Latex Gloves
The rise and rise of Asia in the polymer production arena is impossible to deny and one study has named south-east Asia - including Malaysia, Thailand and Indonesia - the fourth largest synthetic latex polymer market in the world.
This is according to global consulting and research firm Kline & Company, which revealed in its recently published report Synthetic Latex Polymers: Southeast Asia Market Analysis and Opportunities report that the region accounts for eight per cent of global consumption.
Although considerably smaller than the leading global markets the US, Europe and China, the south-east Asian slice of the synthetic latex polymer pie is still much larger than developing markets the Middle East, Brazil and India.
Malaysia, Thailand and Indonesia account for 82 per cent of the synthetic latex polymers consumption in south-east Asia with AB nitrile proving to be the most popular material accounting for 44.6 per cent of total consumption by volume, followed by styrene acrylics.
Nevertheless, product split varies from country to country. Indeed, latex demand in Malaysia and Thailand is dominated by AB nitrile due to the importance of glove-dipping applications in these countries, while Indonesia records a prevalence of styrene acrylics. Thailand dominates in consumption of pure acrylics, which is the third-largest type of synthetic latex polymers consumed in the region.
Nikola Matic, Industry Manager of Kline’s Chemicals and Materials Practice, said: "The product split in this region cannot be compared to any other region in the world. In other regions, paints and coatings or paper applications usually represent the largest consumers, while the product split in Southeast Asia is strongly affected by the importance of the glove dipping industry in the region."
Furthermore, the supplier landscape is very specific in this region. Due to its fragmentation, the market is characterised by a high degree of rivalry among existing suppliers. Moreover, the top 10 suppliers account for over 60 per cent of the market with several production bases available in the region. This competition creates various barriers for those looking to enter the market.
Suppliers consist of two tiers of companies: multinational companies, with a diverse regional base; such as Synthomer, Dow Chemical, BASF, Archroma, and Dairen. Regional companies, such as Eternal, Dovechem, Bangkok Synthetics, and Arindo Pacific, complete the competitive landscape.
Due to its strong position in glove dipping, Synthomer is the largest supplier of synthetic latex polymers, specifically AB nitrile and high solids styrene-butadiene (HS-SB). BASF comes in second and is a leading supplier of styrene acrylics in the region, particularly in paints and coatings and construction industries. Kumho Petrochemical is the third largest supplier of synthetic latex polymers and second-largest supplier of AB nitrile and HS-SB in the region.
Due to a strong correlation to the positive GDP growth in these country markets, the Southeast Asian market for synthetic latex polymers is forecast to grow, increasing at a compound annual growth rate of 6.5 per cent through to 2018.
The Synthetic Latex Polymers: Southeast Asia Market Analysis and Opportunities report is designed to assist suppliers of synthetic latex polymers to understand the key dynamics operating within each product segment and end-use application on the vibrant Southeast Asian market.
Covering the complex market of synthetic latex polymers since the late 1970s, Kline now offers a new, global synthetic latex polymers programme. Designed to provide both instant market results through a new and fully interactive database, as well as in-depth analyses of each regional end-use segments through comprehensive reports, this re-designed program is an indispensable tool for stakeholders in the synthetic latex polymers industry. For more information, view the Synthetic Latex Polymers: Global Business Analysis and Opportunities report online.
