Ferric hydroxide has strong adsorptive properties which makes it suitable for applications in wastewater treatment. It removes phosphate, arsenic and fluoride from water by adsorption. Ferric hydroxide also finds applications in industries like paints & coatings, electronics and water treatment as it has magnetic and anticorrosive properties.
The global Ferric Hydroxide Market is estimated to be valued at US$ 3.6 Bn in 2023 and is expected to exhibit a CAGR of 4.5% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
Increasing demand for wastewater treatment from industries has fuelled demand for ferric hydroxide over the years. It is extensively used for removing phosphorus from wastewater in sewage treatment plants before releasing it into water bodies. Stringent regulations regarding wastewater discharge standards have propelled wastewater treatment installations worldwide. Growing industrialization has also led to significant rise in volumes of industrial wastewater. This is benefiting demand for ferric hydroxide for wastewater treatment applications from industries like power, chemical, food & beverage and others. Its applications in removing arsenic, fluoride and phosphate from water are also contributing to market growth.
Porter’s Analysis
Threat of new entrants: New players face high capital requirements to enter the market as ferric hydroxide production involves complex industrial processes.
Bargaining power of buyers: Buyers have moderate bargaining power due to the availability of numerous global suppliers.
Bargaining power of suppliers: Suppliers have moderate bargaining power due to the availability of substitutes like ferric oxide and ferric chloride.
Threat of new substitutes: Substitutes like ferric oxide and ferric chloride pose threat but are not completely substitutable due to differences in properties.
Competitive rivalry: Players focus on expanding production capacities and product portfolio to gain market share.
SWOT Analysis
Strengths: High demand from end-use industries like water treatment, dye and colorants manufacturing boosts market growth.
Weaknesses: Fluctuations in raw material prices affects production costs. Heavy dependence on China for raw material supply.
Opportunities: Growing demand for ferric hydroxide from sectors like construction and paints coatings presents new opportunities.
Threats: Stringent environmental regulations related to mining and processing could increase compliance costs.
Key Takeaways
The Global Ferric Hydroxide Market Size is expected to witness high growth, exhibiting CAGR of 4.5% over the forecast period, due to increasing demand from water treatment industry. Water treatment accounts for over 30% share of the global market.
Regional analysis indicates that Asia Pacific dominates the global market and is expected to grow at the fastest pace during the forecast period. China accounts for over 40% share of the regional and global market owing to availability of raw materials and dominance of Chinese players.
Key players operating in the ferric hydroxide market are BASF SE,DuPont,American Elements,Cabot Corporation,ZeniMac Exim,Southern Carbon Chemical,Reade Manufacturing Company,The Shepherd Chemical Company. BASF SE dominates the global market share of over 20%. key players are focusing on capacity expansion plans and new production facilities to meet the growing demand.
Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
