The global hydrogen peroxide market is expected to grow at a CAGR of 4.5% during the forecast period of 2024 to 2032. Hydrogen peroxide is in high demand because of its versatility in a variety of application areas, including the paper and pulp industry, chemical manufacturing, the textile industry, water treatment, home care, and specialty application areas such as food and beverage manufacturing, electronic manufacturing, and pharmaceutical manufacturing. The top companies that are currently active in the worldwide market are investing to increase their production capacity in order to take advantage of these opportunities. For example, in July 2019, Solvay S.A. increased its production capacities in Belgium, Germany, Finland, and the Middle East. This was done to fulfill the ever-increasing demand from customers located throughout Europe, the Middle East, and Africa (EMEA) area.
As a result of the COVID-19 outbreak, there has been a sharp increase in the need for chemical disinfectants, which has led to an increase in the demand for the preparation of disinfectant solutions. It has been demonstrated to be effective in activities that kill bacteria as well as viruses. As a consequence of this, it is in high demand in the healthcare field, where specialists in the healthcare industry are pulling out all the stops to combat the COVID-19 pandemic. In addition to this, the Food and Drug Administration (FDA) of the United States gave the second emergency use authorization to disinfect respirators so that they can be reused in April 2020. The use of vaporized hydrogen peroxide sterilizers for the purpose of decontaminating N-95 respirators will soon be approved by the FDA.
Extensive Applicability of The Chemical to Foster Expansion of The Market
Hydrogen peroxide is used in a wide variety of applications across a variety of industries, including commercial and domestic settings. Because of its powerful bleaching capabilities, it is suited for use in the bleaching of paper and textiles. In the field of medicine, it is put to use as an antibacterial and antiseptic agent. In the context of water purification, household cleaning, personal care, and food preparation, it performs exceptionally well as an oxidizing and disinfecting agent. It is a high-quality cleaning product that is used in the electronics industry. Additionally, it is utilized in the manufacturing of detergent bleaches such as sodium perborate and sodium percarbonate. The growth of the hydrogen peroxide market is being driven by the product's adaptability in terms of the applications it can fulfill.
Unique Properties Of Hydrogen Peroxide Contribute To The Expansion Of The Market
In the presence of a catalyst, hydrogen peroxide is notorious for being a chemical that is prone to instability. In most cases, it is kept in a solution that is only slightly acidic while being stabilized by an agent. In mammals, the direct reduction of oxygen can set off a chain reaction that results in the formation of hydrogen peroxide. This chain reaction is called a two-electron transfer process. The chemical compound hydrogen peroxide is formed when oxygen and hydrogen are combined, and it finds widespread application in a variety of end-use industries. The paper and pulp industry makes use of hydrogen peroxide as a bleaching and oxidizing chemical because of its effective bleaching qualities. Hydrogen peroxide is also used to bleach paper. The hydrogen peroxide compound is ideal for numerous applications due to its unique features. As a result of the fact that hydrogen peroxide has antibacterial characteristics, it finds widespread application in the medical sector. Hydrogen peroxide is also employed in the treatment of skin for minor wounds and burns, as well as in the practice of personal hygiene. The demand for hydrogen peroxide is being driven by the rising application of the product in the form of a mouth rinse solution for the elimination of mucus and various oral irritations.
The Paper and Pulp Industry Is the Primary Force Behind the Expanding Hydrogen Peroxide Market
The increasing demand for hydrogen peroxide in the paper and pulp industry is a major factor behind the growth of the market for this product. In the paper and pulp manufacturing sector, hydrogen peroxide is a bleaching chemical that is utilized. It provides a level of brightness that is beneficial for high-quality magazine sheets, boards, and tissue products. The rise of the market for hydrogen peroxide is being driven in large part by the growing demand for paper in industries like packaging and personal care products across the world. In the paper and pulp business, hydrogen peroxide is utilized for a variety of processes, including delignification and bleaching of cellulose, bleaching of pulp, and recycling of waste paper (de-inking). It has been demonstrated to be efficient in the process of bleaching recycled pulp. When recycling paper, one of the most crucial steps is separating the fibers from the printing ink so that they can be reused to make different grades of paper, such as tissue or printing paper. Utilizing the hydrogen peroxide chemical allows for the bleaching process of fibers to be completed. A very low concentration of hydrogen peroxide can boost the brightness and protect against the yellowing caused by alkaline.
Health Hazards is Restricting the Product Distribution
The chemical's powerful oxidising properties make it potentially harmful to the respiratory system, as well as the eyes and skin. Skin and eye irritation, as well as hair whitening, can result from improper handling and extended exposure to this substance. In addition to this, it is incompatible with the vast majority of raw materials, such as copper alloys or heavy metals, which might result in a self-accelerated process of thermal disintegration. Because of this, it needs to be carefully maintained and handled in order to prevent any potential risks to one's health.
Markey by Grade: <35% Segment Held the Largest Share in 2023
In most cases, fewer than 35% of lower concentrations are utilized in the production of personal care products, home care products, and specialized applications. Applications in the paper and textile industries, as well as the chemical and wastewater treatment industries, typically use higher concentrations of more than 35%. The fuel used in rocket propellants must either be of a pure grade or have a concentration of greater than 90%–95%. The rapid use of products with concentrations of more than 35% in order to get optimal outcomes is the primary factor that is driving the expansion of this market segment.
Bleaching Application to Topped the Market Revenues
Bleaching applications of hydrogen peroxide dominated the market revenues in 2021. The chemical has significant bleaching effects at a cost that is affordable, and it does not compromise the quality of the fiber. In addition to this, it offers the benefit of alkaline extraction combined with bleaching, which is useful in the making of paper and textiles. In bleaching operations that take a relatively short amount of time, like cotton bleaching, single-stage bleaching may be an option. This procedure may also assist in achieving a more consistent and brilliant whiteness. In addition, it does not emit an offensive odor, and the fact that it is not harmful to the natural environment makes it the ideal bleaching agent for paper and textiles. In addition to this, the product is a high-quality disinfectant that possesses the potential to inhibit virucidal processes. As a consequence of this, there is likely to be a greater demand in the not-too-distant future for disinfectant solutions such as H202, given the growing consciousness of the need for personal cleanliness.
Another significant application area of the hydrogen peroxide market is chemical synthesis, which is anticipated to expand at the highest CAGR of 3.5% during the forecast period. In addition to being inexpensive and kind to the natural world, hydrogen peroxide's use as an oxidizing agent in the chemical industry has resulted in the development of a number of useful applications. Because it has a low molecular weight, the product is an effective oxidizing agent on a weight-for-weight basis, which is due to its low molecular weight. It is soluble in both water and organic solvents, in addition to being soluble in the substrate itself. This is an advantageous property.
The Pulp and Paper Sector is Anticipated to Hold the Majority of the World Market Share.
The chemical is utilized by the pulp and paper sectors as an excellent bleaching agent for chemical, mechanical, and recycled pulp. Raising the production yield, not only enhances the overall paper quality but also reduces the costs of production. In addition, the fact that it is favorable to the environment is a key factor in the process of creating environmentally responsible solutions for the paper recycling business. During the period covered by this estimate, the expansion of the market is likely to be driven in large part by the growing demand for high-quality paper to be used in packaging and sanitary applications. According to the Food and Agricultural Organization (FAO), the segments of paperboard, wrapping and packing paper, and sanitary tissue account for more than 60% share in worldwide paper products each and every year.
In terms of volume, the paper and pulp industry is the largest section of the hydrogen peroxide market. In 2021, this industry will account for more than 35% of the overall share. As a versatile bleaching agent, hydrogen peroxide finds applications in chemical pulp bleaching sequences, mechanical pulp bleaching sequences, and paper recycling processes that involve the removal of printed ink. It is one of the most essential chemicals used in the bleaching of kraft pulp, which is a process that involves multiple stages. The use of H2O2 helps the paper achieve a higher level of brightness by reducing the amount of halogenated compound residue that is left behind. In the process of brightening sulfite pulp, it is utilized in its sole capacity as a bleaching agent. The biggest markets for pulp and paper goods, especially the United States and China, are experiencing a rise in the number of sales that are conducted online. This is due, in part, to the fact that purchasing goods online has resulted in a greater need for innovative packaging in order to maximize product placement on store shelves. This rise can be attributed to the elevated levels of demand for raw materials as well as corrugated boxes.
APAC Remained as the Global Leader
The Asia-Pacific region dominated the market share (both in terms of value and volume) in 2021, thanks to the robust expansion of end-use industries such as paper, textiles, and chemical manufacturing, amongst others. According to data provided by the Chinese National Bureau of Statistics, paper and paper product manufacturers generated revenues of more than 1.3 trillion RMB (about 201 billion USD), with a gross profit of 82.67 billion RMB (about 13 billion USD), representing an increase of 21.2 % year-on-year. The Food and Agricultural Organization (FAO) identifies the Asia Pacific as the world's largest producer and consumer of paper and paperboard, and the region's contribution to the global paper sector amounts to more than 45% of the total market. Additionally, there is a significant increase in demand for hydrogen peroxide as a bleaching agent in countries such as China, India, Bangladesh, Vietnam, and Indonesia due to the expansion of their respective textile industries. The India Brand Equity Foundation estimates that the country's fiber production will expand to 1.60 million tonnes in the fiscal year 2020 from 1.44 million tonnes in the current fiscal year (FY2019).
After the United States of America, Europe holds the third position with respect to market revenues. Germany is a leading contributor to the expansion of the market in Europe because it has a significant number of companies operating in the paper, textile, water purification, home care, and personal care industries. The expansion of research and development activities aimed at expanding the use of hydrogen peroxide in specialized and healthcare applications is the primary factor driving the growth of the market in North America. In the year 2019, for instance, a novel process that was discovered by the Massachusetts Institute of Technology could lead to the development of a device that is capable of producing H202 and sterilizing water sources, wounds, or even food processing surfaces in a cost-effective manner. It is anticipated that Latin America and the Middle East and Africa would demonstrate substantial growth over the course of the forecast period. This is due to the large growth of end-use industries in these regions. It is anticipated that growth in the African market will be the fastest in the world, followed by growth in the Latin American market.
Market Remains Highly Consolidated With Players Focusing on Increasing their Production Capacities
The market for hydrogen peroxide is highly concentrated, with the top five players accounting for close to 70% of the total market share in 2023. The majority of businesses are focusing on increasing their production capacities, particularly in the Asia-Pacific region. Solvay, Evonik Industries AG, MITSUBISHI GAS CHEMICAL COMPANY INC., Arkema, and Kemira, amongst other companies, are among the most significant competitors in this industry. This list is not presented in any particular order. Solvay, Akzo Nobel, Aditya Birla Chemicals Ltd, Kemira Oyj, Evonik Industries, Gujarat Alkalies, and National Peroxide Limited are only a few of the major companies that are active in the hydrogen peroxide sector. Key manufacturers are investing in the growth of their global production capacity in order to meet the rising demand and utilization of highly versatile chemicals. For example, over the past 10 years, the multinational company Solvay S.A., which is a market leader in peroxide technology, has made significant investments in its production facilities located in Europe, Asia, and the Middle East. In response to the growing demand across the globe, the company intends to expand its market reach and make improvements to its distribution networks in order to better serve its clients.
Historical & Forecast Period
This study report represents analysis of each segment from 2022 to 2032 considering 2023 as the base year. Compounded Annual Growth Rate (CAGR) for each of the respective segments estimated for the forecast period of 2024 to 2032.
The current report comprises of quantitative market estimations for each micro market for every geographical region and qualitative market analysis such as micro and macro environment analysis, market trends, competitive intelligence, segment analysis, porters five force model, top winning strategies, top investment markets, emerging trends and technological analysis, case studies, strategic conclusions and recommendations and other key market insights.
Research Methodology
The complete research study was conducted in three phases, namely: secondary research, primary research, and expert panel review. key data point that enables the estimation of Hydrogen Peroxide market are as follows:
Market forecast was performed through proprietary software that analyzes various qualitative and quantitative factors. Growth rate and CAGR were estimated through intensive secondary and primary research. Data triangulation across various data points provides accuracy across various analyzed market segments in the report. Application of both top down and bottom-up approach for validation of market estimation assures logical, methodical and mathematical consistency of the quantitative data.
| ATTRIBUTE | DETAILS |
|---|---|
| Research Period | 2022-2032 |
| Base Year | 2023 |
| Forecast Period | 2024-2032 |
| Historical Year | 2022 |
| Unit | USD Million |
| Segmentation | |
Grade
| |
Application
| |
End-user
| |
|
Region Segment (2022-2032; US$ Million)
|
Key questions answered in this report
