Crude tall oil derivative market is projected to grow at a considerable CAGR of around 3% during the forecast period (2020-2026). The key aspects that contribute towards the growth of the crude tall oil derivative market include rise in consumption of tall oil, owing to its growing usage in several industries such as automotive, specialty chemicals & petrochemicals, and oil & gas mining, among others. The increasing per capita income, the rising population that consumes the products of these industries are the major factors contributing to the growth of the market.

Moreover, the rising inclination of consumers towards sustainable and environment-friendly products along with the presence of stringent rules and regulations regarding the use of chemicals is anticipated to enhance the growth of the crude tall oil derivative market across the globe. Biofuels made from the crude tall oil derivative are highly preferred to reduce the emission of harmful gases in the environment which in turn is anticipated to drive the growth of the market across the globe.  However, the high cost associated with the bio components may restrain the growth of the market.

Segmental Outlook  

The crude tall oil derivative market is segmented on the basis of fraction and end-user industries. Based on fractions, crude tall oil derivative market is segmented into tall oil pitch, tall oil rosin, distilled tall oil, and tall oil fatty acid. Tall oil fatty acid is anticipated to hold a significant market share based on fractions. The increasing demand of this fraction in the manufacturing of mining chemicals, lubricants, and soaps and detergents is a key factor contributing towards the high share of the market segment. Based on end-user the global market is segmented into automotive, specialty chemicals & petrochemicals, oil & gas mining, and others. 

Specialty chemicals & petrochemicals industry to hold a considerable share 

Specialty chemicals & petrochemicals industry is anticipated to hold considerable market share during the forecast period. The high use of crude tall oil as a resin in the manufacturing of agricultural chemicals, cleaners, drugs, materials, plastics, and synthetics, soap, toilet goods paints & allied products is a key factor contributing towards the high share of the market segment. Moreover, the tall oil has emerged as a promising raw material for the production of commercially relevant synthetic fuels, lubricants, solvents, and many other high-value chemicals in the petrochemical industry.

Global Crude Tall Oil Derivative Market Share by End-User Industry, 2019 (%)

Regional Outlook 

The global crude tall oil derivative market is further segmented on the basis of geography including North America, Europe, Asia-Pacific and Rest of the World. North America is anticipated to hold a c considerable market share in the global crude tall oil derivative market during the forecast period. The presence of key players such as Wacker Chemie AG, Eastman Chemical Company, Kraton Corp., Ingevity Corp., and Mercer International Inc. among others in the region is a key factor responsible for the high share of the crude tall oil derivative market in the region. Apart from this, a significant presence of end-user industries in the region such as oil & Mining industry, petrochemical and specialty chemical industry, and automotive industry that make intensive use of crude tall oil derivatives is propelling the demand of crude tall oil derivatives in the region, thereby making a huge contribution towards the high share of the market in the region. 

Global Crude Tall Oil Derivative Market Growth, by Region 2020-2026

Asia-Pacific will augment with the significant growth rate in the crude tall oil derivative market

The increasing urbanization, rising disposable income and considerable rise in demand for crude tall oil derivatives in the automotive industry are the major aspects that are driving the growth of crude tall oil derivative market in the region. The presence of Japan, is one of the major contributors in the global automotive industry is further supporting the rising demand of crude tall oil derivative in the automotive industry in the region, thereby contributing towards the high growth of the market in the region. Owing to the increase in the production and demand for adhesives in the construction activity; the growing building & construction industry in the region is driving the growth of the crude tall oil derivative market in the Asia-Pacific region.

Market Players Outlook

The key players of crude tall oil derivative market that include Eastman Chemical Company, SunPine AB, Respol Group Kraton Corp., Forchem Oyj, Ingevity Corp., Les Dérives Résiniques Et Terpéniques, Mercer International Inc., Neste Corp., Segezha Group and so on. The key players of the market are involved in making innovations in their products offering to suit the industrial application to remain competitive in the marketplace. Moreover, some players are adopting different growth strategies such as merger & acquisition, and product launches to thrive in the global market.

The Report Covers

• Market value data analysis of 2019 and forecast to 2026.
• Annualized market revenues ($ million) for each market segment.
• Country-wise analysis of major geographical regions.
• Key companies operating in the global crude tall oil derivative market. Based on the availability of data, information related to the products, and relevant news is also available in the report.
• Analysis of business strategies by identifying the key market segments positioned for strong growth in the future.
• Analysis of market-entry and market expansion strategies.
• Competitive strategies by identifying ‘who-stands-where’ in the market.