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Overview of the Global Caustic Soda Market


In the year 2013, the global market for caustic soda had a net valuation of US$30.82 billion. Developing at a 3.7% CAGR between 2014 and 2020, the market is expected to rise to US$39.75 billion by 2020. Rising concerns regarding ill-effects of mercury used in one of the most popular caustic soda manufacturing processes is rapidly leading to the phasing out of this process from industry circuits.

The demand dynamics of products such as alumina, pulp and paper, and soaps and detergents significantly affects the demand for caustic soda. In the years to come, the global market for caustic soda will continue to grow owing to increasing demands for alumina and paper and paperboards across the globe. However, the overall growth of the market is expected to be hampered due to the energy intensive production process of caustic soda.

The Asia Pacific regional market held an impressive 50% share of the global market for caustic soda in terms of demand in 2013. This regional market is expected to continue its dominance over the next few years owing to mounting demand for caustic soda from industries in China. Asia Pacific is also expected to be the fastest growing regional market over the report's forecast period due to excellent growth prospects of many end-use industries and improved GDP of emerging economies in the region.