Poly Aluminium Chloride (PAC) Market Size, Industry Share, Growth Trends and Forecasts (2023 - 2030)

Poly Aluminium Chloride (PAC) Market Dynamics - (DRO) :

Key Drivers :

Increasing demand for water treatment is benefiting the market growth

Poly aluminium chloride (PAC) is primarily used in the treatment of drinking water and wastewater treatment to remove contaminants such as organic matter, suspended solids, and colloidal particles. Water treatment is an important aspect across both municipal as well as industrial applications. The growing scarcity of drinking water due to the increasing population across the globe and the lower availability of fresh drinking water, are the major factors influencing the demand for poly aluminium chloride across municipal water storage and supply facilities. The compound is also used across industrial applications for wastewater treatment in wastewater treatment facilities. Stringent government regulations for wastewater treatment are the major factors driving the demand for poly aluminium chloride (PAC) for water treatment applications, which is further expected to drive market growth. For instance, in January 2023, the U.S. Environmental Protection Agency (EPA) announced the Effluent Guidelines Program Plan 15, which regulated the amount of effluent discharge from industrial sources. These guidelines regulate industries across the country to remove all the impurities from their effluent water before releasing it into the environment. Therefore, the increasing regulations and standards for wastewater treatment along with the high demand for fresh drinking water. This, in turn, is benefiting the market growth.

Increasing application in the cosmetics and personal care industry is boosting the growth of the market

Poly aluminium chloride (PAC) is used in the cosmetics and personal care industry as an active ingredient for the manufacturing of deodorants and antiperspirants. An active ingredient present in deodorants and antiperspirants helps to reduce overall sweating and block the sweat ducts. The formulation of Poly aluminium chloride (PAC) in deodorants and antiperspirants is available in the form of sprays, roll-ons, creams, powders, etc. Antiperspirants block the pores on the outer layer of the skin, by reducing the amount of sweat allowed to the surface. The growing consumer awareness regarding personal grooming and maintaining personal hygiene is increasing the demand for these deodorants and antiperspirants. Due to this various companies are focusing on the launch of new and advanced products to cater to the heavy consumer demand.

For instance, in April 2023, Dove, which is the personal care brand of Unilever, Plc. a multinational conglomerate company, announced the launch of deodorant ranges. Hence, the growing personal care industry along with the increasing demand and innovations in deodorants and antiperspirants is accelerating the demand for poly aluminium chloride (PAC) as the compound is in the cosmetics and personal care industry. This, in turn, is driving the growth of the market.

Key Restraints :

Increasing concerns regarding corrosion inhibition due to poly aluminium chloride (PAC) is restraining the market growth

Poly aluminium chloride (PAC) has various advantages across water treatment, personal care, cosmetics, textile, paper, and pulp industries. It is primarily used as a coagulant for the removal of suspended particles from effluent water in different industries. Poly aluminum chloride (PAC) is a widely used water treatment chemical, but it has been shown to cause corrosion in some cases. This is because PAC can react with dissolved metals in water to form insoluble hydroxides, which can then flake off and cause damage to metal surfaces. A high concentration of poly aluminium chloride is used for water treatment applications across these industries. Liquid poly aluminium chloride is acidic, due to which, this liquid poly aluminium chloride is mixed with water forms precipitate aluminium hydroxide (Al(OH)3), which is corrosive. The corrosive nature of the precipitate, a high risk of corrosion of equipment arises in the industries. Poly aluminium chloride (PAC) leads to the corrosion of stainless steel or metal pipes, and precipitation tanks. Thus, the high risk of corrosion of the pipe and utensils due to the poly aluminium chloride (PAC) is posing a major roadblock to the revenue growth of the market.

Future Opportunities :

Increasing investments in the development of water treatment plant facilities will favor the market growth

Poly Aluminium Chloride (PAC) is ideally used for water treatment in both industrial as well as municipal applications. The growing industrialization across the globe is leading to a high amount of wastewater generation. This wastewater needs to be treated before releasing into the environment. Stringent government regulations and environmental policies are leading the companies to focus on the launch of water treatment plants. For instance, in July 2021, The Lenzing Group, a provider of specialty fibers announced an investment of USD 25.57 million for the construction of a wastewater treatment plant at its Grimsby, U.K. plant. Furthermore, in May 2022, the Government of Qatar announced a public-private partnership with Al Attiya Motors & Trading Company and Gulf Investment Corporation (GIC) for the construction of a sewage treatment plant across Qatar.

Hence, the expansion strategies for wastewater treatment at the global level are spurring the demand for poly aluminium chloride (PAC) for various applications. This prominent factor is supplementing the poly aluminium chloride (PAC) market.

Top Key Players & Market Share Insights:

The Poly Aluminium Chloride (PAC) Market is highly competitive, with several large players and numerous small and medium-sized enterprises. These companies have strong research and development capabilities and a strong presence in the market through their extensive product portfolios and distribution networks. The market is characterized by intense competition, with companies focusing on expanding their product offerings and increasing their market share through mergers, acquisitions, and partnerships. The key players in the market include-