Global Tetrahydrofuran (THF) Market - 2022-2029

Global Tetrahydrofuran (THF) Market - 2022-2029

Market Overview

The global tetrahydrofuran (THF) market size was worth US$ XX million in 2021 and is estimated to record significant growth by reaching up to US$ XX million by 2029, growing at a CAGR of XX% within the forecast period (2022-2029).

The chemical compound tetrahydrofuran (THF), often known as oxolane, has the formula (CH2)4O. The chemical is a cyclic ether and is classed as a heterocyclic compound. It's a colorless organic liquid that's water-miscible and has a low viscosity. It is mostly utilized as a polymer precursor. THF is a versatile solvent since it is polar and has a wide liquid range.

Furthermore, THF is primarily made up of 1, 4-Butanediol. It is primarily employed as a polymer precursor and solvent in the Grignard process. Because of the growing need for PTMEG, tetrahydrofuran (THF) is gaining popularity. The global market for tetrahydrofuran is also being pushed by the improving economies of emerging countries (THF).

Tetrahydrofuran is produced via several different techniques (THF). Furfural can make tetrahydrofuran (THF) through a carbonylation and hydrogenation process. Through catalytic hydrogenation, tetrahydrofuran (THF) can also be made from maleic anhydride. However, dehydration and cyclization of 1, 4-butanediol is the most widely recognized method of producing Tetrahydrofuran (THF). The dichloro-butane approach and the butadiene oxidation method are two other ways to make Tetrahydrofuran (THF).

Market Dynamics

Tremendously increasing demand for tetrahydrofuran (THF) for polytetramethylene ether glycol (PTMEG) manufacturing. Rising demand for THF as a solvent reaction medium and starting material for various syntheses in the chemical industry.

Tremendously increasing demand for tetrahydrofuran (THF) for polytetramethylene ether glycol (PTMEG) manufacturing

Tetrahydrofuran (THF) is widely used in producing polytetramethylene ether glycol (PTMEG), which is used as a chemical in producing polyurethanes. It is predicted to increase at the fastest rate throughout the forecast period.

More than 65% of the world's tetrahydrofuran is used to make PTMEG, primarily to produce spandex and polyurethanes. The market for tetrahydrofuran in the forecast period is projected to be driven by the growing demand for spandex in the textile industry.

Spandex is a polyurethane-based synthetic fabric that is 85% polyurethane by weight. Spandex is a segmented polymer with alternating hard and stretchy polyurethane segments. Spandex is frequently utilized for THF’s exceptional properties to provide additional comfort and elasticity in women's clothes, swimsuits, casual wear and sports materials. It offers strong abrasion resistance, superior strength and homogeneity. As a result, its demand is rising, strengthening the market under consideration. For instance, according to Cotton Incorporated, in 2020, 28% of Americans believe spandex is a highly safe clothing material, while 27% believe it is very comfortable. Thus growing THF application in spandex manufacturing is expected to create future opportunities for the product to grow in the forecast period.

Rising demand for THF as a solvent reaction medium and starting material for various syntheses in the chemical industry

THF is an intermediate nylon-6,6 and is employed as a solvent in organic synthesis and chromatographic analysis, boosting the market growth for the product across the globe. It's also utilized as a precursor in producing synthetic pesticides like fenbutatin. It's used to make synthetic fibers, resins and rubber and is a solvent for various polymeric compounds. Surface coatings, anti-corrosion coatings and printing inks all employ it. THF is used in the pharmaceutical sector to make carbetapentane, rifamycin, progesterone and certain hormone medicines.

Furthermore, THF is frequently used as a solvent in many pharmaceutical synthesis methods because of its broad solubility for polar and nonpolar molecules. THF has the ability to dissolve a wide range of ionic species and organometallics, which are often utilized in specialty syntheses. THF allows for improved yields and faster reaction speeds in several circumstances. THF's high volatility and purity make it easy to remove and recover the solvent without leaving residues in the target result.

THF is widely used as a solvent at research institutions worldwide for various chromatographic procedures, including Gel Phase Chromatography. It has a wide range of solvency qualities that are constantly dependable. THF's broad solvency capabilities are consistently reliable. Other examples of THF utilization as a solvent includes natural products, elastomers, polyurethane coatings, industrial resins and printing ink.

THF offers various side effects on human health and acts as a primary restraint for the market growth

Tetrahydrofuran can harm human health if inhaled or passed through the skin. Tetrahydrofuran should be treated as a carcinogen and handled with extreme caution. THF contact can irritate and burn the skin and eyes, perhaps causing eye injury. Dryness, cracking and a rash can result from repeated skin contact.

Furthermore, breathing tetrahydrofuran can cause coughing, wheezing and shortness of breath by irritating the nose, throat and lungs. Tetrahydrofuran can produce dizziness, nausea and headaches. Extremely high levels of exposure to THF can result in unconsciousness and death. Tetrahydrofuran also has the potential to harm the liver and kidneys. Tetrahydrofuran is a dangerous fire hazard and a flammable liquid that poses a major challenge for THF growth.

COVID-19 Impact Analysis

COVID-19 had a negative impact on the market in 2020. India, China, Italy, France, Poland, UK, South Africa and New Zealand were among the countries that fell under lockdown in 2020. Furthermore, the polymer, textile, paints and coatings industries were badly damaged by the restrictive mass quarantines imposed by the coronavirus.

The construction industry has also been damaged, as employees have avoided project sites, lowering demand for paints and coatings and, as a result, lowering the tetrahydrofuran market. Construction workers in India are being kept away from job sites, halting over 20,000 active projects.

In addition, COVID-19 negatively influenced the petrochemical sector, impacting the polymer business. COVID-19 has a detrimental impact on the tetrahydrofuran industry because of all these considerations.

Segment Analysis

The global tetrahydrofuran (THF) market can be segmented on technology, application and region.

The high production efficiency of the reppe process, the safety associated with this process andthe low investments required to carry out the reppe process boost the segment's demand.

The global tetrahydrofuran (THF) market is segmented based on technology into the reppe process, davy process, propylene oxide process and butadiene process. The reppe process segment, among technologies, is expected to lead the THF market in terms of volume throughout the forecast period.

Dehydration of 1,4-butanediol in the presence of an acidic catalyst was achieved using the Reppe process. Acetylene and formaldehyde react to produce 2-butyne-1,4-diol, subsequently hydrogenated to produce 1,4-butanediol. The saturated diol is rearranged into a ring by acid catalysis at high temperatures to generate tetrahydrofuran.

The high production efficiency of the reppe process, the safety associated with this process, the low investments required to carry out the reppe process, its suitability for mass production of tetrahydrofuran and the low number of steps involved in this process are all factors contributing to the incremental growth of the reppe process segment of the tetrahydrofuran (THF) market.

Furthermore, because low-cost raw materials are readily available, the butadiene process segment of the THF market is expected to develop at the fastest CAGR in terms of volume during the forecast period.

Geographical Analysis

The growth of the THF market in China, India and various North and South Asian countries can be attributed to their flourishing textile, automotive, packaging and chemical industries.

Due to increased demand from countries such as China, India and Japan, the Asia-Pacific region will likely dominate the tetrahydrofuran market during the forecast period.

The market is expected to be driven by the rising textile sector in emerging economies such as China and India during the forecast period. According to the National Bureau of Statistics of China, China's retail trade revenue for apparel, shoes, headwear and knitwear reached 152.66 billion yuan in December 2020, up 3.8% from the previous year. The Chinese government has invested US$ 8 billion in Xinjiang to make it a textile and clothing industry hub.

By 2030, China's northwest area is predicted to become the country's largest textile production base. Rising per capita income, favorable demographics and a shift in preference for branded products all help to enhance demand for the textile industry in India, which benefits the market under study. The textile sector in India is expected to reach US$ 220 billion by 2025, according to the IBEF.

Apart from the textile sector, THF is mostly utilized as a solvent in pharmaceutical manufacturing processes, with minor applications in paints & coatings, adhesives and magnetic tapes. THF is used as a reaction medium in the Grignard synthesis process and to produce cough serum, rifamycin, progesterone and other hormone medicines in the pharmaceutical sector. India's pharmaceutical business accounts for 20% of global supply by volume and ranks third worldwide manufacturing volume. The market for THF is likely to be driven by rising demand and the expansion of pharmaceutical businesses.

According to the government of India, the Indian pharmaceutical sector is predicted to reach USD 130 billion in market size by 2030. In combination with government backing, the factors above drive growing demand for tetrahydrofuran (THF) in Asia-Pacific over the projection period.

Competitive Landscape

The global tetrahydrofuran (THF) market is highly competitive with local and global companies. Some prime companies contributing to the market's growth are INVISTA, Sipchem, Penn A Kem, Mitsubishi Chemical, BASF, Dairen Chemical, Ashland, LyondellBasell, Nova Molecular Technologies, BioAmber and others.

The major companies are adopting several growth strategies such as acquisitions, product launches and collaborations, contributing to the global growth of the tetrahydrofuran (THF) market.

In March 2015, BASF SE offered its first bio-based Polytetrahydrofuran 1000 (PolyTHF 1000) BASF. The quality of the bio-based PolyTHF 1000 is identical to that of the petrochemical-based version.

BASF SE

Overview: BASF SE develops chemistry for a long-term future. The BASF Group's approximately 122,000 people work to help the clients succeed in nearly every sector and country on the planet. Chemicals, materials, industrial solutions, surface technologies, nutrition & care and agricultural solutions are the six segments that make up the company’s offering. In 2018, BASF SE made roughly €63 billion in sales.

Product Portfolio:

THF Pharma Non-stab: THF (tetrahydrofuran) is an organic solvent that belongs to the (cyclic) ethers family. It's a colorless, water-miscible liquid that smells like ether. THF is a polarity-independent solvent for organic compounds and a reaction medium or starting material in various syntheses. BASF is the world's largest provider of THF. With a yearly production capacity of 290,000 metric tonnes, the corporation manufactures this intermediate in Europe, NAFTA and Asia.

Key Development

In 2020, BASF SE will increase butanediol and derivatives prices, including THF, in Europe

Why Purchase the Report?
• Visualize the global tetrahydrofuran (THF) market segmentation by technology, application and region, highlighting key commercial assets and players.
• Identify commercial opportunities in the tetrahydrofuran (THF) market by analyzing trends and co-development deals.
• Excel data sheet with thousands of global tetrahydrofuran (THF) market-level 4/5 segmentation points.
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• Product mapping in excel for the key product of all major market players

The global tetrahydrofuran (THF) market report would provide approximately 53 market data tables, 43 figures and 210 pages.

Target Audience 2022
• Service Providers/ Buyers
• Paints & Coating Companies
• Research Laboratory
• Manufacturers
• Textile & Carpet companies
• Distributors