Caustic Soda Market Expected to Reach USD 59.36 Billion by 2028
Caustic Soda Flakes in a Storage Facility
With widening applications and post-COVID market recovery, the caustic soda market value is projected to grow by 3.3% CAGR and reach USD 59.63 Billion by 2028 according to Vantage Market Research.
The global chemical industry accounts for nearly 40% of caustic soda consumption. Caustic soda is a fundamental requirement for several industries, including pulp and paper, alumina, glass manufacturing, textiles, soap and detergents, water treatment, and more.
The market is observing rising demand for two reasons, notably more than other factors. First, caustic soda is increasingly being required in the chlorinated methanes and solvents along with plastics and PVCs.
Secondly, the major players in the Chemical industry, which include China, India, Germany, the United States, and Singapore, are expected to raise both consumption and demand for caustic soda in the projected period.
The Vantage Market Research shows that major chemical manufacturing companies in these countries plan to expand the caustic soda production capacities significantly.
Another underlying factor in the rising demand is the swift industrialization of emerging economies, especially in Southeast Asia.
Post-Covid Caustic Soda Market
Covid induced lockdowns severely affected chemical manufacturers around the globe. From complete shutdowns in the initial Covid days to the following economic crisis and the 2nd, 3rd, and 4th waves, the commercial roll-out of the chemical to many dependent industries was delayed.
However, the 2nd half of 2022 is expected to get things back on the growth track as companies and raw and manufactured materials supply are restored to pre-Covid conditions. Such stability, coupled with the rising demand, as mentioned above, justifies the growth projection of the caustic soda market value.