Cumene Market - Growth, Trends, COVID-19 Impact, and Forecasts (2023 - 2028)

Cumene Market Analysis

The global cumene market is estimated to reach over 15,700 kilotons by the end of this year and is projected to register a CAGR of over 4.5% during the forecast period.

The sudden onset of the COVID-19 pandemic in 2020 caused demand for cumene to decline in the global market, leading to low demand for phenol and acetone derivatives of cumene. The phenol market segment witnessed a lower growth rate from early 2020 to mid-2021 owing to the suspension of industrial activities. The production of phenol decreased due to the impact of COVID-19 on the industry, the region, and subsequent supply chain operations. Moreover, the pandemic affected the major end-user industries of cumene, such as cosmetics and personal care, paints and enamels, high-octane aviation fuels, and polymer industries, where declined sales weakened the demand for cumene for a long period. However, the market is projected to grow steadily, owing to a rapid headstart in activities of various end-user industries such as construction and others, which consume cumene and its derivative-based products, post the pandemic retraction.

• Over the medium term, the increasing demand for phenol from the plastic industry​ and the large consumption of acetone as a solvent ​are major factors driving the growth of the market studied.
• On the flip side, harmful effects ehibited by cumene and its derivatives due to extended exposure is anticipated to significantly hinder the market's growth.
• Nevertheless, the rising investments and applications of bisphenol A (BPA) is likely to create lucrative growth opportunities for the global market soon.
• Asia-Pacific is expected to dominate the global market during the forecast period. Also, it is expected to register the highest CAGR during the forecast period.

Cumene Industry Segments

Cumene (chemical name: isopropylbenzene) is an aliphatic-substituted aromatic hydrocarbon present in all crude oil and refined fuels. It is a colorless, flammable liquid with a boiling point of 152°C. Cumene is produced either from the distillation of coal tar and petroleum fractions or by the acid-catalyzed alkylation reaction of benzene with propene. The cumene market is segmented by catalyst type, application, and geography. By catalyst type, the market is segmented into aluminum chloride catalyst, solid phosphoric acid (SPA) catalyst, zeolite catalyst, and other catalyst types. By application, the market is segmented into phenol, acetone, and other applications. The report also covers the market size and forecast for the cumene market in 15 countries across major regions. For each segment, the market sizing and forecast have been done based on volume (kilo tons).

Report scope can be customized per your requirements. Click here.

Cumene Market Trends

This section covers the major market trends shaping the Cumene Market according to our research experts:

Increasing Demand from Phenol Segment

• One of the major applications of cumene is in the production of phenol. The liquid-phase oxidation of cumene with molecular oxygen forms cumene hydroperoxide, further decomposed with a catalyst into phenol and acetone.​
• Phenol plays a major role in many industries. Some common applications of phenol include plywood, window glazing, DVDs and CDs, computers, sports equipment, fiberglass boats, automotive parts and accessories, circuit boards, and flat-panel televisions.
• The growth in the automotive sector is imperative to the growth of the phenol market, which in turn increases the demand for cumene. The automotive industry registered massive growth in the past few years. According to OICA, the total number of vehicles produced in 2021 was 80,145,988, a growth of 3% compared to 2020.
• Phenol is also a major component in phenolic adhesives used in wood products such as plywood and oriented strand board. Also, it is a valuable intermediate in producing detergents, agricultural chemicals, medicines, plasticizers, and dyes.
• The largest single market for phenol is in the production of Bisphenol A (BPA), which is manufactured from phenol and acetone. BPA, in turn, is used in the manufacturing of polycarbonate and epoxy resins which are used in many different sectors, making phenol a major component in end-user sectors thus triggering its production in different regions.
• According to the Ministry of Economy Trade and Industry (METI), the total production volume of phenol in Japan amounted to 617.7 thousand tons in 2021 and registered a growth rate of 11.9% compared to 551.69 thousand tons in 2020. Higher production rates of phenol are likely to drive up the consumption rate of cumene in the future.

To understand key trends, Download Sample Report