Friday, 10 July 2015

Polyalkylene Glycol (PAG) Market to Exhibit 11% CAGR due to High Demand from Construction and Automotive Industries

Polyalkylene glycols (PAG) are polymeric compounds derived from the addition of one or multiple alkylene oxide (ethoxide) monomers. PAG, also known as polyglycols, polyalkylene oxides, polyethers, and polyols, belongs to a versatile family of polymers that addresses the class of complexities in lubricants that hydrocarbon oil can’t mitigate. Although PAGs were discovered almost sixty years ago, research and development still continues, as worldwide industries seek new materials to resolve modern-day manufacturing challenges. 

According to a recent report published by Transparency Market Research, the global polyalkylene glycol market will exhibit an impressive 11.0% CAGR between 2015 and 2023. The market is expected to reach a valuation of US$16.96 billion in 2023, as against its value of US$7.49 billion in 2014. In terms of volume, the PAG market was recorded at 6,522.8 kilo tons in 2014. High demand for polyurethane (PU) foam and lubricants is likely to boost the global polyalkylene glycol market.

Browse The Market Research Report on Polyalkylene Glycol (PAG) Market: 

Expansion of Automotive and Construction Industries to Boost PAG Market

Rapid expansion of the global automotive and construction industries is fuelling the demand for lubricants, functional fluids, and PU foams worldwide. This trend has aided the polyalkylene glycol market to thrive in much of the world. The global PAG market is also capitalizing on the perpetual rise in the sales of pharmaceutical and personal care products. Despite registering positive development, susceptibility to volatile crude oil prices will impede the market to an extent. In addition, the high cost of PAG-based functional fluids and lubricants compared to the conventional oil-based products will also hinder the market. 

High Demand for Polyurethane Foam to Fuel PAG Market

Polyurethane foam manufacturers have been the biggest contributors to demand from the PAG market in the last couple of years. Polyurethane foam is used in multiple applications across industries such as automobiles, building and constructions, residential, furniture, textiles, adhesives, footwear, electronic components, decorations, sculptures, boats and other water vessels, and others. PAG, along with isocyanates, are the most essential compounds used in the manufacturing of polyurethane foams. Therefore, the increasing demand for polyurethane foam will inevitably boost the global PAG market. 

Increased Use in Lubricants to Propel PAG Market

Owing to the versatility of polyurethane foams, it can be customized for a wide variety of applications. Among the several end-use industries, the major part of the demand for PU foams is registered by the automotive, furniture, and construction industries. These industries are projected to expand rapidly in the next few years, primarily fueled by the increasing purchasing power among consumers in various countries. In addition, the lubricants application segment has emerged as a key driving force for the global PAG market. Increasing demand for lubricants for application in gear oils, engine oil, compressor oil, bearing oil, transmission fluids, metalworking fluids, and heat transfer fluids is likely to give a tremendous boost to the global PAG market. 

Browse Press Release of Polyalkylene Glycol (PAG) Market: 

Some of the leading companies operating in the market are Saudi Basic Industries Corporation (SABIC), The Dow Chemical Company (Dow), LyondellBasell Industries N.V., E. I. du Pont de Nemours and Company (DuPont), BASF SE, Royal Dutch Shell plc (Shell), Bayer AG, INEOS Group AG, Repsol Group, and Clariant International Ltd.

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