Caustic Soda Market - Growth, Trends, COVID-19 Impact, and Forecast (2020 - 2026)

The global caustic soda market is projected to register momentous growth over the coming years owing to a rising demand for the product across several high revenue industry verticals such as paper & pulp and inorganic chemicals. Caustic soda is a common name that is used for sodium hydroxide (NaOH), also known as lye. The common name of the substance is derived from its sodium hydrate chemical identity and because of its corrosive or caustic nature.

In its pure form, NaOH is a white, waxy solid, it is a co-product that is obtained during the chlorine production process. The material absorbs water readily and creates aqueous solutions. The sodium hydroxide or caustic soda that is commercially available is typically sodium hydroxide monohydrate (NaOH*H2O).

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Caustic soda is used for a plethora of purposes such as candle making, soap making, frosting glass, homemade biodiesel, making several types of foods, and for different chemistry experiments. The material is also used to manufacture various everyday products, including aluminum, paper, oven cleaners, commercial drain, and detergents.

Sodium hydroxide is also commonly used to help produce a wide variety of pharmaceutical and medicinal products, ranging from commonplace pain relievers such as aspirin, to vital anticoagulants that are capable of helping prevent blood clots. The product also sees application in the production of cholesterol-reducing medications.

The global caustic soda market is classified into different segments in terms of production technology, application, and regional landscape.

With respect to production technology, the overall caustic soda market is divided into mercury cell, membrane cell, and diaphragm cell. Among these, the membrane cell technology segment held a share of over 70% of the total caustic soda market in 2019. The replacement of other technologies with the membrane cell technology is expected to drive membrane grade caustic soda marker share over forecast time period.

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With regards to application, the caustic soda market landscape is divided into alumina, pulp & paper, inorganic chemicals, organic chemicals, water treatment, textile, soaps & detergents, food processing, and others. The rising demand of aluminum products is expected to drive caustic soda industry growth over forecast timeframe. The segment is projected to witness an impressive CAGR of more than 6.1% during the projected study timeframe.

From a regional reference frame, the LATAM caustic soda market is likely to showcase a respectable growth trend over the coming years. The region already holds a share of over 5% in the overall market.

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