Additives Market Size, Share Global Analysis Report, 2023 – 2030

Industry Insights

[210+ Pages Report] According to the report published by Facts & Factors, the global additives market size was evaluated at $153 billion in 2022 and is slated to hit $217 billion by the end of 2030 with a CAGR of nearly 5.3% between 2023 and 2030. The additives market report is an indispensable guide on growth factors, challenges, restraints, and opportunities in the global marketspace.

The report covers the geographical market along with a comprehensive competitive landscape analysis. It also includes cash flow analysis, profit ratio analysis, market basket analysis, market attractiveness analysis, PESTEL analysis, SWOT analysis, Porter’s five force analysis, and value chain analysis. Additionally, the additives industry report explores the investor and stakeholder space to help companies make data-driven decisions.

Market Overview

Additives are active compounds that are added to the product for enhancing particular features of the product including performance, shelf life, texture, and output. There are different kinds of additives including construction additives, feed additives, food additives, animal feed additives, plastic additives, coating additives, fuel additives, agrochemical additives, and lubricant additives.

Reportedly, plastic additives find a slew of applications including steering wheels, artificial hip joints, synthetic bumpers, plastic hypodermic syringes, and dashboards. For the record, food additives are added to different food items for increasing their lifespan along with reducing their spoilage apart from enhancing food flavor and outlook.

Key Insights

• As per the analysis shared by our research analyst, the global additives market is projected to expand annually at the annual growth rate of around 5.3% over the forecast timespan (2023-2030)
• In terms of revenue, the global additives market size was evaluated at nearly $153 billion in 2022 and is expected to reach $217 billion by 2030.
• The global additives market is anticipated to record massive growth over the forecast period owing to an increase in acceptance of lightweight materials in the automotive and food & packaging sectors.
• Based on the product type, the food segment is predicted to contribute majorly towards the global market share over the forecast timeline.
• On the basis of end-use, the food & beverages segment is set to register the fastest CAGR over the period from 2023 to 2030.
• Region-wise, the Asia-Pacific additives market is projected to register the fastest CAGR during the assessment period.

Industry Growth Factors

• Humungous demand for lightweight materials across end-use sectors to boost the global market demand

An increase in acceptance of lightweight materials in the automotive and food & packaging sectors will prop up the global additives market demand. Apart from this, the rise in awareness about food hygiene has translated into the massive popularity of packaged food & beverages, thereby steering the growth of the market across the globe.

For the record, packaged food & beverages sector introduced nearly 3,500 new food items in the last few years. Furthermore, packed foods and drinks are popular among customers owing to their freshness, taste, and hygiene. Moreover, the use of additives in packaged products is predicted to embellish the global market trends.

Moreover, benefits offered by additives include offering smooth & consistent texture to food & beverages, maintaining the wholesomeness of foods, and regulating the acid-base balance of foods along with preserving nutrient value. Apart from this, additives help in taking seasonal crops and fruits throughout the year. All these aforementioned aspects are likely to steer the growth of the additives market in the coming years.  

Restraints

• Growing side effects due to the use of additives can hinder the global industry

Additives when used in various kinds of foods can cause headaches, nausea, eye redness, and nausea, thereby hindering the growth of the global additives industry. Moreover, the use of additives in food can cause allergies in children and asthma in many persons. Apart from this, it can cause high blood pressure and have a toxic effect on food consumers. All these aforementioned aspects can inhibit the growth of the industry globally.

Opportunities

• Growing penetration of the product in the healthcare sector to open new market growth avenues across the globe

The rise in research & development activities in the healthcare sector has helped drugs become effective. Moreover, the use of additives such as surfactants, stabilizing agents, and solubilizing agents has offered new growth opportunities for the global additives market.

Challenges

• Huge product costs and banning of its use in developed countries can be challenging for the global industry growth

The major costs of additives and the banned use of these products in some Western countries as well as heavy import & export duties on the additives have posed a big challenge to the global additives industry growth.

Segmentation Analysis

The global additives market is sectored into product type, end-use, and region.   

In terms of product type, the global additives market is sectored into plastic, construction, coating, food, agrochemical, lubricant, fuel, and medicated feed. Furthermore, the food segment, which accounted for more than 45% of the global market share in 2022, is set to hold its segmental dominance in the forecasting timeline. The segmental growth in the next few years can be due to the massive use of additives in food products to increase their shelf life, taste, and flavor.

On the basis of end-use, the global additives industry is divided into building & construction, packaging, chemical, food & beverages, aerospace, automotive, and animal husbandry segments. Moreover, the food & beverages segment, which accounted for a major share of nearly 32% of the global market in 2022, is predicted to register the fastest CAGR of 4.1% in the upcoming years. The segmental expansion over the forecast timespan can be subject to large-scale product penetration in the food & beverages.

Recent Breakthroughs:

• In October 2022, Clariant AG, a Switzerland-based specialty chemicals firm, introduced new anti-scratch additive solutions for TPO & PP formulations for increasing the use of plastics in consumer applications. Reportedly, the new solution will help in increasing the lifespan of agricultural mulch films. Apart from this, the new additive has found application transportation sector and electrical & electric sectors. The move is likely to boost the scope of growth of the global additives industry.
• In February 2022, BASF SE, the largest chemical manufacturing firm across the globe, introduced the RegXcellence® service for plastic additives clients. Moreover, RegXcellence® service offers online solutions along with easing regulatory management issues, thereby augmenting various avenues of innovation for players in the plastic additives sector.
• In the second quarter of 2022, Lifeasible, a biotech firm and supplier of agriculture products, declared the launching of nine sweeteners for food additives. The move is aimed at expanding the food additive product line of the firm and increasing its revenues across the globe.

Report Scope

 Additives Market: Regional Insights 

• Asia-Pacific additives market to register the highest CAGR over the forecast period

The Asia-Pacific region, which accounted majorly for the global additives market revenue in 2022, is anticipated to record the fastest CAGR of 5.1% during the analysis timeline. The regional market expansion over 2023-2030 can be due to growing demand for additives in building & construction, packaging, automotive, chemical, food & beverages, and animal husbandry sectors in India and China.

Furthermore, the North American additives industry, which contributed nearly more than 65% of the global industry share in 2022, is set to witness a noteworthy expansion in the forecast timeframe. The factors that are projected to measure the growth of the regional market include the presence of key manufacturers in the region. Apart from this, huge product demand across the food & beverages sector for improving their flavor, texture, and tastes as well as lifespan will further elevate the scope of regional market growth.

Competitive Space

• Lanxess AG 
• BASF SE 
• PolyOne Corporation 
• Clariant AG 
• Dow Inc. 
• Milliken Chemical 
• Evonik Industries AG 
• Eastman Chemical Company 
• Sanitized AG 
• BioCote Limited

The global additives market is segmented as follows:

By Product Type Segment Analysis

• Plastic
• Construction
• Coating
• Food
• Agrochemical
• Lubricant
• Fuel
• Medicated Feed

By End-Use Segment Analysis

• Building & Construction
• Packaging
• Chemical
• Food & Beverages
• Aerospace
• Automotive
• Animal Husbandry

By Regional Segment Analysis

• North America
  • The U.S.
  • Canada
  • Mexico
• Europe
  • France
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • Australia
  • Southeast Asia
  • Rest of Asia Pacific
• The Middle East & Africa
  • Saudi Arabia
  • UAE
  • Egypt
  • Kuwait
  • South Africa
  • Rest of the Middle East & Africa
• Latin America
  • Brazil
  • Argentina
  • Rest of Latin America