Global Acetic Anhydride Market Demand & Forecast Analysis, 2016-2032

Executive Summary : - 

Acetic anhydride is a simple isolable anhydride with pungent odour. Acetic anhydride is produced through the ketene route where acetic acid is dehydrated to form ketone which is further reacted with another molecule of acetic acid to give acetic anhydride. It is an anhydride of carboxylic acid which is produced by carbonylation of methyl acetate or recovered from acetic acid. Acetic anhydride is mainly used in production of cellulose acetate which is further used in filter tow for cigarettes. Acetic anhydride is the fourth largest consumer of acetic acid accounting for around 15% of the total acetic acid consumption in 2017. There has been a decline in demand for acetic anhydride in the last couple of years owing to decline in cellulose acetate flake which are used as filter tow applications. This decline especially in the developed economies is due to an increased ban and strict policies on smoking while an increase in awareness on smoking in developing countries like India and a small shift in preference for e-cigarettes.

In terms of end-use applications, in 2017, cellulose acetate flakes account for the largest market share estimated to be more than 60% of the total. Acetic anhydride demand for acetate flakes is driven by increased consumption in the Asia-Pacific and Central & South America region. The other important applications like pharmaceuticals, tetraacetylethylenediamine (TAED), polymer applications like liquid crystal polymers (LCP s), polytetramethylene ether glycol (PTMEG), polyacetals, flavours & fragrances and others account for a combined share of around 40% of the total acetic anhydride consumption.

The largest net importers in 2017 were Western Europe and China. In the last 10 years, China has expanded its acetic anhydride capacity and this has caused a global shift in trade for acetic anhydride. Worldwide, demand for Acetic Anhydride is forecast to grow over the long-term at around 1.5% per annum, heavily influenced the growth of the product in the Asia-Pacific region.