Chloroacetyl Chloride Market

Chloroacetyl Chloride Market Outlook (2024 to 2034)

Revenue from the global chloroacetyl chloride market is expected to reach US$ 512.7 million in 2024 and thereafter rise at 5.9% CAGR to ascend to US$ 909.5 million by the end of 2034.

The molecular formula of chloroacetyl chloride is C2H2Cl2O, and it is a highly reactive, strong-smelling, colorless yellowish liquid. The main application of chloroacetyl chloride is as a flexible intermediate in the synthesis of different organic compounds, such as specialty chemicals, agrochemicals, and medicines.

Chloroacetyl chloride is mostly utilized in the production of agricultural herbicides. In particular, chloroacetyl chloride is used in the production of well-known herbicides such as butachlor and alachlor. However, the European Union has outlawed the manufacturing and use of butachlor and alachlor since these herbicides pollute the environment. Nonetheless, the demand for these herbicides is still constant and growing because they are still used in several Latin American and Asia Pacific nations.

Key Market Growth Drivers

• In the production of pharmaceutical substances, such as medications, active pharmaceutical ingredients (APIs), and intermediates, chloroacetyl chloride is utilized as a key intermediary.
• Expansion of the pharmaceutical industry is significantly contributing to the chloroacetyl chloride market growth. Sales of chloroacetyl chloride are also driven by the rising prevalence of chronic illnesses and developments in medical treatments.
• Demand for chloroacetyl chloride is increasing in the agrochemical sector as it is extensively used in the production of herbicides, insecticides, and fungicides.
• Agrochemicals are becoming more necessary to protect crops from pests and diseases as a result of the expanding world population and the need to increase agricultural production is boosting the need for chloroacetyl chloride as a key component in the formulation.
• Chloroacetyl chloride functions as a building block in the production of many specialized compounds used in industries such as dyes, pigments, flavors, perfumes, and polymer additives.
• Growing demand for chloroacetyl chloride in the pharmaceutical and chemical industries as an important or base raw material is opening a wider door for new opportunities.

Report Attribute	Detail
Chloroacetyl Chloride Market Size (2024E)	US$ 512.7 Million
Forecasted Market Value (2034F)	US$ 909.5 Million
Global Market Growth Rate (2024 to 2034)	5.9% CAGR
East Asia Market Share (2024E)	23.8%
North America Market Value (2024E)	US$ 70.2 Million
Active Pharmaceutical Ingredient Segment Value (2034F)	US$ 412.3 Million
Key Companies Profiled	CABB; Shiva Pharmachem Ltd.; Daicel Corporation; Transpek Industry Limited; ALTIVIA Petrochemicals Corporation; Triveni Chemicals; YiDu Jovian Industry Co., Ltd.; Taixing Shenlong Chemical Co., Ltd.; Strategic Recommendations; Chengwu Chenhui Environmental Protection Technology Co., Ltd.; Zouping Qili Additives Co. Ltd.

What is Positively Influencing the Market for Chloroacetyl Chloride?

“High Demand for Chloroacetyl Chloride from Chemical and Medical Industries”

Increasing manufacturing of adrenaline for use in medicine to treat life-threatening illnesses including croup, cardiac arrest, and anaphylaxis is contributing to the chloroacetyl chloride industry growth. Also, there are instances where the body is unable to manufacture adrenalin hormones. In these cases, the patient receives synthetically synthesized adrenalin hormone which is created by the interaction of catechol and chloroacetyl chloride. Based on this, the rising need for artificially produced adrenalin hormones is contributing to the expansion of the chloroacetyl chloride market size.

Another reason supporting market growth is the rising demand for acid anhydrides, which are primarily made from chloroacetyl chloride. Generally, acids and hydroxides are commonly utilized in the production of industrial chemicals and the manufacturing of fragrances, and medicinal formulations.

“Increasing Use of Cellulose-Derived Products in Diverse Sectors”

Another reason behind market growth is cellulose-derived goods being manufactured using chloroacetyl chloride. Chloroacetyl chloride serves as the starting point for goods generated from cellulose, and when it reacts with other groups, it creates derivatives of cellulose that are highly substituted.

Films, water-resistant coatings for medications, removable coatings for photographic films, and photo-bactericidal plastic films are all often made using products derived from cellulose. Therefore, the market for chloroacetyl chloride is poised to witness growth opportunities due to the growing use of the chemical in the manufacturing of goods derived from cellulose.

Which Challenges Do Chloroacetyl Chloride Manufacturers Have to Contend With?

“Preference for Biodegradable Herbicides Due to Health Concerns Posed by Chloroacetyl Chloride”

The world is shifting toward biodegradable and eco-friendly products, especially in the agriculture sector. The demand for biodegradable herbicides is rising in the agrochemical industry, which is becoming a major roadblock for suppliers that are involved in chloroacetyl chloride. The growing environmental issues such as soil erosion and water pollution are limiting the adoption of this chemical. Because of all these reasons, some companies even are restricting the use of herbicides made from chloroacetyl chloride in the agrochemical industry.

• In March 2019, the United Kingdom's most popular pesticide was banned by the European Union due to health and environmental concerns. These widely used pesticides were banned by the European Union after safety authorities raised concerns about the environment and public health.

Country-wise Insights

East Asia is expected to hold 23.8% of the global chloroacetyl chloride market share in 2024, and by 2034, the region is projected to account for 25.9% market share. Sales of chloroacetyl chloride in East Asia are forecasted to rise at a CAGR of 7.8% from 2024 to 2034.

How is the Chemical Industry Contributing to Market Growth in China?

“Strong Production Capabilities and Low-Cost Production”

Attribute	China
Market Value (2024E)	US$ 70 Million
Growth Rate (2024 to 2034)	7.2% CAGR
Projected Value (2034F)	US$ 140.6 Million

In East Asia, China is projected to hold a significant share of the market by 2034. China holds a leading position in the chemical industry among top countries. China's strong production attracts suppliers from all over the world to establish manufacturing houses in the country. Also, the availability of resources in the country and low-cost production are creating more opportunities for companies to establish themselves.

Which Chloroacetyl Chloride Market Trends are Suppliers in the United States Leveraging?

“Increasing Funding from Investors and Financial Institutions for Chloroacetyl Chloride Production”

Attribute	United States
Market Value (2024E)	US$ 55.9 Million
Growth Rate (2024 to 2034)	7.7% CAGR
Projected Value (2034F)	US$ 117.6 Million

In North America, the United States is set to account for a significant market share of 79.6% in 2024. The primary reason for market growth in the nation is increasing funding from investors and financial institutions for chloroacetyl chloride production for application in the pharmaceutical industry. The United States is well-known for its well-established pharmaceutical industry, and chloroacetyl chloride is being used in many medicines that are used for life- diseases such as croup and cardiac arrest.

Category-wise Insights

Based on type, the market is segmented into chlorination of acetyl chloride, oxidation of 1, and 1-dichloroethylene.

Why is Use of Chloroacetyl Chloride in Rising Active Pharmaceutical Ingredients?

“Crucial Role of Chloroacetyl Chloride as Intermediary in Synthesis of APIs”

Attribute	Active Pharmaceutical Ingredients
Segment Value (2024E)	US$ 213 Million
Growth Rate (2024 to 2034)	6.8% CAGR
Projected Value (2034F)	US$ 412.3 Million

Under application, the market is segmented into herbicides, active pharmaceutical ingredients, and chemical production. The application of chloroacetyl chloride in active pharmaceutical ingredients (APIs) is more extensive compared to other segments. Chloroacetyl chloride is a common intermediary in the production of pharmaceutical compounds and active pharmaceutical ingredients (APIs). It is an essential component used in the synthesis of several medications and their derivatives.

Since chloroacetyl chloride is needed to make a variety of active pharmaceutical ingredients (APIs), the pharmaceutical sector is becoming one of the primary end users of the compound. The manufacturing of active medicinal compounds in the pharmaceutical industry makes considerable use of chloroacetyl chloride. It is essential to the synthesis of medications such as analgesics, anti-inflammatory medicines, and anti-cancer medications. Also, the growing incidence of chronic illnesses and the necessity for efficient medications are primary reasons that are expanding chloroacetyl chloride applications in APIs.

Competitive Landscape

Key market players in the chloroacetyl chloride market include CABB, Shiva Pharmachem Ltd., Daicel Corporation, Transpek Industry Limited, ALTIVIA Petrochemicals Corporation, Triveni Chemicals, YiDu Jovian Industry Co., Ltd., Taixing Shenlong Chemical Co., Ltd., Strategic Recommendations, Chengwu Chenhui Environmental Protection Technology Co., Ltd., and Zouping Qili Additives Co. Ltd.

• In 2021, Shanghai Macklin Biochemical Ltd Co. unveiled a brand-new chloroacetyl chloride product to meet China's and other developing nations' growing need for premium pharmaceutical intermediates.
• In April 2020, DAICEL Corporation, the parent company of Arbor Biosciences, supplied cutting-edge drug delivery technology, the Actranza lab pyro-drive jet injector, for a collaborative project between Osaka University and the Japanese company AnGes, Inc. to develop a DNA vaccine against SARS-CoV-2. DAICEL Corporation operates in Japan, a hub for the chemical industry.
• In 2019, to improve the efficacy and sustainability of pharmaceutical production processes, BASF SE launched a new chloroacetyl chloride product. The top chemical manufacturer globally is a multinational firm based in Europe called BASF SE, an acronym for Badische Anilin und Soda-Fabrik.

Fact.MR provides detailed information about the price points of key manufacturers of chloroacetyl chloride positioned across the world, sales growth, production capacity, and speculative technological expansion, in this new market report.

Segmentation of Chloroacetyl Chloride Market Research

• By Type :

  • Chlorination of Acetyl Chloride
  • Oxidation of 1, 1-Dichloroethylene
  • Others

• By Application :

  • Herbicides
  • Active Pharmaceutical Ingredients (APIs)
  • Chemical Production

• By Region :

  • North America
  • Western Europe
  • Eastern Europe
  • Latin America
  • East Asia
  • South Asia & Pacific
  • Middle East & Africa