by Zinc oxide is a white powder and is one of the most commonly used metal oxides. It offers several advantages such as protection from UV radiation, antimicrobial properties, and high chemical stability which makes it useful for various applications. It is commonly used as an additive in products such as rubber, ceramics, glass, cement, lubricants, paints, ointments, adhesives, plastics, sealants, and others.
The global Zinc Oxide Market is estimated to be valued at US$ 5.50 Bn in 2023 and is expected to exhibit a CAGR of 5.7% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
One of the major trends in the zinc oxide market is the growing use of zinc oxide nanoparticles in various products. Zinc oxide nanoparticles have found wide range of applications in pharmaceuticals, personal care products, textiles, ceramics, and others due to their unique optical and structural properties. They are commonly used as UV absorbing agents in sunscreens and other personal care products. The increasing demand for zinc oxide nanoparticles from industries such as plastics, chemicals and pharmaceuticals is expected to drive the growth of the market over the forecast period.
Porter’s Analysis:
Threat of new entrants: Low capital requirement to enter the market encourages new entrants. However, established players hold majority market share and have economies of scale which pose entry barriers.
Bargaining power of buyers: Buyers have moderate bargaining power. Large number of established vendors ensures availability of substitutes. However, vendor consolidation is increasing buyer power.
Bargaining power of suppliers: Supply of zinc is concentrated among few global mining companies. This gives them strong influence over prices. However, many small mineral suppliers balance supplier power.
Threat of new substitutes: Few alternatives are available for some key applications. Titanium dioxide is gaining market share in cosmetics segment. Continuous R&D can lead to new substitutes posing threat.
Competitive rivalry: Industry faces competition on basis of product quality, lead time and geographic proximity. Large players focus on expanding capacity to gain economies of scale and maintain market share.
Key Takeaways:
The Global Zinc Oxide Market Demand is expected to witness high growth, exhibiting CAGR of 5.7% over the forecast period, due to increasing use in rubber production. Zinc oxide finds wide application in manufacturing tires owing to its UV blocking and anti-oxidation properties. Additionally, growth in automotive industry is also driving zinc oxide consumption.
Regional analysis: Asia Pacific dominates global zinc oxide market, accounting for over 35% share in 2023, led by China. This is attributed to presence of major rubber product manufacturers and rapid automotive production growth in the region. North America and Europe are other major markets driven by tire manufacturing industries.
Key players operating in the Zinc Oxide market are US Zinc, GHC, and Hindustan Zinc Ltd. US Zinc is a leading producer in North America while GHC and Hindustan Zinc Ltd are major suppliers in Asia Pacific region. Key players focus on capacity expansions to leverage economies of scale and strong global supply chain.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
