first direct carbonylation of 1,3-butadiene. The carbonylation breakthrough paves the way for more cost-effective and environmentally friendly synthesis of industrially important adipic acid derivatives.