Global Phenolic Resins Market By Product (Novolac, Resol, and Other Products), By Application (Wood Adhesives, Insulation, Molding, Laminates, Coatings, Paper Impregnation, and Other Applications), By Region and Companies - Industry Segment Outlook, Market Assessment, Competition Scenario, Trends and Forecast 2022-2032

Phenolic Resins Market Overview:

In 2021, the valuation of the Global phenolic resins market was USD 12,319 million. It is expected to grow at a CAGR of 5.7% during the forecast period 2023-2032.

Global Phenolic Resins Market:

Application Analysis

Based on their application, the market for phenolic resins can be divided into wood glues, mold, insulation, paper impregnation, and laminates. Wood adhesives have exceptional water resistance, water dilution ability, excellent moisture resistance, and weather resistance. This has led to a flurry of wood adhesives being used in various industries. The Asia Pacific is expected to be the largest market in wood adhesives because of the increase in disposable income.

Molding components are used in many industries including electrical & electronics, household applications, automobile commutators, and automotive commutators. Because of their excellent dimensional stability, these compounds can be used to manufacture electrical equipment as well as kitchenware. This will drive up demand for molding resins in the near future.

Because of China’s rapidly expanding petrochemical sector, the molding resins segment is among the fastest-growing. This is increasing demand for molding in the Asia Pacific. The market is also experiencing bulk trading, production, and distribution of petrochemical derivatives because of low crude oil prices. This will in turn encourage the market’s growth over the next few years.

Numerous prominent companies involved in the phenolic resins industry have begun adopting strategies to sustain annual growth and minimize the effect of lower oil prices. This trend is expected to boost the performance of the phenolic resins as well as propel the demand for various molding activities in the future.

Product Analysis

The market can be divided into novolac or resole. Resoles can be further split into liquid and solid resins. Novolac resins accounted for 49.95% of the total market volume. Due to their superior properties (e.g. solvent resistance, hardness, and heat), they are expected to be in high demand. Also driving growth is the rise in North American countries’ electrical and electronic industries.

With a CAGR of 4.2%, resole resins are expected to be the fastest-growing product over the forecast period. This market is expected to grow owing to increased construction spending by developing economies like the Asia Pacific.

Also, repairs and remodeling are growing in popularity. This is reducing the use of resoles in the construction industry in developing regions. Products with innovative properties that have been discovered are likely to satisfy the changing consumer requirements and increase the market growth.
Many substrates are protected from the corrosive chemicals by the impermeable nature of phenolic resins. The market will also be boosted by the addition of modified resins of phenolic, cyanate ester resins, and benzoxazine phenolic.

Key Market Segments:

Product

• Novolac
• Resol
  • Liquid Resol
  • Solid Resol
• Other Products

Application

• Wood Adhesives
• Insulation
• Molding
• Laminates
• Coatings
• Paper Impregnation
• Other Applications

Market Dynamics:

There is an increase in the demand for rubber and friction material in transportation, which has led the market to be interested in lightweight and durable phenolic compounds.

The most significant technological innovation in the aerospace industry was the development of a heat shield for SpaceX’s Dragon Capsule. This is a Phenolic Impregnated Carb Ablator (PICA). This allows capsules to be reused for future missions. The raw material permits safe returns of cargo, crew, as well as spacecraft, to Earth, despite the high temperatures.

The U.S. market offers exceptional growth potential because of the existence of highly developed industries, advanced processing technologies, and advanced processing. This has led to an acceleration in R&D efforts and compelling new product launches. The U.S. is home to many automobile manufacturers that are strongly inclined toward new domestic costs by moving production facilities to the U.S. from other developed economies.

Novolac resins are being used more frequently due to the U.S. automotive market recovering and increased sales. To meet strict emission guidelines, manufacturers rely heavily on lightweight composites and bonding agents. It is being used extensively in abrasive adhesives, carbon binders, and insulation. This is increasing its demand in the end-use industries.

The rise in the use of engineered timber products is causing domestic manufacturing to grow. These laminates are expected to reap lucrative opportunities due to the U.S. economic recovery. Also, phenolic resins are widely used in the production of decorative and industrial laminates for construction.
Prices for phenolic resins are under pressure due to the increased supply from emerging nations like China. This has limited the market’s growth in recent years. However, phenolic reduces vehicle weight and helps to reduce the emission of CO2. This increases demand for phenolic in foams, as well as other car products.

Regional Analysis:

The Asia Pacific accounted for the highest share of 42.5%. This growth can be attributed to the rapid expansions of end-use industries, such as construction, consumer goods, and automobiles. The region is also predicted to develop bio-based feedstock for the production of phenolic resins. This is expected to increase the industry’s dynamic in the near future.

North America and Europe will see an increase in the production of automobiles. This will boost the demand for phenolic resins in many applications like abrasives and adhesives. This will drive market growth in the coming years by increasing R&D spend and identifying key players.

The MEA market is also seeing wide-ranging R&D initiatives. This has made the region one of the fastest-growing to meet the rising domestic demands. This will result in a positive impact on the market. Market growth will be aided by technological innovation and a rise in disposable income.

Latin America has seen improved political stability recently, which has resulted in a strong economy for investments. It is expected that Latin America will continue to grow at the fastest rate over the forecast period. This region is investing in various sectors to meet export demand, including consumer electronics. The availability of low-cost technologies and labor will benefit phenolic resins.

Key Regions and Countries covered іn thе rероrt:

• North America
  • US
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Russia
  • Spain
  • Rest of Europe
• APAC
  • China
  • Japan
  • South Korea
  • India
  • Rest of Asia-Pacific
• South America
  • Brazil
  • Argentina
  • Rest of South America
• MEA
  • GCC
  • South Africa
  • Israel
  • Rest of MEA

Market Share Analysis:

Market leaders are inclined to identify natural products and byproducts as raw materials. They are most often derived from biomass feedstock. These companies have invested huge amounts in R&D activities, innovations, and other business activities to gain traction.

BASF SE has just modernized and expanded its Korea plant, which will nearly double the current production capacity for phenolic resins in Ludwigshafen. The industry will also see other companies expanding their reach into developed countries, which will allow it to grow tremendously over the forecast period.

Key Market Players:

• Owens Corning
• Hexcel Corp.
• DIC Corporation.
• BASF SE.
• Arizona Chemical Company LLC.
• Ashland Inc.
• Hitachi Chemical Co. Ltd.
• Georgia Pacific Chemicals.
• Other Key Players

For the Global Phenolic Resin Market research study, the following years have been considered to estimate the market size: