Lignin Products Market by Product Type (kraft lignin, lignosulphonates, and Others), Application (construction, agricultural industry, animal feed, others), and Region (North America, Europe, Asia Pacific, Middle East and Africa, and South America), Global Forecast 2022 to 2032

Increasing fuel prices and changing fuel standards are expected to increase the utilisation of bio-based materials, propelling the worldwide lignin products market to new heights.

The global market for the Lignin Products is anticipated to develop at a compound annual growth rate (CAGR) of 4.6 % throughout the course of the forecast, to reach US$ 1.8 Billion by 2032.

Covid-19 Impact & Market Status

The recent COVID-19 outbreak started in Wuhan (China) in December 2019 and has rapidly spread around the world since then. As of March 2020, China, Italy, Iran, Spain, the Republic of Korea, France, Germany, and the United States were among the countries with the highest number of positive cases and reported deaths. Due to lockdowns, travel bans, and company closures, the COVID-19 epidemic has impacted economies and businesses in a number of countries. As a result of the outbreak, the global food and beverage industry is one of the major businesses experiencing substantial disruptions such as supply chain disruptions, technology event cancellations, and office closures. With the presence of and the largest raw material suppliers, China is the global industrial powerhouse. The overall market breakdown due to COVID-19 is also affecting the growth of the bacon market due to shutting down of factories, obstacle in supply chain, and downturn in world economy.     

In the aftermath of the pandemic, the lignin market experienced a -1.3% reduction in 2020. The pandemic has had varying degrees of influence on many end-use industries. For example, the pandemic wreaked havoc on the building industry, creating enormous disruption and losses to all parties involved. Low oil prices prompted increased usage of oil-based alternatives, which, along with reduced building activity, resulted in a drop in lignin demand in the construction industry.

This research report offers a detailed market outlook of the global lignin products market depending upon the current economic situation and developments in the application, type, and regional segments.

It does a deep analysis of the impact of covid-19 on the market and recovery strategies applied by market players to restore the growth trends and maintain market competitiveness. The in-depth insights documented in the report enable well-informed investment decisions by for the new payers, aspirants, and also the well-established ones in the global lignin products market.  

Kraft Lignin Lignin Product Type to Emerge as the Most Lucrative Segment

Global lignin products market is classified into kraft lignin, lignosulphonates, and other product type segments. Among these, the kraft lignin product type is poised for substantial market growth in the years ahead. In terms of solar energy storage, lignin is the most abundant natural raw material on the planet. It accounts for 30% of all non-fossil organic carbon on the planet. Many petroleum-derived compounds, such as fuels, resins, rubber additives, thermoplastic blends, nutra and medicines, can be replaced with lignin. In 2020, the Kraft Lignin category will have the biggest market share since it requires less processing than other product kinds.

Construction Applications to Ensure Revenue Maximization

Global lignin products market is classified as Construction, Agricultural Industry, Animal Feed, and Others segment applications. Among these, the Construction application segment is poised for substantial market growth in the years ahead. The construction industry and application segment, which holds the largest market share for cement and concrete admixtures, also dominates the lignin products market.

Backed by Immense Development Potential Asia Pacific Lignin Products Market to Sail Ahead

Performance analysis of global lignin products market based on regional segmentation states that Asia Pacific is the most mature market for lignin products adoption and investments. The region is likely to garner maximum revenue share of global lignin products market in the years ahead, mostly from 2021 to 2028.

This is evident from rapid investments in new developments, shift in user preferences, applications in various industry verticals such as construction, others, agricultural industry media, and animal feed across leading countries in the region such as China, India, Japan, South Korea, and ASEAN countries.  

Additionally, technological advancements due to various research and developments initiatives, the presence of tech giants, commercial mergers and partnerships, expansions of the leading companies in regional and global market are improving the growth feasibility of global lignin products market in Asia Pacific.

Europe has the largest market share, accounting for over 42% of the global market. Asia-Pacific, on the other hand, is expected to develop at the fastest rate, with a CAGR of 8% over the forecast period. The consumption of lignosulfonates (used in concrete admixtures) is expected to rise over the projected period due to a jump in demand for concrete admixtures due to increased building activity in major nations such as China, India, Japan, South Korea, and ASEAN countries. Furthermore, the rising use of lignin products in a variety of applications is expected to propel Asia-Pacific to the highest CAGR over the projection period.

Over the projection period, rising demand for fossil-based raw materials is expected to create a plethora of opportunities.

Lignin sulphonate has long been used on roadways as a surface stabilisation and dust control agent. Lignin-based solutions are both safer and more cost-effective than petroleum- and salt-based products that are commonly used on roads. One of the primary factors likely to promote the utilisation of lignin-based products over the forecast period is this.

The recent COVID-19 outbreak started in Wuhan (China) in December 2019 and has rapidly spread around the world since then. As of March 2020, China, Italy, Iran, Spain, the Republic of Korea, France, Germany, and the United States were among the countries with the highest number of positive cases and reported deaths. Due to lockdowns, travel bans, and company closures, the COVID-19 epidemic has impacted economies and businesses in a number of countries.

Lignin and its derivatives are widely used in concrete additions as binders, dust suppressants, and other substances. It's utilised as a binder in glass wool insulation for buildings. Asphalt binders' performance is improved.

Lignin is a valuable renewable resource for the chemical industry that is produced as a by product of lignocellulosic bio refineries. As a by product of the pulping industry, 50–60 million tonnes of lignin are removed from wood each year. Lignin, a plant component, has a lot of potential for being converted into value-added products, which can help a bio-bottom refinery's line. It's a non-toxic, renewable raw material that accounts for roughly 30% of the weight and 40% of the energy content of lignocellulosic biomass. The relatively plentiful biomass product lignin is undervalued due to its complicated character, and it is largely employed as a boiler fuel in the paper and pulp sector. Increasing fuel prices along with changing fuel standards is expected to increase the use of bio-based materials, propelling the lignin-based products market forward during the forecast period.

Lignin sulphonate has long been used on roadways as a surface stabilisation and dust control agent. Lignin-based solutions are both safer and more cost-effective than petroleum- and salt-based products that are commonly used on roads. One of the primary factors likely to promote the utilisation of lignin-based products over the forecast period is this.

The existing gap between R&D activity and consumer products, on the other hand, is likely to stymie the market's expansion. Nonetheless, the rising popularity of fossil-free raw materials is expected to open up a slew of new opportunities over the projection period.

The major players of the global lignin products market are Borregaard LignoTech, KMT Polymers, Tembec (Rayonier Advanced Materials), Domtar, Nippon Paper, Domsjo Fabriker, MWV (WestRock), Weili Group, Wuhan East China Chemical, Shenyang Xingzhenghe Chemical, and Xinyi Feihuang Chemical.

Among all other established and emerging companies and investors. These market players are spread across the world and are aggressive in developing new technologies to lead the market and improve revenue growth. Furthermore, the market players to stay ahead of the competitive landscape are unravelling strategic initiatives like mergers and acquisitions, new product portfolios, and technological innovations.

Latest Innovations in the Global Lignin Products Market: Snapshot

• Lignin-based products can be made both naturally and industrially. Lignin is found in the tissue of vascular plants, where it contributes to the cell wall's mechanical strength and structural integrity. Because of its complicated chemical structure, it can be used in a variety of applications.
• Cooking liquors produced during the wood pulping process are major sources of lignin. Lignin can be manufactured from industrial sources utilizing two technologies: the kraft pulping process and the soda process. The kraft pulping method is the most widely used and is expected to grow significantly over the forecast period.

Lignin Products Market Scope

Key Segments of the Global Lignin Products Market

Product Type Overview, (USD Billion)

• Kraft Lignin
• Lignosulphonates
• Others

Application Overview,(USD Billion)

• Construction
• Agricultural Industry
• Animal Feed
• Others

Regional Overview,(USD Billion)

North America

• U.S
• Canada

Europe

• Germany
• France
• UK
• Rest of Europe

Asia Pacific

• China
• India
• Japan
• Rest of Asia Pacific

South America

• Mexico
• Brazil
• Rest of South America

Middle East and South Africa