Market Trends of North America Metal Cleaning Chemicals Industry
This section covers the major market trends shaping the North America Metal Cleaning Chemicals Market according to our research experts:
Increasing Usage in the Transportation Industry
- Metal cleaning chemicals are widely adopted in the transportation industry as it prevents any damage to metal parts, thereby increasing the life of vehicles. The ability to protect ferrous and non-ferrous metal parts in the automotive industry after the manufacturing process in both indoor and outdoor applications is one of the key factors boosting the demand for metal cleaning chemicals during the forecast period.
- Increasing investments in environment-friendly metal cleaners coupled with rapid technology improvements are expected to drive the demand for metal cleaner chemicals in the coming years. Furthermore, the high proficiency in cleaning and protecting equipment that is widely used during specific seasons of the year may positively impact the market studied.
- As per the OICA, the United States had the second-largest automotive production base in the world, with a production of 9.17 million units in 2021, registering an increase of 4% compared to 8.82 million units produced in 2020. The production of automobiles in 2021 was 16% lower compared to 2019. Automotive production is far lower compared to the pre-COVID-19 levels. However, the automotive production capacity is anticipated to regain its growth rate.
- In addition, the United States is the second-largest market for electric vehicles. According to the EV Volumes, in 2021, the country's total plug-in vehicles accounted for around 6,56,900 units, registering a growth rate of nearly 100% compared to 2020.
- Furthermore, electric vehicles are likely to penetrate the North American market at a rate of 10% by 2025 and 30% by 2030, as per the report of the Bank of America.
- Canada is the fifth-largest automobile producer in the world and holds a prominent share of global automotive vehicle production. Canada produced roughly 1.12 million cars and light trucks in 2021, registering a decline of 19% compared to 2020. However, according to EV Volumes, Canada sold about 66,800 electric vehicles in 2021, registering a 42.5% increase compared to annual sales recorded in 2020. Canada has a progressive rate for EV sales, with 10% by 2025, 30% by 2030, and 100% by 2040.
- Furthermore, Canada ranks first in civil flight simulation, third in civil engine production, and fourth in civil aircraft production globally. It is the only nationally ranked in the top five of all the key categories. The Canadian aerospace industry exports over 70% of its products to over 190 countries across six continents.
- Owing to all these factors, the market for metal cleaning chemicals is likely to grow in the North American region during the forecast period.
Understand The Key Trends Shaping This Market
Download PDF
The United States to Dominate the Market
- The United States has the largest aerospace industry in the world. Strong exports of aerospace components to countries, such as France, China, and Germany, along with robust consumer spending in the United States, have been driving the manufacturing activities in the aerospace industry.
- Moreover, the number of General Aviation Fleets in the United States is projected to reach 204,590 by the end of 2022, compared to 204,405 in 2021, as per the Federal Aviation Administration. Also, the United States mainliner carrier fleet is expected to grow at a rate of 54 aircraft per year due to the aging of the existing fleet.
- The country houses major automakers producing and exporting vehicles to other economies in the Americas, Europe, and the Asia-Pacific. As per the National Automobile Dealers Association (NADA), the total value of the car and automobile manufacturing market in the United States was USD 82.6 billion in 2021. Moreover, according to the IEA, in the United States, the federal aim is for electric vehicles (EVs) to make up 50% of new passenger cars and light trucks sold by 2030.
- The pharmaceutical sector in the United States is by far one of the most advanced sectors in the country. The increasing geriatric population and the growing requirement for pharmaceutical products to treat chronic diseases have been supporting the growth of the metal-cleaning chemicals market.
- The United States electronics market is the largest in the world in terms of size, acting as one of the leading potential zones for the market studied. There is a significant increase in the number of manufacturing plants and development centers in the United States, primarily due to the focus on developing high-end products.
- In the United States, the rapid pace of innovation in terms of the advancement of technologies and R&D activities in the electronics industry is driving the demand for newer and faster electronic products. According to the Consumer Technology Association, the retail revenue from consumer electronics/technology sales in the United States was estimated at USD 461 billion in 2021, compared to USD 442 billion in 2020. The growth in sales is an estimation of enhanced consumption of metal cleaning chemicals from the electronics segment of the country.
- More than 10 large petrochemical projects are under construction in the country, with a combined value of over USD 207 billion. The government is planning to come up with more new projects, including Mad Dog Phase 2, Herschel, and Manuel, which may further impact the demand for the metal cleaning chemicals market.
- Due to all such factors, the market for metal cleaning chemicals in the country is expected to have steady growth during the forecast period.
Get Analysis on Important Geographic Markets
Download PDF
