PTA Investments Remain Strong, Despite Global Slowdown in Chemicals

Researched by Industrial Info Resources (Sugar Land, Texas)--Purified terephthalic acid (PTA) continues to be in high demand globally. PTA is used mainly in the polyester market as a raw material for the production of polyethene terephthalic (PET) resin and polyester resins, such as polyester films, polyester fiber and yarn.

Demand for polyester fiber also has soared in recent years due to its versatility, recyclability and affordability, contributing to the expanding market for PTA. According to Textile Exchange, polyester is the most widely produced fiber globally, accounting for about 54% of fiber production in 2022.

The bottling and packaging industry benefits from the PET resin derived from PTA, specifically its transparency, durability, lightweight and resistance to moisture and chemicals.

Asia dominates the PTA market with roughly US$12 billion of the investment, driven by major polyester-manufacturing countries such as China, Iran, India and Turkey. China alone accounts for more than US$5 billion of investment, followed by Iran and India with up to US$2 billion each. Increasing urbanization, expanding populations and heightened demand in end-use industries are driving the PTA market across this region.

North America and Europe are seeing about US$934 million and US$255 million of investment, respectively.

Tongkun Group Company Limited is the largest investor in PTA worldwide, with more than US$1.4 billion worth of investments. These include a grassroot PTA plant in Quanzhou, China, designed to produce 3 million metric tons per year. Subscribers to Industrial Info's Global Market Intelligence (GMI) Chemical Processing Project and Plant databases can learn more from a detailed project report and plant profile.

Industrial Info is tracking about 65 active capital-spending projects worldwide, totaling more than US$13.17 billion of investment, to produce PTA. About 40% of the spending is under construction. Subscribers can click here for a list of detailed project reports and click here for a list of related plant profiles.

Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) platform helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking more than 200,000 current and future projects worth $17.8 trillion (USD).