June 13, 2024

The Global Vinyl Acetate Monomer Market Is Driven By Growing Construction Industry

Vinyl acetate monomer (VAM) is a colorless liquid that is widely used as a comonomer in the production of polyvinyl acetate and other copolymers. Polyvinyl acetate is used in various adhesive formulations, textiles, and paper coatings due to its characteristics like flexibility, toughness, durability and resistance to moisture. It also finds applications as a binder in the production of fiberglass insulation and concrete. Rising infrastructure development and construction activities have been driving the demand for products like fiberglass and concrete, thereby boosting the need for vinyl acetate monomer.

The global Vinyl Acetate Monomer Market is estimated to be valued at US$ 10.78 Bn in 2023 and is expected to exhibit a CAGR of 13% over the forecast period from 2024 to 2031.

Market key trends:

One of the major trends in the vinyl acetate monomer market has been the development of bio-based and sustainable alternatives. Concerns regarding greenhouse gas emissions and depleting crude oil reserves have been prompting researchers to develop renewable and eco-friendly substitutes. For instance, glycerol, a by-product of biodiesel production, is being investigated as a promising bio-based raw material for producing VAM and related copolymers. Additionally, adoption of green synthesis techniques like enzyme catalysis is also gaining attention from industry players for manufacturing VAM from biomass-derived feedstocks. Such environmental-friendly production methods are expected to shape the future landscape of this market over the coming years.

Porter’s Analysis

Threat of new entrants: The threat of new entrants in the vinyl acetate monomer market is moderate as it requires high capital investments and technological expertise to operate effectively. However, the availability of new production technologies may lower the entry barriers over time.

Bargaining power of buyers: The bargaining power of buyers is moderate due to the availability of substitutes. However, established buyer relationships and necessary buyer specifications reduce the threat.

Bargaining power of suppliers: The bargaining power of suppliers is moderate as the key raw materials for vinyl acetate monomer production are easily available. However, fluctuations in raw material prices impact production costs.

Threat of new substitutes: The threat of substitutes is low as vinyl acetate monomer has established applications and there are no direct substitutes that offer the properties it provides. However, continual R&D may lead to new substitutes.

Competitive rivalry: The competitive rivalry in the market is high due to the presence of numerous international and regional players. However, strategies around cost control, product differentiation and capacity expansions have kept competition largely healthy.

Key Takeaways

The Global Vinyl Acetate Monomer Market size is expected to witness high growth over the forecast period. The global traditional wound management market is estimated to be valued at US$ 2397.09 Mn in 2024 and is expected to exhibit a CAGR of 6.7% over the forecast period 2024-2031.

Regional analysis: The Asia Pacific region currently dominates the vinyl acetate monomer market and is expected to continue its dominance owing to high production and consumption in countries such as China and India. The Central & South America region is also anticipated to offer lucrative opportunities with the increasing industrial activities in the region.

Key players: Key players operating in the vinyl acetate monomer market are Celanese Corporation, Dairen Chemical Corporation, Japan VINYL ACETATE MONOMER & POVAL Co. Ltd., Kuraray Co. Ltd., LyondellBasell Industries, Ningxia Yinglite Chemical Co., Ltd., China Petroleum & Chemical Corporation (Sinopec Corp.), The Dow Chemical Company, Wacker Chemie AG. Celanese Corporation is one of the leading producers with significant market share in North America. Dairen Chemical Corporation has a strong presence across Asia.

*Note:
1.      Source: Coherent Market Insights, Public sources, Desk research
2.      We have leveraged AI tools to mine information and compile it