Wax Market Size By Product (Petroleum And Mineral [Paraffin, Microcrystalline], Synthetic [GTL Waxes, Polymer Waxes], Natural [Bees Wax, Vegetable Wax]), By Application (Candles, Packaging, Wood & Fire-logs, Rubber, Adhesive, Cosmetics) Industry Analysis Report, Regional Outlook, Application Potential, Price Trends, Competitive Market Share & Forecast, 2017 – 2024

Wax Market Size

Global Wax Market size was greater than USD 8.06 billion in 2016 and is likely to witness 3.0% CAGR during the forecast timespan.
 

Rapidly growing cosmetics industry across the globe will drive the wax market growth over the forecast period. The product is widely used as base materials in various cosmetic formulations; hence, it is an important constituent of cosmetics. It provides a medium for delivery of active ingredients with consistent regulating function. It also possesses skin-care properties. Growing cosmetics industry owing to the increasing awareness regarding various product benefits coupled with rising trend of online shopping will fuel the product demand in coming years. Increasing awareness regarding physical appearance coupled with rapid urbanization in Asia Pacific and Middle East & Africa expected to accelerate the cosmetics market growth over the forecast timespan. The product demand for cosmetics is projected to grow with a CAGR of about 3% and will generate the revenue over USD 1 billion by 2024. This healthy growth in the cosmetics industry is expected to boost the product demand during the forecast time period.
 

Adhesive was the one of the fastest growing application segments in wax market in 2016 and forecast to grow with a healthy CAGR coming years. Rapidly growing construction industry in Asia Pacific and Middle East shall drive the adhesive demand during the forecast timespan. Growing investments in infrastructure development by the countries such as China and India are likely to propel the product demand in adhesive segment in the foreseeable future. For instance, China is investing heavily in the infrastructure in Asia and Europe by its Belt and Road initiative, through Belt and Road initiative China is expected to invest over USD 1 trillion in infrastructural development Asia and Europe to increase connectivity. This gigantic infrastructure investment shall boost the adhesive market growth in coming years.
 

Wax Market Analysis

Synthetic was second largest and fastest growing product segments in 2016 and shall exhibit the same growth numbers over the forecast period. Synthetic product is manufactured by high-pressure or low-pressure polymerization and gas-to-liquid process technology. Major types of it includes GTL and polymer. Polymer wax is highly used in adhesives and protective coating in automotive industry. Increasing automotive and construction industry in Asia Pacific expected to fuel the wax market share in coming years. These product types may have same basic composition; however, changing production process yield products with different properties. The major players use different production techniques to develop application specific products. Demand for synthetic wax is gaining momentum, as synthetic product type resembles petroleum-based product in properties and can practically replace the latter in major applications.
 

in spite of small market share, wood & fire logs are one of the fastest growing application. This segment is also expected to grow at a swift pace over the forecast period. Wax is used as a fuel fully consumes fire-logs, leaving little ash to clean up. However, increasing restriction on wood cutting owing to the rising environmental awareness across the globe may hamper the wax market demand in wood & fire logs industry at some extent over the forecast period.
 

Rubber was another prominent application segment in 2016 and forecast to grow with a significant CAGR in near future. Product is used in the UV and ozone protection systems in the manufacture of rubbers. Flexibility and adaptable molecular structure of product makes it ideal for usage in protection systems. Growing automotive industry in Asia Pacific will fuel the rubber demand for tire manufacturing, which ultimately expected to boost the product demand over the forecast period.

Asia Pacific was the largest as well as the fastest growing region in wax market share and shall grow with a CAGR 3.7% during the forecast timespan. High growth in the end-use industries in Asia Pacific lead to high growth. Rapidly growing construction industry in the region owing to the increasing urbanization and per capita income shall fuel the product demand over the forecast period. Moreover, low product prices and high production in the region due to easy availability of the raw material such as ethylene, HDPE, LDPE and coal is likely to fuel the product demand in coming years. Europe accounted over 26% wax market in 2016 and expected to grow with a CAGR over 2.5% in years to come. Candle was the major application segment in the region. Luxurious lifestyle owing to high disposable income were fueling the candles demand from past several years.
 

Wax Market Share

A number of multinational behemoths are operating in the industry.: Majority of the companies operating in the wax market share are petroleum companies as they have easy access to raw material. Major companies operating in the industry includes:

• Exxon Mobil Corporation
• China National Petroleum Corporation (CNPC)
• Sasol
• The International Group, Inc
• Lukoil Company
• Petroleo Brasileiro S.A. (Petrobras)
• Total S.A
• Sinopec Limited
• Royal Dutch Shell Plc

Industry Background

Wax is manufactured by both petroleum derivatives as well as natural oil and vegetables. Bio-based wax demand from past few years growing with a rapid CAGR owning to the globally increasing environmental awareness..Moreover, volatility in petroleum prices and supply constraints due to the political turmoil in the Middle East expected to drive the bio-based wax demand in coming years. Bio-based wax market demand in cosmetics industry is growing with a prominent CAGR from past few years owing to the increasing application in the skincare products. However, due to the low-price petroleum-based product is likely to register higher CAGR compared to the bio-based or natural alternatives in coming years.