Butylated Triphenyl Phosphate Industry Research 2024-2029: Increasing Use as a Fire Retardant Substance, Lubricant and Plasticizer Fueling Demand

Company LogoCompany Logo
Company Logo

Dublin, Aug. 16, 2024 (GLOBE NEWSWIRE) -- The "Butylated Triphenyl Phosphate Market - Forecasts from 2024 to 2029" report has been added to ResearchAndMarkets.com's offering.

The butylated triphenyl phosphate market is expected to grow at a compound annual growth rate (CAGR) of 2.89% during 2024-2029

Butylated triphenyl phosphate is a phosphate ester that appears as a clear, almost colorless liquid. It has good plasticizing efficiency and flame-retardant characteristics. The main factor driving the butylated triphenyl phosphate market's growth is its use as a lubricant, plasticizer, fire retardant, and others. Lubricants are in major demand in the automobile industry, including engine oil, gear oil, grease, dry lubricant, brake fluid, and transmission fluid, among others.

The global automotive growth is mainly driven by the electric vehicle, the electric vehicle saw a significant leap from a 3% market share in 2019 to 22% in 2022. Multiple factors, including government production-linked incentives, subsidies, and the push for the green economy drive this growth in demand for electric vehicles. The complex mechanism of the electric vehicle needed raw material inputs like butylated triphenyl phosphate for fire retardant substance, as the electric vehicle is more susceptible to catching fire because of batteries. The safety of the individual becomes of prime importance once the car catches fire.

Further, butylated triphenyl phosphate is significant as a plasticizer in the production of various polymer products. Many such products are finding applications in the e-commerce and packaging industry. With the growth and development of e-commerce and online marketplaces, the usage of these polymers will increase in multiple sectors.

In recent years, the European Union countries have shown significant growth in the e-commerce marketplace. In 2022, about ninety percent of people aged between 16 and 74 are using the internet, among them, three-quarters of whom had bought or ordered goods or services online. This has grown significantly in the last few years. The highest number of individuals who ordered over the Internet are from countries like the Netherlands (92%), Denmark (90%) and Ireland (89%).

A major economic portion of the world has seen the growth of electric vehicles significantly compared to others. For example, in Europe, new electric car registrations reached nearly 3.2 million in 2023, an almost 20% relative increase from 2022. These new electric car registrations totaled 1.4 million in 2023 for the United States and 8.1 million in 2023 for China; these numbers are more than 40% and 35% compared to 2022, respectively.

Rising demand due to the e-commerce market growth

There has been a growth in plastic material usage for packaging materials due to the expansion of the e-commerce industry worldwide. The increasing online shopping habits of people drive the growth of the e-commerce industry. Worldwide, e-commerce is steadily rising in terms of both B2B and B2C sales value. According to the International Trade Administration, the USA's value of B2B businesses is estimated to be US$36 trillion by 2026. Accordingly, the B2C e-commerce revenue is expected to rise at a steady 14.4% compound annual growth rate up to 2027.

These numbers suggest the growth of e-commerce in many leading sectors like consumer electronics, fashion, furniture, toys/hobby, health pharmaceuticals, media & entertainment, beverages, and food. The need for packaging materials and plasticizers would increase according to the market's demand. The butylated triphenyl phosphate is necessary as a plasticizer. It is added to the rubber or the plastic to improve its flexibility, make it easier to shape and mold, and reduce friction on its surface.

Increasing demand as a fire retardant substance

Fire retardant substances are necessary to add to plastics, textiles, and surface coatings to reduce the spread or production of flames and prevent the spread of fire. These are used in many consumer and industrial products to prevent fire spread. Fire retardants can be found in various products such as computers, phones, household appliances, upholstery, carpets, curtains, parts of automobiles, electrical wires, cables, etc. These are becoming almost necessary for additional reasons due to the increase in the number of fire incidents.

According to the United States Federal Emergency Management Agency data, the number of fires increased by 12.2% from 2013 to 2022, and the number of fires in 2022 was 1,504,500. Additionally, the number of deaths caused by fire has increased by 8.29% from 2020 to 2022. This rising number suggests the importance of fire retardant in the commodities. Further, there has been a demand for butylated triphenyl phosphate in the automotive industry as lubricants and hydraulic fluids. With the growing demand for automobiles worldwide, the usage of butylated triphenyl phosphate will also increase.

Growing demand for lubricants

Butylated triphenyl phosphate is used as an additive to lubricate oil and hydraulic fluids. Lubricating oil and hydraulic fluids are used in automobiles and heavy machinery. Growing infrastructure development would lead to a growing demand for heavy machinery. Different governments have supported infrastructure growth in development projects.

For example, the World Bank is committed to helping more than one billion people who live more than two kilometers from an all-season road; 675 million do not have proper electricity at home, and 4 billion people live without access. They were giving around $34 billion for the development of the transport network. In 2023, $12.8 billion was given to support infrastructure spending in developing countries. In more than 100 developing countries, they helped to promote more efficient public services. This development indicates machinery usage in the development infrastructure and its related inputs for growth.

Asia Pacific will dominate the butylated triphenyl phosphate market during the forecast period.

The Asia Pacific region has four major economies and the world's largest nations in terms of population. The major economies are China, Japan, India, and South Korea, which are part of the G20 countries. Some of the fastest-growing emerging economies are from this region, such as ASEAN countries. The region also has the largest water-sharing area where trade can flourish easily. The countries are witnessing substantial industrial and market growth.

China has become the world's largest vehicle market in terms of annual sales and manufacturing output, with domestic production expected to reach 35 million vehicles by 2025, according to the International Trade Administration, United States. This growth of the automobile shows the country's demand for the vehicle and its related parts where butylated triphenyl phosphate has been used for various purposes. In India, the value of the electric vehicle (EV) market sale is likely to reach US$ 7.09 billion by 2025, according to IBEF (India Brand Equity Foundation). These data suggest the robustness of the automobile sector in the upcoming years.

Moreover, in India, the growing e-commerce business can be traced by data such as the Government e-marketplace portal serving 5.8 million orders worth US$46.67 billion with 148,245 primary buyers and 215,743 secondary buyers.

The development of a greater industrial and consumer base would create a market for various industrial inputs, including butylated triphenyl phosphate, which can be utilized as a component of hydraulic fluid, flame retardant in plastics and lubricants, grease, and fuel additives.

Butylated triphenyl phosphate market restraints:

The fluctuating raw material prices, such as phenol and phosphoric acid as ingredients, cause the rise of anomalies in production. This is a major cause of the industry's higher production cost of butylated triphenyl phosphate. Further, the price volatility of crude oil prices and strict government regulation impede market growth. Moreover, the handling and storing of butylated triphenyl phosphate is also difficult for occupational safety and health issues.

Companies Featured

  • ICL

  • SpecialChem

  • LANXESS

  • PCC Group

  • Radco Industries, Inc

  • TINA ORGANICS PVT. LTD.

  • Zhang Jia Gang YaRui Chemical Co., Ltd.

  • GYC Group

  • Zhangjiagang Fortune Chemical

  • Shandong Ruixing Flame Retardant Technology Co. LTD.

  • China Zhang Jia Gang YaRui Chemical Co., Ltd.

  • Pinfa

  • Sagar Speciality Chemicals Pvt. Ltd.

  • Shijiazhuang Rejana Co.,Limited

  • Heal Co. Ltd.

Market Segmentation

By Application

  • Fire retardant

  • Plasticizer

  • Lubricants

  • PVC compounds & resins

  • Others

By Geography

  • North America

  • USA

  • Canada

  • Mexico

  • South America

  • Brazil

  • Argentina

  • Rest of South America

  • Europe

  • United Kingdom

  • Germany

  • France

  • Italy

  • Spain

  • Rest of Europe

  • Middle East and Africa

  • Saudi Arabia

  • UAE

  • Rest of the Middle East and Africa

  • Asia Pacific

  • China

  • India

  • Japan

  • South Korea

  • Taiwan

  • Thailand

  • Indonesia

  • Rest of Asia-Pacific

For more information about this report visit https://www.researchandmarkets.com/r/lunsmi

About ResearchAndMarkets.com
ResearchAndMarkets.com is the world's leading source for international market research reports and market data. We provide you with the latest data on international and regional markets, key industries, the top companies, new products and the latest trends.

CONTACT: CONTACT: ResearchAndMarkets.com Laura Wood,Senior Press Manager press@researchandmarkets.com For E.S.T Office Hours Call 1-917-300-0470 For U.S./ CAN Toll Free Call 1-800-526-8630 For GMT Office Hours Call +353-1-416-8900