The market size of cellulose acetate is projected to be 835.94 thousand tons by 2024 and is expected to reach 922.49 thousand tons by 2029. During the forecast period (2024 - 2029), the CAGR is 1.99%.
Cellulose Acetate - Market
The COVID-19 pandemic had a negative impact on the market in 2020. Due to supply chain disruptions, the pandemic affected the cellulose acetate market. During the pandemic, many related factories were shut down, resulting in a decline in production. However, the market is now recovering to the level before the pandemic.
Key highlights
In the short term, the increasing demand for cellulose acetate in the textile and furniture industries, as well as the continued use of tobacco, are some of the driving factors that stimulate market demand.
The decline in the demand for photographic film for cellulose acetate has hindered market growth.
The increasing use of cellulose acetate for water treatment may create opportunities for the market in the coming years.
It is expected that the Asia-Pacific region will dominate the market, and the compound annual growth rate (CAGR) during the forecast period will be the highest.
Market trends of cellulose acetate
Cigarette filters will dominate the market
Cigarettes consist of four main components: filter tobacco, additives, and cigarette wrapping paper. The design of cigarette filters is to absorb vapor and accumulate particulate smoke components. The filters can also prevent tobacco from entering the smoker's mouth and provide a non-collapse cigarette tip when smoking.
Most cigarette filters on the market are made of cellulose acetate, with a few made of paper and artificial silk. The two types of cellulose acetate fibers are very fine and closely packed together to form a filter that looks like cotton. Other materials were tried, but they were rejected because of the taste they liked.
The largest tobacco manufacturing companies in the world are China National Tobacco Corporation, British American Tobacco Company, Philip Morris International Company, Empire Brand Company, Altria Group, and Japan Tobacco International Company.
Major players are investing in research and development to provide customers with better products. In addition, new flavors such as methanol and cinnamon chocolate cigarette filters and other innovations are expected to increase cigarette demand and drive cellulose acetate demand.
The report released by the Ministry of Commerce of the Indian government shows that the export value of unprocessed tobacco in India increased from 517.64 million US dollars in 2021 to 570.64 billion US dollars in 2022.
Therefore, it is expected that the annual increase in smokers will increase the demand for cellulose acetate as a cigarette filter in the coming years.
The Asia-Pacific region will dominate the market
The Asia-Pacific region is expected to dominate the market. In this region, China is the largest economy when calculated by GDP. China and India are among the fastest-growing emerging economies in the world.
Cellulose acetate fibers are used to manufacture clothing and textile fabrics. These fabrics can be used to make knitted products, wedding dresses, formal shirts, suits, coats, sweaters, sportswear, hats, shirts, and underwear. They can also be used for umbrellas, curtains, drapes, carpets, and other home decorations, such as soft and luxurious fabrics.
Indonesia is one of the top ten textile producers in the world. The textile and textile products industry is one of the most important industries in the Indonesian economy, providing employment opportunities for over 3.7 million Indonesians.
Bangladesh is a major exporter of textiles to the United States, European countries, India, and China. According to the data released by the Export Promotion Bureau, the country's clothing export value was 42.613 billion US dollars in 2021-2022.
China is the world's largest producer and consumer of tobacco. There are over 350 million smokers in China. Similarly, the smoking population in India is also very large. The country has approximately 250 million smokers aged 16 to 64. India is also one of the countries with the lowest smoking cessation rates.
The Asia-Pacific region is also the leading region in the global paints and coatings market. Due to various factors such as increased construction activities, growth in car production, the expansion of the middle class, and increased consumer spending, the demand for paints and coatings in this region is expected to increase.
Due to all these factors, it is expected that the cellulose acetate market in this region will grow steadily during the forecast period.
Overview of the cellulose acetate industry
The cellulose acetate market is essentially integrated. Some of the major players in this market include Celanese Corporation, Datashure Company, Eastman Chemical Company, RYAM, and Four Trumps Acetate Company (in no particular order).
