Wax Market Size, Share & Trends Analysis Report By Product Type (Mineral, Synthetic, Natural), By Application (Candles, Packaging, Plastic & Rubber), By Region (North America, Europe, APAC, CSA, MEA), And Segment Forecasts, 2022 - 2030

Report Overview

The global wax market size was valued at USD 9.8 billion in 2021 and is anticipated to expand at a compound annual growth rate (CAGR) of 4.3% from 2022 to 2030. The demand for the product is anticipated to be driven by the growing demand in various industries because of its superior properties such as high gloss, good water repellency, and outstanding chemical resistance. The market is highly competitive in nature owing to the major involvement of multinationals in constant capacity expansion and product diversification and innovation. To sustain in this competitive market type, companies are undergoing several strategic planning and execution programs to increase their operational efficiency and increase market presence globally.

Wax finds major applications in coating and printing formulations. It is highly utilized in paint, coating, and printing ink industries owing to its features scratch as mark and scratch resistance, rub resistance, and water repellency. It is applied as an additive to a variety of inks including letterpress, lithographic, gravure, and flexographic. Other functions of wax in the coating and ink industry include in blockage, improvement in friction, anti-setting, and anti-sagging.

Waxes are the members of organic compounds that are malleable and hydrophobic solids at ambient temperatures. It includes lipids and higher alkanes that are insoluble in water but are soluble in nonpolar, organic solvents. Various wax products including mineral, natural, and synthetic wax are produced from petroleum-based products such as base oil and natural gas, chemicals such as polyethylene, and plants and animals.

Product Type Insights

The mineral wax segment dominated the market and accounted for the largest revenue share of 67.8% in 2021. This is attributed to the growing inclusion of products in cosmetic formulation and the surge in cosmetics demand across developing and emerging economies. Mineral waxes are pure and contain no trace of esters or alcohol in beeswax or plant-based waxes. These products are extracted from coal, petroleum, lignite, and shale oil through the fractional distillation process. Few of the commonly recognized mineral waxes include microcrystalline, paraffin, petrolatum, and ceresin.

Paraffin wax is one of the commonly extracted waxes from the oil industry as a by-product, which ensures continuous diligent sourcing and ease of producing the wax. Paraffin product type is broadly utilized in the formulation of candles as it has the unique property to retain both scent and color for an extremely long duration. In addition, paraffin is widely used in skin softening treatment. On the other hand, microcrystalline wax has a higher melting point and is comparatively more flexible than paraffin and therefore, is used in large-scale industrial applications apart from the cosmetic industry.

The synthetic wax segment is estimated to be the fastest-growing segment in the near future, wherein the growth is attributable to rising demand for paper and paperboard and building boards. Also, an increase in demand for cosmetics and personal care, adhesives, and ink and coating sectors are expected to steer segment growth over the coming years. 

Application Insights

The candles application segment dominated the market and accounted for the largest revenue share of 31.5% in 2021. This high share is attributable to the growing demand for aromatherapy through scented candles. Use of candles has become a critical household essential. Candles are available in variety of sizes, shapes, and product range like birthday, taper, utility, teal light container to novelty candles. These are used for multiple purposes such as aromatherapy for relaxation and stress reduction and home decor.

According to National Candle Association, approximately 7 out of 10 households use candles for stress-related therapies and scented candles as home fragrance products. The market is characterized by the availability and ease of purchase of a variety of candles through numerous distribution channels. An increasing number of distribution channels such as décor and mass merchandise stores and e-commerce platforms have aided in propelling candle demand worldwide. The packaging application segment accounted for the second-largest revenue share in 2021. This can be traced to increasing utilization in coating, treatment, impregnation, and lamination of primary food contact materials such as paper, boards, and aluminum. Wax is not only used as a lubricant to reduce friction in production but is also often used to coat food products such as cheese, vegetables, and fruits directly.

Regional Insights

Asia Pacific dominated the wax market and accounted for the largest revenue share of 34.0% in 2021. The growth is attributed to the rising living standards and increasing industrialization, especially in countries like China and India. The market growth is also anticipated due to low labor, raw material, and operational costs. The rising utilization of cosmetic products such as creams, lotions, sunscreens, and makeup among the youth of Japan, India, Indonesia, Korea, and China is expected to boost market growth. Emerging economies, such as Indonesia and Malaysia, among other Southeast Asian countries, are anticipated to reflect steady economic growth from 2022 to 2030. The demand for printing ink is projected to rise in the region due to the significantly growing packaging sector.

In Europe, the market accounted for the second-largest revenue share in 2021. This is attributable to the rising demand for hot melts in the adhesives and sealants industry. This region is home to multinational cosmetic brands such as Unilever Group, Procter and Gamble Co., L’Oréal group, and Colgate-Palmolive. The presence of these personal care manufacturing companies with an established brand presence across European countries has led to the dominance of cosmetics and personal care applications in the market for wax in Europe.

Key Companies & Market Share Insights

The key manufacturers of wax are implementing various growth strategies to keep up with the rising demand from various applications. In order to gain further access to the global and regional markets, the companies are integrating forward through the value chain. The industry is marked by the presence of key multinationals that have established their strong regional presence with cosmetics, packaging, and paints and coating manufacturing companies. The market is observed to be strategically evolving with several multinationals involved in mergers and acquisitions, joint ventures, project expansion, and more to establish a sizeable market presence across the globe. One such example would be the acquisition of Puget Sound Refinery by HollyFrontier Corporation for USD 613.6 million in 2021. Some of the prominent players in the wax market include:

• Sinopec Corp

• China National Petroleum Corporation

• HollyFrontier Corporation

• BP P.L.C

• Nippon Seiro Co., Ltd

• Baker Hughes Company

• Exxon Mobil Corporation

• Sasol Limited

• The International Group, Inc.

• Evonik Industries AG

• BASF SE

• Dow

• Honeywell International Inc.

• Royal Dutch Shell P.L.C

• Mitsui Chemicals, Inc.

Wax Market Report Scope

Segments Covered in the Report 

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2030. For the purpose of this study, Grand View Research has segmented the global wax market report on the basis of product type, application, and region:

• Product Type Outlook (Volume, Kilotons; Revenue, USD Million, 2018 - 2030)

  • Mineral wax

  • Synthetic Wax

  • Natural Wax

• Application Outlook (Volume, Kilotons; Revenue, USD Million, 2018 - 2030)

  • Candles

  • Packaging

  • Plastics & Rubber

  • Pharmaceuticals

  • Cosmetics & Toiletries

  • Fire Logs

  • Adhesives

  • Others

• Regional Outlook (Volume, Kilotons; Revenue, USD Million, 2018 - 2030)

  • North America

    • U.S.

    • Canada

  • Europe

    • Germany

    • U.K.

  • Asia Pacific

    • China

    • India

  • Central & South America

    • Brazil

  • Middle East & Africa