| Study Period | 2019 - 2030 |
| Market Volume (2025) | 4.50 Million tons |
| Market Volume (2030) | 5.08 Million tons |
| CAGR | 2.46 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | Asia Pacific |
| Market Concentration | Low |
Major Players*Disclaimer: Major Players sorted in no particular order |
Phthalic Anhydride Market Analysis
The Phthalic Anhydride Market size is estimated at 4.50 million tons in 2025, and is expected to reach 5.08 million tons by 2030, at a CAGR of 2.46% during the forecast period (2025-2030).
Due to the COVID-19 outbreak, nationwide lockdown around the globe, disruption in manufacturing activities and supply chains, and production halts negatively impacted the market in 2020. However, the conditions started recovering in 2021, restoring the market's growth trajectory during the forecast period.
- In the medium term, the increasing construction activities in Asia-Pacific are likely to stimulate the phthalic anhydride market in the forecast period.
- On the other hand, the harmful effects of phthalates due to their toxicity and the development of bio-based alternatives to phthalic anhydride are likely to hinder the market growth.
- Increasing use of glass fiber-reinforced polymers and capacity expansion for phthalic anhydride derivatives are projected to act as an opportunity for the market in the future.
Phthalic Anhydride Market Trends
Alkyd Resin to Emerge as One of the Fastest-growing Applications
- By application, alkyd resins contribute to approximately 20% of the global phthalic anhydride market. Phthalic anhydride has been considered a major reference resin used to manufacture alkyd resin-based paints and coatings.
- Alkyd resins are produced by heating polyhydric alcohols with diacids or their anhydrides. The alkyd coatings are the most highly consumed coatings across the world. They can be available as short-oil, medium-oil, long-oil, and ultra-long alkyd resins. Long-oil alkyd resins have good wood penetration properties. Thus, they are suitable for wood stains.
- Moreover, these resins are widely used to produce high-performance materials, like solvent-based architectural coatings. Paints and coatings, with excellent anti-corrosive properties, can be prepared by long-oil alkyd resins that are modified with maleic anhydride and phthalic anhydride.
- In September 2021, Axalta announced that it broke ground to construct a state-of-the-art coatings facility in Jilin City, Jilin Province, North China. The 46,000-square-meter new plant will produce mobility coatings for light vehicles, commercial vehicles, and automotive plastic components.
- In May 2021, PPG announced the completion of a USD 13 million investment in its Jiading, China, paint and coatings facility, including eight new powder coating production lines and an expanded Powder Coatings Technology Center. The expansion will increase the plant's capacity by more than 8,000 metric tons annually.
- Factors, such as the growing consumption of alkyd resins in developing economies due to the rising paints and coatings industry, increase the demand for the phthalic anhydride market.
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Asia-Pacific Region to Dominate the Market
- China and India are the largest consumers of phthalic anhydride in the Asia-Pacific region, and the demand is expected to grow further, in the coming years, due to several factors.
- With decreasing prices of naphthalene and low operating costs involved in the production, the manufacturing capacity of phthalic anhydride is also increasing in these countries.
- According to the ITC trade map, South Korea is the largest exporter of phthalic anhydride, exporting 178 thousand tons. In contrast, India is the largest importer with an import quantity of 132.7 thousand tons, followed by China with 47 thousand tons.
- According to The Plastics Export Promotion Council (PLEXCONCIL), India's plastics export increased by 55% to USD 3,417 million (cumulative value) in April-June 2021 compared to USD 2,211 million in April-June 2020.
- Additionally, China is the largest consumer of plastics in the global scenario. According to the National Bureau of Statistics of China, about 7.95 million metric tons of plastic products were produced in December 2021, compared with 7.32 million metric tons in November 2021, thus augmenting the phthalic anhydride market.
- Furthermore, in November 2021, Asian Paints announced plans to invest USD 127 million in the Gujarat plant, India, to expand paints manufacturing capacity from 130,000 kilo liters to 250,000 kilo tons in the next two to three years.
- Also, the Asia-Pacific region is the largest automotive manufacturing hub, registering almost 60% production share of the world. According to OICA, in the first nine months of 2021, the total production of vehicles stood at 32.67 million units, an increase of 11% compared to the same period last year.
- Hence, the aforementioned factors are expected to drive the consumption of phthalic anhydride for various applications during the forecast period.
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Phthalic Anhydride Industry Overview
The phthalic anhydride market is fragmented, with a large number of global and local players. The major players (not in any particular order) in the phthalic anhydride market are I G Petrochemicals Limited, LANXESS, Aekyung Chemical Co. Ltd, ExxonMobil Corporation, and BASF SE, among others.
Phthalic Anhydride Market Leaders
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I G Petrochemicals Limited
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LANXESS
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Aekyung Chemical Co. Ltd
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Exxon Mobil Corporation
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BASF SE
- *Disclaimer: Major Players sorted in no particular order
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Phthalic Anhydride Market News
- In November 2021, I G Petrochemicals Ltd. (IGPL) board approved the brownfield expansion of phthalic anhydride with a capacity of 53,000 MTPA. The total project cost for brownfield expansion is INR 345 crore.
- In February 2021, The Board of I G Petrochemicals approved the greenfield expansion of Phthalic Anhydride up to 80,000 MTPA & its Derivatives in Gujarat with a capital outlay of INR 600 crore.
Phthalic Anhydride Industry Segmentation
The phthalic anhydride market is segmented by application, end-user industry, and geography. By application, the market is segmented into plasticizers, alkyd resins, unsaturated polyester resins, and other applications. By end-user industry, the market is segmented into automotive, electrical and electronics, paints and coatings, plastics, and other end-user industries. The report also covers the market size and forecasts for the phthalic anhydride market in 15 countries across major regions. For each segment, the market sizing and forecasts have been done based on volume (kilo tons).
| Application | Plasticizers | ||
| Alkyd Resins | |||
| Unsaturated Polyester Resins | |||
| Other Applications (fire retardant, insecticides) | |||
| End-user Industry | Automotive | ||
| Electrical and Electronics | |||
| Paints and Coatings | |||
| Plastics | |||
| Other End-user Industries (chemical, agriculture) | |||
| Geography | Asia-Pacific | China | |
| India | |||
| Japan | |||
| South Korea | |||
| Rest of Asia-Pacific | |||
| North America | United States | ||
| Canada | |||
| Mexico | |||
| Europe | Germany | ||
| United Kingdom | |||
| Italy | |||
| France | |||
| Rest of Europe | |||
| South America | Brazil | ||
| Argentina | |||
| Rest of South America | |||
| Middle-East and Africa | Saudi Arabia | ||
| South Africa | |||
| Rest of Middle-East and Africa | |||
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Phthalic Anhydride Market Research FAQs
How big is the Phthalic Anhydride Market?
The Phthalic Anhydride Market size is expected to reach 4.50 million tons in 2025 and grow at a CAGR of 2.46% to reach 5.08 million tons by 2030.
What is the current Phthalic Anhydride Market size?
In 2025, the Phthalic Anhydride Market size is expected to reach 4.50 million tons.
Who are the key players in Phthalic Anhydride Market?
I G Petrochemicals Limited, LANXESS, Aekyung Chemical Co. Ltd, Exxon Mobil Corporation and BASF SE are the major companies operating in the Phthalic Anhydride Market.
Which is the fastest growing region in Phthalic Anhydride Market?
Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2025-2030).
Which region has the biggest share in Phthalic Anhydride Market?
In 2025, the Asia Pacific accounts for the largest market share in Phthalic Anhydride Market.
What years does this Phthalic Anhydride Market cover, and what was the market size in 2024?
In 2024, the Phthalic Anhydride Market size was estimated at 4.39 million tons. The report covers the Phthalic Anhydride Market historical market size for years: 2019, 2020, 2021, 2022, 2023 and 2024. The report also forecasts the Phthalic Anhydride Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.
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Phthalic Anhydride Industry Report
Statistics for the 2025 Phthalic Anhydride market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Phthalic Anhydride analysis includes a market forecast outlook for 2025 to 2030 and historical overview. Get a sample of this industry analysis as a free report PDF download.
