The global kaolin market is expected to grow at a CAGR of 4.53% over the forecast period to reach US$7.712 billion by 2025 increasing from US$5.913 billion in 2019.
Increasing demand for ceramic products and rising usage of kaolin in the cement industry are considered as the driving factor for the growth of the market. However, mining of kaolin is acknowledged to have a negative impact on the environment which is expected to hinder the growth of the market during the forecast period.
Increasing construction activities are driving the demand for kaolin
Rapid industrialization in developing economies is expected to fuel the demand for kaolin in construction and other industries. Kaolin is considered an important raw material used in the manufacturing of ceramic tiles and with the increasing construction activities, the market is anticipated to grow at a significant rate during the forecast period. The investment in the development of infrastructure is expected to increase, more specifically, in emerging and developing countries like India, China, and Vietnam among others.
For instance, India and China have been growing above 6% per annum for the last couple of years which is an indication of the development of infrastructure and growing urbanization. Moreover, in the United States, the construction spending has increased from US$788,322 million in 2011 to US$1,293,982 million in 2018 (source: United States Census Bureau) while a similar trend has been noticed in Europe. Thus, the growing investment in the development of infrastructure is expected to continue to drive the growth of the kaolin market in the coming years.
Applications in paper, ceramics, and paint & coatings
By application, the global kaolin market has been segmented as paper, ceramics, and paint & coatings among others. Paper is holding a significant share in the market and is expected to grow at a substantial rate owing to the rising demand for kaolin in the paper packaging industry. Kaolin is used as a component to provide paper a smooth surface and enhance paper qualities such as brightness, opacity, and printability. The ceramic segment is anticipated to witness exponential growth over the forecast period.
Increasing construction activities and rising investment by big market players is driving the market for ceramics segment in the coming years. Furthermore, expanding the automotive industry also propels the demand for paints, coatings, and rubber which are widely used in the manufacturing of automobiles which drives the demand for kaolin in the automotive industry. For instance, according to the International Organization of Motor Vehicle Manufacturers, automotive production in India has increased from 3,557.073 thousand units in 2010 to 5,174.645 thousand in 2018 showing a growth of more than forty percent.
Asia-Pacific is estimated to hold a significant share in the market
By geography, the global kaolin market has been segmented as North America, South America, Europe, the Middle East and Africa, and Asia Pacific (APAC) regions. The Asia Pacific accounts for the significant share of the global kaolin market in 2019 and is projected to remain at its position throughout the forecast period. This growth is attributed to the strong presence of key players in the region and established the paper industry. Also, the region is experiencing a significant increase in construction activities which is further driving the growth of the market over the forecast period.
Also, increasing number of construction projects in the countries like China especially megaprojects like Beijing Daxing International Airport which started in 2014 and is one of the largest infrastructure project initiated by the country with an aim to process 72 million passengers a year which is expected to have four runways by 2025 is expected to drive the scope of demand for kaolin during the forecast period.
Besides, increasing population density in urban areas coupled with rising investment in residential projects has been increasing the demand for kaolin from the last few years and this trend is expected to continue in the coming years. In Europe, due to growing ceramic production and consumption, the market is growing at a substantial rate. Similar trends have been noticed in the North American region, which is witnessing exponential growth on account of expanding the paper packaging industry coupled with increasing investment by market players.
Prominent key market players in the global kaolin market are adopting various growth strategies such as new product launches, M&A, and partnerships to expand their global footprint. For instance, recently, SOFIA (Bulgaria) kaolin a subsidiary of Germany's Quarzwerke Gruppe, invested nearly US$33.8 million in the construction of a new plant for products from industrial minerals in the town of Dulovo.
Key Topics Covered
1.1. Market Definition
1.2. Market Segmentation
2. Research Methodology
2.1. Research Data
3. Executive Summary
3.1. Research Highlights
4. Market Dynamics
4.1. Market Drivers
4.2. Market Restraints
4.3. Porters Five Forces Analysis
4.3.1. Bargaining Power of Suppliers
4.3.2. Bargaining Power of Buyers
4.3.3. Threat of New Entrants
4.3.4. Threat of Substitutes
4.3.5. Competitive Rivalry in the Industry
4.4. Industry Value Chain Analysis
5. Kaolin Market Analysis, by Process
5.2. Dry Processing
5.3. Wet Processing
6. Kaolin Market Analysis, by Application
6.2.1. Standard Coated Fine Papers
6.2.2. Low Coat Weight Papers
6.2.3. Art Papers
6.3. Paints & Coatings
6.3.1. Industrial Paints & Coatings
7. Kaolin Market Analysis, by Geography
7.2. North America (US$ Million) (tons)
7.3. South America (US$ Million) (tons)
7.4. Europe (US$ Million) (tons)
7.5. Middle East & Africa (US$ Million) (tons)
8. Competitive Environment and Analysis
8.1. Major Players and Strategy Analysis
8.2. Emerging Players and Market Lucrativeness
8.3. Mergers, Acquisitions, Agreements, and Collaborations
8.4. Vendor Competitiveness Matrix
9. Company Profiles
9.1. EICL Ltd.
9.3. Thiele Kaolin Company
9.4. Ashapura Group
9.5. Kamin LLC.
9.7. Sedleck Kaolin A.S
9.8. Quarzwerke GmbH
For more information about this report visit https://www.researchandmarkets.com/r/2wu9gp