Market Trends of Rosin Industry
Growing Demand form Paints and Adhesives
Gum rosin is widely used in adhesives and is expected to be the fastest-growing market during the forecast period.
Adhesives made using gum rosin resins have superior characteristics, like excellent durability, thermal stability, greater polarity, and superior hot tack.
Gum rosin is used as an ingredient when manufacturing paints and coatings. Its application in paints and coatings is growing rapidly because it easily dissolves in turpentine, gasoline, alcohol, and other organic solvents.
The global paints and coatings industry is growing considerably owing to the increasing demand from various end-user industries, such as building and construction, transportation, industrial, and protective.
China's growth is fueled mainly by rapid residential and commercial building expansion. According to the world bank, China is encouraging and enduring a continuous urbanization process, with a projected rate of 70% by 2030.
Also, China's construction output is registering an upward trend. The country's construction output peaked in 2022 at about USD 4.64 trillion (31.2 trillion yuan). As a result, these factors tend to increase the market demand during the forecast period.
With the growing demand for adhesives, paints, and coatings, the rosin market is growing significantly during the forecast period.
Asia-Pacific to Dominate the Market
During the forecast period, Asia-Pacific is expected to dominate the rosin market due to increased demand from countries like China and India.
Rosins are used to produce hot-melt, pressure-sensitive, and rubber adhesives, predominantly used in the construction, packaging, and automotive industry. The growing population and increasing demand for packaging are expected to drive the market.
In paints and varnishes, rosin is used to formulate road markings and other industrial coatings to meet the requirements and reduce residual solvent emissions.
The Indian government will likely invest around USD 1.3 trillion in housing over the next seven years. It is expected to see the construction of 60 million new homes. Hence, boosting the market growth in the paints and varnish segment.
China is the leading manufacturer of gum rosin globally. According to National Development and Reform Commission, China's infrastructure investment increased by 8.7% year over year in the first 10 months of 2022, which is 0.1% more than in the first three quarters, thereby enhancing the demand for the studied market.
Additionally, residential construction is also expected to grow considerably. China's growth is fueled mainly by rapid residential and commercial building expansion. According to the world bank, China is encouraging and enduring a continuous urbanization process, with a projected rate of 70% by 2030.
The above factors and government support contribute to the increasing demand for the rosin market in Asia-Pacific during the forecast period.
