Formaldehyde Market

The article provides a detailed analysis of the global formaldehyde market, predicting a growth in both volume and value from 2022 to 2030. It highlights the consumption and production trends over the years, along with the top importing and exporting countries. The data shows fluctuations in global consumption, production, imports, and exports of formaldehyde, while also focusing on individual country trends such as Hungary, Germany, and the United States.

Market Forecast

Driven by rising demand for formaldehyde worldwide, the market is expected to start an upward consumption trend over the next eight years. The performance of the market is forecast to increase slightly, with an anticipated CAGR of +0.4% for the period from 2022 to 2030, which is projected to bring the market volume to 7.7M tons by the end of 2030.

In value terms, the market is forecast to increase with an anticipated CAGR of +2.6% for the period from 2022 to 2030, which is projected to bring the market value to $4.5B (in nominal prices) by the end of 2030.

Consumption

World Consumption of Formaldehyde (Methanal)

In 2022, global formaldehyde consumption shrank to 7.4M tons, dropping by -1.7% against 2021. Overall, consumption continues to indicate a perceptible decrease. The most prominent rate of growth was recorded in 2021 with an increase of 7.3%. Global consumption peaked at 9.8M tons in 2012; however, from 2013 to 2022, consumption remained at a lower figure.

The global formaldehyde market size dropped slightly to $3.7B in 2022, reducing by -3.4% against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers' margins, which will be included in the final consumer price). Over the period under review, consumption showed a perceptible slump. Over the period under review, the global market reached the maximum level at $5.1B in 2012; however, from 2013 to 2022, consumption stood at a somewhat lower figure.

Consumption By Country

The countries with the highest volumes of consumption in 2022 were China (1.8M tons), the United States (999K tons) and India (707K tons), with a combined 47% share of global consumption. Russia, Japan, Brazil, Indonesia, Pakistan, Germany, Mexico, France, Italy and Hungary lagged somewhat behind, together accounting for a further 27%.

From 2012 to 2022, the most notable rate of growth in terms of consumption, amongst the key consuming countries, was attained by Hungary (with a CAGR of +0.5%), while consumption for the other global leaders experienced mixed trends in the consumption figures.

In value terms, the United States ($940M), China ($510M) and Japan ($425M) appeared to be the countries with the highest levels of market value in 2022, together comprising 51% of the global market. India, Brazil, Indonesia, Russia, Mexico, Pakistan, Germany, France, Hungary and Italy lagged somewhat behind, together accounting for a further 21%.

In terms of the main consuming countries, Hungary, with a CAGR of +3.8%, recorded the highest growth rate of market size over the period under review, while market for the other global leaders experienced mixed trends in the market figures.

In 2022, the highest levels of formaldehyde per capita consumption was registered in Hungary (12 kg per person), followed by the United States (3 kg per person), Germany (2.4 kg per person) and Italy (2.3 kg per person), while the world average per capita consumption of formaldehyde was estimated at 0.9 kg per person.

In Hungary, formaldehyde per capita consumption remained relatively stable over the period from 2012-2022. The remaining consuming countries recorded the following average annual rates of per capita consumption growth: the United States (-3.0% per year) and Germany (-2.5% per year).

Production

World Production of Formaldehyde (Methanal)

In 2022, global production of formaldehyde fell slightly to 7.4M tons, waning by -2.1% on the previous year. Over the period under review, production recorded a pronounced descent. The growth pace was the most rapid in 2021 with an increase of 7.3%. Global production peaked at 9.7M tons in 2012; however, from 2013 to 2022, production failed to regain momentum.

In value terms, formaldehyde production contracted slightly to $3.7B in 2022 estimated in export price. Overall, production saw a noticeable decrease. The most prominent rate of growth was recorded in 2021 when the production volume increased by 15%. Over the period under review, global production attained the peak level at $5B in 2012; however, from 2013 to 2022, production failed to regain momentum.

Production By Country

The countries with the highest volumes of production in 2022 were China (1.8M tons), the United States (998K tons) and India (722K tons), with a combined 47% share of global production. Russia, Japan, Brazil, Indonesia, Pakistan, the Netherlands, Italy, Mexico, Hungary and France lagged somewhat behind, together comprising a further 28%.

From 2012 to 2022, the biggest increases were recorded for Hungary (with a CAGR of +1.0%), while production for the other global leaders experienced mixed trends in the production figures.

Imports

World Imports of Formaldehyde (Methanal)

In 2022, global imports of formaldehyde fell to 464K tons, shrinking by -10.2% against the previous year. In general, imports continue to indicate a relatively flat trend pattern. The pace of growth appeared the most rapid in 2021 when imports increased by 21%. Global imports peaked at 537K tons in 2014; however, from 2015 to 2022, imports remained at a lower figure.

In value terms, formaldehyde imports fell to $201M in 2022. Over the period under review, total imports indicated temperate growth from 2012 to 2022: its value increased at an average annual rate of +2.1% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, imports increased by +61.2% against 2020 indices. The pace of growth appeared the most rapid in 2021 when imports increased by 64%. Over the period under review, global imports reached the maximum at $206M in 2014; however, from 2015 to 2022, imports remained at a lower figure.

Imports By Country

Germany represented the main importing country with an import of about 112K tons, which resulted at 24% of total imports. Poland (38K tons) held the second position in the ranking, followed by Slovenia (34K tons), Belgium (28K tons), the Netherlands (26K tons), France (22K tons) and Switzerland (21K tons). All these countries together held near 37% share of total imports. The following importers - Nigeria (14K tons), Latvia (13K tons), the United States (12K tons), Nepal (11K tons), Canada (11K tons) and Bulgaria (9.9K tons) - together made up 15% of total imports.

From 2012 to 2022, average annual rates of growth with regard to formaldehyde imports into Germany stood at -5.7%. At the same time, Bulgaria (+38.0%), Nigeria (+22.1%), Poland (+10.0%), Nepal (+7.7%), the United States (+5.6%), Belgium (+4.5%), Switzerland (+3.8%) and Slovenia (+3.6%) displayed positive paces of growth. Moreover, Bulgaria emerged as the fastest-growing importer imported in the world, with a CAGR of +38.0% from 2012-2022. Canada, the Netherlands and Latvia experienced a relatively flat trend pattern. By contrast, France (-2.7%) illustrated a downward trend over the same period. While the share of Poland (+5.3 p.p.), Nigeria (+2.7 p.p.), Slovenia (+2.4 p.p.), Belgium (+2.4 p.p.), Bulgaria (+2 p.p.) and Switzerland (+1.6 p.p.) increased significantly in terms of the global imports from 2012-2022, the share of Germany (-17.2 p.p.) displayed negative dynamics. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, the largest formaldehyde importing markets worldwide were Germany ($37M), Poland ($24M) and Belgium ($12M), together accounting for 36% of global imports. Nigeria, Slovenia, France, the Netherlands, Switzerland, the United States, Latvia, Bulgaria, Canada and Nepal lagged somewhat behind, together accounting for a further 34%.

Bulgaria, with a CAGR of +35.2%, saw the highest growth rate of the value of imports, in terms of the main importing countries over the period under review, while purchases for the other global leaders experienced more modest paces of growth.

Import Prices By Country

The average formaldehyde import price stood at $434 per ton in 2022, increasing by 9.3% against the previous year. Over the last decade, it increased at an average annual rate of +2.6%. The pace of growth was the most pronounced in 2021 when the average import price increased by 35%. Global import price peaked in 2022 and is likely to see steady growth in the immediate term.

There were significant differences in the average prices amongst the major importing countries. In 2022, amid the top importers, the country with the highest price was Nigeria ($799 per ton), while Nepal ($245 per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Poland (+8.4%), while the other global leaders experienced more modest paces of growth.

Exports

World Exports of Formaldehyde (Methanal)

In 2022, the amount of formaldehyde exported worldwide dropped significantly to 449K tons, with a decrease of -15.7% against the previous year. Overall, exports, however, continue to indicate a relatively flat trend pattern. The pace of growth appeared the most rapid in 2021 when exports increased by 22%. Over the period under review, the global exports reached the maximum at 556K tons in 2015; however, from 2016 to 2022, the exports stood at a somewhat lower figure.

In value terms, formaldehyde exports fell to $184M in 2022. The total export value increased at an average annual rate of +1.2% from 2012 to 2022; the trend pattern indicated some noticeable fluctuations being recorded in certain years. The most prominent rate of growth was recorded in 2021 with an increase of 66% against the previous year. Over the period under review, the global exports reached the peak figure at $211M in 2014; however, from 2015 to 2022, the exports stood at a somewhat lower figure.

Exports By Country

In 2022, the Netherlands (132K tons) represented the key exporter of formaldehyde, generating 29% of total exports. Belgium (50K tons) held the second position in the ranking, followed by Italy (35K tons), Germany (35K tons) and Poland (28K tons). All these countries together held approx. 33% share of total exports. Russia (17K tons), India (15K tons), Turkey (14K tons), Canada (12K tons), the United States (12K tons), Slovakia (12K tons), Spain (9.3K tons) and Argentina (7.6K tons) took a little share of total exports.

The Netherlands experienced a relatively flat trend pattern with regard to volume of exports of formaldehyde. At the same time, Turkey (+42.7%), Argentina (+27.3%), Poland (+20.3%), India (+15.3%), Canada (+6.2%), Italy (+3.3%), Belgium (+3.0%) and Germany (+3.0%) displayed positive paces of growth. Moreover, Turkey emerged as the fastest-growing exporter exported in the world, with a CAGR of +42.7% from 2012-2022. Russia experienced a relatively flat trend pattern. By contrast, Spain (-1.0%), the United States (-2.6%) and Slovakia (-8.0%) illustrated a downward trend over the same period. From 2012 to 2022, the share of Poland, Turkey, India, Belgium, Italy, Argentina and Germany increased by +5.2, +3.1, +2.5, +2.2, +1.7, +1.5 and +1.5 percentage points, respectively. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, the Netherlands ($45M) remains the largest formaldehyde supplier worldwide, comprising 25% of global exports. The second position in the ranking was taken by Belgium ($21M), with a 12% share of global exports. It was followed by Poland, with a 7.8% share.

From 2012 to 2022, the average annual growth rate of value in the Netherlands was relatively modest. The remaining exporting countries recorded the following average annual rates of exports growth: Belgium (+5.6% per year) and Poland (+26.9% per year).

Export Prices By Country

In 2022, the average formaldehyde export price amounted to $411 per ton, rising by 7.1% against the previous year. Over the period under review, the export price recorded a relatively flat trend pattern. The most prominent rate of growth was recorded in 2021 an increase of 37% against the previous year. Over the period under review, the average export prices hit record highs at $421 per ton in 2013; however, from 2014 to 2022, the export prices stood at a somewhat lower figure.

There were significant differences in the average prices amongst the major exporting countries. In 2022, amid the top suppliers, the country with the highest price was the United States ($773 per ton), while Russia ($263 per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Slovakia (+10.3%), while the other global leaders experienced more modest paces of growth.

Source: IndexBox Market Intelligence Platform