The global chemical as a service market size is expected to reach USD 16.04 billion by 2030, registering a CAGR of 7.9% from 2023 to 2030, according to a new report by Grand View Research, Inc. The market is predominantly driven by the growing demand for chemical management services and convenience and cost-effectivity offered by the CaaSmodel. Moreover, this model helps in the reduction of hazardous chemical consumption by using chemicals with more efficient processes.
The chemical as a service model offers economic advantages to the manufacturers/industrialists which is one of the major factors for its penetration in the upcoming years. In addition, the chemical as a service model support sustainability. The model reduces chemical consumption from 10-80% in various applications such as metal parts cleaning, powder coating, metal degreasing, industrial cleaning and washing, and ultimately help in achieving sustainability and the direct savings of huge amounts.
For instance, Crown Beverages Limited, a Ugandan beverage manufacturing company, integrated chemical leasing in its operation with the cooperation of American chemicals producer Diversey Eastern and Central Africa (U) Ltd. By integrating this model, the company obtained direct savings of USD 175 thousand and additional significant indirect savings related to effluent treatment.
Gather more insights about the market drivers, restrains and growth of the Chemicals as a Service Market
Chemical As A Service Market Report Highlights
• The industrial cleaning segment accounted for a revenue share of 17.7% in 2022. Chemical as a service model is gaining high popularity for the industrial cleaning and washing application compared to the other applications and functions in the industries. Various types of chemicals are used in industrial cleaning applications including solvents, flocculants, detergents, polymers, and more
• The agriculture and fertilizer segment is anticipated to grow at a fast pace during the forecast period. The agrochemicals and fertilizers segment providing companies act as a service provider and the user (farmer/agriculturist) utilizes this service on the basis of crop area covered by the chemical application rather than volume of chemicals
• Asia Pacific is the fastest-growing region for the market owing to the presence of various untapped markets coupled with growing industrialization and increasing adoption of newer technologies and business models in the countries such as India, China, Japan, and South Korea
• China dominated the market for chemicals as a service in the Asia Pacific. This is due to the increasing industrialization in the region, high consumption of chemicals, and growing awareness about sustainability
Chemical As A Service Market Segmentation
Grand View Research has segmented the global chemical as a service market based on application and region:
Chemical As A Service Application Industry Outlook (Revenue in USD Million, 2018 - 2030)
• Agriculture & Fertilizer
• Water Treatment & Purification
• Metal Parts Cleaning
• Paint & Coatings
• Industrial Cleaning
• Industrial Gases
• Others
Chemical As A Service Regional Outlook (Revenue in USD Million, 2018 - 2030)
• North America
o U.S.
o Canada
o Mexico
• Europe
o UK
o Germany
o France
o Italy
o Russia
• Asia Pacific
o China
o Japan
o India
o Australia
• Central & South America
o Brazil
o Argentina
• Middle East and Africa
o Saudi Arabia
o South Africa
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