Cellulose Acetate Butyrate (CAB) Market Trend, Opportunity, and Forecast Analysis, 2024-2032

Cellulose Acetate Butyrate (CAB) Market Highlights

The global cellulose acetate butyrate (CAB) market is expected to cross a value of USD 1117.08 million by the end of 2032. The market was valued at USD 825.3 million in 2023 and is expected to expand at a CAGR of 5.1% between 2024-2032.

• Over the mid-term, the growing sales of automobiles is the primary factor anticipated to drive the global cellulose acetate butyrate (CAB) market.
• The fluctuating price of raw materials is a major factor to challenge the market growth.
• The Asia Pacific cellulose acetate butyrate (CAB) market is projected to dominate the global market.

Cellulose Acetate Butyrate (CAB) Market Outlook

The thermoplastic polymer that has been derived from cellulose and is produced through the esterification of cellulose with acetic and butyric acids, is known as cellulose acetate butyrate (CAB) market. CAB is characterized by its transparency, high gloss, toughness, and excellent water resistance properties.

According to our experts at KD Market Insights, one of the primary factors associated with the growth of the global cellulose acetate butyrate (CAB) market is the growing sales of automobiles globally. The International Organization of Motor Vehicle Manufacturers (OICA) stated that the sales of all types of vehicles worldwide touched 92724668 units in the year 2023, up from 79668562 units in the year 2020. CAB is widely used in manufacturing interior trim components of vehicles. The chemical is also used in manufacturing dashboard and instrument panels due to its excellent moldability, impact resistance, and aesthetic properties. Hence, with the growing automotive industry worldwide and the surge in sales of vehicles, the demand for cellulose acetate butyrate (CAB) would also increase, in turn, driving the market growth. Eastman Chemical Company, Dayang Chem (Hangzhou) Co., Ltd., Simagchem Corporation, are some of the significant parties in the global market for cellulose acetate butyrate (CAB).

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Cellulose Acetate Butyrate (CAB) Market Drivers – Analyst’s Observation

According to the analysts at KD Market Insights, some key growth drivers for the global cellulose acetate butyrate (CAB) market are:

• Surge in Adoption of Industrial Coatings: The paints and coatings industry worldwide is growing at a rapid pace. Our researchers estimate that the revenue generated from the paints and coatings industry globally would reach near to USD 282.3 billion by 2032, up from about USD 185.6 billion in 2021. CAB is utilized widely in industrial coatings for metal, wood, and plastic substrates due to its adhesion, chemical resistance, and film-forming properties. Hence, with the growing manufacturing activities globally, the demand for high-performance coatings is also anticipated to increase, creating numerous opportunities for the market growth of cellulose acetate butyrate (CAB).
• Expanding Construction Sector Worldwide: CAB is widely used in construction applications, such as window profiles, pipes, and coatings. CAB possesses properties, such as resistance to UV radiation, weatherability, and durability, for which, the chemical is largely used for making the products used in the construction industry. Hence, with the increasing number of construction activities worldwide, supported by rapid urbanization and infrastructural development programs by the government of nations globally, the demand for construction materials manufactured using CAB is projected to increase, which in turn, is expected to drive the demand for CAB in the coming years.

Which Probable Factors Could Hamper the Growing Cellulose Acetate Butyrate (CAB) Market Trend?

As per our KD Market Insights analysis, some of the challenges expected to limit the global market growth of cellulose acetate butyrate (CAB) are:

• Availability of Low Cost Alternatives: The availability of low-cost alternatives, such as polycarbonate, acrylics, and other thermoplastics, that offers similar or superior properties for certain applications, is expected to hamper the demand for CAB, and restrict market growth.
• Fluctuating Price of Cellulose: Cellulose is derived from wood pulp and the cost of this raw material is known to fluctuate severely. As a result, the overall cost of production of CAB increases due to the fluctuation of the price of the raw materials used in the production process, thereby restricting the market growth.

How is the Global Cellulose Acetate Butyrate (CAB) Market Segmented?

Our experts at KD Market Insights have segmented the global cellulose acetate butyrate (CAB) market as:

What are the Probable Factors Influencing the Asia Pacific Cellulose Acetate Butyrate (CAB) Market Forecast?

The Asia Pacific cellulose acetate butyrate (CAB) market is majorly driven by the presence of a strong chemical manufacturing industry in the region, and for the fact that the region is the world’s largest consumer of different types of chemicals. As per our experts, the Asia Pacific’s chemical industry was valued at around USD 18 billion in the year 2023 and this is expected to grow with a CAGR of about 6% during the forecast period. On the other hand, the growing number of industrial and construction activities in the region, followed by the expanding packaging industry, supported majorly as a result of the growing e-commerce industry, are also poised to generate numerous opportunities for the growth of the market in the region during the forecast period.

As per our analysts at KD Market Insights, the following five players lead the Asia Pacific cellulose acetate butyrate (CAB) market growth:

• Daicel Corporation
• Mitsubishi Chemical Corporation
• LG Chem
• Kolon Industries, Inc.
• Teijin Limited

Which Key Players Top the Global Cellulose Acetate Butyrate (CAB) Market Share?

As per our analysts at KD Market Insights, the competitive landscape of global cellulose acetate butyrate (CAB) market facilitates our readers in identifying their closest competitors. The manufacturers who are associated with cellulose acetate butyrate (CAB) market are raising their focus on expanding their presence, as well as their market share. The market has also been witnessing an upward movement in the number of collaborations between research institutions and key players, aimed at introducing advanced technologies and innovation of new products. Here is a list of the key players who top the global cellulose acetate butyrate (CAB) market share:

• Eastman Chemical Company
• Dayang Chem (Hangzhou) Co., Ltd.
• Simagchem Corporation
• Shandong look chemical Co., Ltd.  
• Daicel Corporation
• Celanese Corporation
• Merck KGaA
• Haihang Industry Co., Ltd
• Unilong Industry Co., Ltd
• Spiratex Company

What are the Recent Developments Observed in the Cellulose Acetate Butyrate (CAB) Market?

Over the years, the experts at KD Market Insights have been observing the recent developments associated with global cellulose acetate butyrate (CAB) market trends. Our expert’s market forecast analysis has recorded the market players adopting plentiful of key strategies including new product launches, mergers & acquisitions, and collaborations.

For instance, Daicel Corporation stated that it has launched a new line of environmentally friendly CAB products derived from sustainable and renewable sources.

Further, Mitsubishi Chemical Corporation stated that it would expand its CAB production capacity in the Asia Pacific region to meet the increasing demand for CAB-based materials across various industries.