by The Soda Ash Market is estimated to be valued at US$ 12406.28 Mn or in 2023 and is expected to exhibit a CAGR of 6.2% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Soda ash, also known as sodium carbonate, is an inorganic salt that has wide industrial uses. It is used as a fluxing agent in the manufacturing of glass, where it lowers the melting point of silica and helps transparent glass formation. Other major uses of soda ash include in production of sodium compounds, detergents, chemicals, paper industry, and water treatment. It is produced both synthetically and naturally from raw trona ore. The synthetic production method is more commercially viable.
Market Dynamics:
The rapidly growing glass industry for applications in automotive, construction and packaging is a major driver contributing to the soda ash market growth. According to the Glass Packaging Institute, the global glass packaging market was valued at $78 billion in 2019 and is expected to grow at a CAGR of 3-4% through 2027. Moreover, increasing investments in infrastructure projects and rising construction activities in developing economies are also propelling the demand for soda ash from glass manufacturers. On the other hand, development of bio-based substitutes of soda ash may hinder the market growth. However, growing adoption of green building codes and sustainability initiatives may create new opportunities for bio-based soda ash over the forecast period. The rising focus on reducing carbon footprint is anticipated to shift preference towards synthetic soda ash production from trona ore mining.
Segment Analysis
The global soda ash market is dominated by the flat glass segment, which accounted for around 60% of overall market share in 2022. Soda ash is a key raw material used in the production of flat glass for application in windows, vehicle windshields, doors and furniture manufacturing. The robust growth in construction activities and automotive production globally has been supplementing demand for flat glass, thereby benefiting the soda ash market.
PEST Analysis
Political: There have been significant policy support for development of green technologies in major economies. This includes incentives and subsidies for carbon capture and utilization which is positively impacting the soda ash market.
Economic: Growth in GDP and rising disposable incomes in developing nations is driving demand for end-use industries of soda ash such as glass, soap & detergents. Key emerging economies like India and Southeast Asia will remain lucrative markets.
Social: Increasing health awareness and trend of using chemical-free cleaners is promoting adoption of soda ash for manufacturing washing soda and soaps. Moreover, rising construction of residential and commercial infrastructure fuels glass consumption.
Technological: Carbon capture and storage technologies are gaining traction which provides opportunities for utilization of carbon dioxide in soda ash production, enhancing efficiencies. Sustainable production methods are also being adopted by manufacturers.
Key Takeaways
The global Soda Ash Market Growth is expected to witness high growth, exhibiting CAGR of 6.2% over the forecast period of 2023 to 2030, due to increasing infrastructural development and growth in end-use industries across emerging economies. The market size for soda ash in 2023 is estimated to be US$ 12406.28 Mn.
Regional analysis: Asia Pacific region dominates the global soda ash market currently, owing to large presence of soda ash production facilities and glass manufacturing units in China and India. China is the largest producer and consumer of soda ash globally.
Key players operating in the soda ash market include CIECH SA, Ciner Resources Corporation, Genesis Energy LP, GHCL Limited, Lianyungang Soda Ash Co. Ltd, NIRMA LIMITED, ÅžiÅŸecam Group, Solvay, Shandong Haihua, Group Co. Ltd, and Tata Chemicals Ltd. Key players are focused on adoption of green production technologies to reduce costs and carbon footprint. Strategic agreements and capacity expansions are also among the focus areas.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
