Global Wax Market – Industry Trends and Forecast to 2029

Wax Market Analysis and Size

Over the last few years, the wax market has grown steadily.  The increasing demand of wax in several industries due to its superior properties such as good water repellence, high gloss and outstanding chemical resistance. Paraffin wax is one of the most commonly extracted waxes as a by-product from the oil industry. Paraffin product type is generally used in the formulation of candles because it has unique property to retain both colour and scent for an extremely long duration. 

Data Bridge Market Research analyses that the wax market was valued at USD 10.47 billion in 2021 and is expected to reach USD 13.65 billion by 2029, registering a CAGR of 3.37% during the forecast period of 2022 to 2029. In addition to the insights on market scenarios such as market value, growth rate, segmentation, geographical coverage, and major players, the market reports curated by the Data Bridge Market Research also include in-depth expert analysis, geographically represented company-wise production and capacity, network layouts of distributors and partners, detailed and updated price trend analysis and deficit analysis of supply chain and demand.

Wax Market Scope and Segmentation

Market Definition

Waxes are member of organic compounds, which are hydrophobic and malleable solids at ambient temperatures. It contains higher alkanes and lipids. These alkanes are insoluble in water but soluble in nonpolar organic solvents. Many wax products such as natural, mineral and synthetic wax are formed from petroleum-based products such as natural gas and base oil, chemicals such as polyethylene, and animals and plants.

Global Wax Market Dynamics

Drivers

• Rising demand from the pharmaceutical sector

People in developing and developed countries have changed their preferences from synthetic to bio-based or green products because of their health and wellbeing concerns. As a result of this, numerous cosmetics and personal care product manufacturers have begun to produce bio-based products. The bio-based waxes such as beeswax, carnauba wax and candelilla wax, among others, are replacing paraffin and synthetic wax in cosmetic and personal care product manufacturing company which is expected to drive the growth of the market.

• Growing demand for synthetic wax

Synthetic wax is significant part of several industries such as plastic, paints & coatings, and adhesive. The demand for the paints and adhesives is anticipated to upsurge due to the growth of the building & construction industry. Growth of several end-use industries is also expected to drive the demand for the synthetic wax market, eventually boosting the market growth rate.

Furthermore, increasing wax demand from applications such as tire and rubber as well as coating and polishes, food, pharmaceutical and personal care industries are likely to enhance the market growth. Also, increasing acceptance of synthetic waxes along with growing demand for renewable products and eco-friendly are also anticipated to flourish the growth of the target market. 

Opportunities

• Growing demand for candles

Use of wax candles has become a vital household essential. Candles are available in several shapes, sizes and product range such as utility, birthday, taper, teal light container to novelty candles. These are used for many purposes such as aromatherapy for stress reduction and relaxation and home decor. The high share of wax market is mainly due to the increasing demand for aromatherapy through scented candles. As per the report of National Candle Association, around 7 out of 10 households use scented candles as home fragrance products and candles for stress-related therapies. The market is characterized by the ease of purchase and availability of various candles through many distribution channels. The growing demand for candles for several purposes, mainly for aromatherapy, is anticipated to create numerous opportunities for market growth.

Restraints/ Challenges

• Volatility in the price of raw materials

The fluctuations in feedstock prices and increasing cost of bio-based and synthetic waxes are some major factors which will act as the major limitation for the wax market growth during the forecast period of 2022-2029. Moreover, the decreasing use of fossil-based wax in the packaging industry and availability of other alternatives are also some other factors which will further restraint the market growth rate.

This wax market report provides details of new recent developments, trade regulations, import-export analysis, production analysis, value chain optimization, market share, impact of domestic and localized market players, analyses opportunities in terms of emerging revenue pockets, changes in market regulations, strategic market growth analysis, market size, category market growths, application niches and dominance, product approvals, product launches, geographic expansions, technological innovations in the market. To gain more info on the wax market contact Data Bridge Market Research for an Analyst Brief, our team will help you take an informed market decision to achieve market growth.

Impact and Current Market Scenario of Raw Material Shortage and Shipping Delays

Data Bridge Market Research offers a high-level analysis of the market and delivers information by keeping in account the impact and current market environment of raw material shortage and shipping delays. This translates into assessing strategic possibilities, creating effective action plans, and assisting businesses in making important decisions.

Apart from the standard report, we also offer in-depth analysis of the procurement level from forecasted shipping delays, distributor mapping by region, commodity analysis, production analysis, price mapping trends, sourcing, category performance analysis, supply chain risk management solutions, advanced benchmarking, and other services for procurement and strategic support.

COVID-19 Impact on Wax Market

The outbreak of the COVID-19 epidemic has severally affected the growth of the global wax market. The wax market saw a decline in the economic growth in almost several major countries, thus affecting customer spending patterns. The shutdown and lockdown imposed by the government in many countries, national and international transport have significantly disrupted the supply chain of product and raw materials in many industries overall the globe. Thus, insufficiency in raw material supply is anticipated to obstruct the manufacturing rate of wax, which has negatively impacted the growth of the wax market.

Recent Development

• In August 2021, Sasol Ltd signed a deal with DKSH Management Ltd (Switzerland) for the distribution, marketing and logistics of chemicals and wax products in the European market,
• In March 2021, Calumet Specialty Products Partners acquired Paralogics, LLC (U.S.), a producer of candle and industrial wax mixtures, and now has a formulating and blending capacity of 20 million pounds/year.

Expected Impact of Economic Slowdown on the Pricing and Availability of Products

When economic activity slows, industries begin to suffer. The forecasted effects of the economic downturn on the pricing and accessibility of the products are taken into account in the market insight reports and intelligence services provided by DBMR. With this, our clients can typically keep one step ahead of their competitors, project their sales and revenue, and estimate their profit and loss expenditures.

Global Wax Market Scope

The wax market is segmented on the basis of product type, industry and application. The growth amongst these segments will help you analyze meagre growth segments in the industries and provide the users with a valuable market overview and market insights to help them make strategic decisions for identifying core market applications.

Product Type

• Paraffin Waxes
• Microcrystalline Waxes
• Gas-to-liquids (GTL) Waxes
• Polymer Waxes
• Fischer-Tropsch Waxes
• Vegetable Waxes
• Animal & Insect Waxes
• Other Waxes

Industry

• Plastic & Rubber
• Adhesives & Sealants
• Paper & Paperboard
• Building and Construction
• Inks & Coatings
• Packaging
• Pharmaceuticals
• Cosmetics & Toiletries Industry
• Automotive
• Firelogs

Applications

• Candles
• Rheology/Surface Applications
• Polish
• Cosmetics
• Rubber
• Soap Wax
• Hot-melt adhesive
• Other Applications

Wax Market Regional Analysis/Insights

The wax market is analysed and market size insights and trends are provided by country, product type, industry and application as referenced above.

The countries covered in the wax market report are U.S., Canada and Mexico in North America, Germany, France, U.K., Netherlands, Switzerland, Belgium, Russia, Italy, Spain, Turkey, Rest of Europe in Europe, China, Japan, India, South Korea, Singapore, Malaysia, Australia, Thailand, Indonesia, Philippines, Rest of Asia-Pacific (APAC) in the Asia-Pacific (APAC), Saudi Arabia, U.A.E, South Africa, Egypt, Israel, Rest of Middle East and Africa (MEA) as a part of Middle East and Africa (MEA), Brazil, Argentina and Rest of South America as part of South America.

Asia-Pacific dominates the wax market in terms of revenue and market share. This is due to the high demand for wax because of growing technological developments which has impelled the demand for adhesives in this region.

North America is anticipated to be the fastest developing region during the forecast period of 2022-2029  due to the strong presence of cosmetics and personal care product manufacturing companies in this region.

The country section of the report also provides individual market impacting factors and changes in market regulation that impact the current and future trends of the market. Data points like down-stream and upstream value chain analysis, technical trends and porter's five forces analysis, case studies are some of the pointers used to forecast the market scenario for individual countries. Also, the presence and availability of global brands and their challenges faced due to large or scarce competition from local and domestic brands, impact of domestic tariffs and trade routes are considered while providing forecast analysis of the country data.   

Competitive Landscape and Wax Market Share Analysis

The wax market competitive landscape provides details by competitor. Details included are company overview, company financials, revenue generated, market potential, investment in research and development, new market initiatives, global presence, production sites and facilities, production capacities, company strengths and weaknesses, product launch, product width and breadth, application dominance. The above data points provided are only related to the companies' focus related to wax market.

Some of the major players operating in the wax market are:

• BASF SE (Germany)
• Clariant (Switzerland)
• Numaligarh Refinery Limited (India)
• Trecora Resources (U.S.)
• Indian Oil Corporation Ltd (IOCL) (India)
• Goyel Chemical Corporation (India)
• Nippon Seiro Co., Ltd. (Japan)
• AVERY DENNISON CORPORATION (U.S.)
• Marcusoil (U.S.)
• Mitsui Chemicals, Inc., (Japan)
• 3M (U.S.)
• Sika AG (Switzerland)
• Honeywell International Inc.,(U.S.)
• Westlake Corporation (U.S.)
• CPCL (India)
• Innospec (U.S.)

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