Nitrobenzene Market

Nitrobenzene Market Outlook (2023 to 2033)

The global nitrobenzene market has reached a valuation of US$ 11.82 billion in 2023 and is forecasted to climb to US$ 19.72 billion by 2033-end. Worldwide demand for nitrobenzene is projected to rise at 5.2% CAGR over the next ten years (2023 to 2033).

Nitrobenzene is an organic chemical that is produced on a large scale by the nitration of benzene. Nitrobenzene plays a crucial role in the production of aniline, which is an essential component for MDI manufacturing and hence shipments of nitrobenzene are projected to follow the demand outlook for MDI and aniline in the long run.

Expanding use of high-performance plastics in automotive manufacturing is also anticipated to directly bolster nitrobenzene demand on a global level over the coming years. Growing urbanization, high spending on infrastructure development, rising demand for synthetic rubber production, increasing automotive production, and expanding footprint of the chemical manufacturing industry are other influential aspects that could alter nitrobenzene sales going forward.

Rising focus on sustainability and increasing concerns regarding the immediate climate change threat are pushing chemical companies to opt for less toxic chemical intermediates for manufacturing and reduce their carbon footprint. Phenol ammonolysis is also being used to produce aniline as a more sustainable alternative and is projected to influentially hurt nitrobenzene demand by the end of the forecast period.

Surging demand for organic fertilizers and the ban on toxic nitrobenzene-based products to remediate their hazardous environmental impact are expected to majorly inhibit market development going forward. The implementation of new mandates by different governments for the chemical industry to reduce their harmful impact on the environment is anticipated to be a major challenge for nitrobenzene manufacturers in the future.

• In 2020, the European Union announced the imposition of stricter limits on exposure to nitrobenzene and revised norms for the handling and disposal of nitrobenzene and its products. The move is part of the European Union’s continual efforts to improve sustainability and promote a better environment.

A detailed assessment of industry-influencing factors such as local supply, pricing trends, product standards, safety regulations, and new developments has been mentioned and discussed in this nitrobenzene research analysis by Fact.MR.

Report Attributes	Details
Nitrobenzene Market Size (2023)	US$ 11.82 Billion
Projected Market Value (2033F)	US$ 19.72 Billion
Global Market Growth Rate (2023 to 2033)	5.2% CAGR
BASF SE & Wanhua Chemical Market Share (2022)	~40%
Prominent Regional Market (2033F)	Asia Pacific
Nitrobenzene Demand Share for Aniline Production (2033F)	>80%
Key Companies Profiled	Huntsman Corporation BASF SE Shandong Jinling Chemical Co. Ltd. Covestro AG Chemours Company The Dow Chemical Bann Quimica Ltd. Wanhua Chemical Group Co. Ltd. Aromsyn Co. Ltd. Finetech Industry Limited Tianjin Elong Co. Ltd. Total SA

What are Start-ups Focusing on to Gain Prominence in the Nitrobenzene Space?

“New Companies Focusing on Finding New Ways for Nitrobenzene Production”

Aspiring nitrobenzene manufacturers are focusing on entering the global marketplace with innovative production techniques based on sustainable and eco-friendly principles that allow them to stand out from the established crowd of other chemical companies. These new nitrobenzene suppliers are also focusing on taking maximum advantage of new circular economy and green economy initiatives being launched by governments to help fight climate change and global warming effectively.

Aspiring nitrobenzene companies can intricately study the start-up landscape to craft new strategies that would allow them to compete with the established market players and learn more about the competitive landscape from this nitrobenzene market research report by skilled analysts at Fact.MR, a market research and competitive intelligence provider.

Country-wise Insights

Why Should Nitrobenzene Companies Invest in Germany?

“Presence of Key Automotive Companies – Prime Investment Opportunity”

Germany is the home to some of the most prominent automotive manufacturing companies in the world and has a well-established automotive manufacturing industry that drive demand for polyurethane (PU) foams in the country over the coming years. The presence of a strong petrochemical industry and expanding construction activity are also anticipated to point toward a bright nitrobenzene sales outlook over the next ten years in Germany.

How Will Nitrobenzene Sales Fare in the United States?

“Growing Demand for Pharmaceuticals to Bolster Market Growth”

Nitrobenzene is used in the pharmaceutical manufacturing industry as well and this is projected to be a prime demand instigator for it in the United States over the coming years. Growing automotive production, rising residential construction activity, high demand for rubber products, and rising investments in medical R&D are other key prospects that could potentially benefit the nitrobenzene demand outlook in the country through 2033.

Increasing demand for better paint finish has bolstered the sales of high-quality paint solvents which utilize nitrobenzene and this is also a major aspect that could potentially alter market growth over the next ten years. Growing focus on sustainability is favoring the sales of electric vehicles in the country, which is driving the demand for high-performance plastics and thereby creating a lucrative scenario for nitrobenzene companies as well.

Which Asian Countries Will Be Opportune Markets for Nitrobenzene Suppliers?

“China, Japan, and India Projected to Be Remunerative Spaces”

Industrialization in Asian countries such as India and China is rising at a rapid pace owing to supportive government initiatives to promote manufacturing activity and the availability of cheap raw materials and labor. Nitrobenzene production in China has been topping the global charts for quite a few years now and is projected to maintain a similar stance throughout the forecast period.

Increasing investments in infrastructure development, rising urbanization, growing population, high per capita disposable income, and expanding automotive production are other factors that could promote nitrobenzene sales in the aforementioned Asian countries over the next ten years. Moreover, the presence of key chemical manufacturing companies in Japan and China is also slated to favor market development in the overall Asia Pacific region through 2033.

Category-wise Insights

Where is Nitrobenzene Being Used in Bulk?

“Aniline Production Accounts for Leading Market Share”

The nitrobenzene market is segmented based on application and further classified as paint solvents, pesticide additives, aniline production, synthetic rubber manufacturing, and others.

A majority of nitrobenzene is forecasted to be used for aniline production and this trend has dominated the global landscape for quite a while now. Aniline has become a widely used ingredient in the formulation of pesticides and herbicides, which are witnessing high demand and thereby promoting market growth as well.

• In October 2022, Covestro, a German chemical and material company, started the construction work on its new facility for aniline production. The plant is being made with an investment of around US$ 328.93 million in Antwerp, Belgium, and was estimated to start its operations in early 2025.
• Nitrobenzene demand for aniline production is projected to account for more than 80% of the share in the global marketplace by the end of the forecast period.

Surging use of aniline in (methylene diphenyl diisocyanate) MDI manufacturing is also a major prospect that is anticipated to contribute to the bright growth prospects of this segment throughout the forecast period and beyond. Expanding demand for high-grade paint solvents around the world is also slated to influentially augment nitrobenzene shipments through 2033.

Which Industry is Creating New Opportunities for Nitrobenzene Vendors?

“Construction Industry Demanding Nearly Half of All Nitrobenzene Produced Globally”

Based on end-use industry, the nitrobenzene market is segmented into automotive, pharmaceuticals, agriculture, construction, and others.

Rapid industrialization and urbanization have been promoting the launch of several new construction projects around the world, which has resultantly increased the demand for products such as elastomers, polyurethanes, adhesives, sealants, etc. All of these products are MDI-based and this promotes demand for aniline, which in turn, is anticipated to favor shipments of nitrobenzene across the forecast period.

Competitive Landscape

Top-tier nitrobenzene suppliers are making efforts to expand their business scope by improving their production capacities, allowing them to cater to more industries and generate more revenue.

• In 2021, Sadhana Nitro Chem Ltd., a leading producer of nitrobenzene based in India, made its para ameno phenol (PAP) plant live in two phases. The plant started producing PAP using a proprietary manufacturing process based on green principles and utilizes nitrobenzene, which is also produced by Sadhana Nitro Chem.
• In September 2021, Karun Petrochemical Company, the first company to produce nitrobenzene and isocyanates in the Middle Eastern region, revealed that they had witnessed a substantial increase in their MDI and MDI-based pre-polymer output.

Key Segments of Nitrobenzene Industry Research

• By Form :

  • Liquid
  • Powder

• By Application :

  • Paint Solvents
  • Pesticide Additives
  • Aniline Production
  • Synthetic Rubber Manufacturing
  • Others

• By End-use Industry :

  • Automotive
  • Pharmaceuticals
  • Agriculture
  • Construction
  • Others

• By Region :

  • North America
  • Latin America
  • Europe
  • APAC
  • MEA