The global benzyl chloride industry size is expected to reach USD 87.1 Million in 2030 and register a revenue CAGR of 4% over the forecasted period. Rising demand for the chemical for the medication of skin and increasing adoption of benzyl chloride in paints and coatings are some of the key drivers expected to boost market revenue growth during the forecasted period. The increasing use of benzyl chloride in polishes and inks is expected to bolster revenue growth of the benzyl chloride market soon.
Uses of Benzyl Chloride
The chemical helps to eliminate the unpleasant odor from the products and gives a mild fragrance, which has aggravated its use in widespread applications. Benzyl chloride is also used to improve the consistency and texture of the products, leading to rising demand for it. This is expected to drive the market's revenue growth in the coming days. Benzyl is also used as a degreasing agent for polyamide dyeing and as a bonding agent, thereby increasing the demand for benzyl chloride. Additionally, increasing usage of benzyl chloride in paints and coatings is also expected to boost the market's revenue growth.
Key Benzyl Chloride Market Trend
The increasing use of benzyl chloride in personal care products will fuel the global benzyl alcohol market growth. Benzyl chloride is used as a preservative in beauty products and cosmetics such as sunscreens, shampoos, body lotions, soaps, and hair care solutions. It is derived from organic sources and is therefore in high demand. Growing focus on skin and hair has also boosted the demand for natural products. Increasing consciousness about the side effects of parabens and silicones is driving the demand for benzyl chloride in face creams, eye shadows, wrinkle-free creams, and other night creams. Such factors will increase the demand for the global benzyl alcohol market during the period mentioned earlier.
The key factors contributing to rising toluene prices are:
Toluene prices, a key raw material for manufacturing benzyl chloride, are witnessing an upward trend.
1. The rising demand for downstream paints, adhesives, glues, and so on.
2. The prolonged and ongoing Russia-Ukraine conflict has led to a rise in crude oil prices, which has subsequently affected the prices of benzyl chloride and its derivatives.
3. Benzyl chloride price in the Asia-Pacific area is witnessing a rise as a result of plants shutdown in China, up streaming the crude prices, and Taiwan's CPC force majeure on benzyl chloride cargoes.
4. The lockdown in China has resulted in a tight supply of the product in the regional market, pushing up benzyl chloride prices even higher.
5. The EU and US ban on Russian oil has led to a tremendous increase in giving a rise to crude prices and feedstock benzene, affecting the toluene market in the EU and, in turn, benzyl chloride prices. The situation will deteriorate further if the Russia-Ukraine conflict does not halt soon.
Competitive Landscape
The global market comprises various market players operating at global and regional levels. These key actors are adopting various strategies such as license agreements, R&D investments, partnerships, collaborations, merger and acquisitions, and joint ventures to increase robust footing in the market. This statistical study of the benzyl chloride market encompasses business strategies deployed by the key vendors. The benzyl chloride market is fragmented and the vendors are deploying growth strategies such as deploying inorganic and organic growth strategies to stand strong in the market.
Conclusion:
The price of benzyl chloride will be continuing to rise in the coming months due to an increasing demand from downstream industries and a lack of a significant drop in petroleum prices.