Polyurethane Market Supplier Intelligence, Cost Structure Intelligence, Best Practices, Engagement Model & Analysis Report, 2020 – 2025
Polyurethane is formed by the reaction of a polyol (an alcohol with more than two reactive hydroxyl groups per molecule) with a diisocyanate or a polymeric isocyanate in the presence of suitable catalysts and additives. Polyurethane can be categorized into two major types; polyester, and polyether. These are both elastomers. Both are abrasive resistant, while polyester has a sliding quality and polyether is abrasion-resistant. Polyester and polyether polyurethanes can be used in the following ways:
·
Flexible
polyurethane foam: It is used as a
cushioning or protective material in furniture, mattresses, and bedding, and
vehicle interiors.
·
Rigid
polyurethane foam: These foams are used in
commercial and residential insulation as it keeps buildings cool in the summer
and warm in the winter.
·
Binders: This type of polyurethane is used to bind different materials
and is commonly used in wood panels, flooring materials, and sand casting.
·
Coatings,
adhesives, sealants, and elastomers (CASE): This collection of polyurethanes are used to increase the
durability and lifespan of various products by covering or sealing them.
·
Reaction
injection molding: This polyurethane
molding is used for items like car bumpers and computer enclosures.
·
Thermoplastic: It is commonly used in construction and automotive
applications.
·
Waterborne
polyurethane dispersions: This type
of polyurethane is used as coatings or adhesives, but with a water-based
solvent.
The rising demand of polyurethane foam from construction and
automotive industries have increased the procurement need for polyurethane.
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Demand Outlook
The global polyurethane market is valued at USD 70 billion in
2020 and it is expected to grow at a CAGR of 3.8% from 2020 to 2025 due to high
demand from multiple industries such as construction, automotive, electronics,
packaging, and footwear. Construction application is leading the polyurethane
end-user segment with more than 25% market share. APAC is the largest producer
of polyurethane with ~45% share followed by North America and Europe. The
global production based on polyurethane is shifting towards emerging countries
in the APAC region.
Cost Drivers
Toluene diisocyanate (TDI) and Methylene diphenyl diisocyanate (MDI) are the two major raw materials and cost drivers of polyurethane production. TDI and MDI cost holds the largest share (~30%) of the overall polyurethane production cost followed by machinery and labor cost. Other raw materials include polyol, CaCo3, Amine, etc.
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