Synthetic Organic Tanning Substances Market

The global market for synthetic organic tanning substances is expected to continue its upward consumption trend over the next eight years, with a projected market volume of 1.8M tons and value of $3.8B by 2030. China, the United States, and India are the leading countries in terms of consumption and production. The market witnessed fluctuations in both consumption and production from 2012 to 2022, with notable growth rates recorded in Italy. Import and export trends also showed fluctuations, with China being the largest importer and Italy the largest exporter. Prices of synthetic organic tanning substances have seen varying trends across different countries, with Hong Kong SAR having the highest export price and India having the lowest.

Market Forecast

Driven by increasing demand for synthetic organic tanning substances worldwide, the market is expected to continue an upward consumption trend over the next eight years. Market performance is forecast to retain its current trend pattern, expanding with an anticipated CAGR of +3.0% for the period from 2022 to 2030, which is projected to bring the market volume to 1.8M tons by the end of 2030.

In value terms, the market is forecast to increase with an anticipated CAGR of +4.9% for the period from 2022 to 2030, which is projected to bring the market value to $3.8B (in nominal prices) by the end of 2030.

Consumption

World Consumption of Synthetic Organic Tanning Substances

In 2022, approx. 1.4M tons of synthetic organic tanning substances were consumed worldwide; therefore, remained relatively stable against the year before. The total consumption volume increased at an average annual rate of +3.2% from 2012 to 2022; however, the trend pattern indicated some noticeable fluctuations being recorded throughout the analyzed period. As a result, consumption reached the peak volume of 1.5M tons. From 2018 to 2022, the growth of the global consumption remained at a lower figure.

The global synthetic organic tanning substances market size stood at $2.6B in 2022, standing approx. at the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers' margins, which will be included in the final consumer price). The market value increased at an average annual rate of +2.9% over the period from 2012 to 2022; however, the trend pattern indicated some noticeable fluctuations being recorded in certain years. As a result, consumption attained the peak level of $2.8B. From 2018 to 2022, the growth of the global market failed to regain momentum.

Consumption By Country

The countries with the highest volumes of consumption in 2022 were China (359K tons), the United States (302K tons) and India (156K tons), together accounting for 57% of global consumption. Indonesia, Brazil, Russia, Italy, Turkey, South Korea, the UK, Thailand, Australia and Spain lagged somewhat behind, together accounting for a further 28%.

From 2012 to 2022, the biggest increases were recorded for Italy (with a CAGR of +7.6%), while consumption for the other global leaders experienced more modest paces of growth.

In value terms, the United States ($797M), China ($552M) and India ($166M) constituted the countries with the highest levels of market value in 2022, with a combined 59% share of the global market. The UK, Australia, Indonesia, Brazil, Italy, South Korea, Russia, Thailand, Turkey and Spain lagged somewhat behind, together comprising a further 26%.

Among the main consuming countries, Italy, with a CAGR of +9.0%, recorded the highest growth rate of market size over the period under review, while market for the other global leaders experienced more modest paces of growth.

The countries with the highest levels of synthetic organic tanning substances per capita consumption in 2022 were Australia (1,001 kg per 1000 persons), the United States (900 kg per 1000 persons) and Italy (677 kg per 1000 persons).

From 2012 to 2022, the biggest increases were recorded for Italy (with a CAGR of +7.7%), while consumption for the other global leaders experienced more modest paces of growth.

Production

World Production of Synthetic Organic Tanning Substances

In 2022, approx. 1.4M tons of synthetic organic tanning substances were produced worldwide; almost unchanged from the previous year. The total output volume increased at an average annual rate of +3.4% over the period from 2012 to 2022; however, the trend pattern indicated some noticeable fluctuations being recorded throughout the analyzed period. The growth pace was the most rapid in 2017 when the production volume increased by 23%. As a result, production reached the peak volume of 1.5M tons. From 2018 to 2022, global production growth remained at a somewhat lower figure.

In value terms, synthetic organic tanning substances production dropped slightly to $2.5B in 2022 estimated in export price. The total output value increased at an average annual rate of +2.7% over the period from 2012 to 2022; however, the trend pattern indicated some noticeable fluctuations being recorded in certain years. The growth pace was the most rapid in 2017 when the production volume increased by 27% against the previous year. As a result, production attained the peak level of $2.7B. From 2018 to 2022, global production growth remained at a lower figure.

Production By Country

The countries with the highest volumes of production in 2022 were China (325K tons), the United States (302K tons) and India (171K tons), with a combined 57% share of global production.

From 2012 to 2022, the most notable rate of growth in terms of production, amongst the key producing countries, was attained by China (with a CAGR of +8.2%), while production for the other global leaders experienced more modest paces of growth.

Imports

World Imports of Synthetic Organic Tanning Substances

Global synthetic organic tanning substances imports dropped to 209K tons in 2022, waning by -14.6% against 2021 figures. Overall, imports continue to indicate a pronounced setback. The pace of growth was the most pronounced in 2021 when imports increased by 14% against the previous year. Global imports peaked at 311K tons in 2014; however, from 2015 to 2022, imports failed to regain momentum.

In value terms, synthetic organic tanning substances imports shrank to $381M in 2022. Over the period under review, imports recorded a noticeable shrinkage. The most prominent rate of growth was recorded in 2021 with an increase of 18% against the previous year. Over the period under review, global imports hit record highs at $534M in 2014; however, from 2015 to 2022, imports failed to regain momentum.

Imports By Country

In 2022, China (41K tons), distantly followed by Italy (19K tons), Vietnam (14K tons), Pakistan (11K tons), Brazil (10K tons) and Turkey (9.9K tons) were the key importers of synthetic organic tanning substances, together achieving 50% of total imports. South Korea (9.3K tons), India (7.6K tons), Bangladesh (7.3K tons), Thailand (5.8K tons), Argentina (5.5K tons), Nigeria (5.1K tons) and Germany (3.8K tons) followed a long way behind the leaders.

From 2012 to 2022, average annual rates of growth with regard to synthetic organic tanning substances imports into China stood at -4.6%. At the same time, Thailand (+9.9%), Vietnam (+9.4%), Pakistan (+3.3%), Argentina (+3.0%), Italy (+1.0%) and India (+1.0%) displayed positive paces of growth. Moreover, Thailand emerged as the fastest-growing importer imported in the world, with a CAGR of +9.9% from 2012-2022. Brazil experienced a relatively flat trend pattern. By contrast, South Korea (-2.1%), Bangladesh (-3.9%), Germany (-4.8%), Turkey (-5.2%) and Nigeria (-12.1%) illustrated a downward trend over the same period. Vietnam (+4.6 p.p.), Italy (+3.1 p.p.), Pakistan (+2.5 p.p.) and Thailand (+2 p.p.) significantly strengthened its position in terms of the global imports, while China and Nigeria saw its share reduced by -3.1% and -4% from 2012 to 2022, respectively. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, China ($74M) constitutes the largest market for imported synthetic organic tanning substances worldwide, comprising 19% of global imports. The second position in the ranking was taken by Italy ($34M), with an 8.9% share of global imports. It was followed by Vietnam, with a 6.7% share.

From 2012 to 2022, the average annual rate of growth in terms of value in China amounted to -4.2%. In the other countries, the average annual rates were as follows: Italy (+2.5% per year) and Vietnam (+10.5% per year).

Import Prices By Country

The average synthetic organic tanning substances import price stood at $1,830 per ton in 2022, picking up by 10% against the previous year. Overall, the import price recorded a relatively flat trend pattern. As a result, import price reached the peak level and is likely to continue growth in the immediate term.

Average prices varied somewhat amongst the major importing countries. In 2022, major importing countries recorded the following prices: in Nigeria ($2,193 per ton) and Vietnam ($1,890 per ton), while Bangladesh ($1,521 per ton) and Pakistan ($1,539 per ton) were amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Turkey (+3.3%), while the other global leaders experienced more modest paces of growth.

Exports

World Exports of Synthetic Organic Tanning Substances

In 2022, approx. 190K tons of synthetic organic tanning substances were exported worldwide; waning by -13.6% on the year before. Over the period under review, exports recorded a perceptible descent. The pace of growth was the most pronounced in 2021 with an increase of 19% against the previous year. The global exports peaked at 314K tons in 2014; however, from 2015 to 2022, the exports stood at a somewhat lower figure.

In value terms, synthetic organic tanning substances exports shrank to $335M in 2022. In general, exports saw a noticeable contraction. The growth pace was the most rapid in 2021 with an increase of 23% against the previous year. Over the period under review, the global exports hit record highs at $473M in 2014; however, from 2015 to 2022, the exports remained at a lower figure.

Exports By Country

Italy (41K tons), Spain (27K tons), India (23K tons), France (21K tons), Germany (19K tons) and the Netherlands (16K tons) represented roughly 78% of total exports in 2022. China (7K tons), South Africa (5.8K tons), Brazil (4K tons), Hong Kong SAR (3.7K tons), Indonesia (3.4K tons), Thailand (3.2K tons) and Taiwan (Chinese) (3.1K tons) followed a long way behind the leaders.

From 2012 to 2022, the most notable rate of growth in terms of shipments, amongst the leading exporting countries, was attained by Thailand (with a CAGR of +46.4%), while the other global leaders experienced more modest paces of growth.

In value terms, the largest synthetic organic tanning substances supplying countries worldwide were Italy ($74M), Spain ($50M) and France ($36M), with a combined 48% share of global exports. Germany, the Netherlands, India, South Africa, China, Hong Kong SAR, Thailand, Brazil, Indonesia and Taiwan (Chinese) lagged somewhat behind, together accounting for a further 43%.

South Africa, with a CAGR of +45.1%, saw the highest rates of growth with regard to the value of exports, among the main exporting countries over the period under review, while shipments for the other global leaders experienced more modest paces of growth.

Export Prices By Country

The average synthetic organic tanning substances export price stood at $1,762 per ton in 2022, rising by 14% against the previous year. Overall, the export price saw a relatively flat trend pattern. As a result, the export price reached the peak level and is likely to continue growth in the immediate term.

Prices varied noticeably by country of origin: amid the top suppliers, the country with the highest price was Hong Kong SAR ($2,325 per ton), while India ($1,171 per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Taiwan (Chinese) (+3.4%), while the other global leaders experienced more modest paces of growth.

Source: IndexBox Market Intelligence Platform