South & Central America Basic Aromatics Market Report (2021-2031) by Scope, Segmentation, Dynamics, and Competitive Analysis
No. of Pages: 130 | Report Code: BMIRE00031774 | Category: Chemicals and Materials
No. of Pages: 130 | Report Code: BMIRE00031774 | Category: Chemicals and Materials
The South & Central America basic aromatics market size is expected to reach US$ 7,950.18 million by 2031 from US$ 5,462.67 million in 2023. The market is estimated to record a CAGR of 4.8% from 2023 to 2031.
The notable presence of automotive companies in Brazil and Argentina and a surge in the sales of vehicles are propelling the demand for paints and coatings in South & Central America. According to the OICA, the total number of vehicles produced in South & Central America grew from ~2.96 million in 2022 to ~2.97 million in 2023, registering an increase of 9%. Moreover, major market players in the automotive industry have strategized the development and expansion of their operational capacities in South & Central America. For instance, in 2022, Audi AG invested US$ 19.2 million to restart production at its plant in Parana, Brazil, registering a capacity of 4,000 vehicles per year. This growing production of vehicles is boosting the demand for paints and coatings in the region, thus resulting in driving the South & Central America basic aromatics market. Urbanization and demographic changes also play a crucial role in boosting the demand for basic aromatics. South & Central America is experiencing rapid urbanization, with increasing migration to cities, leading to higher demand for housing, infrastructure, and consumer goods. This urban growth necessitates substantial volumes of construction materials, including basic aromatics-based materials. In addition, the rising consumer spending power, along with the rising middle-class population, fuels the demand for packaged goods, electronics, automobiles, and household products, which heavily rely on basic aromatics inputs. Further, the rich natural resources in South & Central America, particularly oil and gas reserves, significantly contribute to the demand for basic aromatics. Countries such as Brazil, Venezuela, and Argentina possess substantial hydrocarbon resources, which serve as the primary feedstocks for basic aromatics.
Key segments that contributed to the derivation of the basic aromatics market analysis are type and end user.
The Pharmaceuticals and Personal Care industries represent a growing opportunity for the basic aromatics market due to their increasing demand for aromatic compounds in a variety of applications. In pharmaceuticals, basic aromatics like benzene, toluene, and xylene are key building blocks for synthesizing active pharmaceutical ingredients (APIs) used in essential drugs, including pain relievers, anti-cancer medications, and antibiotics. As the global pharmaceutical market expands—especially in emerging economies with improving healthcare infrastructure—demand for aromatic-based chemicals continues to grow.
In the personal care sector, aromatics are widely used in the formulation of products such as fragrances, moisturizers, shampoos, and cosmetics. For example, certain aromatic compounds provide characteristic scents or serve as solvents and stabilizers in cosmetics and skincare formulations. As consumer demand for higher-quality and diverse personal care products increases, especially for eco-friendly or natural alternatives, basic aromatics can play a key role in meeting these needs.
With rising awareness of health, wellness, and sustainability, both industries are relying more on aromatic chemicals to produce effective, high-quality products. This trend offers a substantial market opportunity for companies to innovate and supply essential aromatic chemicals to these fast-growing sectors.
Based on Geography, the South & Central America basic aromatics market comprises Brazil, Argentina, and the Rest of South & Central America. Brazil held the largest share in 2023.
The rising residential and commercial sectors in Brazil are the prime contributors to the South & Central America basic aromatics market. In April 2024, the Brazilian government announced a fund of ~US$2,28 billion (R$11,6 billion) for the construction of 112,500 homes under the My Home My Life (MCMV) program in rural areas and municipalities. Burgeoning construction activities and investment empower the demand for paints and coatings, thus, creating scope for basic aromatics market.
According to the OICA, Brazil was the largest manufacturer and exporter of light and commercial vehicles in 2023 across South & Central America. The country reported production of 2.3 million vehicles in 2022, with an increase of 5% over 2021. Expanding automotive industry and increasing vehicle ownership in Brazil are expected to propel the demand for basic aromatics.
| Report Attribute | Details |
|---|---|
| Market size in 2023 | US$ 5,462.67 Million |
| Market Size by 2031 | US$ 7,950.18 Million |
| Global CAGR (2023 - 2031) | 4.8% |
| Historical Data | 2021-2022 |
| Forecast period | 2024-2031 |
| Segments Covered |
By Type
|
| Regions and Countries Covered | South and Central America
|
| Market leaders and key company profiles |
Some of the key players operating in the market include BASF SE, Exxon Mobil Corp, Jubilant Ingrevia Limited, Lanxess AG, LyondellBasell Industries NV, Nippon Steel Corp, and The Dow Chemical Co among others. These players are adopting various strategies such as expansion, product innovation, and mergers and acquisitions to provide innovative products to their consumers and increase their market share.
The following methodology has been followed for the collection and analysis of data presented in this report:
The research process begins with comprehensive secondary research, utilizing both internal and external sources to gather qualitative and quantitative data for each market. Commonly referenced secondary research sources include, but are not limited to:
Note: All financial data included in the Company Profiles section has been standardized to USD. For companies reporting in other currencies, figures have been converted to USD using the relevant exchange rates for the corresponding year.
Business Market Insights’ conducts a significant number of primary interviews each year with industry stakeholders and experts to validate its data analysis, and gain valuable insights. These research interviews are designed to:
Primary research is conducted via email interactions and telephone interviews, encompassing various markets, categories, segments, and sub-segments across different regions. Participants typically include:
The South & Central America Basic Aromatics Market is valued at US$ 5,462.67 Million in 2023, it is projected to reach US$ 7,950.18 Million by 2031.
As per our report South & Central America Basic Aromatics Market, the market size is valued at US$ 5,462.67 Million in 2023, projecting it to reach US$ 7,950.18 Million by 2031. This translates to a CAGR of approximately 4.8% during the forecast period.
The South & Central America Basic Aromatics Market report typically cover these key segments-
The historic period, base year, and forecast period can vary slightly depending on the specific market research report. However, for the South & Central America Basic Aromatics Market report:
The South & Central America Basic Aromatics Market is populated by several key players, each contributing to its growth and innovation. Some of the major players include:
The South & Central America Basic Aromatics Market report is valuable for diverse stakeholders, including:
Essentially, anyone involved in or considering involvement in the South & Central America Basic Aromatics Market value chain can benefit from the information contained in a comprehensive market report.
E 1803, Panchshil Towers, Vagholi, Haveli, Pune- 412207, Maharashtra, India
US:+16467917070
sales@businessmarketinsights.com
Get Free Sample For South & Central America Basic Aromatics Market
