The global toluene diisocyanate (TDI) market derives much of its revenue from the wide-ranging applications of TDI in various end-use industries. The market is poised to witness moderate growth in the global arena in the near future. According to a research report published by Transparency Market Research, the market stood at US$6.72 billion in 2014. Developing at a CAGR of 4.8% between 2015 and 2023, it is likely to reach a value of US$10.27 billion by 2023.
Overall, the market is growing at a moderate pace, but some of the regional markets are slated to witness impressive development in coming years. Let’s take a look:
North America: Rise in Polyurethane Industry to Accelerate TDI Market
The toluene diisocyanate (TDI) market in North America is experiencing moderate growth. However, the emergence of various end-use industries such as rigid foam, flexible foam, adhesives, coatings, and many others where TDI is highly applicable is stimulating the market significantly.
The effect of the recent economic recession is still evident in North America, owing to which the demand for TDI has remained stagnant for some time. However, strong demand from the rising automotive industry is helping the market keep a steady pace.
This regional market is poised to exhibit robust growth in the forthcoming years. The significant rise of the polyurethane industry and the superior quality of TDI-based flexible foam are the key growth drivers of this market and are expected to fuel the demand for TDI in the near future.
Browse Market Research Report of Toluene Diisocyanate Market:
Europe: Increasing Application in Electronics Fueling TDI Market
The market for toluene diisocyanate in Europe is one of the major markets of TDI across the globe. Currently, the regional market is exhibiting a rapid development owing to the rising application of TDI in end-use markets including adhesives and sealants, rigid foam, flexi foam, elastomers, coatings, and others. The increase in the application of TDI in the electronics and construction industries is driving the European market for TDI.
Germany, Italy, Spain, and France are the key domestic markets for toluene diisocyanate in Europe. The rise in demand for TDI from these nations is expected to propel this regional industry in the forthcoming years.
Asia Pacific: China Registering Exceptional Growth
The toluene diisocyanate market in Asia Pacific dominates the global industry. In 2014, it accounted for almost 40% of the overall market in terms of both volume and revenue. The regional market produced 897.5 kilo tons of TDI in 2014. Analysts expect it to reach a total volume of 1,380.3 kilo tons till 2023, developing at a 4.9% CAGR between 2015 and 2023.
In the near future, the TDI market in Asia Pacific is expected to maintain its dominant position on account of the increase in infrastructure expenses, giving a boost to the construction and electronics industries. The polyurethane foam market is the biggest consumer of TDI in this region, which is also adding to the market growth to a great extent.
Browse Press Release of Toluene Diisocyanate Market:
The major domestic markets in Asia Pacific are India, China, and Japan. Among these, China has acquired the leading position. The rigid and flexible foam industries are the biggest consumers of TDI in China. The easy availability of land, skilled workforce, and less expensive raw materials has made China the most lucrative market for TDI. Apart from production, the Asian nation also leads the market as a consumer, thanks to the rise in the domestic demand for TDI from the construction, electronics, and automotive industries.