The phenoxy resins market is valued at US$274.307 million in 2025 and is projected to grow at a CAGR of 3.95% over the forecast period.
Phenoxy has a low viscosity compared to other resins. Phenoxy resins are tough, ductile, amorphous, thermoplastic polymers. They have thermal stability, adhesive strength, and vapor barrier properties. The driving factor is the soaring growth of the end-use industries such as automotives. According to the International Organization of Motor Vehicle Manufacturers, global automobile production has increased 10% in 2023 compared to previous years. Further, phenoxy resins are soluble in various solvents, enhancing their versatility in different formulations.
The rising aerospace and shipping industry is also projected to positively impact the demand for paints and coatings. The aircraft are painted for protection from corrosion. In May 2024, PPG built a new paint and coatings manufacturing facility in Tennessee. It would be a $300 million investment in advanced manufacturing in North America. The facility could supply paint products for transportation, heavy-duty equipment, construction, and consumer sectors. Further, this major increase in the production of vehicles leads to the demand for paints and coatings in the automotive industry. The coatings are necessary for protecting the car's surface from heat and moisture.
Phenoxy resins are used in the electronics industry for encapsulation and as a protective layer for electronic components. Their chemical resistance and thermal stability are necessary. This ensures the longevity of electronic devices. The increasing demand for electronic devices is attributed to multiple factors, such as the rising Internet use, digital media usage, growing cloud computing activities, and demand for artificial intelligence (AI) devices. In 2022, the U.S. imported US$629,871 million worth of electronic devices, a significant rise from the previous year, according to the United States International Trade Commission. The use of electronic devices is likely to increase worldwide, as the number of people using the internet is rising sharply.
The growing retail and construction industries have driven the demand for the sealant. China has observed a drastic increase in urban construction in the last decade. According to China’s National Bureau of Statistics (NBS), the construction industry's total output was 315.91185 billion yuan in 2023.
Moreover, India’s construction industry is also growing. Govt. initiatives such as the Pradhan Mantri Awas Yojana, which aims to build 20 million urban homes and 30 million rural houses by 2022, have massively boosted the country’s construction industry. Furthermore, as per India’s National Investment Promotion and Facilitation Agency, India’s construction industry is expected to reach $1.4 Tn by 2025.
By geography, the phenoxy resins market is segmented into North America, South America, Europe, the Middle East and Africa, and Asia Pacific. The major economies like China, Japan, India, and South Korea dominate the Asia-Pacific region. Some of the fastest-growing emerging economies are from this region, such as ASEAN countries.
The Asia Pacific region is expected to see the fastest growth in the phenoxy resins market due to the increasing applications in consumer electronics and the aerospace industry. The Indian electronics industry is one of the most rapidly growing industries worldwide. In the past few years, India captured a sizeable market share in electronics manufacturing. For the country to be a global electronics producer, it is aiming to be a US$1 trillion digital economy, and the electronic market would stand at around US$180 billion by 2025-26. The government of India aimed to make electronics one of the top three export categories by 2025-26.
North America is expected to have a significant market share for phenoxy resins due to their major utilization in the automotive, electronics, construction, and aerospace. The construction industry in the United States has been increasing steadily and is a major part of the country's economy. The construction spending in the United States was 2,122,229 (million USD) in January 2024, which had been 1,932,302 in 2022.
The adhesives segment is the major application of phenoxy resins for structural and industrial adhesives. It is used in different applications of bonding metals, plastics, and composites. Further, the notable market application is high-performance coatings due to their excellent adhesion and chemical resistance. They are used in protective coatings for metals, wood, and concrete.
The demand for the coating segment will rise with the growing demand for heavy engineering machinery and automobiles. In the composite, phenoxy resins are used as matrix materials to enhance the mechanical properties of fiber-reinforced composites. They provide improved durability and are used for different applications.
The phenoxy resins market leaders are Huntsman International LLC, Merck KGaA, SEECHEM, DIC Corporation, SpecialChem, and Phlex Tek, among others. These players implement growth strategies such as product launches, mergers, acquisitions, etc., to gain a competitive advantage.
| Report Metric | Details |
|---|---|
| Study Period | 2021 to 2031 |
| Historical Data | 2021 to 2024 |
| Base Year | 2025 |
| Forecast Period | 2026 – 2031 |
| Report Metric | Details |
| Phenoxy Resins Market Size in 2025 | US$274.307 million |
| Growth Rate | CAGR of 3.95% |
| Study Period | 2020 to 2030 |
| Historical Data | 2020 to 2023 |
| Base Year | 2024 |
| Forecast Period | 2025 – 2030 |
| Forecast Unit (Value) | USD Million |
| Segmentation |
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| Geographical Segmentation | North America, South America, Europe, Middle East and Africa, Asia Pacific |
| List of Major Companies in Phenoxy Resins Market |
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| Customization Scope | Free report customization with purchase |