Fischer-Tropsch (FT) wax, is a polyethylene wax which is produced by polymerizing carbon monoxide by applying high pressure, which is also the technology used in natural gas to liquid (GTL) projects. The hydrocarbon product of the Fischer-Tropsch reaction is distilled so as to separate the mix into fuel products and waxes with the melting point of some products going over a 106 Celsius. The uses of FT wax are similar to the ones for polyethylene waxes such as hot-melt adhesives and additives for inks and different types of coatings. Certain grades of the wax exhibit properties such as a high melting point, low viscosity, and hardness even at relatively higher temperatures. They are often used in combination with other types of waxes like paraffin wax.
FT Wax Market Outlook
- The consumption of FT wax has been witnessing a surge in the recent years. Industrial applications would be the key driver given the wide-ranging uses of FT wax.
- Further, the recovery in the global economy forecast for the coming years would increase the value of FT wax used in other applications like plastic products and personal care among the key usages.
- Growing consumer awareness among the emerging regions to boost consumption and the market as a whole.
FT Wax Market Regional Highlights
- Asia Pacific would lead the global growth in the consumption of FT wax. This growth would come about on the back of an economic expansion driven by a widespread recovery in the general macro scenario across key parameters like industrial production and consumer spending. This would lead to the region witnessing the fastest growth over the forecast period from 2020 to 2026 among its global peers with regard to the value of FT wax consumed.
- Moreover, as mining activity picks up in the emerging regions, the availability of raw material would increase and as a consequence so would its supply to make FT wax. A part of this increased supply would be absorbed by the local industry thereby raising the regional consumption of FT wax.
- North America and Europe dominate the market currently in 2019 owing to the favorable economic and demographic conditions leading to a higher level of consumer awareness and a consequently higher consumption of end products using various types of FT wax.
FT Wax Market Segmental Overview
- Medium melt FT wax can be used as an alternative to the regular petroleum wax and are especially advantageous when used in waterproofing or construction applications.
- The wax is used as a dispersant product in the paints and ink industry. Further, in the rubber industry it can enhance the brightness of the surface as well as its smoothness. FT wax is also widely used in the process car wax manufacturing to enhance the softening effect, the strength as well as the surface gloss thereby providing good finishing.
FT Wax Market Key Players
The major companies operating in the FT wax market include Alpha Wax, Brenntag Pte. Ltd, DEUREX AG, Evonik Industries AG, Globalwax LLC, Industrial Raw Materials LLC, KING HONOR INTERNATIONAL LTD, KPL International Limited, michelman, inc., Nippon Seiro Co., Ltd, Sasol Germany GmbH, and TER HELL & Co. GmbH among others.
Product enhancement and adopting sustainable manufacturing practices is a leading strategy being adopted by the key players given the given the shifting dynamics in the global industrial scenario with an increasing focus on environment friendliness. With regard to the products for industrial applications, the manufacturer behaviour would be more research-oriented with an aim to broaden the existing scope and applicability of FT wax.