Chemical Distribution Market Size & Share to Surpass $394.4 Billion by 2030 | Vantage Market Research

WASHINGTON, Sept. 29, 2023 (GLOBE NEWSWIRE) -- Global Chemical Distribution Market is valued at USD 248.9 Billion in 2022 and is projected to reach a value of USD 394.4 Billion by 2030 at a CAGR (Compound Annual Growth Rate) of 6.8% over the forecast period 2023-2030.

One of the most significant economic areas is the Chemical Distribution business, and consistent expansion is projected going forward. Despite the industry's turmoil, numerous things could affect its development or demise. This study assesses both the current trends and the anticipated future changes to provide a full insight of the sector. Additionally, it provides details on the significant industry players and their expansion strategies.

The report provides a thorough analysis of international producers and suppliers, as well as their current situation and future prospects. It also goes into detail about the global drivers of the demand for Chemical Distribution, including rising investment requirements, developing technology, and new laws.
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Market Overview

According to Vantage Market Research, some of the key factors anticipated to accelerate the Chemical Distribution market growth over the forecast period. One of the main factors that favorably affect the demand for Chemical Distribution is the increasing demand for chemicals in various end-use industries such as construction, automotive, electronics, and pharmaceuticals. In addition, as the global economy continues to grow, the need for chemicals is also increasing, as chemicals are used in producing several consumer goods and industrial products.

The rise in technological advancements and the need for cost-effective and efficient distribution models are also driving the growth of the global chemical distribution market. The expansion of the chemical industry, particularly in emerging markets such as China and India, has also contributed to the growth of the chemical distribution market. Collaborative efforts between manufacturers and distributors to provide customized chemical solutions and services have created new opportunities for market growth. The increasing use of e-commerce platforms for chemical distribution is also a significant trend in the market.

The Asia Pacific Chemical Distribution market is witnessing significant growth due to the growing demand for specialty and functional chemicals across various industries like oil and gas, pharmaceutical, construction, and agriculture. Furthermore, rapid industrialization, urbanization, and population growth in countries like China and India are driving the growth of the chemical distribution market. In addition, the increasing focus on environmental safety and sustainability is also bolstering the market's growth. Moreover, the development of advanced logistics and distribution channels in the region is further propelling the market's growth.

Top Players in the Global Chemical Distribution Market

  • Brenntag AG
  • Univar Solutions Inc.
  • Azelis
  • IMCD
  • Omya AG
  • Helm AG
  • Jebsen & Jessen Pte. Ltd.
  • Stockmeier Group
  • Ashland
  • Biesterfeld AG

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Market Dynamics

Growing Demand for Specialty Chemicals to Drive Market Growth:
The demand for specialty chemicals is increasing worldwide due to their enhanced functionality and unique characteristics. These chemicals are used in various applications, such as electronic devices, food and beverage, oil and gas, and personal care products. The expansion of these end-use industries increases the demand for specialty chemicals, which drives the growth of the chemical distribution market.

Emerging Economies to Impact Market Growth:
Rapid urbanization and industrialization in emerging economies are driving the growth of the global chemical distribution market. As these countries continue to modernize, their need for raw materials and chemicals for various industries also increases. In addition, the expanding middle-class population in these regions also drives demand for different consumer products, increasing the demand for chemicals utilized in their production.

Environmental Concerns:
Environmental concerns related to the use of chemicals have resulted in strict regulations for the manufacturing and distribution of chemicals. To comply with such regulations, chemical distributors invest in sustainable business practices, such as recycling and reducing waste and emissions. Companies are also adopting green chemistry practices to minimize the use of toxic and hazardous materials in the production of chemicals.

Top Trends in Global Chemical Distribution Market

  • One trend that Vantage Market Research (VMR) expects to see in the Chemical Distribution industry is the shift towards digitalization, as distributors start offering online services ranging from e-commerce platforms to digital logistics management systems. This trend is also set to benefit from increased automation and global supply chain integration.
  • Another trend that VMR predicts will continue in the Chemical Distribution industry is the growing emphasis on sustainability and eco-friendliness. Chemical distributors invest in sustainable supply chain practices, including renewable energy sources and eco-friendly packaging solutions.

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Top Report Findings

  • Based on the Product, the Commodity Chemicals segment in the global chemical distribution market refers to distributing basic industrial chemicals that are widely traded and have a low-profit margin. Some common commodity chemicals include sulfuric acid, caustic soda, and methanol. This segment is highly competitive due to low product differentiation and standardized products. However, large economies of scale and established distribution networks allow some companies to maintain a competitive advantage.
  • Based on the End-Use, the Commodity Chemicals category controls most of the Chemical Distribution market's revenue. The Commodity Chemicals segment in the end use of the global chemical distribution market comprises several chemicals produced in large quantities and used mainly for industrial and manufacturing purposes. These chemicals include acids, bases, solvents, salts, and fertilizers. The demand for Commodity Chemicals is largely driven by the growth in various end-use industries such as agriculture, construction, automotive, and packaging. The segment is expected to grow due to increasing demand for these chemicals in emerging economies such as China and India.

Specialty Chemicals Category in Chemical Distribution Market to Generate Over 34.5% Revenue

Specialty chemicals are a major and growing segment of the global chemical distribution market. Specialty chemicals refer to chemicals that are used for specific applications and have unique composition and performance characteristics. Specialty chemicals are used in various industries, including agriculture, electronics, healthcare, automotive, and construction.

Due to increasing demand from various industries, the global specialty chemicals market is projected to grow significantly over the coming years. In addition, the need for specialty chemicals is driven by rising disposable incomes, increasing urbanization, and a growing population. Therefore, as the global economy grows, so does the demand for specialty chemicals.

Specialty chemicals have unique properties that make them valuable in many applications. For example, specialty chemicals can be tailored to have specific optical, thermal, and mechanical properties, making them a popular choice for many industries. Additionally, specialty chemicals are often designed to resist specific chemicals or have a specific reaction with certain substances.

The distribution of specialty chemicals is becoming more complex as the industry grows. As a result, distributors add value by providing technical support and consultation services, supply chain management, financing, and logistics. These services help to differentiate distributors and add value to their customers.

The Asia Pacific region is expected to be the largest market for specialty chemicals due to the increasing demand for electronic devices, automotive, and construction materials. In addition, the growing focus on sustainability and environmental regulations is also expected to drive the growth of the specialty chemicals segment.

Browse market data Tables and Figures spread through 150 Pages and in-depth TOC on Chemical Distribution Market Forecast Report (2023-2030).             

Global Chemical Distribution Market Segmentation

By Product

  • Specialty Chemicals (CASE, Agrochemicals, Electronic, Construction, Specialty Polymers & Resins, Personal Care & Pharmaceuticals, and Other Specialty Chemicals)
  • Commodity Chemicals (Plastic & Polymers, Synthetic Rubber, Explosives, Petrochemicals, and Other Commodity Chemicals)

By End-Use

  • Specialty Chemicals (Automotive & Transportation, Construction, Agriculture, Industrial Manufacturing, Consumer Goods, Textiles, Pharmaceuticals, and Other Specialty Chemical End-uses)
  • Commodity Chemicals (Downstream chemicals, Textile, Electrical & Electronics, Automotive & Transportation, Industrial Manufacturing, and Other Commodity Chemicals End-uses))

By Region

  • North America
  • Europe
  • Asia Pacific
  • Latin America
  • Middle East & Africa

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Scope of the Report:    

Report AttributesDetails
Market Size in 2022USD 248.9 Billion
Revenue Forecast by 2030USD 394.4 Billion
CAGR6.8% from 2023 to 2030
Base Year2022
Forecast Year2023 to 2030
Key PlayersBrenntag AG, Univar Solutions Inc., Azelis, IMCD, Omya AG, Helm AG, Jebsen & Jessen Pte. Ltd., Stockmeier Group, Ashland, Biesterfeld AG
Customization OptionsCustomized purchase options are available to meet any research needs. Explore customized purchase options

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