Barium Carbonate Market - Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)

The barium carbonate market is projected to register a CAGR of over 7.5% during the forecast period (2021-2026).

The market was negatively impacted by COVID-19 in 2020. Considering the pandemic scenario, the construction activities were on temporary halt during the government-imposed lockdown. Thus, this led to a decrease in the consumption of barium carbonate, which is used to produce tiles, matt glazes, bricks, and other components in the construction sector, thereby witnessing a declining market growth rate. However, barium carbonate is also used as raw material for optical and sputter glass for semiconductors and barium titanate for a multi-layer ceramic capacitor (MLCC), which are further used in cloud/data center devices, electronic products such as laptops and desktops, and electronic medical devices. Owing to the increased demand for these products during the current situation, the demand in the studied market has increased significantly.

Key Highlights

• Over the short term, the growing application of barium carbonate in the ceramic and construction industries is expected to drive the market's growth. However, the toxic nature of barium carbonate and stringent regulations implemented by several governments in the developed countries on the usage of barium carbonate are likely to hinder the growth of the studied market.
• The research and development on the application of barium carbonate to separate and purify Cesium-131 for radiation therapy are likely to provide opportunities for the barium carbonate market over the forecast period.
• The Asia-Pacific region dominates the barium carbonate market, owing to growing application in the construction and ceramic sectors in the country.

Key Market Trends

Construction Industry to Dominate the Market

• The construction industry stands to be the dominating segment, owing to the escalation in infrastructure projects in Asia-Pacific and North American regions.
• Barium carbonate is used in bricks and tiles to prevent scumming. As bricks and tiles are extensively used in the construction industry, the consumption of barium carbonate is also expected to increase with growing construction activities.
• The construction industry was valued at about USD 12 trillion in 2019, and it is estimated to reach about USD 14.3 trillion by 2024, with a CAGR of about 3.5%, thus increasing the market growth of barium carbonate in the construction industry.
• Asia-Pacific countries, like China, India, and Vietnam, have been registering strong growth in construction activities, which is expected to drive the consumption of barium carbonate in the region over the forecast period.
• The United States has one of the world’s largest construction industries, and it recorded annual revenue of USD 1,306 billion in 2019. ​According to the Federal National Mortgage Association (Fannie Mae), residential houses construction was expected to jump 10% across 2020, with 1 million new homes expected to hit the market by the end of 2021. Although residential construction was expected to reduce due to the COVID-19 pandemic in 2020, which is likely to hit the market studied, the growth is expected to pick up in the first half of 2021 and continue during the forecast period.​
• Therefore, the aforementioned factors are expected to show a significant impact on the market in the coming years.

Asia-Pacific Region to Dominate the Market

• The Asia-Pacific region stands to be the largest and fastest-growing market for barium carbonate. Consumption of barium carbonate in bricks and tiles from construction and refurbishment activities will drive market growth.
• In 2020, the Chinese construction industry was valued at about USD 1,049.2 billion, and it is estimated to reach about USD 1,117.4 billion by 2021, with a growth rate of about 6.5%, which is likely to increase the consumption of barium carbonate in bricks and tiles production, in turn, enhancing the demand in the studied market.
• The Japanese construction industry is expected to be blooming, owing to the events to be hosted in the country. Tokyo planned to host the Olympics in 2021 (postponed due to the pandemic in 2020), and Osaka will host the World Expo in 2025. The construction in Japan is mostly driven by redevelopment and recovery from natural disasters. However, the pandemic and lockdown situations during 2020 may lead to the delayed completion of such planned investments and projects over the first half of the forecast period.
• Furthermore, the increasing government investments in infrastructure expansion by nations like China, India, and Vietnam are providing thrust to the construction industry.
• Barium carbonate consumption witnesses a rapid growth on account of increasing consumption in major end-user segments such as semiconductor, glass, papermaking, dyestuff, rubber, plastic, oil refining, metal heat processing, etc.
• Barium carbonate is used as raw material for barium titanate, which is further used in the production of the multi-layer ceramic capacitor (MLCC) and composite oxides, or as a raw material for positive temperature coefficient (PTC) thermistors, optical glass, and sputter glass for semiconductors.
• The electrical and electronics industry in Japan is one of the world’s leading industries. Consumer electronics account for one-third of the Japanese economic output. The country is a world leader in terms of the production of computers, gaming stations, cell phones, and various other key computer components. Despite a strong performance by telecommunications infrastructure equipment in 2020, domestic production by the Japanese electronics industry declined by 5% annually to JPY 9,789.6 billion due to a decrease in demand for electronic components and devices for domestically produced equipment and automobiles. However, the market is expected to recover, and in turn, this enhances the demand for barium carbonate in the country.
• Therefore, the aforementioned factors are expected to show a significant impact on the market in the coming years.

Competitive Landscape

The barium carbonate market is highly fragmented in nature, with a large number of small players operating in the market. Some of the prominent players in the market include Solvay, SAKAI CHEMICAL INDUSTRY CO., LTD, Honeywell International Inc., Chemical Products Corporation, SHAANXI ANKANG JIANGHUA GROUP CO. LTD, and Honeywell International Inc., among others.

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