Materials and Chemicals - Sodium Hypophosphite Market

Market Overview:

The global sodium hypophosphite market size was significantly robust in 2020 and is expected to register a steady revenue CAGR over the forecast period. Key factors driving market revenue growth are rising demand for sodium hypophosphite as a reducing agent in water treatment facilities and growing usage of sodium hypophosphite in manufacturing of several industrial additives and oilfield scale inhibitors. Thus, growth of chemical, polymer, and Plastic industries globally, is expected to boost the sodium hypophosphite market revenue growth.

Sodium hypophosphite is a deliquescent white crystalline inorganic substance that can absorb moisture. Sodium hypophosphite is commonly used as a reducing agent in electroplating applications. Sodium hypophosphite is a naturally occurring chemical that has a tendency to absorb moisture and is a smooth solvent. It is employed as a reducing agent in electroplating and has corrosive-free, high-strength, and heat-resistant properties. As a result of its characteristics, it is increasingly used in automotive, aviation, and electronics industries. It may also be used as a Catalyst in chemical reactions, which makes it useful in chemical and polymer industries. It can also be used in pharmaceutical and ceramic industries as it is soluble in both organic and inorganic Solvents. All these factors are expected to offer significant growth opportunities for the market as well as market players.

Major Factors Driving Growth of the Global Sodium Hypophosphite Market:

Revenue growth of the global sodium hypophosphite market is significantly driven by the rising demand for sodium hypophosphite from various end-use industries. With the expansion of electroplating applications, market demand for electroplating applications is expected to rise in several industries, including automotive, aerospace, plastics, and ceramics, among others, boosting overall demand for sodium hypophosphite over the forecast period. Furthermore, increasing demand for electroplated metal items necessitates the use of sodium hypophosphite, which acts as a reducing agent. Additionally, sodium hypophosphite is used in chemical and polymer industries as a catalyst in polymerization reactions and as a chemical intermediary in the manufacturing of hypophosphorous acid, diazo derivatives, and other organic chemicals. Increasing use of sodium hypophosphite as reducing agents in electroplating and metal surface electroplating aid in improving qualities such as abrasion resistance, hardness, corrosion resistance, and strength among others, which is boosting market growth.

The expansion of electronics and automotive industries, as well as an increase in demand for electroplated metal goods in the fabrication of machinery, aviation components, marine parts, and aviation components among other applications have a positive impact on the market revenue growth. As a reducing agent, catalyst, and stabilizer, sodium hypophosphite is a valuable asset in automotive and electronics sectors. These industries are rapidly adding to the market value of sodium hypophosphite due to these features. Furthermore, as the industry grows, a considerable amount of garbage is released into neighbouring water bodies, posing environmental and human health risks. Sodium hypophosphite helps reduce these risks, thus bolstering market growth.

Factors Restraining Growth of the Global Sodium Hypophosphite Market:

The global sodium hypophosphite market growth is substantially hampered by several unfavorable factors. The COVID-19 pandemic has posed a significant challenge as it has disturbed the socioeconomic conditions of many nations, halted the supply chain, caused market price fluctuations, and impacted export & import activities. All of these factors could act as substantial obstacles to the overall market growth. However, stringent government regulations over the manufacturing industry are expected to hamper the demand for sodium hypophosphite. Rise in the price of phosphorous rocks owing to scarcity in supply further impede market growth.

Opportunities for Players Operating In the Global Sodium Hypophosphite Market:

The growing demand for sodium hypophosphite in developing markets, changing lifestyle of customers, and favorable marketing and correct positioning of sodium hypophosphite are factors expected to continue to open up lucrative business opportunities for major players and new entrants in the market. Increasing industrialization and urbanization in various regions, as well as developments in electroplating applications are expected to drive market expansion during the forecast period.

Global Sodium Hypophosphite Market Revenue Led By Product Type Segment:

Based on product type, the electrical grade segment is expected to contribute the highest revenue share over the forecast period. Electroless nickel plating is done with sodium hypophosphite in its electrical grade. In automotive and electronics industries, electroless nickel plating is gaining popularity, which is driving growth of the segment. Also, limitless acceptance of electrical grade sodium hypophosphate in automotive and electronics industries is driving the revenue growth of the segment.

Global Sodium Hypophosphite Market Leading Application Segment:

Based on application, the water treatment segment is expected to dominate all other segments in terms of revenue generation over the forecast period. Major factor contributing to growth of the segment is rising demand for water treatment in industries. The amount of garbage dumped into water bodies has increased as a result of growing industrialization. Furthermore, uncontrolled discharge of industrial and domestic toxins into water bodies causes human health issues as well as extinction of aquatic species, necessitating the employment of water treatment chemicals. The usage of water for drinking, recreation, household necessities, transportation, and commerce is all affected by impure water. Thus, necessity to treat impure water is boosting market revenue growth.

North America Accounts for Largest Revenue Share in Global Sodium Hypophosphite Market:

Among regional markets, North America emerged as the largest market for sodium hypophosphite in 2020, with the highest revenue share. This is due to increasing demand for a variety of chemicals, including polymer compounds, diazo- derivatives, and fire retardants among others, which is likely to increase demand for sodium hypophosphite over the forecast period. The sodium hypophosphite market in Europe is projected to register robust growth in terms of revenue over the forecast period due to high demand for electroplating applications.

Asia Pacific Continues To Lead In Terms Of Revenue CAGR:

The Asia Pacific sodium hypophosphite market is expected to register the fastest growth in CAGR over the forecast period. Industries in the Asia Pacific region are growing at a rapid pace as a result of urbanization, providing potential prospects for sodium hypophosphite manufacturers during the forecast period. One of the major factors responsible for significant penetration of sodium hypophosphite in the Asia Pacific market is the growing interest of foreign investors in developing countries such as China, India, and Indonesia. The expansion of polymer, plastics, and chemicals industries, as well as the existence of significant electronics and automotive manufacturers, all contribute to growth of the APAC market.

Major Companies Profiled In the Report:

• Hubei Xingfa Chemicals Group Co., Ltd.
• Solvay
• Changshu New-Tech Chemicals Co., Ltd.
• Jiangxi Fuerxin Pharmaceutical & Chemical Co., Ltd.
• Jiangsu Kangxiang Industrial Group Co., Ltd.
• Zhejiang Zengxin Chemistry Co., Ltd
• Hubei Lianxing Chemical Co., Ltd.
• Febex SA (Arkema)
• Arkema
• Huanggang Quanwang Chemical Co., Ltd.
• Nippon Chemical Industrial Co., Ltd
• Sigma-Aldrich

What Our Report Provides And Why Our Offering Is Better:

This report offers historical data points and forecasts and revenue growth at a global, regional, and country level, and provides analysis, industry trends, and consumption pattern details for each region, major country, and segment from 2018 to 2028. The global market report includes industry trends, drivers, restraints, opportunities, threats, market strategies, segment revenue, and market share contribution by each regional and country market. In addition, the report offers industry analysis and competitive landscape, company financials, and impact analysis. The report includes a detailed view of the global market, along with changing dynamics and trends, scenarios, detailed market and regional segmentation, regional landscape, analysis and evaluation, major investments, product offerings, product launches, and details of historical, current, and projected revenues.

Detailed Segmentation In Our Report:

For the purpose of this report, the global Sodium Hypophosphite Market is segmented on the basis of product type, end-use, and region:

Product Type Outlook (Revenue, USD Billion; 2018-2028)

• Electronic Grade
• Industrial Grade
• Other

Function Type Outlook (Revenue, USD Billion; 2018-2028)

• Reducing Agents
• Catalysts & Stabilizers
• Chemical Intermediates

Application Outlook (Revenue, USD Billion; 2018-2028)

• Electroplating
• Water treatment
• Chemicals & pharmaceuticals
• Others

Region Outlook (Revenue, USD Billion; 2018-2028)

• North America
  • U.S.
  • Canada
  • Mexico
• Europe
  • Germany
  • U.K.
  • France
  • Italy
  • Spain
  • Benelux
  • Rest of Europe
• Asia Pacific
  • China
  • India
  • Japan
  • South Korea
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Rest of Latin America
• Middle East & Africa
  • Saudi Arabia
  • UAE
  • South Africa
  • Rest of Middle East & Africa