Market Trends of Xanthates Industry
This section covers the major market trends shaping the Xanthates Market according to our research experts:
Rising Mining Activities Across the Globe
- For any economy to sustain and function well, it requires an unobstructed supply of raw materials under fair market conditions. Even though there is an abundance in the availability of minerals, geopolitical or economic disorders can lead to disruptions in the supply of mineral resources. Therefore, with the rise of global economies, the mining sector is anticipated to show steady growth during the forecast period.
- According to the World Mining Data 2022, China, the United States, Russia, and Australia together accounted for over 50% of total mining production globally. With the anticipated growth of the industrial sector in economies like China and the United States, the demand for raw materials is expected to grow, increasing mining activities.
- Concerning the 27th annual Mineral Commodity Summaries report from the USGS National Minerals Information Center, the United States mines produced approximately USD 90.4 billion in mineral commodities in 2021, which is a USD 9.7 billion increase over the 2020 revised total of USD 80.7 billion. The United States produced 14 mineral commodities worth more than USD 1 billion during the same year.
- Trends from the mining industry indicate steady growth in mineral production. For instance, Iron ore production increased by 151.3% during the last decade, while Aluminium production went up by 165.6% during the same period, according to the World Mining Data 2022.
- Across the Asia-Pacific region, India has abundant reserves of iron ore, bauxite, chromium, manganese ore, barite, rare earth elements, and mineral salts. The number of reported mines in India in FY2022 was estimated at 1,245, of which 525 registered mines were for metallic and 720 for non-metallic minerals. India's metals and mining sector is expected to grow in the coming years due to reforms such as the Make in India campaign, smart cities, rural electrification, and building renewable energy projects under the National Electricity Policy.
- The factors above indicate the growth of mining activities globally, indicating a potential rise in demand for xanthate-based flotation agents during the forecast period.
Understand The Key Trends Shaping This Market
Download PDF
Asia-Pacific Region Set to Dominate Global Market
- According to the World Mining Data 2022 report, the Asia-Pacific region dominated the mining sector globally with a total mineral production (not including bauxite) of around 10.3 billion metric tonnes in 2020, accounting for around 60% of the total global mineral production.
- Within the Asia-Pacific region, China is the global leader in mineral production with a total of 4.4 billion metric tonnes of minerals produced in 2020. The growing industrial sector in the country is expected to fuel the demand for raw materials. For reference, the manufacturing output in China touched USD 4.8 trillion in 2021, registering a year-on-year growth of over 26% in comparison to the previous year.
- In the first 10 months of 2022, China's foreign direct investment grew by 14.4% year-on-year, reaching nearly CNY 1.09 trillion (USD 170 billion), indicating great promise for the growth of the manufacturing sector. Similarly, India witnessed FDI equity inflows of close to USD 1.4 billion to metallurgical industries and mining activities, between April 2021-November 2021.
- According to the Directorate General of Commercial Intelligence & Statistics, between January-August of 2021, iron ore exports of India reached USD 2.23 billion registering a year-on-year growth of 21.8%.
- On the other hand, rubber production is expected to witness steady growth in the Asia-Pacific region with increasing demand from the boom of the automobile industry in the region. According to the Rubber Board - Ministry of Commerce & Industry, India will require close to 1.5 million tonnes of natural rubber (NR) by 2025-2026. This increasing demand for rubber is anticipated to strengthen demand for xanthates across the region.
- The steady growth of the mining industry and the rising demand for rubber across the region are expected to be the growth engines for the xanthates market in the Asia-Pacific region.
Get Analysis on Important Geographic Markets
Download PDF
