Industrial Explosives Market Outlook - 2027
The global industrial explosives market was valued at $7.1 billion in 2019, and is projected to reach $10.9 billion by 2027, growing at a CAGR of 5.5%from 2020 to 2027.
Industrial explosives are hazardous blasting explosives primarily used in the mining, quarrying, and construction industry. When initiated efficiently, it rapidly gets converted into gases at high pressure and temperature. This process of initiation of industrial explosives is known as detonation and leads to rock fragmentation. One liter of explosive can expand up to 1,000 liters with in milli seconds, and can attain a temperature range of 1500-4000°C.Industrial explosives can blast a larger amount of area as compared to conventional mechanical drills when deployed for the same task, there by reducing excavation time and saving labor costs. The choice of industrial explosive for a particular task depends on some major parameters, which include velocity of detonation (VOD), detonation pressure, effective energy, density, water resistance, sensitivity, and storage life.
Rise indemand for earth minerals, such as bauxite, iron ore, coal, and rare earth metals, including gold and silver, which are present inside the earth crust, is a key driver of the global industrial explosives market growth. Moreover, increase in use of industrial explosives in the construction industry for tunneling and other applications along with inclination of construction professionals toward the use of industrial explosives to save time & labor costs is fueling the growth of the market.Furthermore, initiatives by governments of various economies to tap rich underground mineral resources to achieve higher GDP aids in boosting the market growth. Currently, the global industrial explosives market has witnessed vivid opportunities due to upsurge in mining activities, especially in developing economies across the globe.
However, fluctuation in prices of ammonia and implementation of stringent regulations on the storage & transportation of industrial explosives are expected to act as major restraints of the global market. Moreover, high in itial costs required for the manufacture of industrial explosives are some of the key factors hampering the market growth.
The report segments the global industrial explosives market into explosive type, end-use industry, and region. On the basis of explosive type, the market is categorized into high explosives and blasting agents. The blasting agents segment is further divided into ANFO, water gel explosives, emulsion explosives, nitrogen explosives, and others. Depending on end-use industry, the global market is segregated into mining, construction, and others (seismic wave generations and oil fields). The mining segment is subdivided into metal mining, non-metal mining, and quarrying. Region wise, the market is analyzed across North America, Europe, Asia-Pacific, and LAMEA.
The major players operating in the global industrial explosives market have focused on strategic expansion of production capacities, due to rise in demand for industrial explosives in the mining industry, followed by new product developments. Some of the major companies profiled in this report include AECI Ltd., Austin Powder Company, EPC Groupe, Incitec Pivot limited, Irish Industrial, Explosives Ltd., Keltech Energies Ltd., Maxam Corp., NOF Corporation, Orica Ltd., Sigdo Koppers S.A., and Solar Industries India Ltd.
Global Industrial Explosives Market, By Region
Asia-Pacific accounted for the largest revenue share in 2019 in the global industrial explosives market. Factors such as low labor costs, abundance of earth minerals, and rise in preference toward use of explosives fuel the demand for industrial explosives, especially in China, India, Australia, and Indonesia. Countries in Asia-Pacific focus on mining activities to extract rich mineral resources and fuel their GDP.
Asia-Pacific would exhibit an CAGR of 6.5% during 2019-2027.
Global Industrial Explosives Market, By Type
The blasting agents segment accounted for largest revenue share in 2019 of the total industrial explosives market size, owing to surge in demand for blasting agents from the mining industry. The use of blasting agents in mining activities has witnessed rapid growth, owing to increase in demand for mineral extraction. Furthermore, these agents are being widely used in construction activities, due to their cost-effectiveness and ease of storage. Moreover, increase in speedy excavation projects and surge in need for minerals & coal globally significantly contribute toward the growth of the blasting agents segment.
Blasting agents is projected as the most lucrative segment.
Global Industrial Explosives Market, By End-use Industry
By end-use industry, the mining industry accounted for the largest industrial explosives market share in 2019. Government directive towarde fficient utilization of minerals & coal reserves coupled with rise in demand for minerals & coal across various end-uses has led to rise in mining activities. In addition, increase in demand for coal from thermal power plants and various other industries increases overall use of industrial explosives in the non-metal mining industry, thus boosting the growth of the global market.
By End-use Industry
Mining is projected as the most lucrative segment.
Key Benefits For Stakeholders
- The global Industrial explosives market analysis covers in-depth information of major industry participants.
- Porter’s five forces analysis helps to analyze the potential of buyers & suppliers and the competitive scenario of the industry for strategy building.
- Major countries have been mapped according to their individual revenue contribution to the regional market.
- The report provides an in-depth analysis of the global industrial explosives market forecast for the period 2020–2027.
- The report outlines the current global industrial explosives market trends and future estimations from 2019 to 2027 to understand the prevailing opportunities and potential investment pockets.
- The key drivers, restraints, and global market opportunity and their detailed impact analysis is elucidated in the study.
Industrial Explosives Market Report Highlights
By End Use Industry
Key Market Players
EPC Groupe, Incitec Pivot limited, Orica Ltd., AECI Ltd., Keltech Energies Ltd., Austin Powder Company, Solar Industries India Ltd., MaxamCorp. International SL, Irish Industrial Explosives Ltd., NOF Corporation, Sigdo Koppers S.A.
The growth of the global industrial explosives market is driven by rise indemand for industrial explosives from mining and construction industries, increase in government initiatives to tap rich mineral resources from earth, economic development, and upsurge in energy demands globally.However, price fluctuations in raw materials, such as ammonia, required for manufacturing explosives is anticipated to hamper the growth of the market.
Asia-Pacific accounted for the highest market share in 2019, and is the fastest growing region globally. This is attributed to rapid industrialization, increase in demand for coal from thermal power plants, and rise in government strategies for extraction of earth minerals. Furthermore, surge in adoption of industrial explosives in the construction industry due to high demand for tunnel constructions activities in hilly areas and building renovations projects significantly fuels the growth of the market. Rise in use of industrial explosives in seismic wave generation and oil fields is another key factor fueling the growth of the market. China occupies approximately one-thirdshare of the Asia-Pacific industrial explosives market; however, the industrial explosives market in India is expected to grow at a rapid rate in the near future, owing to its increase in use of industrial explosives in the construction industry.