In 2017, the global hexamine market generated a revenue of $315.4 million and is expected to attain $394.2 million in 2023, advancing at a 3.7% CAGR during the forecast period. The market is witnessing growth due to the rising utilization by the plastics industry and increasing demand from end-use industries. A white crystalline compound made by the combination of formaldehyde and amine is referred to as hexamine. The compound has a heterocyclic organic structure, slight amine odor, and great solubility in polar solvents, such as chloroform, water, and alcohol.
When type is taken into consideration, the hexamine market is bifurcated into unstabilized and stabilized grade. Between these two, the unstabilized grade dominated the market during the historical period (2013–2017), with a share of more than 85.0% in 2017, in terms of value. The reason for this was the wide applications of adhesives and coatings and sealings compounds. Due to this, the category is further projected to grow at the faster pace during the forecast period.
In terms of application, the hexamine market is divided into rubber, pharmaceutical, explosive, resin, and others (which include paper, fertilizer, fuel, leather, and laboratories). Out of these, the resin application accounted for the largest share of the market during the historical period, holding more than 50.0% share in 2017, in terms of value. This was due to the several uses of resins including as coatings and laminates and in adhesives industry and plastic industry. The application is further predicted to dominate the market during the forecast period.
The rising demand from the end-use industries is a key driving factor of the hexamine market. Hexamine is utilized in various industries such as rubber, fuels, pharmaceutical, explosives, and others. The need for hexamine from the pharmaceutical industry is increasing due to the rising need for medical products. Similarly, the rise in disposable income has led to the growing sales for vehicles. This has further resulted in the increasing demand for hexamine, as it is an accelerator for the production of vulcanized rubber, which is utilized for making automobile tires.
Another factor driving the growth of the hexamine market is the rising usage from the plastics industry. Packaging and construction industries are the primary end users of plastics. Because of the surge in population, there has been a rise in the construction projects, which, in turn, has led to increased usage of plastic. In addition to this, due to the increase in manufactured goods, packaging industry is also consuming a substantial amount of plastic. These factors are further driving the requirement for hexamine, since it is utilized in the synthesis of plastics.
The rising hexamine production in Asia-Pacific is a key trend being observed in the hexamine market. Due to factors including the availability of cheap labor and raw materials and comparatively lenient regulations, the minimum efficiency scale for the production of hexamine in the region is decreased. Attributed to this, producers are shifting their base to APAC from countries which have strict laws, including the banning of use of hexamine in paint striper application. The regulations are particularly strict in Europe.
Hence, the market is registering growth due to the increasing demand for hexamine from the plastic industry and other end-use industries.