Chemistry 4.0 Market: Uptake in the Deployment of Digital Infrastructure in Chemical Plants to Unleash New Growth Opportunities

Chemistry 4.0 Market was valued at USD 58.85 Billion in 2021, and is expected to reach USD 124.33 Billion by 2029, exhibiting a CAGR of 9.8 % during the forecast period (2022-2029) With the digitalisation and automation of processes and products transforming industries across the world, the new era of Industry 4.0 has been particularly clear within chemical-using industries, leading to the concept of Chemistry 4.0 becoming widely adopted. Due to this, great advancements have been made across Chemistry 4.0 market in the use of digital technologies to overcome current technical limitations, accelerate processes and improve productivity. Chemical manufacturing varies in many aspects from discrete manufacturing. Chemical processes are highly complex and intermingled. Components in these processes are often produced by a network of companies. Components can be very toxic, making them difficult or impossible to transport safely. Safety considerations constrain supply chain flexibility considerably. It creates stringent requirements for security and process safety. Chemistry 4.0 Market: Digitalization & Circular Economy • Digital revolution, climate protection, sustainability, closing material cycles. • Intensive use of data, recycling of carbon-containing waste, H2 from renewable energies in combination with CO2 used to produce base chemicals. • Digitalization of manufacturing processes, Decentralization of R&D in customer markets, utilization of Big Data, joint development with customers. • More flexible cooperation as part of economic networks, consolidation and digital business models. • Expanding the spectrum of value creation: chemical sector becomes a supplier of extensive and sustainable solutions for customers and the environment. • With Chemie3 (ecology, economy, and social affairs), sustainability becomes a comprehensive model and future concept for the Chemistry 4.0 market. Global Chemistry 4.0 MarketTo know about the Research Methodology :- Request Free Sample Report The Era of Chemistry 4.0: A New Development in the Chemical Industry The Chemistry 4.0 market has been witnessing new challenges, thanks to an increase in the pressure of product cost reduction, personalized customer needs, increasingly strict requirements on environmental protection and energy conservation, and the growing need for the optimization of the supply chain. Across the world, there are various government bodies and industry associations that regulate the Chemistry 4.0 market, and the regulations are on various basis. For example, the Argentinian government finalized the chemical management bill, which will be regulating industrial chemicals. Smart Factories is expected to gain traction in this segment, due to the need to reduce risks, enhance productivity, and lower the overall costs involved. Due to which, vendors across the sector are increasingly upgrading their control systems. For instance, DuPont's small-batch production facility in Hayward, Calif, decided to upgrade its control system with the integrator TechKnowsion and Rockwell Automation. The upgrade will replace the batch system’s programmable logic controller (PLC) and HMI, with a PlantPAx distributed control system (DCS). The average size of a chemical plant is large, complex, and costly, which makes it challenging to keep track of the changes in the plant. In the chemical industry, the raw materials and the intermediate products from crude oil are extremely explosive when they blend with air, making it unsafe for humans, thus, increasing the need for smart factory implementation through Industry 4.0 in Chemistry 4.0 market. To tackle the recession-affected chemical vertical, the European Union has introduced an innovative strategy. Large chemical plants are replaced by modular infrastructure, making the chemical production more cost-effective and logistically convenient. This change in policy is expected to provide immense growth opportunities for the smart factories systems, and drive the growth of Chemistry 4.0 market over the forecast period. With more than 148 chemical industry projects worth USD 100 billion already under progress in North America, there are tremendous potential opportunities for the chemistry 4.0 market players to capitalize on expanding their market share in a highly competitive Chemistry 4.0 market. Moreover, the Chemistry 4.0 market is gaining significance over the years. In the United States, the chemical industry is the third-largest manufacturing sector, representing around 10 % share of all manufacturing. Approximately, 70 ,000 different products are registered in the United States. Besides, petroleum products have been the world’s major energy sources for decades. The estimates indicate that this trend is expected drive the growth of Chemistry 4.0 market over the forecast period. This factor has provided the automation companies a significant growth potential. Honeywell has now become one of the leading providers of a complete automation and security solution for the petrochemicals industry. The company operates in about 100 countries globally, and is the leading supplier of process automation systems to the petrochemical industry for Chemistry 4.0 implementation. These factors are expected to drive the demand for Chemistry 4.0 market during the forecast period. Chemistry 4.0 MarketDigitalization and Innovative Technologies for the Trends of Chemistry 4.0 Market In Chemistry 4.0, chemical companies use digitalization to collect substantial data in their own enterprises, then analyse and use it to enhance operational procedures inside the organisation. The chemical industry is relatively advanced in this field, particularly in terms of continuous and discontinuous manufacturing processes, as well as business processes. As a result, data usage will become increasingly vital for value generation in the chemical industry and drive the demand for the Chemistry 4.0 market during the forecast period. The chemical industry currently finds itself in a phase of change and development. Digital processes and data-based operating models are applied more frequently. Half of small and medium-sized chemical companies (SME) intend to invest extensively into the digitalization of their processes and business activities. Likewise, the importance of digital business models to the future viability of the German Chemistry 4.0 market has been recognized, and digital business models are undergoing dynamic expansion. Chemical companies are planning to invest more than a billion euros in new digital business models and digitalization projects over the next three to five years. Digitalization will become an integral part of the business and success model of the chemical industry and further drive the Chemistry 4.0 market growth. Digital case examples in the chemical industry (Data-based operating model): The advancement of 'in-silico' experiments aims to simulate bigger chemical systems in terms of quantity, foresight, and scalability. These are supposed to be made possible by advances in quantum computer technology, analytical methods such as the atomic force microscope, and machine learning. Based on these insights, businesses may digitally conceive materials with the requisite chemical, electrical, and physical properties and determine the most cost-effective and environmentally friendly manufacturing approach. Chemistry 4.0 Market 1Growth in Demand for Industrial Robotics in Chemistry 4.0 market Industrial robots play a vital role in digital manufacturing, as they create a virtual and connected ecosystem. Furthermore, they collect data associated with equipment, which is used to enhance the efficiency and scheduling. They also help in predicting and mitigating any unforeseen error. For many organizations, using Industry 4.0 technologies, like robotization, is part of their day-today operations. Industrial robots are predominantly used for assembly applications, followed by spot welding, among other stages of manufacturing in the automotive, electronics, and other industries. With the economic growth across regions, the growth of the Chemistry 4.0 market has been on the rise. With the increased demand across economies, product manufacturers are adopting industrial robots to automate some of the repetitive processes. Industry 4.0, the newest industrial revolution, has fueled the development of new technologies, like collaborative and AI-enabled robots, which, in turn, has enabled chemical industry to use robots to streamline multiple processes, increase efficiency, and eliminate errors. Increased workplace safety and improved production capabilities have further driven chemical industry to invest in robotic systems. This is expected to drive the growth of Chemistry 4.0 market during the forecast period. Chemistry 4.0 Market 3Relative Lack of Awareness on the ROI Related to Adoption of Industry 4.0 There are challenges that restrain manufacturing from adopting Industry 4.0 in chemical industry. The implementation barriers are so strong that manufacturers managed to achieve only limited progress with their Industry 4.0 initiatives during 2018. There are several challenges faced by manufacturers in adopting Industry 4.0 in chemical industry: • Lack of knowledge about technologies, vendors and IT outsourcing partners that could help execute the core initiative. • Difficulties with integrating data from various sources to enable initial connectivity. • Lack of unified leadership that makes cross-unit coordination difficult within the company. • Data ownership concerns when choosing third-party vendors for hosting and operationalizing company data. It is important to clearly estimate the ROI generated by different digital solutions for the business. Industry 4.0 use-cases often require investments into new technology, which do not amortize in the same year. Currently, the Chemistry 4.0 market is struggling to define clear numerical success parameters to build robust ROI calculation models. Multiple manufacturers are highly dependent on IoT sensors, smart manufacturing software, and predictive maintenance based on AI tools. However, turning these specific metrics into a general model is a different kind of challenge. Being able to at least predict the ROI is even more important, considering the overly conservative and hesitant approach taken by some in the manufacturing industry. However, the long-term benefits, such as increased productivity and improved quality, are driving organizations to adopt Industry 4.0 technologies in chemical industry, which is further expected to drive the Chemistry 4.0 market during the forecast period. Chemistry 4.0 market: Industrial Internet of Things (IIoT) The Industrial Internet of Things (IIoT) technology is primarily used to connect the machines, thereby enhancing the operational efficiency of industrial and manufacturing processes. Technologies, such as Big Data and machine learning, are being used increasingly to harness the data generated from connected devices, to improve machine-to-machine (M2M) communication and streamline workflow. Also, declining manufacturing and sensor costs involved in the production of IoTs are further driving the growth of Chemistry 4.0 market. Significant advantages, such as large-scale profit margins through improvements in power efficiency, are attracting companies to invest in the industry. IoT has become increasingly indispensable to the manufacturing industry. IoT helps companies across fields optimize operations and productivity. Within manufacturing, IoT is essential for supply chain management and is expected to drive the growth of Chemistry 4.0 market during the forecast period. Chemistry 4.0 Market 4Chemistry 4.0 market: Artificial intelligence (AI) Artificial intelligence (AI) is emerging rapidly, disrupting the global industrial landscape. The increasing deployment of industrial robots across the chemical industry is further creating opportunities for the adoption of AI. The adoption of technologies across the sector has rapidly increased massive data generation, and AI aids the industry with systems and capabilities that can imitate human cognitive functions. These functions enable the manufacturers to make effective predictions by enabling connectivity between people and machines. AI technologies include neural networks, deep learning, and machine vision, which aid in the transformation of certain aspects, such as fault detection, asset management, and process optimization. The adoption of Artificial Intelligence in chemical industry is expected to fuel the growth of Chemistry 4.0 Market during the forecast period. Germany to Transform Chemical Industry in Europe Region The 2030 vision for Chemistry 4.0 industry in Germany is focused upon three strategic fields of action that include Autonomy, Interoperability, and Sustainability. In this 2030 vision, the stakeholders of the platform Industry 4.0 present a holistic approach in shaping the digital ecosystem in the region. The strength of the German industry is rooted in a system of innovation and commerce-driven by heterogeneity, diversity, and specialization. Germany is ranked first place in terms of innovation capabilities. Germany is a competitive location for business and industry, supporting practical application for SMEs. The transfer network is an important economic policy initiative to help SMEs benefit from the efficiency and speed of Industry 4.0 innovations by supporting their implementation in practice. The network was established by the Federal Ministry for Economic Affairs and Energy and the Federal Ministry of Education and Research, and its structure actively links the transfer of stakeholders and leverages common synergies. The number of partners doubled in 2018. The Industry 4.0 platform in Germany saw various corporations with other countries in the world. The first joint cases have already emerged from the cooperation between the DACH countries that includes the Platform of Industry 4.0 in Austria and the Initiative Industry 2025 in Switzerland. Germany is growing as a preferred hub for start-ups focusing on AI and its applications such as machine learning, deep learning, computer vision, predictive analytics, and others. Berlin is actually Europe’s second-biggest start-up hub behind London. The growth in the AI in the country is triggered by the investments made by the government. For Example, in November 2018, the Federal Government of Germany launched an artificial intelligence strategy. The strategy represents the progress made in terms of AI in Germany, the goals to achieve in the future, and a concrete plan of policy actions to realize them. These factors are expected to fuel the growth of Chemistry 4.0 market during the forecast period.

Chemistry 4.0 Market Scope: Inquiry Before Buying 

Chemistry 4.0 Market
Report Coverage Details
Base Year: 2021 Forecast Period: 2022-2029
Historical Data: 2017 to 2021 Market Size in 2021: US 58.85 Bn.
Forecast Period 2022 to 2029 CAGR: 9.8 % Market Size in 2029: US 124.33 Bn.
Segments Covered: by Technology • IoT • AI • Automation • Others
by Application • Consumer • Enterprise • Industry • Construction • Manufacturing
by Region • North America • Europe • Asia Pacific • Middle East & Africa • South America

Global Chemistry 4.0 Market Key Players

• BASF • Mitsubishi Chemical • Dow • Sinopec • DuPont • Sabic • LyondellBasell Industries • PetroChina • Ineos • LG Chem • Air Liquide • Formosa Plastics[B] • Reliance Industries • Toray Industries • ExxonMobil Chemical Frequently Asked Questions: 1. What is the current scenario in the chemical manufacturing industry? 2. What are the major challenges faced by the manufacturers? 3. What are trends, opportunities, restraints, and drivers of the market? 4. What are some of the strategic approaches that help in translating these opportunities followed to achieve higher growth? 5. What is the role of Industrial Internet of Things (IIoT) in the chemicals industry? 6. How receptive are chemical manufacturers toward these technologies? What are some of the investments made in the market? 7. What are the important IIoT-based technologies and how do they transform the value chain in chemical manufacturing? What are the key benefits achieved through their adoption? 8. How will advanced automation and IIoT-based technologies help in reducing cost and increasing production volume?
1. Global Chemistry 4.0 Market Size: Research Methodology 2. Global Chemistry 4.0 Market Size: Executive Summary 2.1. Market Overview and Definitions 2.1.1. Introduction to Global Chemistry 4.0 Market Size 2.2. Summary 2.2.1. Key Findings 2.2.2. Recommendations for Investors 2.2.3. Recommendations for Market Leaders 2.2.4. Recommendations for New Market Entry 3. Global Chemistry 4.0 Market Size: Competitive Analysis 3.1. MMR Competition Matrix 3.1.1. Market Structure by region 3.1.2. Competitive Benchmarking of Key Players 3.2. Consolidation in the Market 3.2.1 M&A by region 3.3. Key Developments by Companies 3.4. Market Drivers 3.5. Market Restraints 3.6. Market Opportunities 3.7. Market Challenges 3.8. Market Dynamics 3.9. PORTERS Five Forces Analysis 3.10. PESTLE 3.11. Regulatory Landscape by region • North America • Europe • Asia Pacific • The Middle East and Africa • South America 3.12. COVID-19 Impact 4. Global Chemistry 4.0 Market Size Segmentation 4.1. Global Chemistry 4.0 Market Size, by Technology (2021-2029) • IoT • AI • Automation 4.2. Global Chemistry 4.0 Market Size, by Application (2021-2029) • Consumer • Enterprise • Industry • Construction • Manufacturing 5. North America Chemistry 4.0 Market (2021-2029) 5.1. North America Chemistry 4.0 Market Size, by Technology (2021-2029) • IoT • AI • Automation 5.2. North America Chemistry 4.0 Market Size, by Application (2021-2029) • Consumer • Enterprise • Industry • Construction • Manufacturing 5.3. North America Chemistry 4.0 Market, by Country (2021-2029) • United States • Canada • Mexico 6. Europe Chemistry 4.0 Market (2021-2029) 6.1. Europe Chemistry 4.0 Market, by Technology (2021-2029) 6.2. Europe Chemistry 4.0 Market, by Application (2021-2029) 6.3. Europe Chemistry 4.0 Market, by Country (2021-2029) • UK • France • Germany • Italy • Spain • Sweden • Austria • Rest of Europe 7. Asia Pacific Chemistry 4.0 Market (2021-2029) 7.1. Asia Pacific Chemistry 4.0 Market, by Technology (2021-2029) 7.2. Asia Pacific Chemistry 4.0 Market, by Application (2021-2029) 7.3. Asia Pacific Chemistry 4.0 Market, by Country (2021-2029) • China • India • Japan • South Korea • Australia • ASEAN • Rest of APAC 8. Middle East and Africa Chemistry 4.0 Market (2021-2029) 8.1. Middle East and Africa Chemistry 4.0 Market, by Technology (2021-2029) 8.2. Middle East and Africa Chemistry 4.0 Market, by Application (2021-2029) 8.3. Middle East and Africa Chemistry 4.0 Market, by Country (2021-2029) • South Africa • GCC • Egypt • Nigeria • Rest of ME&A 9. South America Chemistry 4.0 Market (2021-2029) 9.1. South America Chemistry 4.0 Market, by Technology (2021-2029) 9.2. South America Chemistry 4.0 Market, by Application (2021-2029) 9.3. South America Chemistry 4.0 Market, by Country (2021-2029) • Brazil • Argentina • Rest of South America 10. Company Profile: Key players 10.1. BASF 10.1.1. Company Overview 10.1.2. Financial Overview 10.1.3. Global Presence 10.1.4. Capacity Portfolio 10.1.5. Business Strategy 10.1.6. Recent Developments 10.2. Mitsubishi Chemical 10.3. Dow 10.4. Sinopec 10.5. DuPont 10.6. Sabic 10.7. LyondellBasell Industries 10.8. PetroChina 10.9. Ineos 10.10. LG Chem 10.11. Air Liquide 10.12. Formosa Plastics[B] 10.13. Reliance Industries 10.14. Toray Industries 10.15. ExxonMobil Chemical

About This Report

Report ID 171629
Category Material & Chemical
Published Date Jan 2023
Updated Date
Contact Us