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Nylon Market to Reach $32 Billion by 2022, Says Beroe Inc

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News provided by

Beroe Inc.

19 Feb, 2019, 14:00 GMT

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RALEIGH, North Carolina , Feb. 19, 2019 /PRNewswire/ -- The global market for nylon is expected to grow at a CAGR of 5 percent until 2022, according to Beroe Inc, a procurement intelligence firm. The market for nylon manufacturing is principally driven by automobile, electronics, packaging, and CPG (consumer packaged goods) industries.

The US is the world's largest producer of nylon 6,6 and holds nearly 39 percent of the global capacity, whereas it yields nearly 10 percent of the global capacity for nylon 6 production. On the other hand, Asia occupies the highest share in the nylon market in terms of the number of suppliers as compared to the U.S. and European markets. With major players in the U.S. region for nylon 6,6 production, Asian suppliers' hold a small share in the market and their combined volume production is lower than the U.S.

https://www.beroeinc.com/category-intelligence/nylon-market

Beroe, which is based in North Carolina, further stated that procurement experts can access this report on its recently launched market intelligence platform Beroe LiVE: live.beroeinc.com

Nylon is considered to be a major contributor to the innovation of light-weight parameters, particularly in the automobile industry. For every 10 percent weight reduction in the vehicle, the fuel performance is enhanced by 5 - 10 percent, which is a key driving factor for the nylon market. A major constraint for the nylon market is the threat of substitutes such as ET and other resins, which are currently more in demand with their varied applications in most CPG industries.

Based on the cost structure analysis, raw materials account for the major production cost for nylon, which is higher in Asia (80 percent) as compared to Europe (62 percent) and the U.S. (68% percent). The major raw materials used in the production of nylon are caprolactam, benzene, and adipic acid. Considering the low raw material cost, low labor costs, utility costs, and ample supply, Asia offers a better cost margin for a CPG player.

Key Findings:

  • With the arrival of light-weight and fuel-efficient vehicles bringing in cost reduction, the nylon market is looking to collaborate with nylon producers, Tier-1 suppliers, and OEMs to obtain a better market share.
  • Amongst the top regions, Asia has the largest capacity share of 57 percent and 5.3 MMT/year capacity, which is driving the nylon market.
  • Tier-1 raw material caprolactam and Tier-2 benzene market dynamics display strong differences to the manufacturing of nylon. Any disruption in the caprolactam and a benzene supply chain can transpire into supply chain constraints for nylon.
  • The growing demand for 3D printers has given rise to the demand for the 3D plastic printing market, which is expected to reach nearly $700 million by 2020.
  • BASF is the leading player in the nylon industry with a strong footprint in the U.S. and Europe. The company caters to both grades of nylon, i.e., nylon 6 and nylon 6,6.

The research methodology adopted for the report included:

  • Experts with twenty years of domain experience
  • Interaction with buyers
  • Inputs from supply chain partners

The best industry practices followed in the nylon market is the fixed contract models, wherein the margins are calculated through the cost price model. The margin percentage can be negotiated, and the buyer can profit from it if he knows the cost model and the profit margin of the seller. However, the buyer may not benefit in case of price fluctuation in the nylon market.

The report also includes:

Market Analysis:

  • Global Market Size: Nylon
  • Global Capacity - Demand Analysis
  • Global Demand by Application
  • Global Market Outlook
  • Global Trade Dynamics -
    • Global Imports
    • Global Exports
  • Regional Market Outlook (US, Europe, and Asia)
    • Supply - Demand Trends and Outlook
    • Trade Dynamics

Industry Analysis:

  • Industry Outlook (U.S., Europe, and Asia)
    • Porter's Five Forces Analysis
    • Industry Drivers and Constraints
    • Industry Updates
    • Innovations

Cost & Pricing Analysis:

  • Cost Analysis (U.S., Europe, and Asia)
    • Cost Structure Analysis
    • Price Forecast: Nylon

Supplier Analysis:

  • Global Capacity Share by Suppliers
  • Global Capacity Addition by Suppliers
  • Regional Capacity Share
  • Exhaustive Supplier List
  • Key Global Supplier Profiles
  • SWOT Analysis for Global Suppliers
  • Financial Risk for Top Five Global Suppliers (if publicly listed)

Industry Best Practices:

  • Contract Structures
  • Engagement Models

About Beroe Inc.:

Beroe's unique business model involves providing market intelligence and analytics to the procurement teams of businesses across the globe. Beroe leverages its deep domain expertise in 300 + categories across 14 industries. It boasts of more than 80 of the Fortune 500 companies as its clients.

To learn more about Beroe Inc, please visit http://www.beroeinc.com

Media Contact:
Debobrata Hembram
debobrata.hembram@beroe-inc.com

Related Links

http://www.beroeinc.com

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