Diacetone alcohol is colorless with an aromatic odor. It is an organic compound with a chemical formula CH3C(O)CH2C(OH)(CH3)2 and also called DAA. Industrially, diacetone alcohols are produced from acetone and have two alcohol groups and a functional group as ketone. Diacetone alcohols are soluble in organic and inorganic compounds. It is commonly consumed as a solvent in several industrial applications such as in paints & coatings, coatings, drilling fluids, cleaning chemicals, lubricants, and metalworking fluids. In the chemical industry, diacetone alcohol is used as chemical additives for the production of compounds such as methyl isobutyl ketone (MIBK), isopropylidene acetone, phorone and isophorone, hexanediol, and methyl isobutyl alcohol (MIBC). For production purposes of these compounds, the diacetone alcohol route is preferred majorly over the acetone route as it provides a high yield of the compounds.
COVID-19 Impact analysis
- The construction and chemical fabricating plants were temporarily on halt, which resulted in less consumption of diacetone alcohol in these industries during the pandemic, which in turn has adverse impact on the diacetone alcohol market growth.
- The diacetone alcohol market is expected to witness a slowdown, owing to decline in demand and supply chain disruptions due to the global COVID-19 outbreak.
- The various trade restrictions in the market due to the COVID-19 pandemic hamper demand and supply chain of the diacetone alcohol market.
Top Impacting Factors
Global economic development, rise in consumer spending, expansion of the urban population, increase in investments, and rise in recreational operations are some of the factors boosting the market growth. In addition, huge allocation of funds in R&D activities to improve efficiency and enhance the performance of diacetone alcohol through innovative solutions, higher quality and outputs, reduced breakages, and increased efficiency foster the market growth. However, manufacturing of diacetone alcohol creates a high level of pollution which is a major restraining factor.
The diacetone alcohol market is expected to witness growth owing to the rise in demand from the low-income categories. In addition, consumers are showing interest for bulk buying. The essential demand is expected to keep flowing because of the relatively better price of the product.
- In July 2019, Arkema group completely acquired the ArrMaz, a global leader in specialty surfactants for crop nutrition, mining, and infrastructure markets. The acquisition will contribute to the further reinforcing the group’s profile.
- In October 2020, Mitsubishi Chemicals had completed the acquisition of the Gelest from New Mount Capital (NMC) which will improve the strategy to enhance its technology, R&D capabilities and help in identifying new business opportunities.
- SK Capital, a private investment firm focused on the specialty materials, chemicals and pharmaceuticals sectors has completion of the acquisition of SI Group, a leading global developer and manufacturer of performance additive and intermediates. This will unlock significant earnings growth from both commercial and cost synergies.
Key Benefits of the Report
- This study presents the analytical depiction of the diacetone alcohol industry along with the current trends and future estimations to determine the imminent investment pockets.
- The report presents information related to key drivers, restraints, and opportunities along with detailed analysis of the diacetone alcohol market share.
- The current market is quantitatively analyzed to highlight the diacetone alcohol market growth scenario.
- Porter’s five forces analysis illustrates the potency of buyers & suppliers in the market.
- The report provides a detailed diacetone alcohol market analysis based on competitive intensity and how the competition will take shape in coming years
Questions answered in the diacetone alcohol Report
- Who are the leading market players active in the diacetone alcohol market?
- What current trends will influence the market in the next few years?
- What are the driving factors, restraints, and opportunities in the market?
- What future projections would help in taking further strategic steps?
- Which Government regulations might challenge the status of key regional markets?
- What are the key barriers to enter for the new players in the market?
- What value proposition should businesses aim at while making new research and development funding?
Diacetone Alcohol Market Report Highlights
By End User Industry
Key Market Players
TCI Chemicals Pvt. Ltd., Prasol Chemical Pvt. Ltd., Solvay S.A, Mitsubishi Chemical Corporation, Tianjin Daofu Chemical New Technology, Arkema Group, Monument Chemicals, Inc., KH Neochem Co., Ltd, SI Group, Inc., Solventis Ltd, Development Co., Ltd