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4-Nitroaniline Market Forecasted to Grow at a CAGR of 3.5% During 2021-2026

(, March 08, 2022 ) 4-Nitroaniline market is forecasted to grow at a CAGR of 3.5% during 2021-2026. This is mainly attributed to the use of 4-Nitroaniline in dyes. 4-Nitroaniline is an organic compound consisting of a phenyl group attached to an amino group which is para to a nitro group. It is also known as p-Nitroaniline, p-Nitrophenylamine, 1-Amino-4-nitrobenzene and 4-Nitrobenzenamine. It is insoluble in water but soluble in alcohol, chloroform, benzene, acetone, and ether. Dyes are the most prevailing application of 4-nitroaniline on account of the growing textile market, especially in the developing countries of the APAC region. 4-Nitroaniline is produced industrially via the amination of 4-nitrochlorobenzene. It is used as an intermediate in the manufacture of dyes, antioxidants, pesticides, pharmaceuticals, etc. It is also used as a corrosion inhibitor. 4-nitroaniline is used to produce p-phenylenediamine which is a dye intermediate especially in hair dyes. The rapid development of pharmaceutical, pesticides, dyes, rubber, and chemical industry in China on account of easy raw material access and low manufacturing cost is expected to have a positive impact on the 4-nitroaniline market. Agriculture industry growth in China, India, and other Asian countries on account of favorable regulatory support coupled with raw material access is expected to promote the demand for pesticides and thus in turn acts as a driver for the 4-nitroaniline market.

COVID-19 Impact

Currently, due to the COVID-19 pandemic, the core industries such as textile, chemical, and rubber industries are highly impacted. Due to social distancing policy, most of the manufacturing plants were shut down, which declined production. In addition, border closures and travel bans caused major hurdles such as supply chain disruptions due to raw material delays or non-arrival, and disrupted financial flows, resulting in lower demand and consumption of 4-nitroaniline in 2020. According to a report from Eurostat, Europe’s chemicals output was 4.4% lower year on year in the first nine months of 2020 compared to 2019. The widespread nature of restrictions on movement and on retail and hospitality venues, alongside the continued impact of the virus on air travel, the second and the third wave, have severely impacted the chemical industry and thereby, the 4-nitroaniline market too.

4-Nitroaniline Market Segment Analysis – By Form

The crystalline form segment held the largest share in the 4-Nitroaniline market in 2020. 4-Nitroaniline is a yellow solid with a faint ammonia-like odor. It exists as yellow monoclinic crystals. It is used as an intermediate in the manufacture of dyes, pharmaceuticals, and pesticides. It also exists as a powder but the crystalline form is widely used. 4-Nitroaniline is soluble in alcohol, chloroform, ether, acetone, and toluene. It is used in the production of p-phenylenediamine, a white to purple crystalline solid, is primarily used as a dye intermediate and as a dye. Hence 4-nitroaniline is used as a common chromophore and potentially useful synthetic reagent.

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4-Nitroaniline Market Segment Analysis – By Grade

The industrial-grade held the largest share of more than 90% in the 4-Nitroaniline market in 2020. Industrial grade 4-nitroaniline is used to manufacture various dyes and specialty chemicals. Laboratory grade 4-nitroaniline is used in research studies and pharmaceutical applications. Industrial grade 4-nitroaniline is commonly used as an intermediate in the synthesis of dyes, antioxidants, gasoline, gum inhibitors, and as a corrosion inhibitor. Hence the industrial segment is set to dominate the market during the forecast period.

4-Nitroaniline Market Segment Analysis – By Purity

98% purity 4-nitroaniline held the largest share of 61% in the 4-Nitroaniline market in 2020. 4-Nitroaniline is available as 99% and 98% purity. 98% pure 4-nitroaniline is industrial grade. 98% is used for industrial applications such as in the manufacture of dyes, gasoline, gum inhibitors , and other specialty chemicals. 99% purity is laboratory grade high purity 4-nitroaniline that is utilized for research labs and in pharmaceutical applications. Since 98% purity grade has industrial applications, it dominates the market.

4-Nitroaniline Market Segment Analysis – Application

The dyes segment held the largest share in the 4-Nitroaniline market in 2020 and is expected to grow at a CAGR of 3.1% during the forecast period. 4-Nitroaniline is used as intermediates for dyes, pigments, pharmaceuticals (Niclosamide, Nitrodiazepine, etc.), pesticides, and rubber chemicals. It reacts with nitrite ion in hydrochloric acid medium to form 4-nitrophenyldiazonium chloride, which couples with naphth-1-ol in alkaline medium to give a purple azo dye. 4-Nitroaniline is mainly used industrially as a precursor to p-phenylenediamine, an important dye component. It is a starting material for the synthesis of para red, an azo dye. Azo dyes are widely used in the food, pharmaceutical, cosmetic, textile and leather industries. Azo dyes the most important class of dye, accounting for over 50% of world annual production. They are the most widely used chromophores in dye chemistry. Many of the dyes used on cotton are azo dyes (e.g., fiber reactive, direct, azoic). These are used in dyeing textile fibers, particularly cotton but also wool, silk, viscose, and synthetic fibers. These are easy to use, relatively cheap, and provide clear and strong colors. According to a report by the Office for National Statistics, in the UK in 2020, the amount spent on online retail sales increased by 46.1% when compared with 2019 as a whole. Clothing and textile stores reported an increase in online sales of 49.1% for the year, a record annual increase for the sector. Hence, an increase in sales of textiles in turn causes an increase in sales of azo dyes which boosts the market for 4-nitroaniline.

4-Nitroaniline Market Segment Analysis – By End-Use Industry

The textiles segment held the largest share of 22% in the 4-Nitroaniline market in 2020. 4-Nitroaniline is used to make azo dyes. Due to their excellent fastness properties and the ability to impart high intensity and bright colours, azo dyes are extensively used in textile dyeing. Owing to the ease of manufacturing and low production cost, a majority of commercial dyes are azo dyes. These dyes possess intense bright colors which makes them suitable for natural coloring in the textile industry. China is the world’s largest producer and exporter of textiles. Textile industry captures a principal economic part of India being the oldest industry dating back several centuries. Even today, it is the second-largest employer just after agriculture contributing around 12% of total Indian exports. According to Invest India, Textiles and garments industry in India is expected to reach $190 billion by 2025-26. As a result, the growing textile industry fuels the growth of the 4-nitroaniline market.

4-Nitroaniline Market Segment Analysis – By Geography

The Asia-Pacific region held the largest share in the 4-Nitroaniline market in 2020 up to 44%. The reason is the increasing demand for pesticides owing to the presence of vast agricultural lands in the region. This is expected to drive the product demand over the forecast period. Rising product demand in China and India, along with significant capital investments in the emerging economies, has boosted the overall consumption of 4-nitroaniline. Integration of benzene facilities in the region is expected to play a major role in the market. According to the Food and Agriculture Organization of the United Nations, China is the largest producer of rice, wheat potatoes, broccoli, spinach, carrots, pears, peaches and tomatoes. India is the largest producer of spices, pulses, ginger, banana, mangoes, and lemons. According to Invest India, during April-December 2020, the export of Basmati Rice from India was $2,947 million against $2,936 million reported during same period in the previous year. Major destinations for the Basmati rice exports from India is to Iran, Saudi Arabia, Iraq, United Arab Emirates, Kuwait, European Countries, etc. For good agricultural yield, pesticides are used to protect the plants. Hence the growth in agriculture leads to an increase in demand for pesticides which boosts the 4-Nitroaniline market. Another reason for the APAC region dominating is the presence of a well-established textile market which is anticipated to drive the 4-Nitroaniline market.

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4-Nitroaniline Market Drivers

Growing Textile Industry

Asia is the main hub for the textile industry. Asia remains the textile manufacturing hub led by China, India, Bangladesh, Vietnam, Pakistan, Sri Lanka and Indonesia. Changing consumption patterns, increasing population, disposable incomes, the increasing demand for clothing, along with home furnishing products in the APAC region, are the major driving factors behind this. China is the major exporter in the global trade of the textile and apparel sector, followed by India, Bangladesh, Indonesia, Vietnam, and Cambodia. The textile industry is a highly labour-intensive industry. Hence, the lower cost of production and availability of cheap labour are the reasons for the growth of the textile industry in this region. The United States, the European Union and the United Kingdom are the major export markets for Asian countries. According to The Textile Magazine, China controls about 40% of the global textile markets, and India claims the second position. Growth in the textile industry leads to an increased demand for dyes which in turn boosts the 4-nitroaniline market as it is used as an intermediate for dyes. Hence the growing textile industry will act as a driver for the 4-Nitroaniline market during the forecast period.

Increased Usage of Pesticides

Pesticides are used in agriculture to control weeds, insect infestation, and diseases. These pests can cause a decrease in agricultural yield and can sometimes damage the entire crop. Various pesticides such as fungicides, herbicides, insecticides, rodenticides, etc. are used in agriculture. 4-Nitroaniline is an intermediate for rodenticides. Rodents can damage crops, transmit diseases, and in some cases cause ecological damage. Hence it is important to control the population of rodents. The Indian government’s Pesticide Management Bill 2020 seeks to regulate the manufacture, import, sale, storage, distribution, use, and disposal of pesticides, in order to ensure the availability of safe pesticides and minimize the risk to humans, animals, and the environment. Thereby, the increased use of pesticides drives the market for 4-nitroaniline.

4-Nitroaniline Market Challenges

Hazardous Substance

4-Nitroaniline is considered a hazardous substance according to Occupational Safety and Health Administration (OSHA). Toxic effects may result from the accidental ingestion of 4-nitroaniline. The substance and its metabolites may bind to hemoglobin inhibiting normal uptake of oxygen. Long-term exposure to high dust concentrations may cause changes in lung function i.e., pneumoconiosis. Prolonged exposure may produce liver damage in workers. Hence, 4-nitroaniline should be handled with care. Workers are required to wear Personal Protective Equipment (PPE) along with respirators, the workspace needs to be well-ventilated. It is harmful to aquatic organisms, may cause long-term adverse effects in the aquatic environment. So, it should not be disposed off into sewers or water bodies. Explosive decomposition may occur under fire conditions. It is combustible when exposed to flame or heat. Such factors have become the major challenge of 4-nitroaniline which constrains the growth of the market.

4-Nitroaniline Market Landscape

Acquisitions and R&D activities are key strategies adopted by players in the 4-Nitroaniline market. 4-Nitroaniline market top companies are Merck Millipore, Aarti Industries Limited, Hefei TNJ Chemical Industry Co., Ltd., Seya Industries Ltd. and Hangzhou Meite Industry Co., Bodal Chemicals Ltd, Tokyo Chemical Industry Co Ltd and Panoli Intermediates India Private Limited.

Acquisitions/Technology Launches

In February 2021, Bodal Chemicals Ltd, the largest dye intermediates player in India, acquired Mawana Sugars Ltd's Siel Chemical Complex for $18.8 million.

Key Takeaways

Asia-Pacific dominates the 4-Nitroaniline market, owing to the increasing agricultural and textile industries in the region. The Economic Survey of India 2020-21 report stated that in FY20, the total food grain production in the country was recorded at 296.65 million tonnes—up by 11.44 million tonnes compared with 285.21 million tonnes in FY19.

4-Nitroaniline is used as a gum inhibitor, in poultry medicines, and as a corrosion inhibitor. However, it is mainly used as an intermediate for azo dyes. Azo dyes are mostly used in the textile industry. The textile industry in China is the largest in the world in both overall production and exports.

The major opportunity for this market is high research spending and discovering newer applications.

Relevant Reports

A. Azo Dyes Market-Forecast (2021-2026)

B. Aniline Market – Forecast (2021-2026)

For more Chemicals and Materials Market reports, please click here

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Venkat Reddy

(+1) 970-236-3677

Source: EmailWire.Com

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