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Epoxy resins are high-performance thermosetting resins. High-performance coatings continue to be the primary application worldwide, followed by electrical/electronic laminates, adhesives, flooring and paving applications. Composites and tooling and molding products are the other major end uses. Industrialized nations are by far the largest producers and consumers of epoxy resins.
During 2003-2006, epoxy resins consumption (on an unmodified basis) in the three major regions (United States, Western Europe and Japan) grew at an average annual rate of 3.4%. The automotive, construction and aerospace industries (all benefiting from improving economies) contributed to epoxy resins consumption for surface coatings, bonding and adhesives, flooring and paving, and composites.
Epoxy resins consumption in the United States and Western Europe will grow at an average annual rate of about 3.5% and 2.3%, respectively, from 2006 to 2011. During that time, higher-than-average growth rates are expected for adhesives in the United States and Western Europe, composites in the United States, and radiation curable coatings in Western Europe. An overall annual growth rate of 0.2% is expected in Japan, due primarily to surface coatings applications (assuming automobile production increases). Consumption of epoxy resins in Asia (excluding Japan) is estimated to grow at an average annual rate of 10% during 2006–2011. In China, epoxy resins consumption will grow at an average annual rate of 11–12%. The Republic of Korea and Taiwan will each experience a projected average annual growth rate of 7–8% during 2006–2011.
Increased manufacturing of electronic components, automobiles, industrial products, in addition to higher construction activity, will all contribute to the demand for epoxy-based laminates, surface coatings, adhesives and flooring and paving resins in Asia.
The following pie chart shows consumption of epoxy resins in selected countries:
The three leading producers of epoxy resins are Dow, Hexion and Huntsman Advanced Materials. Only Huntsman is not fully back-integrated into raw materials production. In July 2007, Hexion signed a definitive agreement to acquire Huntsman Corporation. As of October 2007, the deal was pending regulatory approval. In the fall of 2007, Dow Epoxy Systems, a global subsidiary of Dow Chemical, acquired UPPC AG in Germany, and Poly-Carb Inc. and GNS Technologies in the United States.
Most capacity investments are either planned or have taken place (in recent years) in Asia and the Middle East. |
