Global caustic soda capacity is poised to see considerable growth over the next five years, potentially increasing from 98.54 million tonnes per annum (Mtpa) in 2020 to 105.50Mtpa in 2025, registering total growth of 7%.

GlobalData’s latest report ‘Global Caustic Soda Industry Outlook to 2025 – Capacity and Capital Expenditure Forecasts with Details of All Active and Planned Plants’ states that around 47 planned and announced plants are scheduled to come online primarily in Asia and Africa.

Within Asia, China has seven planned and announced chlorine capacity additions, with a total capacity of about 2.66Mtpa by 2025. The country is expected to spend a capital expenditure (capex) of $0.93bn. Major capacity additions will be from the Xinjiang Zhongtai Chemical Company Baicheng Caustic Soda Plant.

North America has one planned and one announced project, of which the US contributes an entire capacity of 1.22Mtpa by 2025. The capex for the plants is $0.58bn by 2025.

In Europe, Spain has two planned projects with capacity additions of about 0.22Mtpa by 2025. The country is expected to spend a total of $0.08bn by 2025. Covestro Tarragona Caustic Soda Plant and CUF-Quimicos Industriais Torrelavega Caustic Soda Plant are the major plants for accounting for the capacity additions in Spain.

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Xinjiang Zhongtai Chemical Co Ltd, Lords Chloro Alkali Ltd and Shin-Etsu Chemical Co Ltd will be the top three companies globally in terms of planned and announced capacity additions over the upcoming years.