The Caprolactam market is forecast to grow at a CAGR of 4.0%, reaching USD 9,071.0 million in 2031 from USD 7,447.0 million in 2026.
Caprolactam is an organic compound with a chemical formula of (CH2)5C(O)NH. The caprolactam market is expected to grow owing to its rising use in the construction, electronics, electrical, and automotive sectors. Additionally, caprolactam is a cyclic amide referred to as lactam. It serves as the primary material for Nylon-6, a synthetic polymer that is widely used globally. Caprolactam is colorless, crystalline, and very soluble in water and other solvents. Hence, with the rising use of nylon 6, the caprolactam market is anticipated to propel in the projected period.
Caprolactam serves as a very crucial component for the automobile and construction industries. It is used as a raw material for producing nylon 6, which is used in the automotive industry for its different applications, such as structural components, fuel system parts, and electronic/electrical parts. In the construction industry, nylon 6 is applied for reinforcement materials, cable management and insulation, and plastic engineering. Increased investment in the construction and automotive industries will fuel the demand for caprolactam during the forecast period. For example, the total value added of the industrial sector reached 39,910.3 billion yuan in 2023, up by 4.2% over last year; the value added of construction enterprises reached 8,569.1 billion yuan, up by 7.2% over last year.
Similarly, according to the U.S. Department of Commerce, the total construction spending in the United States during July 2024 was at US$2,162.7 billion, 6.7% higher than that of 2023, where the construction spending was at US$2,027.4 billion. Hence, with increasing demand for caprolactam in various industries of end use, this market is expected to develop significantly in the forecasted period.
By application, the textile segment is expected to hold a significant share of the caprolactam market.
By application, the caprolactam market is segmented into textile yarn, engineering plastic, industrial yarn, and others. Caprolactam is used as a monomer in the textile sector, which helps in producing polyamide called nylon 6. This nylon 6 has a high strength-to-weight ratio and exceptional chemical and thermal resistance. With increasing product launches and rising demand for home furnishing products such as carpets, curtains, and bedsheets, the growing textile industry is anticipated to propel the demand for caprolactam in the projected period.
By end-user segment, the automotive industry is anticipated to hold a significant share of the caprolactam market.
The automotive industry is expected to grow substantially in the forecasted period, owing to the increasing use of nylon 6 in the automotive sector. Nylon 6 has major properties, including strength and durability, and is lightweight compared to other materials. Additionally, the increased use of nylon 6 as a sustainable alternative is expected to further boost market growth in the forecasted period.
The Asia Pacific region is anticipated to hold a significant share in the coming years.
The Asia Pacific region is expected to grow at a noteworthy rate due to the increasing growth of the textile sector in countries such as India and China, which is expected to boost the market demand for caprolactam in the coming years. Additionally, China is one of the major producers of nylon 6 compound, and according to the United States International Trade Commission, India is the fifth-largest producer of polyester fibers and filament yarns and is the third-largest producer of cellulosic fiber. Hence, these developments are expected to propel the market for caprolactam in the Asia Pacific region in the forecasted period.
In October 2022, the second phase of the 3,00,000 tons/year caprolactam production project of the Xuyang Group Cangzhou Park reached its production capacity. By 2022, the production capacity of Xuyang Group reached 7,50,000 tons/year, the highest production of caprolactam in China.
| Report Metric | Details |
|---|---|
| Study Period | 2021 to 2031 |
| Historical Data | 2021 to 2024 |
| Base Year | 2025 |
| Forecast Period | 2026 – 2031 |
| Companies |
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By End-Product:
Nylon 6 Resin
Nylon 6 Fibre
Others
By Application:
Textile Yarn
Industrial Yarn
Engineering Plastics
Others
By End-User:
Automotive
Film & Coatings
Industrial
Electronics & Electrical
Consumer Goods
Textile & Carpet
Others
By Geography:
North America
USA
Canada
Mexico
South America
Brazil
Argentina
Others
Europe
UK
Germany
France
Italy
Others
Middle East and Africa
Saudi Arabia
Israel
Others
Asia Pacific
Japan
China
India
South Korea
Indonesia
Thailand
Others