Updated Sep 21, 2022 03:32

Polycarboxylic Acid Market in Mexico

Market Overview
Please note: Annual data for 2022 are preliminary and subject to revision
In , the Mexican polycarboxylic acid market was finally on the rise to reach $ for the first time since 2018, thus ending a two-year declining trend. Over the period under review, consumption recorded a relatively flat trend pattern. As a result, consumption attained the peak level of $. From 2012 to , the growth of the market failed to regain momentum.

In value terms, polycarboxylic acid production reached $ in estimated in export price. In general, production continues to indicate a mild decline. The pace of growth appeared the most rapid in 2011 when the production volume increased by %. As a result, production attained the peak level of $. From 2012 to , production growth remained at a lower figure.


Consumption
Please note: Annual data for 2022 are preliminary and subject to revision
In , consumption of polycarboxylic acids increased by % to tons, rising for the second consecutive year after two years of decline. The total consumption volume increased at an average annual rate of +% over the period from 2007 to ; however, the trend pattern indicated some noticeable fluctuations being recorded throughout the analyzed period. Over the period under review, consumption hit record highs in and is likely to see gradual growth in the immediate term.

The revenue of the polycarboxylic acid market in Mexico contracted modestly to $ in , declining by -% against 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). In general, consumption saw a relatively flat trend pattern. As a result, consumption reached the peak level of $. From 2012 to , the growth of the market remained at a lower figure.


Market Forecast
Please note: Annual data for 2022 are preliminary and subject to revision
Driven by increasing demand for polycarboxylic acid in Mexico, the market is expected to continue an upward consumption trend over the next eight-year period. Market performance is forecast to decelerate, expanding with an anticipated CAGR of +% for the period from to , which is projected to bring the market volume to tons by the end of .

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


Market Structure
Please note: Annual data for 2022 are preliminary and subject to revision
Over the period under review, the share of imports in terms of total polycarboxylic acid consumption in Mexico was relatively small in physical terms, fluctuating under an % figure. In value terms the share of imports also stood at a low figure, which means that the Mexico polycarboxylic acid market is largely supplied by domestic manufacturers. In , the share of imports in total consumption accounted for % in value terms and % in physical terms. The share of imports decreased moderately (- percentage point) over the period under review.


Trade Balance
Please note: Annual data for 2022 are preliminary and subject to revision
Mexico remains a net exporter of polycarboxylic acid; in physical and value terms, exports consistently exceeded imports from 2007 to . In , there was a significant trade surplus of tons, which was equal to $. This tangible trade surplus reflects the fact that the market remains buoyed by domestic production, and the industry is highly incorporated into the global market, which is likely to continue in the medium term.