Mon. Dec 6th, 2021

According to ChemAnalyst report, “Global Nitrobenzene Market: Plant Capacity, Production, Operating Efficiency, Demand & Supply, Technology, End Use, Distribution Channel, Region, Competition, Trade, Customer & Price Intelligence Market Analysis, 2015-2030”, global Nitrobenzene market has shown promising growth in the past few years and is expected to grow at a CAGR of 4.01% during the forecast period owing to its demand in major end use industries for nitrobenzene include construction, appliances, agriculture, automotive, packaging, transportation, industrial insulation etc.

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Nitrobenzene is produced by the direct nitration of benzene with water and concentrated nitric acid and sulphuric acid. Nitrobenzene is a water insoluble, yellowish, oily, aromatic nitro-compound with an almond-like odor that emits toxic fumes of nitrogen oxides upon combustion. Majority of the Nitrobenzene is consumed to produce Aniline which is a precursor to methylene diphenyl diisocyanate (MDI). MDI is further used to produce high performance Plastics, Urethane Polymers such as polyurethane foams & polyurethane elastomers, rubber chemicals etc. About 87% of the aniline produced used to produce MDI. Other applications of Nitrobenzene such as its role in the manufacturing of p-aminophenol, pesticides, dyes, and pigments and as a chemical intermediate or solvent, consumes rest of the amount produced. All these applications are expected to boost the demand growth during the forecast period. 

In 2020, the spread of COVID-19 in major global economies caused nationwide lockdowns which leads to non-functioning of Industries, obstacles in transportation therefore disruption in the demand and value chain. All these factors drastically impacted the overall market that consequently effected the market for Nitrobenzene and its derivatives. However, its surging demand in construction, automotive and chemical sectors are fueling the market for Nitrobenzene globally.

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Region wise, Asia Pacific region holds the major share of global demand for nitrobenzene followed by Europe due to growing demand for commercial and residential construction and investment by the global players in the region because of cheap labor and large consumer base. Expanding production capacities by major aniline and MDI manufacturing companies in recent years is also a major driver for nitrobenzene production and consumption in the region. In 2018, Wanhua Chemical Group has increased its annual aniline production capacity by 180 kilotons, making it one of the largest producers of the chemical worldwide.

According to ChemAnalyst report, Global Nitrobenzene Market: Plant Capacity, Production, Operating Efficiency, Demand & Supply, Technology, Application, End Use, Distribution Channel, Region, Competition, Trade, Customer & Price Intelligence Market Analysis, 2015-2030”, Some of the major players operating global Nitrobenzene market are BASF SE , Aromsyn Co.,Ltd.,  Covestro AG, Dow, China Petroleum & Chemical Corporation (Nanjing Chemical Industrial Corporation), Huntsman International LLC, SP Chemicals Holdings Ltd, Sumitomo Chemical Co., Ltd., Wanhua Corporation, The Chemours Company (DuPont), Wilbur-Ellis Holdings, Inc. (Connell), and others. 

“Owing to the wide range applications of Nitrobenzene comprising Aniline, Polyurethane, Pesticide additive, Dyes, as Chemical Intermediate and Solvent etc. its market has shown a robust growth across the globe. China serves as the major growth region with sufficiently installed capacities for Nitrobenzene production but due to U.S-China trade war, the supply for raw material from the Unites States has been affected that directly impacts the production cycle of the Nitrobenzene and its derivatives. However, the leading chemical manufacturers are investing in other regions such as Indonesia, Vietnam, India and Australia which is likely to expand the Nitrobenzene market in the forecast period.  Growth in construction as well as automotive fuels the demand for Nitrobenzene globally. With new competitors emerging across the Asia Pacific Nitrobenzene market, players anticipate that there will be sufficient supply demand gaps in future. At this, it is extremely important to keep an eye which region will grab the biggest market share in the upcoming years.” said Mr. Karan Chechi, Research Director with TechSci Research, a research based global management consulting firm promoting ChemAnalyst.      

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