The report “1,4-butanediol Market By Technology (Reppe Process, Davy process, Butadiene Process, Propylene Oxide Process & Others), Applications, & Geography: Global Industry Trends & Forecasts to 2017”, published by MarketsandMarkets (www.marketsandmarkets.com), defines and segments the global 1,4-butanediol market by products with analysis and forecasting of the global volume and revenue. As of year 2012, Asia-Pacific consumed more than half of the 1,4-butanediol produced globally. The major application segments for tetrahydrofuran, polybutylene terphthalate, gamma butyrolactone, polyurethane and others; whereas tetrahydrofuran constitutes the major application segment. 1,4-butanediol is mainly produced using acetylene, maleic anhydride, butadiene, propylene oxide, etc. 1,4-butanediol is produced using Reppe technology and Davy process technology.
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The drivers of the industry are identified as high growth in developing regions, high demand in end-user industries, and high existing production capacities of 1,4-butanediol. Most of the production capacity of 1,4-butanediol exists in Asian region and high growth in their demand is mainly observed in developing countries. The high production capacities in the region also give flexibility to the manufacturers to scale up the production depending upon demand trends. The restraining factors are identified as raw material price volatility and high manufacturing cost of the 1,4-butanediol industry. The issues in the market are mainly pertaining to that of a maturing industry, i.e. steady growth in mature markets such as U.S. and Europe, and environmental concerns as well. The industry players are following strategies such as consolidation and capacity expansion to address to the demands generated by end-user industries and developing countries. Global BDO market is highly concentrated. This can be mainly attributed to the barriers existing in the sourcing of production technology and raw materials. Few handful companies are dominating global BDO market. Moreover these companies are actively using large portion of their BDO produce in the manufacture of their downstream products. This has restricted outspread of this market across the globe.
The major players in the market are BASF SE (Germany), Dairen Chemicals (Taiwan), LyondellBasell Chemicals (The Netherlands), Shanxi Sanwei Group (China), International Specialty Products (U.S.), Invista (U.S.), and Mitsubishi Chemicals (Japan).
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