Global demand for fluorochemicals is forecast to rise 2.7 per cent per year to 3.1 million metric tonnes in 2013.  Gains will be driven by healthy increases in the production of refrigeration and cooling equipment, boosting demand for fluorocarbon refrigerants, particularly in the developing world. 

Growth in demand for fluoropolymers, which will remain strong in nearly all world regions, will also benefit overall market gains.  However, advances will be restrained by continued concerns over the environmental impact of fluorochemicals.  These and other trends, including market share and product segmentation, are presented in World Fluorochemicals, a new study from The Freedonia Group, Inc, a Cleveland-based industry research firm.

Fluorocarbon demand will increase at a pace slightly slower than the fluorochemical market as a whole; however, this masks a considerable shift in the prospects for individual products. 

The 2007 adjustment to the Montreal Protocol has accelerated the start of HCFC phaseout in developing countries such as China and India.  This, in turn, will drive strong advances in demand for HFCs in the developing world.  However, HFCs are beginning to come under increasingly stringent restrictions for their global warming potential, particularly in Western Europe.

Gains in demand for inorganic fluorochemicals will decelerate markedly from the 2003-2008 period, as aluminium production (the largest outlet for these products) exhibits a similar slowdown.  Demand for fluorochemical gases will benefit from strong growth in world electronics production. 

Fluoropolymers will see the most rapid advances of any major fluorochemical product type – albeit from the smallest base – fuelled by the rising need for high-performance materials in chemical processing, electronics and motor vehicle applications.

Demand highest in Asia/Pacific region 
The Asia/Pacific region will continue to account for the largest portion of fluorochemical demand in 2013, totalling just under half of the world market.  The region will also see above-average gains in demand, although slowing considerably from the pace of increase during the previous decade. 

China will continue to see particularly strong expansion in fluorochemical demand, accounting for over half of overall global advances by volume through 2013.  The fastest demand growth, however, is expected for the Africa/Mideast region (from a relatively small base), fuelled by a rapid increase in aluminum metal production in the region. 

The Freedonia Group is a leading international business research company, founded in 1985 and which publishes more than 100 industry research studies annually, providing an unbiased outlook and a reliable assessment of an industry.