chemical industry market research

Chemicals Industry Overview

The chemical industry is defined by the fact that raw materials used are distinguished more for their chemical properties than for their physical or mechanical properties. Our industrial market research in the chemicals industry focuses on companies that convert raw materials such as oil, natural gas, air, water, metals, and minerals into more than 70,000 different products. 70% of the chemicals manufactured are used to make products for other industries including other branches of the chemical industry itself. 

Sales of the chemical business can be divided into a four categories: basic chemicals (36 percent of industry value), life sciences (30 percent), specialty chemicals (24 percent) and consumer products (about 10 percent).

Chemical market research

Basic chemicals, or “commodity chemicals” include polymers (33% of basic chemicals), bulk petrochemicals and intermediates (about 30% of basic chemicals), other derivatives and basic industrials (20%), inorganic chemicals (12%), and fertilizers. Others categorize basic chemicals into petrochemicals, polymers and basic organic chemicals. Life sciences (about 30 percent of the dollar output of the chemistry business) include pharmaceuticals, diagnostics, animal health products, vitamins, and pesticides, and differentiated chemical and biological substances. Specialty chemicals are relatively high valued, rapidly growing products with diverse end product markets. Many companies in the US and Europe focus on this sector rather than basic chemicals because, with active research and development, specialty chemicals deliver higher and more stable profitability. Typical growth rates are one to three times GDP with prices over a dollar per pound. Products are sold for what they can do rather than for what chemicals they contain. Products include electronic chemicals, industrial gases, adhesives and sealants as well as coatings, industrial and institutional cleaning chemicals, and catalysts. Consumer products include direct product sale of chemicals such as soaps, detergents, and cosmetics.

Three of the largest seven chemical companies are US-based. The balance of these seven companies are headquartered in Germany, Saudi Arabia, China and the Netherlands. However, all of these companies have manufacturing locations in multiple countries. 

Priority Metrics Group has worked with leading companies in virtually all sectors of the chemical industry, and our projects have been used to develop strategy, assess markets, and identify prospective customers. PMG has deep understanding of market growth and marketing strategy that leading companies use to develop and defend their competitive advantage.

Our Research Includes

Areas of Concentration

  • Basic chemicals
  • Converted products
  • Petrochemicals
  • Pharmaceuticals
  • Pesticides
  • Specialty chemicals
  • Downstream applications

Representative Chemical Projects

  • Completed a global study of the market for a commodity chemical. Provided detailed information on size, growth, usage trends, major customers, regulatory changes, etc. by region and major country.
  • Developed a segmentation scheme for the commercial, industrial and institutional marketplace for a line of specialty chemicals. The client used the results of the study to understand the non-consumer markets for the company’s products, prioritize opportunities, identify potential new markets, products, or product line extensions, and to clarify brand strategy.
  • Conduct a detailed review of the converted product market for a specific resin in a target region. The project resulted in a decision to move into the market with imported products.
  • Provided a leading polymer additives company with an overview of the market for nucleating agents for polyethylene films, and specific recommendations for strategic positioning of the business within the company.
  • Identified and profiled using locations for a commodity chemical in a specified region of North America, including their annual volume, production capacity, current suppliers and interest in a new supplier.

 Clients in the Chemicals Market Include

  • AGFA
  • Binbirgida
  • ChemLink
  • DeNora
  • DuPont
  • Eastman Chemical
  • First Bauxite
  • Gluten Y Almidones Industriales
  • Kodak
  • Milliken
  • Mineset Partners
  • Mitsubishi
  • Novartis
  • Radiator Specialties
  • Solae