Global Caprolactam Market Research Report 2023-Competitive Analysis, Status and Outlook by Type, Downstream Industry, and Geography, Forecast to 2029

Global Caprolactam Market Research Report 2023-Competitive Analysis, Status and Outlook by Type, Downstream Industry, and Geography, Forecast to 2029

Caprolactam, with a chemical formula of C6H11NO and a molecular weight of 113.16, is one of the important organic chemical raw materials. The appearance is white powder or crystal, with oily touch. It is soluble in water, soluble in most organic solvents such as ethanol, ether and chloroform. Most of the caprolactam produced globally is used to make nylon 6. The main purpose is to produce polyamide chips (usually called nylon-6 chips) through polymerization, which are then further processed into nylon fibers, engineering plastics, and plastic films.

Market Overview:

The latest research study on the global Caprolactam market finds that the global Caprolactam market reached a value of USD 12832.6 million in 2022. It’s expected that the market will achieve USD 16944.03 million by 2028, exhibiting a CAGR of 4.74% during the forecast period.

Influence of COVID-19 Outbreak on Caprolactam Industry Development

The COVID-19 epidemic spread to more than 210 countries and regions around the world in three months, affecting nearly 7 billion people. The coronavirus epidemic has impacted all aspects of human health, economic growth, social development, national security, and international relations. It is a comprehensive challenge. The epidemic has drastically reversed expectations of moderate growth in the world economy in early 2020. After the outbreak, the employment situation in various countries has become more severe. Global investors panic, triggering turmoil in the financial and capital markets. The epidemic has caused huge losses to related industries and international trade. From the perspective of the general background, exports, consumption, and investment are driving the economy. After the outbreak of the epidemic, consumption, exports, and investment have all been affected to some extent. Therefore, the global economic downturn is inevitable.

More than one million lives have been lost to COVID-19 since the start of 2020 and the toll continues to rise. Many more have suffered a serious illness. Close to 90 million people are expected to fall into extreme deprivation this year. Compared with the IMF report released in June, the global economic contraction in 2020 will not be as severe as previously predicted. This revision reflects a better-than-expected economic recovery in the second quarter. Global growth is projected at 5.2 percent in 2021, a little lower than in the June 2020 WEO Update, reflecting the more moderate downturn projected for 2020 and consistent with expectations of persistent social distancing. This is the worst global recession in decades, despite the huge efforts of governments with the support of fiscal and monetary policies to deal with the economic downturn. But from a long-term perspective, it is expected that the severe recession caused by the pandemic will cause a prolonged economic depression by reducing investment. Should COVID-19 outbreaks persist, should restrictions on movement be extended or reintroduced, or should disruptions to economic activity be prolonged, the recession could be deeper. Businesses might find it hard to service debt, heightened risk aversion could lead to climbing borrowing costs, and bankruptcies and defaults could result in financial crises in many countries. Under such unfavorable circumstances, there will still be a possibility of a global decline in 2021.

Market Drivers by Application

Caprolactam is used to synthesize nylon 6 fibers and is widely used in textile yarns. For example, it is used to make underwear, socks, shirts, etc. The continuous increase in demand for textile yarns is the main factor driving the development of the caprolactam industry. Nylon 6 has the characteristics of good toughness, strong abrasion resistance, oil resistance, shock resistance, etc., has high mechanical strength and heat resistance, good impact strength, high melting point, and good molding processing performance. Therefore, it is a good choice as a textile yarn. The continuous increase in the demand for textile yarns drives the development of the nylon 6 industry, which is one of the factors driving the development of the caprolactam industry.

Caprolactam synthetic nylon 6 fiber has a wide range of applications as an industrial yarn. Industrial yarns can be used to make tire cords, canvas yarns, parachutes, insulating materials, fishing nets, safety belts, etc. Nylon 6 has excellent wear resistance, excellent dimensional stability, lower dry heat and steam shrinkage, and higher melting point. This makes it widely used in industrial yarns and is favored by users. This has promoted the development of the nylon 6 industry and also driven the development of the nylon 6 raw material caprolactam industry.

Region Overview:

From 2023-2028, Asia-Pacific is estimated to witness robust growth prospects.

Company Overview:

Sinopec is one of the major players operating in the Caprolactam market, holding a share of 12.29% in 2021.

China Petroleum & Chemical Corporation (Sinopec) is a Chinese oil and gas enterprise. Sinopec Limited's parent, Sinopec Group, is the world's largest oil refining, gas and petrochemical conglomerate. Sinopec's business includes oil and gas exploration, refining, and marketing; production and sales of petrochemicals, chemical fibers, chemical fertilizers, and other chemical products; storage and pipeline transportation of crude oil and natural gas; import, export and import/export agency business of crude oil, natural gas, refined oil products, petrochemicals, and other chemicals. It also produces ethanol and several biofuels such as biodiesel and green jet fuel, from waste vegetable oil.

Fibrant is a global manufacturer and supplier of high-quality chemical products and services. Fibrant is headquartered in the Dutch Chemical Center and aims to become the undisputed market leader in the fields of caprolactam, cyclohexanone and ammonium sulfate. EcoLactam ® is their new generation of extraordinary products, with a world-class carbon footprint (CFP). Fibrant serves most of the textile, automotive, food packaging and agricultural value chains through its key business partners. Today, Fibrant is part of HSCC (also known as Highsun Group China).

Segmentation Overview:

Among different product types, Nylon 6 Fibers segment is anticipated to contribute the largest market share in 2028.

Application Overview:

By application, the Textile Yarn segment occupied the biggest share from 2018 to 2022.

Key Companies in the global Caprolactam market covered in Chapter 3:

Domo Chemicals
LANXESS AG
Sumitomo Chemical Co., Ltd.
Capro Co.
UBE Industries, Ltd.
Sinopec
Zakłady Azotowe Puławy
BASF
Fibrant

In Chapter 4 and Chapter 14.2, on the basis of types, the Caprolactam market from 2018 to 2029 is primarily split into:

Nylon 6 Fibers
Nylon 6 Resins
Others

In Chapter 5 and Chapter 14.3, on the basis of Downstream Industry, the Caprolactam market from 2018 to 2029 covers:

Textile Yarn
Industrial Yarn
Engineering Plastics
Carpet Fibers & Staple Fibers

Geographically, the detailed analysis of consumption, revenue, market share and growth rate, historic and forecast (2018-2029) of the following regions are covered in Chapter 8 to Chapter 14:

North America (United States, Canada)
Europe (Germany, UK, France, Italy, Spain, Russia, Netherlands, Turkey, Switzerland, Sweden)
Asia Pacific (China, Japan, South Korea, Australia, India, Indonesia, Philippines, Malaysia)
Latin America (Brazil, Mexico, Argentina)
Middle East & Africa (Saudi Arabia, UAE, Egypt, South Africa)