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Waxes
Chemical Economics Handbook
December 2015 ihs.com/chemical
Rita Wu
Adam Bland
Lei Zeng
Takeshi Masuda
IHS Chemical Economics Handbook | Waxes
Contents
Summary 6
Introduction 12
Manufacturing processes 13
Naturally occurring waxes 13
Vegetable waxes 13
Animal and insect waxes 13
Mineral waxes (excluding petroleum waxes) 14
Petroleum waxes 14
Synthetic waxes 15
Fischer-Tropsch wax 15
Polyolefin waxes 16
Direct-synthesis PO waxes 16
Homopolymer LDPE waxes 16
Copolymer LDPE waxes 16
HDPE and PP waxes 16
Degradation PO waxes 17
Functionalized PO waxes 17
By-product PE waxes 18
NAO waxes 18
Other waxes 18
Environmental issues 19
United States 19
Western Europe 19
Japan 19
Supply and demand by region 20
United States 20
Producing companies 20
Naturally occurring waxes 20
Vegetable waxes 20
Animal and insect waxes 20
Mineral waxes (excluding petroleum waxes) 20
Petroleum waxes 20
Synthetic waxes 23
Mergers and acquisitions 24
Salient statistics 25
Naturally occurring waxes 25
Vegetable waxes 26
Animal and insect waxes 27
Mineral waxes (excluding petroleum waxes) 27
Petroleum waxes 27
Synthetic waxes 28
Consumption 28
By type of wax 28
Naturally occurring waxes 30
IHS™ Chemical
Synthetic waxes 38
By end use 40
Board sizing 42
Paper coating 42
Candles and molded novelties 43
Electrical applications 43
Textile and leather processing 44
Polishes 44
Adhesives 44
Fruit and vegetable coatings 45
Cosmetics and medicinals 45
Carbon paper, ribbons, and printing inks 45
Greases, lubricants, and mold releases 46
Rubber compounding 46
Other 46
Price 47
Trade 48
Naturally occurring waxes 48
Vegetable waxes 48
Animal and insect waxes 49
Mineral waxes (excluding petroleum waxes) 50
Petroleum waxes 51
Synthetic waxes 52
Canada 52
Mexico 53
Petroleum waxes 53
Candelilla wax 53
Central and South America 54
Petroleum Waxes 54
Carnauba wax 54
Trade 54
Naturally occurring waxes 54
Synthetic waxes 56
Western Europe 56
Producing companies 56
Mineral waxes 56
Petroleum waxes 56
Montan waxes 58
Synthetic waxes 58
Salient statistics 62
Vegetable waxes 62
Animal waxes 63
Mineral waxes 63
Synthetic waxes 64
Production 65
Vegetable waxes 65
Animal waxes 65
Mineral waxes 65
Petroleum waxes 65
Montan wax 66
Synthetic waxes 66
Consumption 67
Vegetable waxes 67
Animal waxes 68
Mineral waxes 68
Petroleum waxes 68
Montan waxes 69
Synthetic waxes 69
Polyolefin waxes 69
Polyethylene glycol waxes 69
Fischer-Tropsch waxes 70
Price 70
Trade 71
Vegetable waxes 71
Animal waxes 72
Mineral waxes 73
Synthetic waxes 75
Candles 77
Central and Eastern Europe 77
Producing companies 77
Salient statistics 79
Petroleum waxes 79
Synthetic waxes 80
Consumption 81
Trade 81
Vegetable waxes 81
Animal waxes 81
Mineral waxes 82
Synthetic waxes 83
Candles 85
Middle East 85
Producing companies 85
Salient statistics 86
Petroleum waxes 86
Synthetic waxes 88
Fischer-Tropsch waxes 88
Consumption 89
Trade 90
Naturally occurring waxes 90
Synthetic waxes 91
Candles 92
Africa 93
Producing companies 93
Salient statistics 94
Petroleum waxes 94
Synthetic waxes 95
Consumption 97
Trade 97
Naturally occurring waxes 97
Synthetic waxes 99
Candles 100
Japan 100
Producing companies 100
Naturally occurring waxes 100
Vegetable waxes 100
Animal and insect waxes 102
Mineral waxes (excluding petroleum waxes) 102
Petroleum waxes 103
Summary
The group of waxes profiled in this report is a composite of 10 of the more significant wax types commercially available
today. A generally accepted definition of the term wax does not exist, primarily because of the large number of products
with waxlike properties and the chemical complexity of individual wax types. Selection of the 10 wax types surveyed is
based largely on commercial importance and volumes consumed.
Globally, the wax types most consumed are petroleum waxes (categorized under mineral waxes) with about 75% of total
wax consumed. This is followed by synthetic waxes such as polyolefin waxes and Fischer-Tropsch waxes, which account
for about 20% of the total. The remainder of waxes consumed are vegetable and animal waxes. The following table
presents world consumption of waxes by type:
For the mineral wax type, petroleum wax is the dominant product, with over 98% of mineral wax use (the remainder is
mostly montan wax). The following table presents supply and demand for petroleum wax by major region in 2015, along
with estimated growth through 2020:
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China is the leading petroleum wax producer and exporter in the world, and this is expected to continue. The United
States, Europe, and China together accounted for about 80% of total petroleum wax consumption in 2015. Consumption
growth will be driven by China, along with Central and Eastern Europe, the United States, Africa, and the Middle East.
Western Europe will maintain high volumes, but will grow only moderately. Japan will experience a petroleum wax
consumption decline over the next few years.
US and European petroleum wax supply will continue to decline as more Group I base oil shutdowns occur. No wax
coproduct is produced from Group II and Group III base oil processes. Both of these capacities are expected to increase at
the expense of Group I capacity.
China will continue to be the main producer and exporter of petroleum wax. With domestic supply down, the United
States and Europe will continue imports and look to alternative wax types, such as synthetic and natural waxes, to meet
demand.
Consumption of all the waxes profiled in this report in 2015 was estimated at nearly 4,400 thousand metric tons. The
following table presents consumption of all wax types by major region, along with total wax average annual growth
through 2015:
Global annual consumption growth is expected to be 2.5%, driven by China, Central and Eastern Europe, and the Middle
East. The high-volume markets of the United States and Western Europe will experience moderate growth of 2.2% and
1.0%, respectively. Japan will decline about 0.3% per year.
China’s future wax growth will rely on domestic GDP growth. Japan’s wax decline has followed the decline in its
manufacturing industry. Other regional growth, such as in the Middle East, will occur due to access to crude oil for
petroleum wax, or to GTL technologies for synthetic wax. US and Western European growth will be limited by domestic
supply.
Petroleum waxes will experience moderate growth in the United States and Western Europe, compared to synthetic and
natural waxes. Stronger growth in China, Central and Eastern Europe, and the Middle East will occur.
For synthetic waxes, strong relative growth of 2.5–5% annually is expected in most regions. This is mainly attributed to
the variety of applications for these waxes, as well as a consistent and high-performance supply.
For natural waxes, such as vegetable and animal waxes, a steady growth of about 2–3% (higher for vegetable waxes)
annually is projected for the United States, Europe, and Other Asia. This is due to consumers’ preferences for natural,
renewable, and “green” products.
In many regions, candle use will continue to account for a large part of consumption. Waxes for candles will continue to
grow at a steady rate across regions. Other consumer goods applications, such as cosmetics and personal care items, will
also increase globally.
Packaging application uses will continue to decline as substitution materials such as plastics will be used in the United
States, Europe, and Japan. In addition, the development of recyclable alternatives has increased the amount of corrugated
packaging that can be recycled, and has aided the decline of wax usage. Limited petroleum wax supply in the United States
and Europe may also lead to replacement of waxes, as well as food legislation acts in Europe.
Board sizing and construction uses are expected to continue strong growth. In addition, wax uses for plastics, rubber, and
adhesives production will contribute to driving growth in the waxes market.
Waxes are used in a wide variety of applications and are important contributors in many household and industrial
products. Their many uses include paper coating, candles, textile and leather products, polishes, adhesives, fruit and
vegetable coatings, cosmetics, medicinals, inks, lubricants, rubber compounding, and plastics compounding. These
applications cover a broad marketing spectrum from commodity-type markets, such as paper coating, to more specialty-
type markets, such as cosmetics. Waxes are typically processed and blended to meet specific performance requirements.
Petroleum waxes were historically classified as by-products; however, the industry now considers them as coproducts and
contributing to refinery margins. Many of the companies that produce petroleum waxes worldwide are crude oil refiners.
Some refiners sell unfinished waxes to a small number of large consumers, while others elect to move most of their wax
output through specialist marketing companies that often process the wax further before resale.
Polyolefin waxes—a subset of synthetic waxes—are the second-largest and fastest-growing segment of the global wax
market. Growth is substantially higher than the industry average and is being driven by the product’s favorable
cost/performance attributes and its higher supply and quality dependability. Polyolefins are finding increased usage in wax
blends and as substitutes for natural waxes. Both the on-purpose and by-product polyolefin waxes can be tailored to
specific end uses. Further modification of these waxes through oxidation and grafting reactions is creating new
applications and a specialty segment of higher-value synthetic waxes.
Natural (vegetable and animal/insect) waxes represent a relatively small but important segment of the overall wax
market. Consumption of natural waxes can differ from year to year due to their unpredictable supply. Carnauba and
candelilla are essentially single-source waxes whose availability (and price) are subject to a variety of exogenous
environmental events. During the undersupply episodes, these waxes are allocated to hard-core end uses that can absorb
the price volatility, while other users resort to blends with, or blends of, other waxes. This “feast or famine” market
environment has generated interest in finding wax substitutes.
The following table presents the biggest wax producers in the world. Most of the top producers are petroleum wax
producers. China National Petroleum Corporation, China Petrochemical Corporation, and ExxonMobil Chemical
Company are the top petroleum wax producers. Sasol Wax is the biggest FT wax producer. Marcus Oil & Chemical Co. and
Clariant GmbH are the biggest synthetic polyolefin wax producers.
Petroleum waxes will maintain their dominant global share of wax demand, based on their relatively low cost, good
consistency, and reliable supply. However, in the United States, synthetic and natural wax demand is expected to increase
at a faster rate than petroleum wax consumption due to product features, consumer preferences, and limited supply of
petroleum wax. The current North American supply pattern will continue to evolve, as lubricating oil production and
demand undergo changes. The shift from Group I lube base oil production to Group II/III production is expected to
continue as lube oil product requirements change. This will adversely affect the supply of coproduct petroleum wax. More
existing wax-producing base oil plants will be shut down, others will be upgraded (wax-limiting), and still others will
continue to operate existing plants for some time in the future. Use of synthetic base stocks will probably increase,
leading some refiners to formulate higher-quality lubricants by blending mineral and synthetic base oils while avoiding
plant upgrades. The same is true also for Western Europe, where the shift is already ongoing and affecting petroleum wax
supply.
The following table presents the petroleum waxes outlook for the major regions:
The following table presents the synthetic waxes outlook for major regions:
The following table presents the natural waxes outlook for major regions:
Introduction
Waxes are among the oldest materials used by humans, having been employed as versatile construction materials. The
historical prototype of all waxes is beeswax and even now the term wax is occasionally used as a synonym for beeswax. In
colonial times, waxes such as carnauba, candelilla, and Chinese insect waxes were introduced in Europe. The real
breakthrough for wax as an important raw material occurred at the beginning of the Industrial Revolution. Ozokerite
(fossil wax) was refined to give ceresin, montan wax was extracted from Eocene lignite, and paraffin waxes were obtained
from crude petroleum. In 1935, the first fully synthetic waxes were produced by the Fischer-Tropsch process.
Polyethylene wax was produced by high-pressure polymerization in 1939 and became available by the low-pressure Ziegler
process after 1953. Since the early 1990s, polyolefin waxes have been synthesized using the latest generation of
metallocene catalysts to produce designer waxes.
Waxes are generally considered to be a variety of organic substances that are solid at ambient temperature but become
free-flowing liquids at slightly higher temperatures. The term waxes encompasses materials having different origins and
compositions; they can be naturally occurring (vegetable, animal, or mineral origin), modified (natural waxes that have
been chemically altered in order to change their nature and thus their properties), synthetic, or compounded (mixtures of
various waxes or waxes with resins or other compounds). Although the chemical composition of wax is complex, normal
alkanes are always present in high proportion and molecular weight profiles tend to be wide.
This report focuses on naturally occurring and synthetic waxes that are commercially significant. The following discussion
is divided into sections on vegetable waxes (carnauba, candelilla, Japan, ouricury, jojoba, and rice), animal and insect
waxes (beeswax and wool grease/lanolin), mineral waxes (montan, ozokerite, and ceresin), petroleum waxes (paraffin,
microcrystalline, petrolatum, and slack), and synthetic waxes (polyethylene and Fischer-Tropsch).1. Modified naturally
occurring waxes are also treated briefly.
1.
Production and sales of spermaceti wax are banned in most parts of the world because of the endangered species status of the sperm whale. Synthetic substitutes for sperma-
ceti wax have been developed, but are not discussed in this study. Certain fatty acids and fatty acid derivatives are also considered synthetic waxes. See the CEH Natural Fatty
Acids report for more detailed information on these types of waxes.
Manufacturing processes
Vegetable waxes
Vegetable waxes are obtained by recovering the wax from harvested plants. The crude wax is then remelted, strained
through filter presses, and bleached with filtering clays or chemical bleaches, such as peroxides.
Carnauba wax is obtained from the leaves of Copernica cerifera, a tree native to Brazil, and is recovered as a fine powder.
According to industry sources, the average wax yield per tree is about one kilogram per cutting. Wax properties such as
color and quality are affected by the age of the leaves. It is the hardest natural wax with brittle and lustrous properties.
Also, various grades are produced by modifying the recovery and refining processes. For example, chalky wax is made by
adding 5–10% salt water while the wax is being melted.
Candelilla wax is found in the scales covering reedlike plants (Euphorbiea antisiphilitica, Euphorbiea cerifera and
Pedilanthus pavonis) native to northern Mexico and southern Texas. The wax is extracted with boiling water containing
less than 1% sulfuric acid. The acid enhances wax recovery and reduces foaming. Candelilla wax is also hard, brittle, and
lustrous although it is softer than carnauba wax. The wax can be further processed to produce a double-refined wax or a
purer grade that does not contain resinous components.
Jojoba oil is produced from seeds that are harvested manually or mechanically from the jojoba plant. Jojoba is a shrub
grown in desert regions such as the southwestern United States and Mexico. Mechanical harvesting was first
accomplished on a commercial scale in 1983 in the United States. Jojoba oil is extracted from the seeds by use of a standard
mechanical press. Jojoba oil’s chemical properties allow for excellent oxidative stability.
Rice wax is extracted from rice oil. It has a melting point of 77°C; hydrogenated rice wax has a higher melting point.
Industry sources have noted that soy-based waxes will exhibit some growth due to lower cost relative to low-melt paraffin
waxes. Soy-based waxes are more likely to be used in the United States, while palm-based waxes will find more use in
Europe and Asia.
Wool grease, which is also called degras, is a soft wax obtained as a by-product during the scouring of raw wool. The soft
wax can be marketed or it can be refined by alkali treatment to reduce its levels of free fatty acids. The partly refined
product is sold as neutral wool grease or technical lanolin. Lanolin can be saponified to yield lanolin acid and lanolin
alcohol, which is also known as woolwax alcohol. Lanolin acid has been used as a rust preventive and in metal-treatment
compounds. Lanolin alcohol is a primary emulsifier that is often used in cosmetics. Technical lanolin can be further
refined to produce various USP grades of lanolin. There are typically four grades of lanolin; standard grade, cosmetic,
superfine, and ultrafine. USP lanolin is available in both hydrous (25–30% water) and anhydrous forms. It can be
fractionated to produce lanolin oil, which is widely used in cosmetics, and lanolin wax, which is used in polishes for shoes,
floors, and automobiles.
Chromic acid or sulfuric acid oxidation of montan wax yields modified waxes for specific uses. This oxidation bleaches the
montan wax and converts most of its constituents to acids. The converted wax, which is known as montanic acid, can be
used directly or esterified with glycols or other alcohols. Another modified montan wax can be produced by partially
esterifying the montanic acid and then neutralizing a portion of the unesterified carboxylic acids. Montan wax is found in
brown or lignite coal deposits and is hard and does not easily decompose. It has many uses including rubber production
and as a lubricant to produce plastics. Ceresin and ozokerite waxes are mainly complex hydrocarbons formulated into
specialty waxes. Both are used in a variety of markets due to their consistent and reproducible properties. Also, both
waxes are used in personal care products. Ceresin waxes generally melt between 130°F and 160°F, while ozokerite waxes
melt between 140°F and 200°F.
Petroleum waxes
Petroleum waxes are obtained during the production of lubricating oil basestocks from crude petroleum. The process
involves the extraction of lube oil distillate fractions with solvent to remove the wax components. The dewaxing process
decreases the pour point (the temperature at which the substance becomes semisolid) of the lube oil basestock, enabling
it to flow at lower temperatures. Alternatively, waxes can be produced by solvent extraction of residual oils from the
refinery’s vacuum distillation unit. The extraction products—slack waxes in the case of distillates or petrolatum in the
case of residual oils—can be further processed to yield semirefined and refined waxes.
The slack wax that is removed from distillate fractions is the feedstock for paraffin and semimicrocrystalline
(intermediate) waxes. Crude slack wax is yellow to black in color and has relatively high oil content (typically 5–25% but
sometimes as high 50% by weight). It can either be decolorized before sale or deoiled to produce scale waxes or refined
waxes. Scale wax has higher oil content (1-3%) than refined paraffins, which have an oil content of 0.9% or less. Fully
refined paraffins generally have oil content of 0.5% or less.
Petrolatum from the residual lube stock fraction is the feedstock for microcrystalline waxes (microwaxes). This fraction
contains heavy lube oil and asphaltine material as well as microcrystalline waxes. Processing of this fraction involves
propane deasphalting followed by solvent dewaxing to separate lube oil basestock from crude petrolatum. The latter,
which may contain as much as 50% oil, is deoiled to reduce the oil content to 1–5% and then decolorized to a white or very
light-colored material. These microcrystalline waxes have melting points ranging from 54°C to 95°C (higher than paraffin
waxes), depending on the type of crude oil used and how the residual stocks are separated. These waxes can be oxidized
with catalysts (such as cobalt, aluminum or manganese) to yield an oxidized wax that is moderately hard and has a melting
point of 82–93°C, with a color similar to that of carnauba and candelilla. Microcrystalline waxes can also exhibit soft and
tacky properties.
Tank bottom residues in crude oil storage tanks are another source of microcrystalline waxes. Since the water content
ranges as high as 40%, dehydration is the first step in processing. Distillation to remove lighter oil fractions, followed by
deasphalting, deoiling and then decolorizing and deodorizing, yields the tank bottom microcrystalline waxes. These
waxes have melting points above 85°C. Tank bottom residues are no longer a major source of microcrystalline waxes
because tanks are agitated more often, so that more crude oil can be cracked.
The dynamics of lube base oil production have shifted, driven by technology and product requirements. Changing
specifications for finished lubricants have led to a decrease in the production of Group I base oils and an increase in the
production of Group II and Group III base oils. Because they are more resistant to oxidation than Group I base oils, Group
II and Group III base oils are the preferred basestocks for finished lubricants. However, the hydrocracking processes that
produce these base oils do not yield wax as a by-product. Only the manufacture of Group I base oils (which involves
distillation, solvent extraction, and solvent dewaxing) generates wax.
According to IHS Energy Global Lubricants Service, Group I base oil capacity accounted for approximately 46% of world
production capacity for lubricant base oils in 2015, down from 70% of capacity a decade earlier. Group II and Group III base
oils made up 30% and 14% of capacity, respectively, with naphthenic base oils responsible for the remaining 10%. Group I
base oil’s share of world capacity will continue to decline in the coming years, as the majority of announced capacity
additions are for Group II and Group III base oils, not Group I base oils. According to an estimate from AFPM International
Lubricants and Waxes metting in Houston in 2015, Group I will only represent about 40% of global capacity by 2020.
In the next few years, it is expected that Group I production will continue to decline; thus the supply of petroleum wax, as
a coproduct, will also decrease. This situation represents an opportunity for synthetic waxes such as polyolefin and
Fischer-Tropsch waxes.
Synthetic waxes
Fischer-Tropsch wax
Fischer-Tropsch waxes are produced commercially by two versions of the German Lurgi process.
• Sasol Process. In the Sasol slurry bed process, low-grade coal (natural gas is also a feedstock for these waxes; using
natural gas rather than coal causes a reduction in wax) is first pulverized and then burned in an oxygen and steam
atmosphere to produce a carbon monoxide–hydrogen synthesis gas; the conditions of combustion are 538°C and 300 psi
pressure. The resultant syngas is then scrubbed in methyl alcohol at –18°C in an absorption column and passed over an
iron oxide catalyst to induce a reaction between carbon monoxide and hydrogen. This reaction produces a mixture of
straight-chain hydrocarbons, 80% wax and 20% lower-molecular-weight liquid hydrocarbons. This crude wax is vacuum
distilled at 288°C. The lower-boiling fraction from this process, called crude low-melt-point wax, consists of low-melt-
point waxes and liquid hydrocarbons. The residue is crude, hard, high-molecular-weight, high-melt-point wax, which is
further refined to produce “H”-grade Fischer-Tropsch wax (and its derivatives). These waxes consist essentially of n-
paraffins with chain lengths between 20 and 50 carbons, characterized by fine crystalline structure, narrow melting
range, and very low melt viscosities.
• Shell Middle Distillate Process. The Shell Middle Distillate Synthesis (SMDS) technology is a version of the original
Fischer-Tropsch process. This process uses a highly active and selective Shell catalyst, which is one of the main factors
that allowed the technology to be brought to full commercial application in 1994. The SMDS process, as practiced at the
Shell MDS plant at Bintulu, Malaysia, is essentially a three-stage process. In the first stage, syngas (a mixture of carbon
monoxide and hydrogen) is obtained by partially oxidizing natural gas with pure oxygen. In the second stage, the syngas
is passed through synthesis reactors, in which the Fischer-Tropsch reactions take place over a proprietary Shell catalyst.
The reaction conditions are designed to favor the formation of long-chain liquid paraffinic (wax) molecules and to
minimize formation of shorter-chain molecules, such as butane. In the third stage, the wax molecules are converted
into middle distillates by mild hydrocracking. The middle-distillate stream can then be fractionated to produce a wide
variety of products, including kerosene, gas oil, naphtha, solvents, lubricants and waxes.
GTL plants using F-T chemistry produce wax using coal gasification or natural gas. An advantage of the GTL process is to
manufacture more environmentally friendly fuels and the large volume of waxes that can be made; however, the cost to
build such a plant can be relatively expensive.
Although GTL plants may be favored because of high oil prices and environmental regulations, the future production of
waxes as a by-product of GTL will continue to face challenges. For example, the technology used to manufacture GTL
waxes, using mild wax hydroisomerization technology, must be improved and made more cost effective to gain consumer
support and use. This technology could also reduce wax supply because it can eliminate the production of wax as a
coproduct by changing the wax into base oil.
New GTL plants were scheduled to be constructed during the 2000s in Qatar but plans were either stopped or delayed
indefinitely. However, Shell is proceeding with its Pearl GTL plant in Qatar and is currently in testing phase. The Pearl
plant is a joint venture with Qatar Petroleum. It is unknown at this time what wax production capacity, if any, will result.
Polyolefin waxes
A broad spectrum of polyolefin (PO) waxes is produced from polymerization of ethylene, propylene, and other monomers.
These products are characterized by production type (on-purpose or by-product), polymer type (homopolymer or
copolymer), process (high pressure or low pressure), catalyst (free radical, Ziegler-Natta, or metallocene), structure
(branched or linear), and reactivity (nonpolar/saturated or polar/functionalized).
Direct-synthesis PO waxes
Reactor type and geometry significantly influence polymer structure and properties. In autoclave reactors, spherical
molecules with many long-chain branches are the predominant type formed because of substantial back mixing. In
tubular reactions, long straight molecules with little long-chain branching predominate. Crystallinity, hardness, melting
point, and solidification point increase as the degree of long-chain branching decreases.
Production of polyolefin (PO) waxes by Z-N catalysts is achieved by carrying out polymerization in the presence of
hydrogen at high temperatures (100–200°C) to control MW and thus achieve the low degree of polymerization that is
typical of waxes. In wax synthesis, the catalyst must usually be decomposed and filtered off, unlike the currently used
high-activity linear PE catalysts. Waxes have higher purity requirements than high-MW PE polymers in many of their
end-use applications.
Polyolefin waxes can also be synthesized using metallocenes and other single-site catalysts. In comparison with Z-N
catalysts, metallocenes provide greater control over the polymer’s molecular weight and molecular weight distribution,
allowing producers to tailor the wax’s melting point, viscosity, and other physical properties to specific end uses.
Metallocene waxes are comparatively recent entrants to the wax market, and only a few firms produce these materials.
Clariant initiated pilot-scale production of Licocene® metallocene PE, PP, and propylene-ethylene copolymers waxes in
1999; commercial-scale production began in Frankfurt, Germany, in 2006. Mitsui Chemicals commenced commercial-
scale production of ExcerexTM metallocene polyolefin waxes in Yamaguchi Prefecture, Japan, in 2004. The Dow Chemical
Company manufactured metallocene polyethylene waxes in Sarnia, Ontario, Canada, from 2004 to 2005, but no longer
produces these waxes.
Degradation PO waxes
By heating in the absence of air, the molecular chain of high MW polyolefin polymers can be cleaved (cracked) into
smaller molecules with waxlike character. The starting materials are usually HP-LDPE, HDPE, PP, and polybutene.
The starting materials for thermal degradation to PO waxes are HP-LDPE, HDPE, and PP. All structure-dependent
properties of the wax (such as crystallinity, density, hardness, and melting point) are controlled by the choice of starting
material. Hydrogenation may be necessary to saturate double bonds formed during chain cleavage. Like other PE waxes,
degradation waxes may be modified by air oxidation. Because of their double bonds, degradation waxes are particularly
suited to grafting with unsaturated carboxylic acids (e.g., maleic anhydride). Degradation PP waxes usually have extremely
high melting points and hardness because they are produced from highly crystalline, isotactic PP.
Functionalized PO waxes
Functionalized PO waxes generally contain carboxyl and ester groups that allow them to be emulsified in aqueous media.
They can be produced by:
• Oxidation of nonpolar PE waxes (melt oxidation) or PE polymers (oxidative degradation) with air
• Free-radical high-pressure polymerization of ethylene with oxygen-containing comonomers (acrylic acid, acrylates,
vinyl acetate)
Oxidized PE waxes can be modified further by esterification, amidation, saponification, and other derivative reactions so
as to meet the requirements of specific applications. PO waxes can also be converted to emulsifiable products by grafting
with unsaturated polar compounds (e.g., maleic anhydride).
Several of the polymerization processes allow different functionality to be added to the backbone of the polymer so as to
yield waxlike properties. Copolymerization of ethylene with other olefins (butene, propylene, hexane, and octene)
creates branching, which decreases the melting point and hardness, while increasing viscosity as compared with a linear
PE with the same MWD. Copolymers with vinyl acetate and acrylic acid introduce oxygen functionality; these products
may be reacted further with metal salts to form ionomers.
PE polymers terminated as ketones, alcohols, and carboxylic acids offer the same chemical functionality as common fatty
alcohols and acids, but are higher-melting and harder. Other derivatives such as ethoxylates, esters, and amides are also
available as higher-melting versions of the fatty derivatives. Functional PE waxes provide both the physical properties
obtained by the high-MW PE wax and the chemical properties of an oxidized product or one derived from a fatty alcohol
or acid. The functional groups improve adhesion to polar substrates, compatibility with polar materials, and dispersibility
in water.
By-product PE waxes
PE waxes are recovered from mixtures of low-MW PE fractions and solvents (usually hexane) produced during ethylene
polymerization. Yields of wax bottoms are assumed to fall within the 3.5–4.5 weight percent range, although the range
could be as wide as 2.0–5.5 weight percent, depending on product slates. Recovery yields of purified wax are unknown but
are assumed to be at least 80% after solvent and catalyst removal.
NAO waxes
Normal (linear) alpha-olefins are produced commercially by ethylene oligomerization, which yields even-numbered
carbon chains ranging from C4 to C30+. C4 olefins are a gas at room temperature; C6-C18 olefins are clear liquids; and C20+
olefins are waxy solids. Markets have been developed for essentially the entire range of single cuts and blends. Olefins sold
as wax replacements are typically in the C24 and higher range.
Three polymerization processes are currently being operated: Chevron Phillips Chemical (CPChem), Ethyl, and Shell.
These processes differ primarily in chain length distribution, which dictates the percentage output of each carbon
number. CPChem’s process produces a left-skewed distribution.
CPChem produces C30+ alpha-olefins with waxlike properties. Applications for these products include lubricant use in PVC
and as wax blends for candles, coatings, and crayons. Fractionation will lead to an increase in the number of uses and
applications. For example, hydrogenation will improve melting points and thermal stability, such as those found in drilling
fluids.
Other waxes
Waxlike fatty acids include stearic, palmitic, myristic, and hydrogenated tallow fatty acids and products. Derivatives that
are used in wax applications include alcohols, amides, and esters.
Environmental issues
United States
Few environmental or safety issues are presented by waxes. Industry sources expect no major environmental issues for
waxes in the future. There has been some impact in the problem of recycling paper packaging and corrugated board
products that are coated with waxes. Wax resists penetration of repulping agents and slows the disintegration of paper
during the recycling processing. Montan wax is said by its suppliers to be more easily repulped than petroleum wax,
although this opinion is not universally shared. Wax suppliers and pulp and paper manufacturers are working on various
approaches to alleviate this problem, including developing waxes that are more easily removed under repulping
conditions and substituting polymeric coatings for waxes in some cases. As a result, biodegradable polymers such as
polylactic acid (PLA) have also entered this market as a suitable replacement. For example, paper cups or juice containers
lined with PLA can make these products truly compostable as opposed to wax-lined items.
Toxicology is another area that could have some impact on wax consumption. Several areas of concern in nonpackaging
markets are related to ingestion of chewing gum and food-grade protective coatings. Nevertheless, no large displacements
are foreseen, owing to the long history of wax consumption. Paraffin wax is approved by the US Food and Drug
Administration for use in food, cosmetics, and medical applications.
Western Europe
Major health, safety, and environmental concerns regarding waxes center on two issues:
• Packaging, in particular food contact. Waxes are used as coatings and adhesives in the production of various food
packaging materials. Lower-molecular-weight waxes may be targeted on toxicology issues by European Commission
legislation.
• Recycling of packaging. As legislation on waste disposal becomes increasingly strict, recyclability of materials is
essential to their acceptance in packaging applications. Research has shown that it is technically possible to separate
wax from paper fibers in a deinking process.
Japan
Like the United States, environmental factors have not played a large positive or negative role in wax consumption.
Consumption of waxes is more influenced by economic factors rather than environmental factors.
United States
Producing companies
Vegetable waxes
The major vegetable waxes, carnauba and candelilla, are not produced in the United States; several US companies import,
refine, and/or formulate these waxes. Important refiners of vegetable waxes in the United States include Koster Keunen,
Inc. and Strahl & Pitsch, Inc.
Koster Keunen supplies waxes to major global cosmetic, pharmaceutical, and other manufacturers. Strahl & Pitsch mainly
focuses on the cosmetics and pharmaceuticals industries. Jojoba oil is produced primarily in the southwestern United
States, mostly in Arizona and to a lesser extent in California. Major oil processors include Desert Whale Jojoba Co.
(acquired by Vantage Specialty Chemicals in October 2012) and Purcell Jojoba International.
Most refiners of crude wool grease obtain their raw material from wool scourers and produce both technical and USP
grades of lanolin as well as various lanolin derivatives. Lanolin is used as an emollient and for skin care. The major US
refiners of domestic and imported crude wool grease are Noveon (now under Lubrizol); Croda, Inc.; and R.I.T.A.
Corporation.
Petroleum waxes
US capacity for petroleum waxes (including fully refined, crude scale, microcrystalline, semifinished, and slack waxes and
petrolatums) was 742 thousand metric tons per year as of 1 January 2015, further down from about 860 thousand metric
tons in 2010 and 970 thousand metric tons in 2005. The table below shows North American producers of petroleum waxes
and their capacities.
• US petroleum wax capacity has declined in the past several years. This includes the 2008 Marathon and Citgo Group I
base oil shutdowns and by-product waxes production. Citgo stopped production at its Lake Charles, Louisiana plant to
focus on its finished lubricants business and Marathon shut its Cattlesburg, Kentucky unit.
• Flying J Oil Inc. filed for Chapter 11 bankruptcy in late 2008. The company changed its corporate name to FJ
Management Inc. FJ Management continues to own and operate Big West Oil LLC refinery in North Salt Lake, Utah.
• In 2009, Holly Refining and Marketing acquired Sunoco’s Tulsa, Oklahoma refinery and subsequent wax production.
• Calumet reduced the base oil and wax capacity at its Shreveport, Louisiana refinery in the first half of 2015. The Group I
base oil output was lowered by 800 barrels per day to 4,000 barrels per day. Finished wax capacity was cut from 1,200
barrels per day to 1,000 barrels per day. Unfinished wax capacity was down from 600 barrels per day to 300 barrels per
day.
• ExxonMobil said in August 2015 that it will discontinue production of Group I base stocks and waxes at its Beaumont,
Texas refinery by the second quarter of 2016. Group I base oil capacity is 10,000 barrels per day and its wax capacity is
1,900 barrels per day. It is the largest paraffinic capacity reduction in the western hemisphere, on the back of changes in
motor oil performance requirements. Exxon Mobil has also converted a portion of its Baytown wax capacity to base oils
in late 2014.
Sonneborn is a wax blender that refines microcrystalline wax based on unfinished wax purchased from refineries.
US wax capacity has declined from about 970 thousand metric tons in 2005 to about 860 thousand metric tons in 2010
and further down to 745 thousand metric tons in 2015. During the last decade, facilities that were shut down were
outdated and companies could not justify the cost of upgrading them. Also, some companies decided to not include waxes
in their corporate future as a result of growing substitute products. Recently, capacity has declined due to the shift of base
oils production from Group I to Group II or Group III types, decreasing wax supply.
According to AFPM statistics, the ratio of wax/lube oil capacity has declined to 0.09 in 2010 and dropped further to 0.07 in
2015. This ratio had been about 0.11 since the late 1990s when hydrocracking and catalytic dewaxing capacity had
decreased at a faster rate than finished lube oil capacity. Historically, the ratio had been relatively unchanged at about 0.13
during 1980–98. Industry contact suggests that with changes required for motor oil, waxes cannot be made. Motor oils
will always drive refinery economics for majors.
According to the US Energy Information Administration (EIA), US production of petroleum waxes has decreased
significantly since 2005 from about 740 thousand metric tons to an estimated 375 thousand metric tons in 2010 and
further lowered to an estimated 228 thousand metric tons in 2015. Production has declined due to Group I base oil plant
shutdowns and a drop in demand.
A number of companies produce petroleum waxes. ExxonMobil, International Group, Calumet, and HollyFrontier are the
largest US producers of fully refined, crude-scale, and microcrystalline waxes. ExxonMobil, HollyFrontier, and Ergon are
the largest US producers of semifinished, slack waxes, and petrolatums. Baker Petrolite, ExxonMobil, and IGI are major US
producers and suppliers of microcrystalline waxes. Baker Petrolite supplies finished microcrystalline waxes, while
ExxonMobil deals with unfinished microcrystalline waxes. ExxonMobil is also the largest domestic producer of paraffin
waxes. Distributors also play major roles in the market for petroleum waxes. Important petroleum wax marketers include
The International Group, Inc. (IGI) of Agincourt, Ontario, Canada, and Sasol Wax North America Corporation.
Synthetic waxes
Polyethylene waxes are produced in the United States by seven companies. The following table lists these companies,
along with their plant locations:
US annual capacity for polyolefin wax is estimated at 216 thousands of metric tons as of August 2015.
Marcus Oil & Chemical Co. is the leading supplier, and manufactures linear low-molecular-weight polyethylene wax, with
an annual capacity of 113 thousands of metric tons. The company is a division of HRD Corporation formed in 1987. The
production facility in Houston was retrofitted from a new existing plant utilizing high-density polyethylene wax from the
Ziegler process. Marcus Oil also maintains a polyethylene wax refining plant in Haldia, India.
Baker Huges supplies POLYWAX™ polyethylenes, which are fully saturated homopolymers of ethylene that exhibit a high
degree of linearity and crystallinity. POLYWAX polyethylenes exhibit sharp melt point, fast recrystallization, low melt
viscosity, excellent heat stability, and resistance to chemical attack. Its products include homopolymers such as
POLYWAX™ 500 polyethylene, POLYWAX 655™ polyethylene, as well as copolymer such as PETROLITE™ CP-7.
Chevron Philips Chemical Company produces alpha-olefin wax. The company is a major alpha-olefins producer in the
United States. The process for the oligomerization of ethylene also yields a C30+ residue, which takes approximately 10% of
total output. Chevron Philips Chemical is the only producer that markets the C30+ alpha-olefin fraction. In June 2014,
Chevron Phillips Chemical announced it will expand the alpha-olefin plant capacity by 100 thousand metric tons,
scheduled to finish by 2015.
Honeywell International manufactures low-molecular-weight polyethylene waxes. The company merged with Allied
Signal Inc. in June 1999, which was one of the major suppliers of polyethylene wax at that time. In June 2005, Honeywell
International sold its industrial wax operations in the United States to the International Group Inc. (IGI), including
operations in Farmers Valley, Pennsylvania; Titusville, Pennsylvania; and Marshall, Texas. In April 2005, the company also
sold its European and Asian operations to Paramelt BV. Honeywell retains the specialty additives business, which includes
A-C® performance additives, Rheochem® customized lubricants for the vinyl processing industry and, Lumilux®
luminescent pigments.
Trecora Chemical supplies low-molecular-weight polyethylene waxes. The company is formerly SSI Chusei Inc., which was
acquired by Trecora Resources in September 2014. SSI Chusei is a manufacturer of specialty polytheylene waxes and also
provides custom processing services in its facility located in Pasadena, Texas.
Westlake Chemical Corporation produces low-molecular-weight polyethylene waxes. The company acquired Eastman’s
polyethylene business and Epolene polymer business, as well as the ethylene pipeline in October 2006. Eastman Chemical
has a broad line of low-molecular-weight polyethylene marketed as Epolenes.
Fischer-Tropsch waxes are not produced in the United States. Sasol Wax North America is an importer and blender of
waxes, and manufacturer of wax emulsions. It has a wax blends and emulsion production facility in Richmond, California,
with annual capacity of 130 thousand metric tons. Sasol Wax is owned by Sasol Limited, South Africa, and is the largest
producer of these waxes worldwide, and its affiliate, Sasol Wax North America Corporation, helps supply the US market. In
2008, Sasol had acquired the remaining 50% share of its North American joint venture, Luxco Wax.
In 1994, Shell MDS (Malaysia) Sdn. Bhd. began producing Fisher-Tropsch waxes in Bintulu, Malaysia. Baker Petrolite
supplies BARECO® PX-105 polymer, a Fischer-Tropsch wax produced by Shell MDS. This wax is used in hot-melt adhesives,
plastics processing, printing inks and coatings, and other applications.
Three large-scale Fisher-Tropsch gas-to-liquid (GTL) plants in the United States are proposed. The facilities are planned in
Lake Charles, Louisiana; Karns City, Pennsylvania; and Ashtabula, Ohio. In December 2013, Shell cancelled plans to build a
large-scale GTL facility in Louisiana because of high estimated capital costs and market uncertainty regarding natural gas
and petroleum product prices. Sasol has also announced to delay investment decision of the Louisiana GTL plant to 2016.
According to the US Department of Energy, developers have configured their designs to include the production of waxes
and lubricating products to improve the long-term profitability of GTL plants. Some smaller-scale GTL plants similar to
those proposed in the Midwest are economically viable. The IHS Chemical Process Economics Program has a detailed
analysis on the topic of Land-Based Small-Scale GTL. Examples of commercial small-scale GTL projects being planned or
underway in the United States include Calumet Specialty Products, Pinto Energy, and Red Rock Biofuel, according to the
report.
According to industry sources, synthetic waxes are mainly used as substitutes in candles and PVC lubricants.
In December 2012, ALTANA acquired the business of Chemical Corporation of America Inc. (ChemCor), a specialty wax
additives manufacturer. The business will be integrated into BYK USA Inc, which belongs to ALTANA Additives &
Instruments division. ChemCor produces water-based wax products and specialty additives for industries such as floor
finishes, exterior paint and deck strains, graphic arts coatings and inks, as well as mold-release products. The product
portfolio of ChemCor opens up the US market in the area of wax additives, as well as new market segments such as wax
additives for industrial applications for BYK.
In April 2014, ALTANA acquired Royal DSM’s technologies and customer-specific know-how in the field of polypropylene
wax emulsions. The products can be used to coat glass fibers, which are needed for the manufacturing of composites. They
are typically used in the construction industry and the automotive sector. The polypropylene wax emulsion business will
be integrated into BYK Additives & Instruments.
In December 2014, Kustom Group acquired Lubrizol’s Wax Compound, Ink Vehicle, and Lithographic Overprint Business
(formerly known as Carroll Scientific). Kustom Group will acquire Lubrizol formulations and processing equipment.
Kustom Group is a manufacturer of high-quality vehicles, overprints and coatings.
In September 2014, Trecora Resources announced the acquisition of Schumann/Steier’s Texas subsidiary, SSI Chusei, Inc.
(“SSI Chusei”). SSI Chusei is a leading manufacturer of specialty polyethylene waxes and also provides custom processing
services. TREC owns and operates a petrochemical facility located in southeast Texas that manufactures high-purity light
hydrocarbons and provides custom processing services. Schumann/Steier, Inc. was founded in 1990 and is a leading global
marketer of lubricants and waxes.
Salient statistics
US supply of waxes
(thousands of metric tons)
____________Production____________ Stocks
Petroleum ____________________Importsc____________________ Petroleum
Beeswax waxesab Vegetabled Animale Mineralf Total waxesag
1975 1.55 719.40 3.67 1.22 4.67 9.56 109.32
1976 1.52 889.95 4.69 1.58 16.94 23.21 87.09
1977 1.40 845.04 3.63 1.43 14.82 19.88 73.48
1978 1.80 880.88 4.91 1.23 17.02 23.16 96.62
1979 1.72 875.43 3.79 1.08 14.52 19.39 92.99
1980 1.77 802.86 3.44 1.27 13.94 18.65 68.95
1981 1.68 881.78 3.27 1.41 14.07 18.75 85.28
1982 1.68-1.77 652.27 3.72 0.95 13.21 17.88 99.79
1983 — 703.07 4.39 0.98 15.72 21.09 98.88
1984 — 684.47 4.04 0.82 12.80 17.65 83.01
1985 — 695.36 3.68 1.22 15.19 20.09 80.29
1986 — 723.80 4.04 0.92 12.00 16.96 105.91
1987 — 746.61 4.91 1.46 8.52 14.89 99.43
1988 — 785.49 4.38 1.06 9.64 15.08 106.41
1989 2.27-2.72 790.34 3.98 1.44 1.63 7.05 129.82
1990 — 786.53 3.81 1.41 1.67 6.89 124.10
1991 — 848.54 3.81 0.83 0.99 5.62 131.81
1992 — 855.75 3.84 0.74 1.37 5.95 104.28
1993 2.72 930.68 4.62 0.90 3.71 9.23 108.45
1994 — 969.96 3.82 1.11 2.33 7.26 117.84
1995 — 979.58 3.96 1.38 2.00 7.35 108.86
1996 — 1191.32 3.91 2.22 2.12 8.24 116.07
1997 — 1063.31 4.55 1.51 2.21 8.28 105.91
1998 — 1061.14 5.02 1.17 2.40 8.59 126.10
1999 — 898.57 5.87 1.57 2.36 9.81 124.10
2000 — 822.73 4.31 2.00 2.57 8.89 132.99
2001 — 828.44 4.88 1.42 2.45 8.75 77.75
2002 — 805.08 4.76 1.37 3.13 9.25 113.81
2003 — 728.74 4.42 2.20 3.11 9.72 93.98
2004 — 640.47 5.19 1.71 3.62 10.51 81.28
2005 — 703.34 19.74 2.49 3.51 25.74 69.72
2006 — 684.00 28.24 2.85 2.98 34.07 72.39
2007 — 572.04 22.88 2.15 3.06 28.09 67.82
2008 — 463.19 29.99 2.18 2.78 34.95 55.25
2009 — 356.12 22.09 2.20 2.47 26.76 46.23
2010 — 384.57 25.93 8.05 1.08 35.06 57.53
2011 — 385.84 25.62 6.71 1.21 33.53 68.08
____________Production____________ Stocks
Petroleum ____________________Importsc____________________ Petroleum
Beeswax waxesab Vegetabled Animale Mineralf Total waxesag
2012 — 375.81 27.98 6.47 0.89 35.34 74.68
2013 — 385.97 32.72 8.59 1.48 42.79 73.28
2014 — 328.69 38.22 8.47 1.83 48.52 56.26
2015 — 227.59 32.71 7.67 1.97 42.35 71.25
See MANUAL OF CURRENT INDICATORS for additional information.
a. See the US Consumption and Trade sections for additional data on petroleum waxes.
b. Data include microcrystalline waxes, fully refined crystalline waxes (paraffins) and other crystalline slack, semirefined and scale waxes that have a maximum viscosity of 59.9 SUs at 99°C and a maximum oil con-
tent of 15%.
c. Data exclude waxes in blends. See the US Trade section for further breakdowns.
d. Includes carnauba, candelilla and other (Japan, ouricury). Starting in 2006, data include estimated imports and domestic production of soy- and tallow-based waxes.
e. Includes bleached and unbleached beeswax. Includes lanolin starting from 2010.
f. Includes both crude and refined montan.
g. As of December 31.
Sources: (A) Honey—Annual Summaries, US Department of Agriculture, Statistical Reporting Service (data for Beeswax for 1975–81). (B) IHS Chemical estimates (data for Beeswax for 1982, 1989, and 1993 and for
Stocks for 1977–80). (C) US Imports, US Department of Commerce, Bureau of the Census (data for Imports). (D) Energy Data Reports, Petroleum Statement, Monthly, US Department of Energy, Energy Information
Administration (formerly Mineral Industry Surveys, Petroleum Statement) (data for Production, Petroleum waxes, and Stocks for 1975–76). (E) Energy Data Reports, Petroleum Statement, Annual, US Department of
Energy, Energy Information Administration (data for Production, Petroleum waxes for 1977–80). (F) Petroleum Supply Annual, vol. 1, US Department of Energy, Energy Information Administration, Office of Oil and Gas
(data for Production, Petroleum waxes, and Stocks for 1981–88). (G) Petroleum Supply Monthly, US Department of Energy, Energy Information Administration, Office of Oil and Gas, Petroleum Supply Division (data
for Production, Petroleum waxes, and Stocks for 1989–2015). © 2015 IHS
The United States is expected to continue to rely on imports of vegetable, animal, and mineral waxes from foreign sources,
as well growing amounts of domestic production of vegetable and animal-based waxes. US production of petroleum waxes
has continued to steadily decline in recent years and this is expected through the next few years. This is mainly due to the
declining production of Group I base oils. Also, the decline will be due to increasing replacement of petroleum waxes by
other natural and synthetic waxes.
Vegetable waxes
Carnauba wax is produced in Brazil. Crude carnauba wax is further processed in Brazil and is imported into the United
States in refined form. Major US importers and resellers of carnauba wax include Koster Keunen and Strahl & Pitsch. The
Unites States imported 4.5 thousand metric tons of carnauba wax and 0.6 thousand metric tons of candelilla wax in 2014.
Candelilla wax is imported into the United States from Mexico in crude form and subsequently refined by companies such
as Strahl & Pitsch and Koster Keunen. The United States, particularly Arizona and California, and Mexico are the primary
producers of jojoba oil in commercial quantities and are the regions where the trees are native. In 2015, an estimated 0.4–
0.5 thousand metric tons of jojoba oil were produced in the United States. Jojoba’s reproduction cycle normally alternates
between a bumper crop and a light crop. However, jojoba oil production has been more stable in recent years than in the
past. This has led to more stable prices and continued demand. Purcell Jojoba International is the only manufacturer in the
United States that grows, presses, and processes jojoba products. Purcell Jojoba’s products are made from its 1,200 acre
farm in Arizona.
In addition to the traditional vegetable waxes listed above, soy-based waxes have increased in use during the last several
years. Industry sources note that one reason for growth is finding alternative uses for soybean oil. Hydrogenated soybean
oil use in food has declined significantly due to its trans fats component and unhealthy side effects. US producers and
suppliers have formulated away from food and some have found a waxlike alternative. Its properties might not compare to
other waxes, for example, soy waxes above a certain content can incur waterproof damage and cannot be used, but it does
serve its purpose in some products such as candles or corrugating materials.
Similarily, other vegetable wax types such as palm-based waxes have increased in recent years, although product
limitations can affect usage. For example, some palm wax applications with added dyes can be a little more unstable and
the color can fade away if exposed to sunlight and oxidize. In this case, the palm wax can be used more as an extender.
Ouricury wax use has gradually decreased over the years because of high labor costs and reduced demand. Ouricury wax is
labor intensive to harvest since it does not flake off the frond so it must be scraped. Ouricury can be used as a replacement
for carnauba wax in applications that do not require a light-colored wax. Ouricury is a brown-colored wax. Ouricury wax is
not a major point of interest for consumers as most rely on carnauba. The United States is dependent on imports from
Japan for its supply of Japan wax. Supply was curtailed by a typhoon in 1992 and the resulting shortage priced the product
out of its former uses; production never returned to previous levels.
Other vegetable wax imports have decreased since reaching high levels in 2005. Industry sources note that, other than
soy-based waxes, no other vegetable waxes are expected to show strong growth in the coming years. Many of these waxes
are highly labor dependent and supply will be limited.
Production data for wool grease have not been reported on a regular basis. Because wool grease is a by-product of wool
scouring, production varies from year to year, depending on conditions in the textile processing industries as well as
demand for wool grease and lanolin. Wool production has been declining worldwide for the past 10–20 years, which has
affected wool grease supply. There have been a number of reasons for this decrease, including the increased use of
synthetic fibers as a substitute to wool in fabrics, the lower number of sheep raised for wool production, and less exports
due to the economy.
According to the Agricultural Marketing Resource Center, US wool output is about half of the total a decade ago. Wool is
mainly produced in Texas, Wyoming, Montana, and California. In recent years, US production of wool grease has remained
at about 2–3 thousand metric tons per year. It is expected that consumption for wool grease and lanolin will remain fairly
flat in the next few years.
US lanolin supply is expected to continue to tighten and prices have increased as a result. Also, price premiums are passed
on as the purity of lanolin increases, such as for medical-grade lanolin compared with common uses such as for those
found in cosmetics.
Ozokerite was produced in Utah and Texas, but is no longer produced domestically. It was also sourced from Central and
Eastern European countries such as Austria, Poland, and Russia. Because supplies of true ozokerite have been limited
during recent years, some US companies have offered domestic “ozokerites,” which are actually compounded blends of
other waxes, including paraffin and microcrystalline waxes. Strahl & Pitsch supplies ozokertite waxes to the personal care
industry.
Petroleum waxes
US petroleum wax production has decreased steadily since 2000 and more rapidly during 2005–10. During 2010–15, the
decline has slowed. Petroleum waxes are by-products of lubricating oil production and their supply depends on market
conditions in the lube oil industry. US production of petroleum waxes is not expected to increase greatly from present
levels. In the past several years, US lube base oil plants have been shut down because of technical obsolescence or old age
and, thus, cause a loss of wax output. The closure of lube oil Group I plants is expected to continue, with no new capacity
anticipated. With the availability of catalytic dewaxing, construction of new solvent dewaxing facilities is not
economically feasible. More plant closures, together with second-generation dewaxing technology, will result in
continued reduction in US petroleum wax production. An undersupplied domestic market will likely compensate by
increasing imports and using alternative wax sources such as synthetic waxes or natural waxes for some applications.
Additionally, the trend toward longer intervals between oil changes will mean that total lube oil demand will remain
constant or even decrease during the next few years. Either outcome will lead to lower output of petroleum waxes. Also
affecting the supply picture for waxes will be the competition from synthetic lubes, although they represent only a small
share of the US finished lube oil market.
Structural shifts in the lube oil market are also contributing to a gradual tightening in the availability of microcrystalline
waxes, which are made from slack wax. The latter is produced from bright stock, whose use is declining because of the
trend toward lighter-viscosity motor oils.1. Group I base oils produce bright stock that provides film strength needed
during extreme pressure lubrication. Bright stock is used in the marine lubricant industry. Wax refiners have also become
less interested in filtering out the wax because it takes three times as long to filter out microcrystalline wax as it does
paraffin wax.
Synthetic waxes
Polyolefin waxes include LDPE, HDPE, PP, and NAO (normal alpha-olefin) polymer types. All may be made directly by low-
MW polymerization; all except NAO may be made indirectly by degradation (cracking) of the corresponding high-MW
polymer. All are made on-purpose; some by-product HDPE waxes are also recovered from secondary streams.
Total production of polyolefin waxes, excluding derivatives, was estimated at 150–160 thousand metric tons in 2015. Of
this total, about two-thirds is believed to be on-purpose material, with the other one-third derived from by-product
polymer production.
By-product HDPE waxes have low MWs (1,000–1,200) and a very narrow MWD. These products have a linear structure
and are highly crystalline, yielding hard waxes with melting points in the range of 194–241°F. They are essentially
homopolymers that have no chemically functional groups and have excellent heat stability at elevated temperatures. They
are very close in physical properties and characteristics to F-T waxes.
Fischer-Tropsch waxes are not produced in the United States. Domestic requirements are being met by imports from
South Africa and Malaysia. Although many of the planned large-scale GTL plants have been postponed or cancelled due to
high capital expenditures, a new phase of small-scale GTL plants with wax output are being built. According to the IHS
Chemical Process Economics Program Land-Based Small-Scale GTL report, given the low natural gas prices in the United
States, and the small and often remote nature of many gas deposits around the world, interest in modular distributed GTL
plants incorporating microchannel FT reactors is expected to grow.
Consumption
By type of wax
The following table summarizes US consumption of waxes in selected years and includes a projection for 2020:
1.
Bright stock is a generic term referring to lubricating oil of high viscosity obtained from residues of petroleum distillation by dewaxing.
US consumption of waxesa
(thousands of metric tons)
Average annual growth rate
__________________(percent)__________________
1989 1993 1998 2001 2002 2005 2010 2015 2020 1989-93 1993-98 2002-05 2005-10 2010-15 2015-20
Vegetable waxes
Carnauba wax 2.8 3.6 4.4 4.7 4.9 5.2 4.6 5.2 5.9 6.5 4.0 2.1 -2.9 2.5 2.5
Candelilla wax 0.3 0.6 0.4 0.5 0.5 0.5 0.6 0.5 0.6 18.9 -7.8 6.3 3.7 -3.6 2.4
Jojoba oil 0.2 0.3 0.4 0.4 0.4 0.4 0.9 1.1 1.4 10.7 5.9 0 4.6 4.1 4.5
Other 0.8 0.5 0.2 0.2 0.2 15.0b 20 26 31 -11.9 -16.7 — 5.9 5.4 3.6
Total vegetable 4.2 4.9 5.4 5.8 5.9 21.0 26.1 32.8 38.9 3.9% 2.0% 52.7% 5.2% 4.7% 3.5%
Animal and insect waxes
Beeswax 3.4 2.7 3.3 3.2 3.1 4.1 2.8 3.4 3.9 -5.4 4 9.3 0.5 4.0 2.7
Wool grease/lanolin 5.0 4.5 3.9 4.1 4.1 4.1 4.4 4.0 3.7 -2.4 -2.8 0 -0.5 -20.5 -1.6
Other 0.4 0.4 0.4 0.4 0.4 0.4 0.5 0.6 0.7 0 0 0 4.6 3.7 3.7
Total animal and insect 8.8 7.6 7.6 7.7 7.6 8.6 7.7 5.4 6.0 -3.5% 0.0% 4.0% 0.2% -6.9% 2.1%
Mineral waxes
Petroleum wax 866.4 964.3 1,066.9 1,088.6 1,109.9 1,059.8 829.1 883.9 987.9 2.7 2 -2 -4.8 1.3 2.2
Montan wax 3.9 4.1 3.3 4.1 4.4 4.8 1.1 2.0 2.2 1.4 -4.1 2.3 -23.0 12.7 1.5
Total mineral 870.0 968.4 1,070.0 1,092.7 1,114.5 1,064.6 830.2 885.9 990.1 2.7% 2.0% -2.0% -4.9% 1.3% 2.2%
Synthetic waxes
Polyolefin wax 54 73 98.9 121.1 130.6 143.3 92 139 179.1 7.9 6.2 3.1 2.2 8.6 5.2
Fischer-Tropsch waxes 12.2 13.2 14.1 15.0 15.4 16.3 67 72 83.5 2 1.3 1.9 8.9 1.4 3
Total synthetic 66.2 86.2 112.9 136.1 146.1 159.7 159.0 211.0 262.6 6.8% 5.6% 3.0% 3.0% 5.8% 4.5%
Total 949.4 1,066.9 1,196.1 1,242.4 1,274.1 1,253.9 1,023.0 1,135.1 1,297.6 3.0% 2.3% -1.0% -4.0% 2.1% 2.7%
a. Totals may not equal the sums of the categories due to rounding.
b. Estimates increased significantly in 2005 due to industry sources noting that trade data was underreported in previous years, as well as increased exports of vegetable waxes such as palm-based waxes, etc. Data for 2010 include soy- and tallow-based waxes.
Source: IHS Chemical estimates. © 2015 IHS
US consumption of waxes is expected to grow only slightly in the next few years, at an average rate of 2.7% annually. In
terms of types of wax, petroleum wax will continue to account for the largest volume, although growth will only be
moderate at 2.2% per year. According to industry sources, vegetable wax annual growth will be about 3.5% as a whole in
the next several years. Consumption growth will be mainly driven by synthetic waxes such as Fischer-Tropsch waxes and
polyolefin waxes, each growing above 3% annually. Overall, with continued Group I lube oil shutdowns, there will be less
wax available and limited growth expected.
Carnauba wax has the highest melting point and is the hardest of the natural commercial waxes, with the exception of
some crude grades of ouricury. It is generally used with other waxes to increase melting point, hardness, toughness, and
luster. Carnauba is also used to decrease stickiness, plasticity, and crystallizing tendencies. Consumption has ranged from
4 thousand to 6 thousand metric tons per year during the last several years.
Carnauba is used in leather finishes; polishes for shoes, furniture, leather, automobiles, and floors; precision and
investment casting; lubricants for greases, mold-release agents, and phonograph records; buffing compounds for wooden
products; inks; protective coatings such as varnishes, lacquers, and enamels; and candles. Carnauba is also used in
cosmetics, pharmaceuticals, and food applications. In pharmaceuticals, carnauba is used in pill coatings and in salves and
ointments. In food applications, carnauba is also used as a coating, primarily for candy. It is approved by the US Food and
Drug Administration for use in these applications and is listed as a recognized cosmetic ingredient by the Cosmetics,
Toiletries and Fragrances Association. Potential markets exist for products that are coated with wax, such as fertilizers,
insecticides, fungicides, and herbicides, to control the release of active ingredients.
No. 1 and No. 3 are the two major commercial grades of carnauba wax. The No. 1 grade has the highest clarity, which makes
it useful for food and cosmetics applications. No. 3 is cloudier and is used in polish and paper applications. No. 4 is used
primarily in printing inks. No. 3 and No. 4 grades account for the majority of the sales of this wax.
Carnauba wax competes with other waxes such as refined montan ester wax and microcrystalline waxes when its supply
exceeds demand in its core uses. Candelilla wax can be substituted but it lacks the hardness of carnauba. Synthetic waxes
can also replace carnauba in specific applications, but there is no across-the-board replacement for premium carnauba. In
the past few years, limited supply in montan wax derivatives and synthetic waxes have led to growth for other naturally
occurring waxes. However, if supply were to recover, carnauba wax and possibly others would experience reductions in
use. The traditional price volatility of carnauba has prompted many users to reformulate with other waxes and could have
a negative effect on long-term carnauba demand. However, there are no immediate alternatives and montan derivatives
and synthetic waxes remain in limited supply. Also, candelilla is a much smaller market and could not fully supplant all
carnauba use. Thus, with core usage increasing and popularity of natural waxes growing, consumption of carnauba wax is
forecast to show positive growth over the next five years.
Candelilla wax has strong adhesive qualities and contains a tacky resin that imparts a nonslip property to compositions.
About 0.5 thousand metric tons of candelilla wax were consumed in the United States in 2015. Candelilla wax is used
almost exclusively in cosmetics, particularly lipsticks. Historically, the most important application for candelilla wax was
as a binder for chewing gums. Candelilla lost market share to microcrystalline and paraffin waxes as chewing gum
manufacturers changed raw material sources. Candelilla is not expected to regain market share in this area, although it is
still used by Cadbury Adams (now under Kraft Foods) in its Dentyne™ and Trident™ gum. It is now used in several niche
applications including precision casting, leather tanning, lubricants and greases, pharmaceuticals, paper sizes, and paper
coatings; it is usually blended with other waxes for these uses. Candelilla wax can also be used in polishes for furniture,
leather, automobiles, and floors. Other waxes such as carnauba wax are often preferred in these applications because
candelilla wax cannot be buffed to regain shine.
Although candelilla is enjoying strong demand from the cosmetics industry and a variety of niche applications, the market
is far smaller than it was years ago. Global demand has dwindled from more than 500 thousand metric tons per year in the
1940s to less than 10 thousand metric tons currently, because of replacement by cheaper petroleum-based waxes. US
consumption of candelilla wax is expected to remain relatively stable or grow slightly over the next five years.
For both carnauba and candelilla wax, growth is limited due to the production of these products. The labor necessary is
extensive and supply may not be consistent year to year.
About 1.1 thousand metric tons of jojoba oil were consumed in the United States in 2015. Cosmetic and personal care
applications currently account for the majority of jojoba oil consumption. Its high stability and resistance to bacterial
degradation give it a long shelf life. Products include soaps, shampoos, skin creams, lotions, and moisturizers. As
consumers shift preference to natural ingredients in their skin and hair care products, consumption of jojoba in the
cosmetics industry is expected to increase. Jojoba oil is also used in lubricants and as a chemical base for pharmaceuticals.
Lubricant applications currently include use as an ingredient in crankcase oils and as a specialty lubricant for certain
precision manufacturing processes. Potential applications include use in automotive systems such as transmissions,
differentials, and electrical transformers; in metal-cutting fluids; and as extreme-pressure additives in various high-
pressure, high-temperature processes. The lubricant industry is unlikely to become a major market for jojoba oil since its
price is high compared with other lubricant oils. Jojoba oil can be hydrogenated and used as a solid wax in polishes,
cosmetics, candles, and protective coatings. Jojoba derivatives, such as PEG esters and wax esters, are growing, but high
prices have limited their growth.
Soy-based waxes are expected to continue to grow in the next few years. Soy waxes are used in candles and have continued
to gain in popularity due to their natural and renewable origin, clean burning, and, at times, producing less soot than other
wax types. In Canada, soy wax has also been used to coat corrugated boards.
Ouricury wax is used principally as a substitute for carnauba wax in applications in which color is not important. Ouricury
can be consumed in end uses such as the manufacture of carbon paper, mold-release lubricants, and polishes.
Consumption of ouricury wax has decreased to very small amounts.
Japan wax is limited in its applications to candles, textile and leather processing, cosmetics, crayons, and pharmaceuticals.
Its high price and limited availability have caused natural Japan wax to lose most of its former markets in the United
States. New synthetic grades have filled most of these former applications and offer guaranteed availability. Several
synthetic blends of other waxes (excluding Japan wax) are required, since there is no single synthetic that replaces the
natural.
Animal and insect waxes. Beeswax is easily emulsified and is a good solvent for other waxes. It promotes adhesion and can
act as either a plasticizer or a toughener. Approximately 3.4 thousand metric tons of beeswax were estimated to have been
consumed in the United States in 2015, with cosmetic applications accounting for the largest percentage of total
consumption. Demand for cosmetics is expected to grow slightly. Beeswax is used in a variety of cosmetic products,
including creams, lotions, pomades, lipsticks, rouges, eye makeup, and sunscreen preparations. Pharmaceutical markets
for beeswax include ointments, salves, cerates, pills, and tablet coatings. Beeswax is also used to make candles and in
pharmaceuticals. Beeswax is used primarily in church candles, whereas less expensive waxes such as paraffins are
generally used in decorative candles. Beeswax can also be consumed in impression and base-plate waxes used in dentistry;
finishes for leather, textile, wood, and paper; confectionery; engraving; casting; acid etching; lithography; and emulsions.
Overall, US consumption of beeswax is expected to increase slightly through 2020.
Lanolin is a good emollient that forms highly stable water-in-oil-type emulsions. It is also resistant to oxidation and
rancidity. About 4 thousand metric tons of wool grease and lanolin are believed to have been consumed in the United
States in 2015. It is estimated that USP lanolin accounts for the majority of wool grease/lanolin consumed domestically.
Cosmetics such as hand lotions are the largest market for USP lanolin, as well as for lanolin alcohol, lanolin oil and other
lanolin derivatives. In addition, USP lanolin is used in pharmaceutical applications and technical-grade lanolin is used in
industrial tapes and printing inks.
Cosmetic, industrial, and agricultural users account for sales of lanolin derivatives. Lanolin derivatives are used in a variety
of cosmetics and no alternatives are available in these applications. Even with some consumers against animal-derived
products in their cosmetics, lanolin continues to be used by formulators. Demand for lanolin in industrial applications has
continued to fall because of the shift to less-expensive petroleum-based products. However, rising demand for lanolin in
the cosmetics and personal care industry have kept overall demand fairly stagnant. US imports of derivatives of wool
grease and fatty substances (including lanolin) have declined from about 4–6 thousand metric tons per year before 2010 to
about 1–2 thousand metric tons in the past few years.
According to the USDA, the United States produced 12.2 thousand metric tons of shorn wool in 2014, compared with 13.9
thousand metric tons of shorn wool produced in 2010. There has been a steady decline in the United States, Historically,
US textile mills used the majority of domestic wool production, but in the past few years, many of these mills have shut
down or moved their operations outside of the United States.
Although crude wool grease can be used in cordage, leather and fur dressings, metal-cutting compounds, lubricants, and
rust and corrosion preventives, wool grease has been replaced by other materials in most of these applications. Many end
users in these markets have switched to petrolatums, tallows, and other products that are less expensive or more stable in
terms of price and availability. USP lanolin is likely to decline slightly over the next few years due to consumers moving
away from animal-based products.
Mineral waxes (excluding petroleum waxes). Montan wax is resistant to oxidation and is the hardest of the natural
nonvegetable waxes, though it has limited applications because of its black color. Demand had declined in the 1990s in
response to a sharply diminished market for single-use carbon paper, formerly the largest market for crude montan wax.
Other applications include shoe polishes, mold releases in investment castings, rubber products, internal lubricants,
asphalt modifiers, fiberboard release agents, and waterproofing emulsions.
Refined montan wax consumption has decreased from nearly 5 thousand metric tons in 2005 to only about 1–2 thousand
metric tons in 2010 and about 2 thousand metric tons in 2015. Industry sources note that only a very limited supply is
available. Car polishes account for the majority of all refined montan wax consumed domestically. It is also used as a
lubricant in plastics, as a mold-release agent in rubber compounds and in paper converting. In addition, refined montan
wax is consumed in a variety of proprietary applications. The US market for montan wax is forecast to increase
moderately, and will be mainly met by imports through 2020.
Ozokerite is a small-volume wax that is consumed in applications including adhesives, polishes, lubricants, and cosmetics
such as lipsticks and deodorants.
Petroleum waxes. About 884 thousand metric tons of petroleum waxes were consumed in 2015. The largest markets for
petroleum waxes are packaging applications (particularly corrugated board, cups, and containers), candles, and
construction board sizing. Consumption has recovered in 2015 from the low level seen in 2010 thanks to higher demand
from board sizing as a result of strong new housing starts. Growth is expected to be 2.2% annually due to the likely higher
consumption from board sizing sector partially offset by lower demand from the packaging market.
The following tables show US apparent consumption of petroleum waxes and estimated consumption of petroleum waxes
by market.
waxes; fully refined paraffin waxes; and slack, semirefined, and scale waxes having a maximum oil content of 15%. However, reported
data from different sources may not be comparable as they may include or exclude products by misclassification.
b. Since 2002, industry sources estimate that production and import figures for petroleum wax have been understated which would also
cause estimates of apparent consumption to be lower.
Source: IHS Chemical estimates based on the US Salient statistics and Trade sections. © 2015 IHS
In 2015, estimated petroleum wax consumption is 884 thousand metric tons, corresponding to an increase of about 7%
per year from 2010 levels. Robust growth in the board sizing industry was experienced on the back of strong new housing
starts. The packaging industry has experienced a continued decline as the corrugated wax sector dropped significantly in
the past few years. The amount of corrugated packaging that can be recycled has increased because of the development of
recyclable alternatives. Candle consumption also reversed the declining trend before 2010 to start new growth again
during 2010–15. Petroleum wax consumption will increase modestly through 2020 due to growth in consumer goods
demand (i.e., candles and other molded products), and strong relative growth in board sizing and cosmetics and personal
care items, partially offset by the decline in the packaging sector. Data from the Petroleum Supply Annual and US trade
statistics from the Census Bureau indicate a significantly lower consumption level of only about 300–500 thousand
metric tons. According to industry sources, the discrepancy can be attributed to production and import figures for
petroleum wax since 2002 being understated, which would also cause estimates of apparent consumption to be lower.
Petroleum waxes are insoluble in water and resist penetration by water (i.e., they are hydrophobic). As a result, they are
used in many applications to promote water resistance or to reduce the transmission of water vapor. Different types of
petroleum waxes are used for slightly different applications. Large quantities of paraffin waxes are used for candles,
construction board, and packaging applications such as corrugated board, cups, and containers. Microcrystalline waxes are
used mainly for flexible packaging, hot-melt adhesives, laminates for paper converting and in applications that require
tacky or ductile waxes. Microcrystalline waxes are often used in blends with other waxes such as paraffins. Slack waxes
and petrolatums are consumed mostly in particleboard, wallboard, and cable compounds, and as feedstocks for
microcrystalline wax. In addition, USP-grade petrolatum is used by the pharmaceutical and cosmetic industries in
ointments, creams, petroleum jelly, and other products.
Packaging applications accounted for about 33% of all petroleum waxes consumed in 2015, down from 40% in 2010. High-
melting-point paraffin waxes and microcrystalline waxes are used primarily as coatings, impregnants, laminates, and
hot-melt coatings and adhesives by the packaging industries. Corrugated board is currently the second-largest market for
refined waxes and accounted for 11% of all petroleum waxes consumed in 2015. Paraffin waxes are most often used in this
application. Wax is used as a moisture barrier to preserve the strength of a corrugated container holding wet or iced
products such as fresh fruits and vegetables, meat, poultry, and seafood. According to a study from the Corrugated
Packaging Alliance, wax usage has declined significantly over the past decade. Demand for petroleum wax in corrugated
board has been affected negatively by the development of recyclable alternative coatings, which has increased the amount
of corrugated packaging that can be recycled. Since the Fibre Box Association (FBA) announced a recyclability standard
that allows alternatives to be tested, proven, and certified recyclable in 2005, 47 recyclable wax alternatives have passed
certification testing for repulpability and recyclability and have been registered with the FBA. Supermarkets have been
leading the recovery efforts. Most stores recover their used corrugated box in backroom balers, then sell them to generate
revenue that improves store profitability. This also demonstrates the retailers’ commitments to making sustainable
packaging choices.
Production of cups and containers accounted for 8% of total petroleum wax consumed in 2015. Paraffin waxes are most
often used in this application. This market has declined, mostly in response to competition from other products. Initially,
this competition came from foamed polystyrene cups, although environmental concerns in the early 1990s diminished
this particular threat. Two-sided polyethylene-coated cups have taken substantial market share from wax-coated cups,
primarily because of printability and other graphics advantages over wax coatings. There has also been limited
competition from biodegradable polymers such as polylactic acid (PLA) lining cups and containers to make products
compostable. For example, there have been orange juice containers and paper cups lined with PLA.
RPCs (Returnable or Reusable Plastic Containers) have gained market share in the United States and Europe at the
expense of waxed corrugated shipping containers. RPCs can include uses for the food industry as well as the automotive
parts market. RPCs have several advantages, including reduction of supply chain costs, quality of products delivered such
as produce, and being environmentally friendly.
RPC use has grown steadily in the past few years and is used by major retailers, such as Walmart. Many other US produce
retailers have also shown interest. Industry sources note that use in the produce industry is about 10%. However, there has
also been some industry opposition; for example, some farmers have opposed such use due to cost increases related to the
theft of these containers. RPCs are more likely to be used in the western part of the United States.
Overall demand for petroleum waxes in cups and containers is expected to decline over the next several years at an
average annual rate of 0.6% because of displacement.
Both paraffin and microcrystalline waxes are consumed in flexible packaging uses, which include food overwraps, florist
tissue, and laminated papers such as lumber wrap, ream wrap, and steel wrap. Plastic films have gained market share in
many of these applications, in part because of their superior efficiency in certain packaging processes. Other alternatives,
such as environmentally friendly polylactic acid, are beginning to gain more commercial use due to their compostability
and retailer and consumer preference. This substitution will continue to have a negative impact on demand for petroleum
waxes for flexible packaging applications, which is forecast to decrease at an average annual rate of 1.2% through 2020.
Paraffin waxes are expected to continue to be the main petroleum wax used. This is due to its lower relative price and high
use in the paper and paperboard markets. However, future use will be affected by continued limited domestic supply and
the packaging industry will look to other nonwax alternatives such as plastics.
Microcrystalline waxes will increase consumption due to increased use in wax blends, adhesives and cosmetics.
Hot-melt adhesives are formulated with microcrystalline waxes, which function as extenders and lubricants. The waxes
are used in formulations for case sealants, bookbinding adhesives, coffin sealants and other industrial applications. Hot-
melt adhesives will continue to be a growth area for petroleum waxes in packaging applications, with demand forecast to
grow at an average rate of 2.2% per year through 2020.
The market for petroleum waxes for folding cartons has also suffered from competition with plastics and is expected to
lose additional market share. Demand for petroleum waxes for folding cartons is expected to decline over the next five
years.
Molded products accounted for about 35% of petroleum waxes consumed in 2015, with candles representing about 90% of
this category. Wax use for candles was back to growth during 2010–15 after a decline during the economic recession. US
sales of candles have generally remained steady at about 1–2% per year since the late 1990s, driven by the decorative and
home fragrance segments. Decorative and fragrance candles were initially introduced at upscale stores but now decorative
candles can be found in supermarkets and large discount stores. Demand for petroleum wax for candles is expected to
grow at an average annual rate of about 3% through 2020.
Candles will continue to primarily use petroleum wax, although natural waxes are becoming more popular to use.
Demand for wax for crayon production has remained steady in recent years. Paraffin wax is most often used in this
market, which is expected to grow only modestly. The markets for petroleum waxes for dental wax and household
applications are expected to show fairly good growth in the next few years.
Petroleum wax used as board sizing for particleboard, wallboard, and other applications related to the housing industry is
another large market, accounting for almost 8% of total petroleum wax demand in 2015. Paraffin acts as a water barrier in
this application.
Paraffin waxes were used as a binder and strengthening agent for fireplace logs until being completely replaced by tall oil
pitch.
Rubber compounders often use blends of paraffins and microcrystalline waxes to prolong the life of their products. The
tire industry is the largest consumer of petroleum waxes in this application. In recent years, this market has declined
slightly, as consumers have bought replacement tires instead. This market is expected to grow due to use by the rubber
industry and tire industry.
Petrolatums and microcrystalline waxes are widely used in cosmetics because of their low cost, inertness, stability, good
moisture barrier properties, and pleasant (if slightly greasy) feeling on the skin. Demand in this application is expected to
increase at an average annual rate of slightly below 4% between 2015 and 2020.
Plastics lubricants are an important application for waxes; petroleum waxes are also used as processing aids for blow
molding and extruding. The market for petroleum waxes in plastics has grown because of increased demand for polyvinyl
chloride and other plastics. Consumption will continue increasing at around 3.6% per year through 2020.
Chlorinated paraffin resins are often made from crude scale waxes, although some are produced from fully refined
paraffins. They are used primarily in metalworking and as flame retardants and plasticizers. Globally, over half of
chlorinated paraffin wax is estimated to be used for PVC. Most chlorinated paraffin wax producers are located in Asia,
particularly in India and China.
Wax emulsions are also used as paper sizes, defoamers, textile processing aids, polishes, and in other miscellaneous uses.
Petroleum waxes are also used as sealants in applications such as toilet bowl seals.
New wax applications will also lead to increased growth in miscellaneous categories. This will include increased use of
petroleum wax in specialty coatings. Petroleum wax use is also expected to rise in other markets such as the dental,
medical, and pharmaceutical industries due to the increasing aging population. Other growth areas may include pesticides.
Synthetic waxes
US demand for polyolefin waxes in 2015 was estimated at 139 thousand metric tons, of which two-thirds were produced
on-purpose and the remaining were recovered from by-product polymer feedstocks. Synthetic wax use is expected to
increase more quickly relative to other wax types. This is partly due to the emerging technologies made possible by
metallocene and single-site catalysts. Use of these catalysts will allow the production and customization of high-end wax
products.
Polyolefin waxes are characterized as being value-priced, compatible with other waxes in a broad range of applications,
consistent in quality, and predictable in supply. They may be used as unmodified nonpolar waxes or as functionalized polar
derivatives. Polyolefin waxes typically have MWs between 900 and 5,000, but the production process has a major impact
on their end-use applications. Products from a particular process or manufacturer may dominate one market, while
products from a different process may be preferred in a different application. Nonpolar PO waxes are used in widely
differing applications, mostly as auxiliaries in products and production processes. End-use areas for high-pressure, Ziegler
and degradation waxes overlap extensively. Some of the important end uses include:
• Additive and pigment masterbatches—PE and PP waxes are used as carriers and binders in additive concentrates and
color concentrates for plastics.
• Additives to improve rub resistance and for slip agents—micronized PE waxes are used in printing inks.
• Paints and coatings—PE waxes are used for matting effects and to increase scratch resistance and slip characteristics.
• Plastics processing—PE waxes are used as lubricants and release agents in molding.
• Polishes—PE waxes are components of heat-resistant plastics for floor, shoe, and car polishes.
• Hot melts—PE and PP waxes are heat-sealable components of coatings and adhesives for paper and metal sheeting to
improve insulation, gloss properties, and heat resistance.
• Corrosion protection—PE waxes are used as hydrophobic components for temporary corrosion protection of motor
vehicles, machines, and instruments.
• Other—PE and PP waxes are used as components of insulating compounds, as carriers and binders for crayons, to coat
granular fertilizer, and to increase the heat resistance of candles.
Low-MW HDPE waxes with MWs of about 2,000 are used widely for paper coatings, spray coatings, emulsions, printing
inks, crayons and wax polishes. They are also used as additives in butyl rubber and various higher-MW PE polymers for
improving melt flow characteristics, hardness, and resistance to abrasion and grease.
PP copolymer waxes are used in floor polishes, coatings, plastics compounding, and fiberglass composites. These waxes can
be processed at low temperatures and used in emulsion applications. PP wax is hard, uniform, and light in color. Its low
melting point allows for reduced formulation processing temperatures and its lighter color provides good graphic arts
application.
PE and PP waxes are used in blends for can and container coatings, flexographic and gravure printing inks, industrial floor
coatings, powder coatings, wood finishes, exterior stains and top coats, coil coatings, industrial paints and finishes, offset
inks and overprint varnishes, and UV/EB inks and coatings.
Micronized PE waxes are used as additives for printing inks, paints, and coatings. PE waxes are especially formulated to
provide maximum rub and mar resistance, as well as gloss retention and antiblocking properties. They are versatile, have
excellent recoatability and allow for higher processing temperatures than F-T waxes. Combinations of PE and micronized
polytetrafluoroethylene (PTFE) wax are used to achieve higher surface lubricity and antiblocking properties. Micronized
PP waxes are characterized by their high melting point and toughness and are used to provide a unique textured surface to
paints and coatings.
Polar PO waxes are used mainly in the form of aqueous emulsions and dispersions. They are used in floor polishes and are
applied in combination with acrylate- and styrene-based polymer dispersions. Waxes derived from oxidative degradation
are primarily chosen for this area because they form wear-resistant films since they possess greater hardness than lower-
MW mass-melt oxidates. PE wax emulsions are used as leather and shoe polishes, in textiles for wash and wear finishes, as
hydrophobic agents in paint dispersions, as release agents in the building industry, as lubricants and release agents in
plastics processing, and in surface finishing of paper products. Citrus fruit is provided with a glossy surface and protected
from drying out by application of wax films.
Higher-MW EVA copolymers can be converted into polar waxes by oxidative degradation to produce tough, flexible waxes
that can be used as antislip components of floor polishes. EVA waxes are also used as additives in metallic automotive
paints, as dispersing agents in pigment concentrates and as components of hot-melt adhesives. Ethylene–acrylic acid
copolymer waxes in emulsion form are also used in floor polishes and as mold-release agents.
By-product-derived HDPE waxes are used as unmodified nonpolar wax and also as functionalized derivatives. The largest
single use for these waxes (about 25–30% of domestic demand) is in hot-melt adhesives, in which unmodified grades are
used in blends with a hydrocarbon wax. Other reported uses for these unmodified HDPE waxes include asphalt
modifications, color concentrates, hot-melt coatings, hot-melt road marking, rubber processing, and PVC lubricants.
Probable uses for modified HDPE waxes include textile coatings, corrugated board coatings, fruit coatings, floor polishes
and mold-release agents.
Higher alpha-olefins are sold as synthetic waxes for modifying paraffin wax used in candles. Other uses include mold
release for polyurethane foams and additives for casting wax and leather treating. They are also used in PVC lubricants,
board sizing, and personal care derivatives.
Fischer-Tropsch waxes are used in a variety of applications because of their high melting point and low viscosity. Major
markets include paper coating, hot-melt adhesives, and heat-sealable and saturation coatings, but Fischer-Tropsch waxes
are also used in candles, crayons, lipsticks, and textiles. In addition, they are used in carbon paper and printing inks as
thickeners and processing aids, in electrical insulation, as lubricants for plastics, as antioxidants for vulcanized rubber, in
corrosion barriers, and in a variety of resin-wax polish formulations. Oxidized Fischer-Tropsch waxes are used in paste and
emulsion polishes for textiles, floors, furniture, and automobiles. In these applications, Fischer-Tropsch waxes can be used
as extenders for naturally occurring waxes such as carnauba. Oxidized Fischer-Tropsch waxes are also used as sizes for
paper and in aqueous leather stains and polishes, metal-drawing lubricants, anticorrosion coatings, internal lubricants and
mold-release agents for plastics and textile applications. Estimated consumption of Fischer-Tropsch waxes is around 70
thousand metric tons per year. F-T wax use is expected to continue to increase.
Fatty acids and fatty acid derivatives are used as internal lubricants, lubricant additives, and mold-release agents for
plastics such as polyvinyl chloride, polystyrene, and polyester. Examples include stearamide, oleamide and N,N’-ethylene
bis(stearamide). Fatty acids and derivatives are also used in candles, crayons, and cosmetics and as antiblocking agents and
lubricants for rubber production.
• Momentive supplies SF1632, a silicone alkyl copolymer wax that can be used in protective skin products, sun care
products, and hand and body lotions.
• Arizona Chemical offers a line of Cenwax ® castor oil derivatives that are used as thickeners for lithium and specialty
greases and as intermediates for corrosion inhibitors and metalworking fluid rust preventatives.
• Eka Chemicals (Sweden), a subsidiary of Akzo Nobel, manufactures a solvent-free method of making alkylketenedimer
(AKD) wax that is used as a neutral sizing agent in paper manufacturing.
• Micro Powders produces micronized PTFE waxes that are used to produce specialized wax blends and customized wax
formulations for use in printing ink and personal care applications, where the lubricity of PTFE is needed along with
antiblocking properties.
• Liquid waxes can be derived from soybeans by first extracting oleic acid and then feeding the oleic acid to bacteria from
the Acinetobacter family. The microbes convert some of the acid to alcohol and then link the alcohol with remaining
oleic acid to form liquid waxes.
By end use
Waxes are used in various applications. The major end uses are in board sizing; paper coating; candles and molded
novelties; manufacture of electric equipment; textile and leather processing; polishes; adhesive, sealing, and grafting
waxes; fruit and vegetable coatings; cosmetics and medicinals; carbon paper, ribbons, and printing inks; greases,
lubricants, and mold releases; and rubber compounding. An applications matrix by major wax type is presented in the
following table:
Board sizing
Construction boards are the largest application for slack waxes in North America. The paraffinic slack waxes used have
melting points of 130°F and greater and oil content of 10–20 weight percent. Construction boards are panels of various
materials, mostly wood based, that use wax either neat or in emulsion form for control of moisture absorption. The most
familiar types are the following, with general use rates: oriented strand board (1 weight percent); particleboard (0.5–1
weight percent); hardboard (0.75–1.25 weight percent); gypsum wallboard (2–4 weight percent); and medium-density
fiberboard (0.2–0.75 weight percent). Much of the wax used in this application is in emulsion form. Wax emulsions are
dispersions of wax in water so that the material does not have to be stored and handled hot. It is chemically stabilized with
various surfactants and then mechanically stabilized by particle size reduction down to one micron or less. Neat wax must
be melted and sprayed in molten form onto the wood particles, whereas emulsions can be sprayed without heating.
Companies that emulsify waxes include Momentive; Crystal, Inc.-PMC; and Henry Co.
Industry sources note that wax use in board sizing is directly related to domestic housing starts. As such, wax use for this
application has decreased significantly in the last several years. Housing starts in 2005 had reached the highest level since
reporting began in 1978, but by 2008, housing starts dropped to among the lowest levels since 1978.
Paper coating
Waxes are used for coating and impregnating paper and paper products for the packaging industry. Paper processing
initially uses waxes as surface sizing after the paper or paperboard sheet has been made. The sizing reduces the tendency
to curl; improves fold, pliability, and printability; enhances water and moisture vapor and ink resistance; improves gloss;
increases grease and blood repellency; and improves scuff resistance and finished appearance. In combination with rosin
size, petroleum wax produces a paper product with excellent waterproofing and folding properties.
Wax emulsions have been used widely as papermaking additives to impart special resistance to functional penetrants such
as oil, grease, and blood. Butcher paper, meat wrap, cable wrap, bleached kraft food boards, and folding box boards are all
paper grades that have utilized wax emulsions to develop a high degree of sizing at minimum cost. However, the use of
AKD sizes and high-efficiency, rosin-based emulsion sizes have caused a reduction in the use of wax emulsions.
The most commonly used corrugator-applied sizing material is a lower-melting-point paraffin wax that can be modified
with a special additive such as polyethylene. The most commonly used off-line sizing material is a higher-melting-point
paraffin wax. The most common corrugator-applied coating is an aqueous emulsion of a wax or acrylic polymer, and the
most common off-line coating is a modified higher-melting-point microcrystalline wax blend. Petroleum waxes, especially
paraffin, are the most widely used waxes for paper coating and impregnating; these waxes impart moisture-proofing
properties. Carnauba wax, candelilla wax, beeswax, and montan wax are used in much smaller quantities; these hard
waxes impart toughness and heat-sealing properties and contribute to the production of hard, nontacky, nonsmearing
surfaces. Recently, because of paraffin wax supply declining in the United States, other materials such as plastics have
replaced waxes in some paper coating applications such as boxes. Since it is desirable to maintain the moisture content of a
food product as long as possible, or, as with most confections and crackers, to prevent the absorption of moisture, wax-
coated or wax-impregnated wrapping paper is often used. Because of their lack of color, odor, and taste, paraffins or
synthetic waxes such as polyethylene can be used in a range of food packaging applications. Waxes are used in other paper
applications such as florist’s tissue, electrical-capacitor paper and corrugated carton stocks for packaging appliances and
furniture. Furniture and plant nursery stocks use waxed containers to prevent moisture and allow stacking strength.
The performance range of corrugated board is greatly enhanced by various wax treatments. Considerable increase in
strength and water resistance, along with cost advantages over heavier-gauge board, wood, or plastic, has led to the
growing use of corrugated board for the packaging of fresh vegetables, flowers, fruit, fish, and meat.
Plastic coatings have replaced petroleum waxes in certain coated paper applications (e.g., polyethylene is used in milk
cartons and polyvinylidene chloride copolymer latex is used for coating glassine used for snack food packaging). Since the
polyethylenes are compatible with paraffin and microcrystalline waxes, blends of the waxes are used in such applications
as corrugated cartons that are coated with a mixture of polyethylene and paraffin waxes. Also competing with wax-coated
papers are plastic films or sheets, especially in many food packaging applications such as bread wrapping.
According to the National Candle Association, US retail candle sales are around $2 billion annually, not including candle
accessories sales. The most popular candle types sold are votives, container candles, and pillars. US candle sales are
expected to increase moderately about 1–2% per year. Sales growth is expected to continue to be modest due to product
substitutes such as diffusers and high feedstock costs. An estimated 35% of candle sales occur during the holiday season.
Some companies are reformulating their products using natural or synthetic waxes instead of petroleum waxes to
decrease production costs.
Over 400 companies produce commercial, religious, and institutional candles in the United States, as well as many small
craft producers for local, noncommercial use. Candles are retailed through department stores, specialty (gift) shops, and
mass merchandisers, including drug store chains, supermarkets, and discount stores. In 2004, in order to combat
inexpensive Chinese candle imports, the United States imposed a 108.3% duty margin on petroleum wax candles
imported from China. The candle products subject to the duty include scented and unscented dinner candles, rounds,
columns, votives, wax-filled containers, and pillars. Exceptions to the duty had included palm, vegetable, and wickless
candles that were considered novelty or under an identifiable object exemption. Some palm-based wax candles were also
subject to the duty because these products are claimed to be only minor alterations of similar petroleum wax products. In
late 2006, the Commerce Department ruled that candles with any petroleum wax content, including those with 50% or
more vegetable-based wax, were under the 108.3% duty.
Typically, a US candle manufacturer will offer 1,000–2,000 varieties of candles in its product line. Candle types include
tapers, straight-sided dinner candles, spirals, columns, votives, wax-filled containers, and novelties. Some of these
varieties come in different sizes and fragrances and all come in a range of colors. Candles range in retail price from about
$0.20 for a votive to $10 or more for a specialty or large column candle.
According to the National Candle Association, fragrance is the major driver for candle purchasers. As a result, the home
fragrance market has grown with both new and established companies offering increasingly sophisticated scents and
product forms. Sales are being driven by the growing interest in aromatherapy, which offers candle users relaxation and
stress reduction properties. Scented wax chips are complementary products to candles for home fragrancing. These chips
are little pieces of wax impregnated with a broad spectrum of fragrances and molded into the shapes of leaves and flowers.
Scent chips can be heated or displayed like traditional potpourri.
In churches, beeswax or a blend with beeswax is used. Other waxes, such as tallow-based waxes, have damaged artwork in
churches and are not used.
Electrical applications
Paraffin wax, chlorinated paraffin, and chlorinated naphthalenes are the main waxes used in electrical equipment.
Because waxes are good insulating materials and provide resistance to moisture and vapor, they are used in cloth and
paper wire insulation. Waxes are also used in electrical capacitors that consist of metal foil separated by sheets of paraffin-
coated paper. Waxes are used for potting the capacitor elements in their cases, for moisture-proofing paper containers, and
for sealing. Waxed paper (usually with paraffin) is consumed during the production of electrolytic condensers; it is used
for the handling of material in order to prevent contamination of component parts. Computer parts and chips are also
produced with carnauba wax because it resists moisture and does not conduct electricity.
Waxes are also used to create a nonpermanent effect in textile sizing and printing. In the sizing process, they act as
softeners to reduce harshness, lubricate the surface of the yarn, increase elasticity, improve hand, and improve the
adhesion of the size to the fiber; waxes used are paraffin, beeswax, Japan wax, and tallow. The batik technique for printing
also uses wax in a temporary way to produce a desired design on textiles; waxes used are paraffin, ozokerite, and vegetable
waxes. Waxes are also used to produce a permanent effect on finished goods (e.g., high luster and waterproofing).
Smoothness and luster are especially important in the finishing of special yarns such as sewing thread, fishing lines, and
thread for shoelaces. Textiles can either be waterproofed by using waxes in conjunction with rubber and other compounds
or be made water-repellent by impregnating with a paraffin wax emulsion.
Waxes are one of the important ingredients in the finishing mixture for leather and leather products. Carnauba wax
emulsion is the most commonly used, the particular grade chosen depending on the color of the finished product. Beside
use in finishing skins, wax emulsions are used in final dressing of finished shoes. The same type of wax emulsion is used
for both tanning and shoe factory finishing. Carnauba, beeswax, montan, Japan, and paraffin waxes are used in saponified
shoe cream.
Polishes
A variety of waxes is used in floor, automobile, furniture, and shoe polishes. Polishes are formulated as water emulsions or
with organic solvents; in each type, the liquid phase evaporates after application, leaving a waxy film that is then rubbed
to give a luster or polish. Since a single wax rarely gives the desired result, a mixture of waxes (and sometimes resins or
other materials) is used to obtain the desired properties in the final dry polish film. As an example, shoe polishes should
give not only gloss but also color; an ester wax content that is as high as possible is sought, since ester waxes have the
highest solvent power for oil-soluble dyestuffs, followed by, in order, acid waxes and hydrocarbon waxes.
Naturally occurring waxes such as carnauba, candelilla, and beeswax have been used in buffable floor finishes. Later,
paraffin waxes, microcrystalline waxes, and montan waxes also found applications. Recently, synthetic waxes (such as
Fischer-Tropsch, HDPE, and PP waxes) have been formulated into high-durability floor finishes. The newest synthetic
waxes used in floor finishes are wax emulsions based on copolymers of ethylene and acrylic acid. Combinations of waxes
are often used in a formulation to achieve the right balance of desired properties.
The outlook for wax-based polishes is being driven by increasing consumer demand for ease of use. There are products for
shine and protection of automobiles that feature carnauba wax. They eliminate both the tedious rubbing and buffing
required with conventional car waxes and the typical white residue. No. 1 grade yellow carnauba is a high-end wax and
formulators have found synthetics, substitutes, and blends of waxes to partially or totally replace No. 1 grade, in response
to its high cost and pricing instability.
Adhesives
Waxes are components of heat-sealing adhesives and coatings, which are thermoplastic in nature. There are two types of
heat-sealing adhesives: those that melt to a liquid (e.g., paraffin wax) and those that become sticky upon heating (e.g.,
paraffin wax plus rubber). Microcrystalline waxes are also used as components of hot-melt adhesives. They are usually
added to paraffin waxes to improve flexibility. Synthetic resins compete with waxes in this end use. Waxes are used for
low-cost, low-performance applications or they may be combined with higher-cost components for more demanding
applications.
According to the United Fresh Fruit and Vegetable Association, as small as one pound of wax can coat about 160,000 fruits
and vegetables. The FDA notes that each piece of waxed produce only has one or two drops of wax.
Waxes used in lipstick bases include candelilla, beeswax, ceresin, carnauba (to increase rigidity and good finish), bleached
ozokerite (to retain oils uniformly throughout the wax structure of the lipstick), montan, Japan, paraffin, lanolin, and
synthetic waxes. Beeswax is most frequently used in the lipstick base, for it imparts a good consistency and also helps
remove the finished stick from its mold. Waxes used for chapped lips contain beeswax and petrolatum.
Other cosmetics using waxes are cream rouges, eyebrow pencils, shaving creams, antiperspirants, hair straighteners, and
embalming preparations; dental wax applications include base-plate wax, inlay casting wax, impression compound, set-up
wax, bite wax, sticky wax, and carving wax. Waxes in dental uses can be replaced by synthetic compounds that have no
impurities, are of uniform composition, and are usually less expensive than the natural waxes.
Waxes are used by the pharmaceutical industry in lotions, ointments, and salves, where they function mainly as
thickeners or emulsifiers. Stearic acid is used as a wax in greaseless bases. Also used are carnauba wax, beeswax (for
stiffening, ointment bases), lanolin, jojoba oil, paraffin wax, microcrystalline wax, ozokerite, synthetic waxes (e.g.,
polyethylene glycol or “carbowax”), cetyl alcohol, and petrolatum. Suppositories contain waxes such as cocoa butter.
Silver nitrate solutions, which are applied to the eyes of newborn babies, are contained in paraffin wax ampules. Waxes
such as carnauba give pill and tablet coatings a shiny appearance. Normal alpha-olefin waxes are also converted into
various derivatives, such as silicone compounds, that are used in lipsticks, lotions, etc.
Overall, industry sources note that a gradual shift has occurred for the last two decades in terms of using natural waxes
versus petroleum-based waxes for cosmetics and personal care items. However, most consumers will take into account
more how the product looks and smells as opposed to its wax type content. Total wax use for this application is expected
to grow strongly at 4–5% annually.
Waxes are used in printing inks in small quantities to improve surface properties such as rub resistance, slippage, gloss,
and scratch resistance. They also help produce sharp, clear-cut impressions from the type. Waxes used in this application
include beeswax (used to prevent crawling by improving the lifting properties of process inks), carnauba (used because of
its hardness and its affinity for organic dyes and mineral oil), candelilla, paraffin, microcrystalline wax, lanolin, Japan wax,
and synthetic waxes.
Synthetic and petroleum waxes are now the most popular waxes used in printing inks, having largely replaced natural
waxes. The principal wax used is microcrystalline grade, along with PE, F-T, and PTFE. These waxes provide scuffing
resistance. Other smaller-volume waxes include paraffin, carnauba, and montan esters. Most printing inks use wax in
concentrations (dry basis) of 1–3 weight percent, except for PTFE, which is normally in the 0.5–1.0 weight percent range.
There is a large variation in wax usage because the industry is largely driven by proprietary formulations.
Color printer technologies are many and varied. Several that include wax usage are thermal-dot transfer, wax-based solid
inkjet and variable-dot wax thermal. Specific waxes used are unknown.
Rubber compounding
Waxes are used in rubber compounding to protect against sun checking or atmospheric cracking. They function in this use
by blooming to the surface of the rubber item and forming a thin, flexible, protective film. The film acts as a barrier to
ozone in the atmosphere. The ozone protection limits degradation of rubber products. Waxes are also used to add stiffness
to extruded products, to lubricate the die, to make the cross-section more uniform and to impart smoothness to the
surface of the finished product. They are used as moisture-proofing agents with rubber (e.g., in marine cables and water-
impermeable diaphragms). Petroleum, ozokerite, and ceresin waxes are used in rubber compounding.
Carefully formulated waxes are included in the compounding of rubber for tires and other rubber goods. Petroleum waxes
are the primary wax used, although waxes are specially formulated to meet specific operating environments. Tires
represent a large part of the market for rubber waxes, but other nontire uses include automotive windshield seals,
windshield wiper blades, conveyor belts, industrial hoses, and other rubber goods.
Other
White crude-scale paraffin waxes are used by the match industry. By supplying a readily vaporizable hydrocarbon fuel after
ignition, the wax aids the flame in igniting the matchstick. Paraffin and carnauba waxes are also used in pyrotechnics to
provide a carbon source that, when lit, attains a temperature sufficient to vaporize the color-producing compound.
Waxes are also used in the “lost-wax” process for casting shapes that are hard to machine (e.g., dental inlays, jewelry, art
statues and industrial castings). Paraffin, microcrystalline, carnauba, normal alpha-olefin, beeswax and ceresin waxes can
be used.
Crayons are composed of paraffin and microcrystalline waxes with or without one of the vegetable waxes. Crayola uses
paraffin wax and pigments that are safe and nontoxic.
White crude-scale waxes are used as a coating on wood pencils for easier sharpening. Beeswax, paraffin, and certain
mineral waxes are used in various photomechanical processes. Chewing gum bases use microcrystalline waxes.
A proprietary process for repairing and rehabilitating underground pipes has been developed that injects molten wax-
based material into the pipes. The wax is forced through any cracks or openings in the pipe and forms a matrix with the
soil on the exterior of the pipe. The wax used is FDA-approved for food handling.
Thermostat waxes are specialty waxes used for thermal activation and temperature control. This is a very small wax
market and IGI is believed to be a part of it. High temperature (about 220ºF) waxes are used in the manufacture of
automatic valves, catalytic converters, and in heat sinks for aerospace, rocketry, munitions, and robotics. The waxes can
also be used for hot water safety relief valves.
Price
The following table presents US prices for waxes:
The import price of carnauba wax has increased in recent years. As industry sources have indicated, supply can be
inconsistent and costly due to labor production costs. Candelilla wax prices have remained fairly stable, along with unit
import values.
Lanolin prices are strongly affected by changes in the US supply of wool grease, and this supply has continued to decrease
in recent years. Lower supplies of wool grease, as a result of the reduced demand in wool in the textile industry and
domestic production declines, have resulted in increased prices for lanolin and its derivatives. Beeswax prices have
increased as global demand has increased and supplies have been limited.
Declining petroleum wax supplies, due to the shift from Group I to Group II and III base oil plants, have led to significant
price increases in recent years. Also, imported paraffin and microcrystalline waxes have experienced price increases that
have contributed to higher prices. Finally, recent crude oil price increases have further led to rising refined products prices,
which results in higher alternative values for petroleum wax feedstocks and increased wax prices.
List prices for varying grades of Honeywell’s line of PE homopolymer and copolymer waxes are estimated to range from
just under $4 per kilogram to over $5 per kilogram.
Trade
Vegetable waxes
The following table outlines the history of US imports of various vegetable waxes:
The majority of carnauba wax imports into the United States originate in Brazil, while Mexico is the primary source for
imports of candelilla wax. Japan wax comes from Japan and other vegetable waxes are mainly from Malaysia and
Indonesia.
Most of the beeswax that is imported by the United States is crude, unbleached beeswax.
Germany has been the primary source for US imports of montan wax for many years. Refined montan wax is imported by
Clariant Corp. The majority of the world’s crude montan wax is produced at Romonta’s Amsdorf, Germany plant where
crude montan wax is extracted from brown coal.
Since 2007, imports have declined steadily from above 3 thousands of metric tons and bottomed at below 1 thousand
metric tons in 2012. There has been a gradual increase during 2013–15, with imports recovered to about 2 thousand metric
tons.
Petroleum waxes
Data on US trade in petroleum waxes are presented in the following table:
US imports declined after 2010, but increased in 2015 to an estimated 223 thousand metric tons. Imports may increase
slightly in the next few years to supplement declining domestic production. US exports have remained at about 250
thousand metric tons per year during 2011–14, but 2015 exports are estimated to drop to about 196 thousand metric tons
based on half-year trade data.
Synthetic waxes
In 2015, total polyethylene and polyethylene glycol wax imports are estimated to be 118 thousand metric tons, while
exports are estimated to be 129 thousand metric tons. Net exports of polyethylene and polyethylene glycol waxes has
dropped from 52 thousand metric tons in 2010 to about 11 thousand metric tons in 2015.
a. Data are reported under #3404.90 for Polyethylene waxes and #3404.20 for Polyethylene glycol waxes for 2010–14.
Sources: (A) Global Trade Atlas, Global Trade Informations Services, Inc. (data for 2010–14). (B) IHS Chemical estimates based on January-June data (data for 2015). © 2015 IHS
Canada
The following table presents Canadian producers of petroleum waxes:
The following are recent developments in the Canadian petroleum wax industry:
• In mid-2010, Shell Canada’s Montreal crude oil refinery plant was shut, including base oil and wax production. Shell has
plans to convert the plant into a fuel hub for gasoline, diesel, and aviation fuels.
• At the end of 2010, Imperial Oil said it would stop its base oil, wax, and process oils production at its Sarnia, Ontario
refinery by 2011. The refinery is converted to a full-time fuels manufacturing plant. Imperial Oil, nearly 70% owned by
ExxonMobil, produced both Group I and Group II base oils in Sarnia.
Mexico
Petroleum waxes
PEMEX operates a Group I base oil plant at Salamanca, Guanajuato, with a Group I base oil capacity of 312 thousand metric
tons in 2015. The plant is also believed to have a very small amount of petroleum wax capacity, although it is not widely
used by the industry. PEMEX will expand Group II base oil capacity, scheduled to come onstream in 2018. There is no
expansion plan for Group I base oil, thus wax capacity in Mexico is likely to stay at the current level over the next few
years.
Candelilla wax
Mexico is the leading producer of candelilla wax. Globally, candelilla wax use has remained stable over the last several
years. Synthetic wax substitution has replaced some uses; however, slight growth is projected due to increased consumer
demand for all types of natural waxes.
Industry sources estimate that Mexican production capacity of candelilla wax is about 1.5–2 thousand metric tons per year
and that Mexican domestic consumption is less than 0.5 thousand metric tons per year, with the remainder exported.
Exports are estimated at around 1.1 thousand metric tons in 2014 and 2015.
Mexico also imports a very minor amount of carnauba wax; imports were about 300–400 metric tons in 2010, declining to
about 100–200 metric tons during 2011–15.
PDVSA is the main petroleum wax producer in the region. Industry sources also believe that Petrobras has a small amount
of petroleum wax capacity in Brazil.
Petroleum waxes, in the form of paraffin waxes, are heavily used in the Central and South American candle industry.
Candle producers in this region have also used palm wax as an alternative, especially when the price is competitive with
paraffin waxes. Industry sources estimate that about 15–20% of candles produced in this region use nonparaffin wax
(vegetable waxes and hydrogenated tallow are also other substitutes used), with the potential of more use if the paraffin
wax price increases.
Carnauba wax
Carnauba wax is produced mainly in Brazil. Industry sources estimate that refined production is about 12–15 thousand
metric tons per year and that global demand is at almost equivalent levels. The United States, Japan, Germany, and China
are the leading export destinations for carnauba wax. Exports from 2007 through 2009 declined slightly, but 2010 exports
increased to nearly the level of 2006. The export volume has remained stable during 2011–15. Total demand from the
United States, Japan, Germany, China, the Netherlands, and Italy totaled about 10–11 thousand metric tons. Demand is
expected to grow marginally in the next few years as new applications are developed and mature ones plateau. Also,
competition from synthetic waxes in the forms of price and properties may limit growth.
Trade
The following table represents Central and South America trade in animal and insect waxes:
Central and South American trade in crude animal and insect waxesa
(thousands of metric tons)
Imports Exports Net imports
2010 4.0 5.0 -1.1
2011 3.3 4.6 -1.3
2012 3.2 4.0 -0.8
2013 3.1 3.0 0.2
2014 2.6 3.8 -1.2
2015 2.9 3.6 -0.6
a. Data are reported under trade code # 1521.90 and 1505.00. Trade are calculated as extra-regional trade
Sources: (A) World Trade Atlas, Global Trade Information Services, Inc. (data for 2010-2014). (B) IHS Chemical estimates (data for 2015).©
2015 IHS
The following table represents Central and South America trade in crude petroleum waxes:
The following table represents Central and South America trade in refined petroleum waxes:
Synthetic waxes
The following table presents Central and South American trade in polyethylene glycol (PEG) waxes:
The following table presents Central and South American trade in polyethylene (PE) waxes:
Western Europe
Producing companies
Mineral waxes
Petroleum waxes
Western European petroleum wax producers are listed in the table below. Petroleum wax is a by-product of lubricating oil
production, which is driven by lube oil capacity. Where known, the total wax production capacities of those companies
that produce both slack wax and refined wax for merchant sales are listed. Lube oil producers that do not produce slack or
refined waxes have been omitted.
Since the last edition of this report in 2011, there continues to be a shift away from Group 1 paraffin base oils as the market
moves toward more technical and cost effective Group II and III base oils to meet more demand on engine oil
performance. In 2015, there were announcements of closures at Shell (Pernis, Netherlands), Colas (Dunkerque, France),
Nynas (Harburg, Germany), and Total (Gonfreyville France), although the Gonfreyville plant had already ceased
commercial slack wax sales in 2006, using the product as a feed for the hydrocracker. In 2013, Essar Oil UK, a subsidiary of
Essar Energy (India), ceased production of base oil at the Stanlow facility, United Kingdom.
Montan waxes
The following table presents Western European producers of crude and refined montan waxes:
Romonta dominates the production of crude montan wax from its facilities in Amsdorf, Germany, where crude montan
wax is extracted from the locally mined brown coal. The first montax wax factory was built in Amsdorf in 1922, and today
more than 95% of the world’s crude montan wax is produced at the Romanta facility. Reserves at the mine are currently
estimated to last until 2025–30, and with this in mind, Romonta has already started to rebrand itself as “Wax and more,”
diversifying into areas such as waste recycling.
Both Clariant and Voelpker are the only producers of refined and modified montan wax , sourcing the crude wax from
Romonta. Clariant’s capacity for montan wax and derivatives is around 13 thousand metric tons per year, while that of
Voelpke is estimated at around 3 thousand metric tons per year. BASF originally marketed the bulk of Voelpke’s refined
montan wax products; however, in April 2015, Voelpker acquired the business from BASF, with BASF now concentrating
on its core business of polyethylene wax.
Synthetic waxes
The following table shows major Western European producers of synthetic waxes:
The Western European market for wax emulsion is expected to grow an average of about 2–2.5% per year. The majority of
synthetic waxes produced in Western Europe are polyethylene based. BASF has increased its annual capacity of waxes and
wax emulsions in Ludwigshafen, Germany by 10 thousand metric tons to 45 thousand metric tons in order to consolidate
its position as market leader in Europe. In April 2012, BASF commissioned a new plant for oxidized polyethylene waxes at
the same site, with an annual capacity of several thousand metric tons. The new plant uses low-density polyethylene from
the Ludwigshafen plant as a raw material feedstock.
Clariant upgraded its PE wax production lines in Germany starting from about 30 thousand metric tons to reach an overall
capacity of 50 thousand metric tons by mid-2006. Clariant’s total synthetic and modified wax production is about 90
thousand metric tons per year, including polyolefin and amide waxes and montanates. Major uses for these waxes are in
plastics processing (pigment masterbatches and lubricants), polishes, coating formulations, and printing inks. Clariant, as
with the other German suppliers of synthetic waxes, uses the materials captively and markets them, along with a wide
variety of other additives, to end-use industries. In early 2006, Clariant opened a full-scale metallocene-wax plant in
Frankfurt in order to meet the strong demand for innovative, tailor-made synthetic waxes based on PP. Marketed under
the Licocene® brand, this family of polyolefin waxes includes polyethylene, but focuses on specialty grades of
polypropylene copolymer waxes. In 2014, Clariant announced it was increasing its production capacity for the Licocene
range by 50%, through debottlenecking the facility to meet the growing demand for products in Asia and Turkey. The new
capacity is expected to be operational in the first quarter of 2016.
At the end of 2010, Evonik withdrew from the polyethylene wax business, closing its production at its facilities in Herne,
Germany. Subsequently in 2011, Honeywell purchased the patents and technology portfolio of Evonik’s polyethylene wax
business.
Polyalkylene glycols, prepared by the polymerization of ethylene oxide with glycol have also found applications in the
markets for traditional waxes. Polyethylene glycol can vary in molecular weights, typically from 200 to 10,000. Products
above molecular weight 1,500 tend to be white waxy solids supplied in flake form. Major producers include Dow, Calriant,
Ineos Oxide, and Croda.
In 2010, Croda ceased production of polyethylene glycol waxes at the former Uniquema plant in Wilton, United Kingdom,
following the announced closure of the Dow facilities in Wilton that provided the base raw materials ethylene oxide.
Leuna Polymer, one of the last remaining units of the former East German combine, was sold to a Berlin-based trading
company, Fischer & Limberger, in January 1997. Significant capital investment and restructuring of the operations
brought total production capacity to 24 thousand metric tons in 2004. The company was purchased in the same year from
Octel and in 2006 renamed Innospec Leuna GmbH. The plant has a multipurpose configuration and produces other
materials as well as waxes.
No Fischer-Tropsch waxes are produced in Western Europe. Sasol Wax AG manufactures these waxes at its production
facilities in South Africa and imports them into Europe. A description of the production process is presented in the Africa
section. The other source of F-T waxes in Western Europe is imports from Shell’s Bintulu, Malaysia GTL plant. In
November 2011, Shell and Evonik signed a six-year contract for Evonik to continue as distributor of Shell’s GTL waxes in
Europe.
The following tables list the major Western European refiners and blenders of waxes, most of which are members of the
European Wax Federation, an organization affiliated with the European Chemical Industry Council (CEFIC):
Sasol Wax (formerly Schümann Sasol) (Germany) is by far the largest wax refiner and blender in Western Europe. This
joint venture was formed in May 1995 through the merger of the wax-related interests of Sasol Chemical Industries (SCI),
South Africa, and Schümann AG, Germany. SCI owned 67% of Schümann Sasol, while Vara Holding GmbH & Co. KG
owned 33%. In July 2002, the Sasol Group acquired the remaining shares in Schümann Sasol, which became a full member
of the Sasol group of companies in South Africa. Subsequently, Schümann Sasol was renamed Sasol Wax. Sasol Wax owns
wax manufacturing, refining, and blending operations at Hamburg in Germany, Sasolburg and Durban in South Africa, the
Netherlands, and China. Since February 2003, Sasol Wax has also taken over the production and marketing of
ExxonMobil’s wax emulsions and oil emulsions in most European countries. As a result, Sasol Wax produces about 60
thousand metric tons annually of wax emulsions at additional facilities in Austria, Germany, and the United Kingdom. The
Hamburg operation has an annual refining capacity of 300 thousand metric tons of wax and 20 thousand metric tons of
petroleum jelly. It purchases slack wax feedstock from numerous lube oil–producing refineries predominantly in Western
Europe and from Eastern Europe and Africa. Initially, slack waxes are de-oiled to fully or semirefined quality, followed by
full hydrogenation. Subsequently, waxes are blended into various product blends. These are marketed either in liquid bulk
or in solidified form. This operation has a trading activity of about 100 thousand metric tons annually.
Paramelt is Europe’s largest manufacturer of specialty wax blends and a fast-growing producer of industrial adhesives,
with blending capacity of about 100 thousand metric tons. This position has been reached by successful integration of a
series of international acquisitions since the mid-1990s. Paramelt rapidly grew by taking over competitors or by buying
their wax businesses. The businesses of traditional wax producers like RMC Belix (France), Chr. Hansen (Denmark), H.B.
Fuller (Germany), and H&R ESP Ltd. (Chorley, United Kingdom), have subsequently been integrated in the Dutch
production organization. In 2005, Paramelt acquired Honeywell’s industrial wax activities in Europe and Asia, resulting in
additional wax blending plants in Eupen, Belgium and Suzhou, China. Paramelt has created a strong base for future
growth in the Asia Pacific region. Paramelt also has an adhesive plant in Veendam, Netherlands. In 2010, Paramelt
acquired part of the business of Koster Keunen. The shareholders of Paramelt are Ter Hell & Co., Euro Schümann Wax
GmbH, and a private equity holding. All shareholders are based in Hamburg, Germany. In late 2007, Sasol Wax sold its 31%
share in Paramelt to Euro Schümann Wax, as both companies increasingly engaged in similar industries and the company
decided to avoid any potential future conflict of interest.
H&R (Hansen & Rosenthal) Wasag AG is a traditional family firm specialized in the production of paraffins, medical and
technical white oils, processing oils, and others. In 2003, it acquired the wax and lube oils blending plant of BP, located in
Hamburg-Neuhof, and renamed the refinery H&R Oelwerke Schindler GmbH, thus increasing its wax producing and
refining annual capacity to about 70 thousand metric tons.
Companies with wax refining capacities of 20–50 thousand metric tons per year include ENI—Refining and Marketing
Division (formerly AgipPetroli), Italy; and Compañía Española de Petroleos, S.A. (CEPSA), Spain. Most of the other
refiners are small to medium sized and some are integrated into important end-use markets.
In 2005, Total Raffinage closed its wax-producing facilities (a 55 thousand metric ton paraffin wax plant in Le Havre,
France and a 10 thousand metric ton facility in Dunkirk, France). The company decided to exit the sector after plans to
establish a paraffin waxes joint venture with Sasol fell through.
BP was an important player in the European wax market with a reported total wax capacity of about 90–100 thousand
metric tons. After selling its German assets to H&R Wasag AG at the end of 2003, it discontinued its wax-producing
activities in the United Kingdom by the end of 2005.
Salient statistics
Vegetable waxes
The following table represents Western European demand and supply for vegetable waxes.
Animal waxes
The following table represents Western European supply and demand for animal waxes.
Mineral waxes
The following table represents supply and demand for mineral waxes, including petroleum wax, montan wax, and other
mineral waxes.
Synthetic waxes
The following table represents Western European supply and demand for synthetic waxes. The figures include
polyethylene waxes (including oxidized PE and PP waxes), polyethylene glycol, and synthetic paraffin waxes. Individual
breakdowns are given in the subsequent tables.
The following table represents Western European supply and demand for polyethylene waxes:
The following table represents Western European supply and demand for polyethylene glycol waxes:
The following table represents Western European supply and demand for synthetic paraffin waxes:
Production
There are no official wax production statistics for Western Europe.
Vegetable waxes
No vegetable waxes are produced in Western Europe. Demand is served by imports from outside the region. For more
details, see the Consumption and Trade sections.
Animal waxes
There are no official statistics for the production of animal waxes in Europe.
Production of beeswax in the European Union is estimated to be around 4 thousand metric tons per year. EU production
of beeswax and honey has been threatened in recent years by the rise of varroa, a parasitic mite, and colony collapse
disorder (CCD), which has resulted in lower production and higher costs for European beekeepers.
Mineral waxes
Petroleum waxes
Actual Western European capacity for slack and refined waxes is estimated at 400–450 thousand metric tons per year,
with 2015 production estimated at approximately 420 thousand metric tons. The trend continues to be one of decline
since the production of Group I lubricant oils in Western Europe is constantly diminishing because they do not fulfill
modern environmental and technological standards. Lube oil producers are increasingly concentrating their efforts in the
production of Group II and III, where production includes catalytic dewaxing and wax hydroisomerization. The move to
higher quality base oils is depriving the petroleum wax industry of its feedstock. Major producers have discontinued
production of paraffin waxes, citing low profitability. Some are converting their facilities into hydroisomerization plants
and are aiming to become a major Group III lubricating oil producer. The following table shows the decline in production
of petroleum waxes:
Obtaining reliable information is further complicated by the fact that the major Western European wax refiner, Sasol Wax
AG, imports a considerable quantity of slack wax from unknown countries, which it subsequently refines for Western
European consumption or for export, often again to unknown countries.
Montan wax
Western European crude montan wax production is estimated at about 20 thousand metric tons per year. Approximately
70% of the crude wax is beneficiated within Europe and sold as refined wax, montanic acids, wax esters, or montanates.
The remainder is exported or sold to end users in crude form.
Synthetic waxes
Western Europe remains a major producer, consumer, and exporter of synthetic waxes, in particular Germany with the
presence of leading producers such as BASF, Clariant, and Innospec. Other important markets are Benelux, with producers
Dow and Ineos Oxide, and Spain with Dow and Clariant.
There are no official figures on the total European production of synthetic waxes; however, the German Statisches
Bundesamt does publish some wax production figures in Produktion im Produzierenden Gewerbe Fachserie 4; Riehe 3.1 as
shown in the following table:
Data from 2009 to 2015 is reported under code # 2041.42.800 “Other synthetic waxes and prepared waxes including
modified montan wax.”
Germany has also developed into an important producer of polyethylene glycol waxes. The following table shows
production of polyethylene glycol waxes, as reported in the Statistisches Bundesamt.
Consumption
Vegetable waxes
Estimates for Western European consumption of vegetable waxes by type are given in the following table. Estimates are
based on imports of vegetable waxes into Western Europe from the various countries of origin. Exports of vegetable
waxes, as highlighted in the trade section, amount to approximately 1.5 thousand metric tons in 2015; however, types are
not reported or known.
Carnauba wax dominates consumption of vegetable waxes and is consumed principally in polishes (where it competes
with montan wax) and paper coatings. Other uses include printing inks, food, cosmetics, and coatings. Candelilla wax is
used mainly in food additives and cosmetics, but consumption is small.
“Other waxes” include those reported under trade code #151590.11 including “Tung, Jojoba And Oiticica Oils, Myrtle And
Japan Wax.” Tung and oiticica oils are interchangeable depending on price and typically find applications in wood finishes
or sealing porous surfaces, such as bathroom and kitchen worktops, susceptible to staining. Jojoba oil is used in cosmetics
and lotions such as moisturizers, shampoos, and conditioners. Japan wax is used in typical wax applications including
candles, polishes, floor waxes, pharmaceuticals, cosmetics, and industrial applications. Myrtle wax is normally used to
make candles.
Modest growth of 2.5% per year is expected to continue in vegetable waxes due to the underlying demand for natural
products in Western Europe. However, rising and fluctuating prices of natural ingredients may temper demand.
Animal waxes
Within the scope of this report, animal waxes includes beeswax, insect waxes, wool grease, and lanolin. There are no
official statistics for the consumption of animal waxes in Europe, although the salient statistics show an estimated
demand of around 16 thousand metric tons in 2015. Net imports of beeswax and insect waxes amounted to 6 thousand
metric tons in 2015, while domestic production contributed a further 3.5–4 thousand metric tons. Net imports of wool
grease and lanolin were estimated to be 6.4 thousand metric tons. Animal and insect waxes find use principally in
cosmetics, pharmaceuticals, food additives, candles, and furniture polishes. Other, more technical applications, such as for
lubricants and corrosion inhibitors, are suffering competition from cheaper oils and waxes.
Mineral waxes
Petroleum waxes
Germany is the largest consumer of petroleum waxes in Western Europe, with about a 30% share, followed by Italy,
France, and the United Kingdom, each with 10–12% of the market.
The following table represents major applications for petroleum waxes in Western Europe:
Candles dominate Western European consumption and account for around 40% of the market. The utilization of waxes in
candles is particularly high in Germany. Western Europe also imports significant amounts of candles, mainly from Poland
and China. According to the European Candle Association, annual candle consumption for the region is on average is about
1.1 kilograms per capita; this reflects an estimated total demand of about 430–450 thousand metric tons.
Paper and cardboard packaging represents the second major market for petroleum waxes, with around 20% of the market.
This is a particularly competitive area, impacted both by alternative materials and revised food packaging legislation.
Consumption in the form of emulsions for particleboard and wallboard accounts for 15% of the total market. Other uses
are in rubber production (as an antiozonant), plastics, adhesives, and sealants, in approximate order of importance.
Consumption of petroleum waxes in Western Europe is estimated at about 500 thousand metric tons in 2015, as shown in
the Salient statistics section. This figure does not include the net trade in candles.
Future Western European growth in demand for petroleum waxes is expected to be low (approximately 1% per year), as
applications continue to move toward synthetic waxes and Western European production of petroleum waxes continues
to decline as the lubricant industry moves away from Group I paraffin base oils. The rise of low-cost vegetable waxes, such
as palm wax, while still comparatively small, may also temper demand for paraffin waxes, particularly in candle
manufacture.
Montan waxes
Crude montan wax is seldom used as such because of the presence of resins and dark impurities. The first stage in its
treatment is bleaching with chromic acid to produce a refined and usable product. The major use for this refined wax has
traditionally been in carbon paper, which has virtually disappeared in Western Europe. Other uses for refined montan wax
include polishes; mold releases in investment castings; and lubricants, impregnation agents, cables, insulation materials,
and additives for asphalt and bitumens.
Montan wax is increasingly being used as modified acid and ester waxes, where they can be used in higher-value
applications such as lubricants in PVC processing, high-quality car and furniture coatings and polishes and cosmetics.
Western European consumption of montan wax and its derivatives is estimated to be about 10–12 thousand metric tons.
Low consumption growth (1–2%) will continue in the Western European market, but is increasingly constrained by
concerns over longer-term supply security.
Synthetic waxes
Consumption of synthetic waxes in Western Europe in 2015 was estimated at 271 thousand metric tons. Growth is
predicted to average about 2.4% per year for the next few years.
Polyolefin waxes
A wide variety of polyethylene waxes is available, both high- and low-density, as well as so-called blow-down types that
are lower-quality cuts in the polymerization process. The waxes are normally in powder or micropowder form and each
type has rather specific areas of application. It is difficult to define exact areas of application for each type of wax, since
there is a lot of overlap in properties and the waxes are frequently used in blends with other waxes and additives. For
example, low-density polyethylene waxes find a major application in the processing of rubber and plastics, as well as in the
production of pigment stock masterbatches. High-density polyethylene waxes are used extensively in printing inks,
where they provide high rubbing and slip resistance, as well as in plastics processing. Both types, along with medium-
density waxes, are used in textile fiber treatment (for ease of weaving and finished fabric handling characteristics),
polishes, adhesive hot-melts, cable filling, and coatings. Oxidized polyethylene waxes are used in plastics processing,
mainly for polyvinyl chloride.
Over the last few years, demand for polypropylene waxes has been growing due to their increased availability and superior
performance in some application areas. They are increasingly used in coatings and polishes in areas like textiles, paper,
wood, as well in packaging, labels, hot melt adhesives, and printing inks.
because they are water soluble and inert, with low volatility and low toxicity. They exhibit good solvent properties for, and
are compatible with, many ingredients normally used in household products. PEG waxes are used in a wide range of
cosmetic and personal care preparations, including creams, lotions, sticks, powders, jellies, sometimes in combination
with natural waxes like carnauba or beeswax. They are water soluble, odorless, neutral, lubricating, nonvolatile and
nonirritating. PEGs make excellent coupling agents, solvents, vehicles, humectants, lubricants, binders, and bases.
Blending can tailor the humectancy, viscosity, or melting point to fit a particular application.
Solid PEGs are effective lubricants in paper coating compositions, promoting good flow-out with good gloss and
smoothness in calendering operations. PEGs are also used as color stabilizers, plasticizers, anti-sticking agents and
dimensional stabilizers. Western European consumption of PEG waxes was estimated to be about 60 thousand metric
tons in 2015. Over the forecast period, demand is expected to grow at about 2.5% annually.
Fischer-Tropsch waxes
Fischer-Tropsch waxes are not produced in Western Europe but are currently imported from South Africa and Malaysia.
Imports from South Africa increased steadily throughout the 1990s and 2000s, peaking at approximately 31 thousand
metric tons in 2010. Imports from South Africa into Western Europe in 2014 were 26.4 thousand metric tons.
Shell’s MDS (middle distillate synthesis) plant located at Sarawak, Malaysia, produces Fischer-Tropsch waxes from a
natural gas feed. Malaysia has developed into an important supplier of F-T waxes on the Western European market. From
virtually no imports from Malaysia in 2000, European Union imports have continued growing, reaching 25.3 thousand
metric tons in 2014.
Total net imports of synthetic paraffin waxes into Western Europe in 2015 is estimated to be 49 thousand metric tons.The
major use of Fischer-Tropsch waxes is in hot-melt adhesives, where they are often blended with paraffin wax to reduce
viscosity and control the duration of the adhesion window and the setting time. The total wax content in hot-melt
adhesives can reach 30%. Other important uses for Fischer-Tropsch waxes are similar to those reported previously for
polyethylene waxes. Applications include paper and powder coatings, plastics (mainly polyvinyl chloride) processing
(where there is considerable overlap with polyethylene waxes), textile fiber treatment, polishes (mostly in mixtures with
paraffin waxes), inks, cable filling, and pigment stock masterbatches.
Price
There are no detailed list prices for waxes in Western Europe. A brief price history obtained through industry interviews
and announcements is included in the following table:
Prices for petroleum-based waxes increased in line with feedstock prices during 2011 and 2012, but have retreated over the
last 24 months. Prices of vegetable and animal waxes continue to rise as demand for natural waxes continues to grow
while supply remains at the mercy of natural factors.
Trade
The following sections show Western European trade data for vegetable, insect and other naturally occurring waxes
(montan wax and petroleum waxes), and synthetic waxes.
Vegetable waxes
The following table presents reported Western European extraregional trade in vegetable waxes:
Brazil has been the source of the majority of the imported material over the last decade. In 2014, Brazil accounted for over
65% of Western European imports of vegetable waxes, as reported under trade code # 152110. As discussed in the
Consumption section, Brazil is a major producer and exporter of carnauba wax.
In 2014, approximately 4 thousand metric tons of imports were reported under trade code # 15159011. Over 50% of these
imports originated from Paraguay.
Animal waxes
The following table presents reported Western European extraregional trade in crude insect waxes:
China is the single-largest exporter of beeswax and other insect waxes into Western Europe, accounting for over 75% of
total imports since 2012. Approximately 1.5 thousand metric tons of beeswax and insect waxes were exported from
Western Europe on 2015, with the major exporting countries being Germany, France, and the United Kingdom. The main
destinations for Western European exports are Poland and the United States.
The following table presents reported Western European extraregional trade in wool grease and substances derived
therefrom such as lanolin.
Germany, the United Kingdom, and Belgium are the major importers of wool grease, accounting for over 95% of Western
European imports in 2014. Imports are predominantly sourced from China, although Japan, the Czech Republic, and New
Zealand are also major sources of imports. The United Kingdom is the major exporter of wool grease in Western Europe
accounting for approximately 38% of total Western European exports in 2014.
Mineral waxes
The following table presents Western European extraregional trade in crude mineral waxes as reported under trade code #
271290 “Microcrystalline Petroleum Wax, Slack Wax, Ozokerite, Lignite Wax, Peat Wax, Other Mineral Waxes, And
Similar Products, Nesoi.”
Due to the suppression of origin for reported imports into Western Europe, imports in the above table are represented by
exports from outside Western Europe into the region. The statistics indicate that imports have remained relatively static
over the last 10 years, at approximately 160 thousand metric tons, while exports outside the region have continued to
increase.
In 2014, Egypt accounted for 46% of the total imports into Western Europe. Other major sources of imports include the
United States (11%), Poland (10.5%), and Thailand (7%). Exports from Western Europe in 2014 were predominantly from
Germany, the Netherlands, and Italy, accounting for 28.5%, 22.5%, and 15%, respectively. Exports out of Western Europe
in 2014 were mainly to Poland (34%) and the United States (24%).
Specific trade data for montan waxes was reported up to 2006 under trade code # 340410 “Artificial And Prepared Waxes,
Of Chemically Modified Lignite.” This trade code no longer exists and has been combined within # 271290. Historical
trade data is shown in the table below.
The following table shows Western European extraregional trade in refined petroleum waxes, reported under trade code #
271220 “Paraffin Wax Containing By Weight Less Than 0.75% Oil.” It excludes the sub code # 27122010 “Synthetic Paraffin
Wax Containing < 0,75% By Weight Of Oil And Of A Molecular Weight Of >= 460 But <= 1.560,” which is covered in the
Synthetic waxes section.
Imports of refined paraffin wax have continued to rise over the last five years, particularly from Egypt. In 2014, reported
imports from Egypt into Western Europe accounted for 43% of total imports. Exports from Western Europe have
remained relatively static over recent years, at around 50–55 thousand metric tons. Exports are predominantly from
Germany and the Netherlands destined for Poland.
Synthetic waxes
The following table represents Western European extraregional trade in synthetic paraffin waxes:
In 2014, South Africa and Malaysia accounted for 92% of imports of synthetic paraffin wax, as reported under trade code #
27122010. Sources of material were the Sasol plant in South Africa and the Shell plant in Malaysia. The majority of Western
European extraregional exports are from Germany to South Africa and Turkey.
Western Europe has a substantial trade surplus in relation to both PEG and PE waxes, as the region is one of the
manufacturing centers of these products.
The following table shows Western European extraregional trade in polyethylene glycol (PEG) waxes:
Spain and Belgium together accounted for 66% of total imports in 2014, originating predominatly from the United States
and South Korea. Germany is the largest exporting country, accounting for 79% of total extraregional exports from
Western Europe in 2014. Primary destinations were the United States, Turkey, and Poland.
The following table shows Western European extraregional trade in polyethylene (PE) waxes:
In 2014, the leading PE wax importing countries in Western Europe were Germany, Belgium, and the Netherlands, with
21%, 21%, and 13% of the total, respectively. Approximately 46% of total exports originated from Germany, followed by
Denmark (11.5%), Spain (11%), and the Netherlands (11%).
Candles
The following table represents Western European extraregional trade in candles:
Western Europe is a net importer of candles. Over 50% of imports in 2014 originated from Poland. China is also a major
source of imports from Western Europe. In May 2009, the European Union decided to impose antidumping duties on
imports of candles from China, under Council regulation EC 393/2009. Imports from China subsequently fell from
around 170 thousand metric tons to less than 70 thousand metric tons over the following years. The deficit has been
compensated for through imports from Poland, which have doubled to 200 thousand metric tons since 2008. In August
2015, the antidumping duties on Chinese imports were repealed by the EU commission.
Germany is the leading country of destination, accounting for 31% of total imports in 2014, followed by the United
Kingdom (14%) and the Netherlands (13%). Most exports originated from Germany (28%) and the Netherlands (28%) in
2014, with the destination being mainly to Central Europe.
Over 90% of the lube oils produced in the region belong to Group I base oils; therefore, production is connected with an
important amount of wax that is produced as “side product.” Russia is the major producer of petroleum waxes in the
region, although countries such as Poland and Hungary also have significant production.
Salient statistics
Petroleum waxes
The following table presents supply/demand for petroleum waxes in Central and Eastern Europe:
The following table presents estimates of supply and demand by country for 2014, using full-year reported trade statistics:
Russia and Poland are the major marketplaces for paraffin waxes in the region, with Poland being a major producer and
net exporter of candles. Net exports of candles from Poland increased to an estimated 233 thousand metric tons in 2014.
Synthetic waxes
The following table represents Central and Eastern European supply and demand for synthetic waxes. This category
includes synthetic paraffin waxes, polyethylene (PE) waxes (including oxidized PE and PP waxes), and polyethylene glycol
waxes.
The previous report is believed to have underestimated regional production. Net export statistics show Belarus to be a
significant regional exporter of polyethylene waxes to countries including Lithuania, Poland, Ukraine, Russia, and Latvia.
Polymir (Belarus) is a producer of oxidized and nonoxidized polyethylene waxes.
Consumption of synthetic waxes in Central & Eastern Europe is predicted to grow at around 3% per year over the forecast
period.
Consumption
The following table presents Central and Eastern Europe wax consumption:
Trade
Vegetable waxes
The following table presents reported Central and Eastern European extraregional trade in vegetable waxes:
Animal waxes
The following table presents reported Central and Eastern European extraregional trade in crude insect waxes:
The following table presents reported Central and Eastern European extraregional trade in wool grease and substances
derived therefrom, such as lanolin:
Mineral waxes
The following table presents Central and Eastern European extraregional trade in crude mineral waxes as reported under
trade code # 271290 “Microcrystalline Petroleum Wax, Slack Wax, Ozokerite, Lignite Wax, Peat Wax, Other Mineral
Waxes, And Similar Products, Nesoi.”
Poland is by far the most significant importer of crude mineral waxes from outside Central and Eastern Europe,
accounting for 64% of total imports in 2014. The above table reflects only extraregional trade. Russia is a major supplier of
crude mineral waxes, exporting 96 thousand metric tons of product to the region in 2014, 56 thousand tons of which was
destined for Poland. Poland is also the largest exporter of crude mineral waxes outside the region, accounting for 35% of
total extraregional exports in 2014, principally to Germany and the Netherlands.
The following table shows Western European extraregional trade in refined petroleum waxes, reported under trade code #
271220 “Paraffin Wax Containing By Weight Less Than 0.75% Oil.” It excludes the sub code # 27122010 “Synthetic Paraffin
Wax Containing < 0,75% By Weight Of Oil And Of A Molecular Weight Of >= 460 But <= 1.560,” which is covered in the
Synthetic waxes section.
Poland is by far the largest importer of refined paraffin wax, accounting for 87% of extraregional imports into Central and
Eastern Europe in 2014. Hungary and Poland are the largest exporters of paraffin wax out of the region, accounting
together for 87% of total exports from the region in 2014.
Synthetic waxes
The following table presents Central and Eastern European extraregional trade in synthetic paraffin waxes:
Minor quantities of synthetic paraffin wax are imported into Poland, Slovenia, the Czech Republic, and Romania from
Western Europe,
The following table presents Central and Eastern European extraregional trade in polyethylene glycol (PEG) waxes:
Poland, Russia, the Czech Republic, and Hungary were the leading importing countries in 2014, with 51%, 10%, 7.5%, and
7.5%of overall imports, respectively. During the same year, Russia (47%) and Ukraine (40%) were the leading exporters.
The following table presents Central and Eastern European extraregional trade in polyethylene (PE) waxes:
Poland, Russia, and Belarus were the leading importing countries in 2014, accounting for 51%, 12.5%, and 6% of overall
imports, respectively. During the same year, exports originated predominantly from Poland (72%) and Hungary (19%).
Candles
The following table represents Central and Eastern European trade in candles:
Central and Eastern Europe is a net exporter of candles. Poland has developed into a major manufacturer and exporter of
candles, accounting for 83% of total regional exports in 2014. Exports from Estonia and Hungary are also significant,
accounting together for approximately 10% of total exports in 2014. Imports are substantially less. In 2014, Poland
accounted for 42% of the total, followed by the Czech Republic (13%) and Russia (12%).
Middle East
Producing companies
Middle Eastern petroleum wax producers are listed in the following table and, where known, wax production capacities of
those companies are indicated. Lube oil producers that do not produce slack or refined waxes have been omitted.
Salient statistics
Petroleum waxes
The following table presents supply/demand for petroleum waxes in the Middle East:
The following table represents Middle Eastern supply and demand by country for selected years:
As in other regions, the main wax customers are the candle industry, the packaging and paper industries, the wood
industry, the rubber industry, and others. The region is also an important exporter of petroleum waxes, with the United
States and Western Europe being the main destinations. The producers enjoy some competitive advantage, as they have
access to low-cost oil.
Synthetic waxes
The supply and demand situation in the Middle East related to synthetic waxes is represented in the following table:
Turkey, Saudi Arabia, Iran, and Israel are the countries from the Middle East where demand for such waxes is most
important.
Turkey and Saudi Arabia dominate demand for PEG waxes in the Middle East. Some imports are also destined for Israel.
Fischer-Tropsch waxes
During the recent decade, there has been an ongoing search for transportation options for delivery of natural gas to
consumers, as well as alternatives to pipelines. GTL projects possess an enormous advantage in the fact that they help
build an economically viable system for transportation of liquid products at ambient temperatures and pressures. The
output from these plants, engine fuels, lubes, and paraffin waxes is shipped using conventional tankers or pipelines.
As the Middle East has one of the biggest proven reserves of natural gas, large multinational companies have started a
huge investment in the region. Qatar is leading the way of commercializing its significant gas resources. The following
table summarizes the ongoing effort in this field:
Sasol started the operation of its GTL plant in Ras Laffan, Qatar, in 2006. Sasol Chevron—the London-based joint venture
between Sasol and Chevron Corporation of the United States—will market the GTL diesel initially in Europe and then
elsewhere in the world. Further planned expansions of Oryx GTL will be done in conjunction with Sasol Chevron to
almost triple the output by 2015. When inaugurated in 2011, Pearl GTL became the world’s largest source of gas-to-liquids
products. Chevron Phillips Chemical and ExxonMobil also had plans for establishing GTL plants in Qata,r but these
intensions never materialized.
These giant GTL facilities, unlike some earlier, smaller efforts, make economic sense because of technological advances
and the lower cost from building on a larger scale. Beyond ultraclean diesel fuels, GTL plants can produce an exceptional-
quality lubricant base stock, plus waxes and other specialties. F-T GTL plants are capable of producing 15–25% of paraffinic
naphtha, 50–75% middle distillates (jet fuel, kerosene, and diesel) and 0–30% of lubes/waxes. Among the middle
distillates, diesel typically has the most significant product revenue potential on a global basis and is thus the preferred
targeted product versus lube oil base stocks and waxes, which are higher in product value, but have limited regional
market volume potentials.
However, the rate of Group I lube oil plant closures in North America and Europe is now accelerating, driven by changing
engine oil specifications. Some of the gap will be filled by Chinese supply expansion, but the perspective of a supply
shortage still exists. The Middle East is about to develop into an important supplier of GTL wax and waxy distillates. The
latter are a product of Shell’s implementation of F-T synthesis, where natural gas and oxygen are subjected to heavy
paraffin synthesis, then hydrocracked, partially isomerized, and distilled prior to shipment. Crude GTL wax and waxy
distillates are expected to be exported to North America, Europe, and Japan, and supplied to traditional wax and base oil
refiners for further processing.
Consumption
The following table presents Middle East wax consumption:
Trade
The Middle East is a net exporter related to both crude and refined petroleum waxes. The following tables present Middle
Eastern trade in crude refined petroleum waxes.
Synthetic waxes
The following table presents Middle Eastern trade in PEG waxes:
Turkey (85%) was the leading country of destination for imports, while Saudi Arabia (69%) and Iran (31%) are the leading
countries of destination for exports.
The following table presents Middle Eastern trade in polyethylene (PE) waxes:
Turkey is the leading importing country in the region, with some 71% of the imports in 2014. Other important countries
are Israel (10%), Saudi Arabia, and Iran (9%). Re-exports from Iran accounted for 79% of the total, followed by Saudi Arabia
(10.3)% and Turkey (7%).
Candles
The following table presents Middle Eastern trade in candles:
In 2014, Turkey was the leading country of destination for imports (82% of the total).
Africa
Producing companies
The following table presents African producers of lubricant base stocks and petroleum waxes:
In 2001, Sasol Wax (then known as Schümann Sasol) and Alexandria Mineral Oils Company (AMOC), Egypt, formed a
joint venture company, Alexandria Wax Products Company, which produces 25–30 thousand metric tons of waxes in
Alexandria, Egypt. It offers hydrotreated and other grades of wax for the candle, cosmetic, and other industries.
South Africa has substantial lubricant producing and blending capacity, with eleven blending plants of various capacities,
and four grease plants. Manufacture of these base stocks in the past two decades underwent evolutionary changes due to
a number of reasons. The variety of crude oils that need to be processed has considerably increased, coupled with the
introduction of new and improved refining processes. Hydroprocessing has emerged to be the most important route for
this purpose. Different processing configurations involving replacement of dearomatization, dewaxing, and
hydrofinishing steps have been developed. Hydrocracking/hydroisomerization enabled the refineries to produce high-
viscosity-index paraffinic base stocks and oils that are comparable in performance to synthetic base.
In December 1997, Sasol Wax purchased the wax refining assets associated with the Engen oil refinery in Durban. Engen is
a petroleum refining and marketing company jointly owned by Petroliam Nasional Berhad (PETRONAS), Malaysia, and
Sasol under the name of Uhambo Oil. The facility has a refined paraffin wax production capacity of 30 thousand metric
tons per year. Sasol operates a major candle factory located in Johannesburg, Price’s Candles, with an annual capacity of up
to 30 thousand metric tons, which represents approximately 50% of the South African candle industry market.
The jointly owned SAPREF refinery (BP and Shell) in Durban also produces lubricating oils, as well as slack waxes. In 2008,
the company significantly increased its lube oil capacity. The country’s two other refineries, in Sasolburg (Natref, owned
by Sasol and Total) and Cape Town (Caltex, owned by Chevron), do not produce any slack waxes.
Salient statistics
Petroleum waxes
The following table presents supply/demand for petroleum waxes in Africa:
The following tables present African supply and demand for petroleum waxes by country for 2015 and 2009.
The South African wax market is estimated at approximately 95 thousand metric tons per year of medium-melt-point
paraffin wax, the majority of which is consumed by the local candle-making industry; about slightly more than half of that
amount is derived from lube oil production, the rest is synthetic. Sasol supplies approximately 60% of this market with
petroleum, as well as with synthetic Fischer-Tropsch waxes.
Synthetic waxes
Synthetic wax was originally a by-product of Sasol’s synthetic fuels process. However, synthetic fuel production has been
stopped at Sasol’s Sasolburg site, which now operates solely as a petrochemicals-from-coal producer. Synthetic transport
fuels are manufactured at the Secunda site.
Sasol Wax (formerly Schümann Sasol) manufactures synthetic Fischer-Tropsch waxes at its production plant in Sasolburg,
situated some 70 kilometers south of Johannesburg. The facility has the capacity to produce some 220 thousand metric
tons per year of Fischer-Tropsch wax products. Sasol owns and operates a wax plant integrated in the Engen refinery in
Durban, South Africa. This plant produces wax blends predominantly for the South African and other African candle
industries.
The Sasol Fischer-Tropsch process essentially consists of converting gas produced from coal gasification (syngas) to
hydrocarbons. Coal from both wholly owned and external collieries is sized and screened in a wet-screening plant. The
finer coal, which would adversely affect the efficiency of the gasifiers, is used as fuel for steam generation. The coarser coal
is fed to the Lurgi gasifiers, together with steam and oxygen (supplied from air-separation plants). Coal is gasified at 30
atmospheres to produce raw gas, consisting mainly of hydrogen and carbon monoxide together with lesser amounts of
carbon dioxide, methane, nitrogen, hydrogen sulfide, ammonia, oil and tars. The raw gas is cooled and the resulting water,
soluble components, and heavy hydrocarbons are removed. The cooled raw gas is then treated in a gas purification unit,
where carbon dioxide and hydrogen sulfide are removed by methanol absorption. The pure synthesis gas, consisting of a
fixed ratio of hydrogen and carbon monoxide, is then passed over an iron-based catalyst to produce a mixture of straight-
chain hydrocarbons (by means of the Fischer-Tropsch reaction).
Another possible source of syngas is natural gas. Since the middle of 2004, Sasol Gas supplies natural gas from
Mozambique to Sasol Infrachem, which converts it into synthetic gas, used as a feedstock for petrochemicals, including F-
T wax.
Two different reactor types are used for the above reaction. The first, Arge reactors, have a fixed tubular catalyst bed, while
the other, based on in-house Sasol technology, consists of a slurry reactor bed. The resulting hydrocarbon mixture is
separated in the work-up area to produce liquid paraffins, low-melt-point paraffin waxes and high-molecular-weight
Fischer-Tropsch waxes. The latter are hydrogenated, chemically modified to produce oxidized and saponified waxes, or
distilled to give various narrow-molecular-weight fractions. The Sasol plant also has the capability of producing a wide
range of solid forms of the various waxes, including micronized powders, coarse powders, flakes, and prills.
In March 2010, Sasol started the expansion of its F-T waxes facility at Sasolburg. The first stage of the project was expected
to come onstream in 2012, but phase I and II have seen delays and rising costs. In June 2015, Sasol commissioned the phase
I expansion. Phase II of the project has commenced and it is scheduled to finish in the first half of 2017. The new facility
will effectively double Sasol Wax production in South Africa after completion.
Escravos GTL (EGTL) is a GTL plant being built in Escravos, Nigeria, by Chevron Nigeria Limited (CNL) and Nigerian
National Petroleum Corporation (NNPC) in collaboration with Sasol and Sasol Chevron. It is not clear if this plant will
produce any Fischer-Tropsch waxes. Sasol Chevron is equally considering developing another GTL project in Algeria. The
GTL plant is expected to become operational by 2012–13. The plant will use Sasol’s Fischer-Tropsch process technology and
Chevron’s isocracking technology. The project is developed by Chevron Nigeria Limited (75%) and the Nigerian National
Petroleum Company (25%). The third partner was Sasol; however, due to increased cost and delays, Sasol withdrew from
the project in 2009.
Supply and demand for other synthetic and modified waxes is represented in the following table:
Exports originate exclusively from South Africa, whereas Nigeria, Kenya, Tunisia, Algeria, and Morocco are the other
countries with significant demand for these products.
South Africa, Morocco, Algeria, and Egypt account for the bulk of the demand in the region.
Consumption
The following table presents African wax consumption:
Trade
Africa is a net exporter of insect waxes, mainly beeswax. Ethiopia, Tanzania, and the Central African Republic are the
leading exporters.
Africa is a net exporter of both crude and refined petroleum waxes; Egypt and South Africa are the leading exporting
countries.
Synthetic waxes
Approximately 65–75 thousand metric tons of mainly high-molecular-weight Fischer-Tropsch waxes are exported from
South Africa each year. The Asia Pacific region accounts for about 25% of this volume, while the balance is consumed in
equal proportions in North America and Europe.
Sasol Wax’s Fischer-Tropsch waxes are used primarily in the manufacture of hot-melt adhesives. Other applications
include inks and coatings, polishes, conditioning agents for textiles, and in PVC processing.
The following table presents African trade in polyethylene glycol (PEG) waxes:
In 2014, Egypt accounted for 63% of imports, followed by Algeria (15%). The majority of exports are from South Africa.
South Africa accounted for 33% of imports in 2014, followed by Egypt (30%), Morocco (11%), and Algeria (10%).
Candles
The following table represents African trade in candles:
Many African countries are importing candles. Among the leading importers are Nigeria (15% of overall imports in 2014),
followed by the Democratic Republic of Congo (7%), and Gambia (5%). South Africa is a major exporter in the region.
Japan
Producing companies
Vegetable waxes
The following table shows Japanese producers, refiners, and suppliers of vegetable waxes:
Araki Seiro is the only noteworthy producer of Japan wax. Other producers of Japan wax are relatively small, comprising a
household or cottage industry. Japan wax is produced by extraction from the fruit of the Japan wax tree.
Boso Oil and Fat Co., Ltd. is the only Japanese producer of pure rice wax from rice bran oil. Generally, rice wax is not
removed from rice bran oil, but Boso Oil and Fat uses special equipment to separate pure rice wax from crude rice bran oil.
Some other refiners separate rice wax from crude rice bran oil, but their wax products are not pure.
Yokozeki Oil & Fat Industries Co., Ltd. manufactures candelilla wax, rice wax, beeswax, and Japan wax for cosmetic
product materials.
Miki Chemical Industry is the biggest refiner of beeswax in Japan. Japanese refiners import beeswax and sell to users and
formulators. Some refiners also formulate beeswax products.
Nippon Fine Chemical now has more than 80% of total lanolin capacity in Japan. Japanese producers import crude wool
waxes and refine them to produce lanolin. Takasago International no longer refines lanolin, but resells Nippon Fine’s
products. In addition to the listed companies in the table, Cerarica Noda Co., Ltd. also refines lanolin and New Japan
Chemical Co., Ltd. produces lanolin derivatives by hydrogenating lanolin.
Clariant Japan imports montan wax from Germany and produces synthetic montan waxes through a chemical process. In
the last several years, imports of montan wax have been about 0.7–0.9 thousand metric tons. It is believed to have
imported approximately 0.9–1.0 thousand metric tons annually in the late 1990s. Import levels decreased to around 0.7
thousand metric tons in 2001. Ceresin has not been supplied in recent years, because not enough raw material (ozokerite)
has been obtained. Ceresinlike wax prepared from other waxes is supplied by Nikko Fine Products.
Petroleum waxes
Japanese petroleum wax producers have a combined annual capacity of 129 thousand metric tons. Nippon Seiro Co., Ltd.,
the largest producer of wax in Japan, reportedly has an annual capacity of more than 80 thousand metric tons. The
capacity of JX Nippon Oil and Energy is 35 thousand metric tons, including capacity for paraffin waxes, which are no
longer produced. The company stopped production of paraffin waxes in 1996 and now only produces microcrystalline
waxes. JX Nippon Oil and Energy has imported paraffin waxes from China since 1996.
Taniguchi Petroleum Refining Co., Ltd., a previous producer, resells petroleum waxes. Showa Yokkaichi Sekiyu Co., Ltd.
also produces petroleum waxes with high oil content that are sold to other petroleum wax producers as raw materials. The
following table lists Japanese petroleum wax producers, their plant locations and capacities:
JX Nippon Oil and Energy Corporation stopped supply and production of microcrystalline wax in 2015, and paraffin wax in
1996.
Synthetic waxes
Japan has an annual capacity of just over 33.5 thousand metric tons of low-molecular-weight polyolefin waxes. The
following table shows Japanese producers of polyolefin-type waxes:
lene.d
2 Viscol Polypropylene wax.
Yasuhara Chemical Co., Ltd.e
Fuchu-shi, Hiroshima 3 Neo Wax By-products of polyethylene.
Total 33.5
a. Aquired PE wax facility from Chusei Oil Co., Ltd. Nissho Corporation is a distributor firm of Chiba Fine Chemical.
b. Approximately 24 grades available with molecular weights ranging from 1,000 to 4,000; softening points ranging from 100°C to 132°C and density ranging from 0.90 to 0.97 gram per cubic centimeter.
c. Polyethylene type is available in four grades with molecular weights ranging from 2,400 to 6,400; softening points ranging from 110°C to 111°C; and density of 0.92 gram per cubic centimeter. Polypropylene type
is available in four grades with molecular weight ranging from 7,000 to 29,000; softening points ranging from 148°C to 152°C and density of 0.90 gram per cubic centimeter.
d. Polyethylene types have molecular weights ranging from 1,500 to 6,000 and softening points ranging from 107°C to 133°C; density is from 0.91 to 0.96 gram per cubic centimeter. Polypropylene types have mo-
lecular weights ranging from 3,000 to 15,000 and softening points ranging from 145°C to 157°C; density is 0.89 gram per cubic centimeter.
e. Formerly Yasuhara Yushi Kogyo. Available in six grades with molecular weights ranging from 650 to 750; softening points around 95°C to 115°C; and relative density of 0.94-0.95.
Source: IHS Chemical estimates. © 2015 IHS
In 2008, Chusei Oil Co., Ltd. sold its polyethylene wax facility to Chiba Fine Chemical Co., Ltd., a subsidiary company of
JNC Corporation. Chiba Fine Chemical Co., Ltd. produces polyethylene wax from by-products of polyethylene production.
Although its total production capacity is about 4 thousand metric tons per year, Chiba Fine Chemical has ceased the
production because of the deficient raw material of by-product polyethylene waxes. Recently, Chiba Fine Chemical has
imported by-product polyethylene waxes from Thailand and sold under the trade name CP-Adwax through Nissho Co.,
Ltd., also a subsidiary company of JNC Corporation. The average molecular weight of these products is from 510 to 630;
lower than polyethylene wax produced by direct polymerization or decomposition.
Mitsubishi Chemical, Inc. produced a wide range of linear alpha-olefins, from C4 to C30 and higher, by ethylene
oligomerization. Products with a molecular weight higher than 420 (C30 and higher) were sold under the trade name
Dialen, but production was ceased a few years ago.
Mitsui Chemicals produces polyethylene wax, sold under the Mitsui HI-WAX trade name, by ethylene polymerization
using its own Ziegler-type and metallocene catalyst. It also produces oxidized waxes and waxes produced by
copolymerization of ethylene and unsaturated carboxylic acid. Capacity for these products is 23 thousand metric tons per
year, increased from 8.5 thousand metric tons in past years. Mitsui Chemical also produces polypropylene waxes by
decomposition of polyethylene and polypropylene; production capacity for these products is 3 thousand metric tons
annually.
Sanyo Chemical Industries, Ltd. produces polypropylene wax by decomposition of polypropylene and sells it under the
Viscol trade name. The company resells polyethylene and oxidized polyethylene waxes under the Sanwax trade name.
Yasuhara Chemical Co., Ltd. produces polyethylene-type wax from by-products of polyethylene polymerized under low or
medium pressure. Its products are sold under the Neo Wax trade name. Average molecular weight of these products is
lower than polyethylene waxes produced by direct polymerization or decomposition. These products are said to be similar
to Fischer-Tropsch waxes.
Polyethylene and polypropylene waxes are imported mainly from the United States and Germany. Products of Honeywell,
Eastman Chemical, Petrolite, Clariant, and BASF are believed to be imported. Honeywell is believed to account for the
largest share.
As Fischer-Tropsch waxes are not produced in Japan, imported products play a role in the market. Fischer-Tropsch waxes
have been imported for more than 50 years from Sasol in South Africa by S. Kato & Company. Sasol has a plan to expand its
facility by double by 2018. Nippon Seiro Co., Ltd. imported Fischer-Tropsch wax from Shell MDS (Malaysia) Sdn. Bhd. from
1994 until an explosion destroyed Shell’s plant in December 1997. Imports have continued from stock. Shell restarted its
Malaysian plant in May 2000.
In some cases, fatty amides are also thought of as synthetic waxes. N,N’-ethylene bis(stearamide), octadecanamide
(stearamide), oleamide, elcamide, N,N’-methylene bis(stearamide), and methylol stearamide are major fatty amides that
are basically considered to be synthetic waxes. N,N’-ethylene bis(stearamide), which is sometimes called EBS wax, has the
largest share among them. The following table shows Japanese producers of fatty amides, their plant locations, capacities,
and product types:
Daiichi Kogyo Seiyaku Co., Ltd., a major supplier of fatty amides, imports from Taiwan.
Kao has imported fatty amides from its subsidiary, Kao Oleochemical (Malaysia) Sdn. Bhd., since late 1992. Kao also has a
subsidiary in Taiwan that produces fatty amides, primarily for sale in Taiwan. NOF Corporation also has a subsidiary in
Taiwan and is a supplier of fatty amide products to the Taiwanese market.
Many kinds of synthetic fatty esters are produced by various Japanese producers. Many applications exist for fatty esters,
including foods, cosmetics, lubricants, plastic additives, and fiber-processing agents. A large number of small fatty ester
producers in Japan supply these specialized markets. In some cases, some of these products can be classified as synthetic
waxes, including certain glycerin fatty acid esters, sorbitan fatty acid esters, and propylene glycol fatty esters. Other types
of fatty acids and/or alcohols are also included in this category. The following table shows major producers of fatty esters
in Japan:
Most Japanese producers purchase fatty acids to produce fatty esters. Kao Corporation, NOF Corporation, and Miyoshi Oil
& Fat Co., Ltd. have fatty acid capacity and produce fatty esters from captive raw materials.
Salient statistics
The following tables show Japanese supply/demand for waxes:
Japan wax and rice waxes are the major vegetable waxes produced in Japan. Other vegetable waxes, such as carnauba wax
and candelilla wax, are imported and refined by several Japanese suppliers. Japan imports and refines crude beeswax.
Lanolin is produced in Japan using imported crude wool grease. Japan does not produce any mineral waxes (excluding
petroleum waxes), but imports montan wax from Germany.
Petroleum waxes accounted for about 74% of all waxes produced in Japan during 2015. Synthetic waxes accounted for
about 23% of all waxes produced in Japan during the same year. Production of polyethylene wax from both direct ethylene
polymerization and decomposition has decreased slightly in response to a decrease in domestic consumption. Production
of polyolefin waxes accounted for more than 60% of total synthetic wax production in 2015.
Consumption
Vegetable waxes
Approximately 3.2 thousand metric tons of vegetable waxes were consumed in Japan in 2015, decreasing from 4.7
thousand metric tons in 2010. Consumption has decreased mainly because of a decrease in carnauba wax and candelilla
wax consumption. Although total consumption of vegetable wax was not very large, it has remained fairly constant
because some customers prefer to use materials from natural sources.
Carnauba wax accounted for more than 59% of total vegetable wax consumption. Consumption of carnauba wax for
automobile polishing, floor polishing, and the fiber industry has been decreasing. However, carnauba wax usage for toners
for printers has grown in recent years, although consumption for thermal transfer inks and ink ribbons is decreasing. In
2015, carnauba wax consumption for ink, toners, and coatings accounted for about 60% of all carnauba wax consumption.
Consumption for these applications, however, is not expected to increase much because of competition with lower-priced
polyolefin waxes and frequent price fluctuations. Other applications of carnauba wax are fruit and candy coatings,
cosmetics, paper coatings, textiles, and mold-release agents.
Consumption of candelilla wax in Japan was estimated at 339 metric tons in 2015, increased from 314 metric tons in 2010.
It is used in applications similar to those described for carnauba wax, such as printer ink, cosmetics, and food additives.
Candelilla wax is imported from Mexico.
Demand for Japan wax has been limited for several years. For the last five years, only 54 metric tons of Japan wax have
been used in specialized applications such as candles, industrial applications such as textile and leather processing,
polishes, cosmetics, and crayons.
About 500–600 metric tons of rice wax have been consumed annually for the last five years, mainly as lubricants for
resins. Consumption for inks has been increasing, but usage in some applications is falling. Thus, total consumption has
remained nearly level in recent years and this trend is expected to continue for the next five years. It can be used as a
substitute for carnauba wax in many applications.
Over the next five years, total consumption of vegetable waxes is expected to decrease significantly at the negative growth
rate of 7.4% annually.
Lanolin is used primarily in cosmetics, pharmaceuticals, shampoos, and leather-processing oil additives. In Japan, leading
producing companies are Nippon Fine Chemical Co., Ltd. and Croda Japan KK. Nippon Fine Chemical has increased in the
leather processing market, while Croda Japan has focused in cosmetics and pharmaceuticals. Total production of lanolin in
Japan has been 2,500–3,000 metric tons annually, of which more than 85% is exported. In 2015, exports were about 2.5
thousand metric tons. This figure excludes production of lanolin derivatives. New Japan Chemical Co., Ltd. hydrogenates
lanolin to produce its derivatives. Recent annual consumption of lanolin is estimated at 400–500 metric tons and has
been slightly increasing in cosmetics and pharmaceutical applications. Cosmetics and pharmaceutical applications
accounted for about 180 metric tons of the lanolin consumed recently.
Overall, consumption of animal and insect waxes will increased at the annual growth rate of 2% in the next few years.
Petroleum waxes
The following table shows Japanese historical consumption of petroleum waxes for 1981–97:
The following table shows the consumption breakdown of Japanese petroleum waxes after 1998, in which the end-use
categories have slightly changed, reflecting a shift of consumption patterns:
Consumption of petroleum wax decreased in 2015 to 46.6 thousand metric tons, from about 56 thousand metric tons in
2010. Imports of petroleum wax have increased significantly since 1996, primarily because Nippon Petroleum Refining
(now JX Nippon Oil & Energy) started to import paraffin wax from China instead of producing domestically. Currently,
Japanese imports of petroleum wax have returned to previous levels. Nippon Seiro Co., Ltd. and JX Nippon Oil & Energy
Corporation are the major suppliers. Japan has imported petrolatum, but the amounts are not available. These amounts
should be excluded from the above Japanese consumption figures because Japanese wax producers generally do not
consider these products to be waxes.
Petroleum wax used in rubber compounding is the largest application. In 2015, it is estimated to account for more than
23% of the total consumption of petroleum waxes. In rubber use, particularly in the tire industry, petroleum waxes are
used to protect rubbers from deterioration by oxidizing and UV radiation. Waxes consumption for this use will grow
slowly over the next five years.
Candle manufacture was the largest end use for petroleum waxes in Japan. Nearly 20 thousand metric tons of petroleum
wax were consumed for candle manufacturing in the mid-1990s, but this decreased to less than 8 thousand metric tons
(17.1% of the total) in 2015 because of decreases in candle consumption in Japan due to a change of consumer lifestyle.
Also, petroleum wax for paper coating applications plateaued because of replacement by PE laminates.
In ink applications, consumption of petroleum wax has increased as toner use has strongly increased. Petroleum waxes
must also compete with plastics, plastic laminates, and other materials in applications such as paper coating and food
packaging. No major new uses for petroleum waxes are expected during the next five years. Although petroleum waxes
still remain a major component in end products, Japanese demand for petroleum waxes is expected to decline over the
next five years at about 3.7% per year. Japanese consumption of petroleum waxes has being replaced by synthetic waxes
such as Fischer-Tropsch waxes.
Synthetic waxes
An estimated 11 thousand metric tons of polyolefin waxes were consumed in Japan in 2015, decreased from 13 thousand
metric tons in 2010. Polyethylene waxes produced by both direct polymerization of ethylene and by decomposition of
polyethylene have higher molecular weights than polyethylene waxes produced from by-products of polyethylene. In
recent years, as raw material of by-product polyethylene waxes has been deficient in the market, Chiba Fine Chemical has
imported and resold by-product polyethylene waxes from Thailand. Polyolefin waxes are used in resins as pigment
dispersing agents, lubricants and slip agents, toner for printer and copy machines, and also in printing inks, textile
processing, and rubber compounding. Consumption of polyethylene waxes from polymerization or decomposition has
been estimated at about 8–9 thousand metric tons in 2015. Polyethylene waxes produced from by-products of
polyethylene have a lower molecular weight and are used mainly for hot-melt adhesives and paint. Consumption of by-
product types is estimated at about 2–3 thousand metric tons per year. Japanese consumption of polyolefin waxes has
been declining in recent years. Average annual growth of polyolefin waxes over the next five years is expected to remain at
3.3% because of the hollowing out of the Japanese manufacturing industry. Fischer-Tropsch waxes are used in hot-melt
adhesives, printing inks, plastic lubricants and polishes. Imports of Fischer-Tropsch waxes have been increasing since
2013, reaching 16 thousand metric tons, mainly used as raw material for petroleum waxes by Nippon Seiro Co., Ltd. It is
expected that with the expansion of the Sasol factory in South Africa, average annual imports and consumption of
Fischer-Tropsch waxes will increase strongly at 5–7% over the next five years.
It is estimated that 13–14 thousand metric tons of fatty amides were consumed in Japan in 2015. These fatty amides are
used mainly as flow- or slip-promoting agents for many kinds of thermoplastic polymers. N,N’-ethylenebis(stearamide)
has more than 50% of the market for such agents. Oleinamide, stearamide, and erucamide each has 10–15% of the market.
Since 80% of N,N’-ethylenebis(stearamide) usage is believed to be for ABS, its consumption is heavily dependent on ABS
production in Japan. Stearamide, oleinamide, and erucamide are used mainly as slip agents for polyolefins. Recently,
consumption of erucamide has tended to follow LLDPE production, because the slip performance of erucamide is well
suited for LLDPE.
Japanese consumption of synthetic waxes based on fatty esters is believed to be 4.5–5.0 thousand metric tons, which
might include some “oily” fatty esters. Fatty esters classified as waxes are used mainly as slip agents for PVC resins and in
cosmetics applications.
Price
The following tables show list prices of waxes in Japan:
In recent years, abrupt depreciation of the yen has caused a significant price increase for all waxes.
Trade
Fischer-Tropsch waxes represented the greatest volume of imports in 2015, accounting for approximately 35%. Overall
imports of waxes are estimated to increase to 58.7 thousand metric tons in 2015 from 47.9 thousand metric tons in 2010.
In 2015, total exports of waxes is estimated at 45.9 thousand metric tons, of which petroleum waxes accounted for 38
thousand metric tons (83% of total exports). Petroleum wax exports have been decreasing since the mid-2000s, mainly
because of decreased exports to South Korea and the United States. Imports of Fischer-Tropsch waxes have increased
rapidly to 15.9 thousand metric tons since 2013. (For trade statistics, see the Salient statistics section.)
The following table shows Japanese exports of vegetable, animal, and insect waxes:
Japan imports crude wool grease and refines it to produce lanolin; part of the production is exported.
Mineral waxes
The following table shows Japanese imports and exports of petroleum waxes. The table excludes petrolatum.
Synthetic waxes
Japan imports Fischer-Tropsch wax from South Africa and Malaysia. The following table shows Japanese imports of Fisher-
Tropsch wax:
Imports of Fischer-Tropsch wax have been strongly increasing in recent years mainly due to the increased imports by
Nippon Seiro Co., Ltd., which uses Fischer-Tropsch waxes as raw materials for paraffin waxes.
Polyolefin waxes, such as polyethylene and polypropylene waxes, which are produced by direct polymerization or
decomposition, have been imported from Germany and the United States. In recent years, Chiba Fine Chemical has
imported by-product polyethylene waxes from Thailand. About 3 thousand metric tons of products have been imported
annually. Exports of polyolefin waxes are estimated to be about 5 thousand metric tons in recent years.
Fatty amides are imported mainly from China and South Korea. About 13.5 thousand metric tons of fatty amides were
imported in 2015. Major Japanese fatty amide producers, such as NOF Corporation and Nippon Fine Chemicals, have
manufacturing facilities in China, Malaysia, Indonesia, and the Philippines.
China
Producing companies
Petroleum waxes
In China, petroleum wax accounts for more than 80% of total wax consumption. China is the largest petroleum wax–
producing country and accounts for more than one-third of global petroleum wax production. Much of the petroleum wax
consists of paraffin waxes. In 2015, the total capacity of petroleum waxes in China is estimated to be 1,880 thousand
metric tons.
The major producers of paraffin waxes in China are mainly concentrated in two groups: PetroChina (China National
Petroleum Corporation, CNPC) and SINOPEC (China Petro-Chemical Corporation) Group. Fushun Petrochemical
Company, Dalian Petrochemical Company, Daqing Petrochemical Company, and Lanzhou Petrochemical Company are
the major producing sites for petroleum wax under PetroChina, and the total capacity has reached around 1,100 thousand
metric tons in 2015. Meanwhile, Beijing Yanshan Petrochemical Company, Shanghai Gaoqiao Petrochemical Company,
Jingmen Petrochemical Company, Maoming Oil Refining Company, among others, are the major producing sites for
petroleum wax under SINOPEC Group, and the total capacity has reached around 500 thousand metric tons in 2015.
Beijing Yanshan Petrochemical Company has just announced that it will close its paraffin waxes production in early
October of 2015 due to domestic paraffin waxes oversupply.
Besides paraffin waxes, microcrystalline waxes are produced by a few companies: Jingmen Petrochemical Co., Ltd.,
Nanyang Energy Chemical Co., Ltd., Nanchong Petrochemical Co., Ltd., among others. Total capacity is estimated to be
around 30 thousand metric tons.
Vegetable waxes
The following table presents Chinese producers of vegetable waxes:
In China, vegetable waxes mainly include carnauba wax, candelilla wax, rice wax, sugarcane wax, laurel wax, castor wax,
and jojoba wax, among which the first four have the largest production. Total capacity of vegetable waxes is estimated to
be 9 thousand metric tons in 2015. BASF announced that it will expand its waxes production capacity with a new plant at
its site in the Jinshan district of Shanghai. The additional facility is anticipated to go onstream in the first quarter of 2017.
Several products produced in the Jinshan plant are derived from natural feedstocks, including palm oil.
Besides beeswax, there are also a few lanolin wax producers in China. NK Chemicals in Nanjing (which is a subsidiary of
NK Chemical in Singapore) and Wujiang City Fanrong Chemical Co., Ltd. produce lanolin wax.
Synthetic waxes
The main synthetic wax in China is polyolefin wax. Annual capacity for polyolefin wax is estimated at about 13 thousand
metric tons in 2015 and about 90% is polyethylene wax.
For the other synthetic waxes, development in China remains at an early stage and much of the consumption relies on
imports. For example, domestic production of Fischer-Tropsch wax is breaking through technical barriers. Shanxi Lu’an
Coal-Based Synthetic Oil Co., Ltd. already has the core technology of separation and refining of Fischer-Tropsch wax after
technology research and process adjustments. But the advancement and stability of this technology has to be verified by
mass production.
Salient statistics
In the 1990s, wax production growth was above 10% per year until 1997. In the 2000s, Chinese petroleum wax production
reached a plateau and dropped gradually because exports have been decreasing, especially since 2005. In China, petroleum
waxes currently account for about 90% of total wax consumption. The following table shows Chinese supply/demand for
petroleum waxes:
Much of the petroleum wax consists of paraffin waxes. Paraffin waxes are consumed for candles, rubber compounding,
paper coatings, cosmetics, and other chemical industry uses in China. A considerable amount of paraffin waxes are
consumed as chlorinated paraffin wax (CPW) for industry use in China, such as for the PVC, lubricant, paint, sealant, and
rubber industries.
Overall, in the last five years, the annual production of petroleum wax has remained at around 1,200 thousand metric
tons. Imports and exports also kept at a relatively stable level.
Consumption
The following table presents Chinese consumption of waxes:
Consumption of petroleum waxes in China is estimated to be 746 thousand metric tons in 2015. In recent years, domestic
consumption of petroleum waxes has remained at 700–800 thousand metric tons. Petroleum waxes use in candle
manufacture is the largest application, and accounts for around 42% of total consumption in 2015. Candles are mainly
used in lighting and various celebrations in China. Paper and cardboard packaging is the second-largest application.
Petroleum waxes are also widely used in the fields of cosmetics and personal care, rubber production, pharmaceuticals,
and construction.
In recent years, with the rapid increase of car ownership, consumption of automobile protective waxes has rapidly
increased. In addition, waxes used in cosmetics and personal care also maintained high growth, while waxes used in
lighting have declined.
Other than petroleum waxes, consumption of vegetable waxes is expected to have rapid growth. Vegetable waxes are used
in producing candles, inks, lubricants, cosmetic and personal care products, and polishes. Due to the increasing concern of
environmental protection and human health, vegetable waxes will have more and more attention in the market. In
addition, synthetic waxes also have good development prospects. The main applications of synthetic waxes are in the
production of plastics, coatings, inks, adhesives, textile auxiliaries, and polishes. Both production and imports have largely
increased in the last several years and are expected to maintain high growth in the next five years.
Price
The following table shows the list prices of waxes in China:
Trade
Vegetable wax
The following table presents Chinese trade in vegetable waxes:
The increase of imports in 2011 and 2012 were mainly due to large vegetable wax imports from Indonesia.
Chinse trade in wool grease and fatty substances derived from ita
(thousands of metric tons)
Imports Exports Net imports
2000 0.1 0.5 -0.4
2001 0.1 0.9 -0.8
2002 0.0 6.2 -6.2
2003 0.1 4.1 -4.0
2004 0.0 7.4 -7.4
2005 0.0 6.5 -6.5
2006 0.0 10.6 -10.6
2007 0.1 9.4 -9.3
2008 0.0 8.5 -8.5
Chinse trade in wool grease and fatty substances derived from ita
(continued)
(thousands of metric tons)
Imports Exports Net imports
2009 0.1 11.6 -11.5
2010 0.1 12.0 -11.9
2011 0.1 12.4 -12.3
2012 0.1 12.5 -12.4
2013 0.1 10.6 -10.5
2014 0.1 13.1 -13.0
2015 0.0 12.3 -12.3
a. Data include lanolin. Reported under import codes # 1505.00 and # 1505.90.
Source: Global Trade Atlas, Global Trade Information Services, Inc. © 2015 IHS
Petroleum waxes
The following table presents Chinese trade in petroleum waxes:
Exports of petroleum waxes reached a maximum of 755.2 thousand metric tons in 2005. Since then, exports have
declined gradually due to the collection of antidumping duties by US government beginning in September 2006.
Synthetic waxes
The following table presents Chinese trade in polyethylene (PE) waxes:
The following table presents Chinese trade in polyethylene glycol (PEG) waxes:
Candles
The following table shows Chinese trade in candles:
Exports of candles are similar to exports of petroleum waxes, which reached a maximum in 2005 and have since declined
gradually. In addition to the United States, Europe also decided to impose antidumping duties on Chinese candles
beginning in May 2009, which impacted exports significantly. But the European Union removed this measure in August
2015, which iss expected to benefit Chinese exports of candles.
Other Asia
South Korea and Taiwan have refineries where paraffin waxes are produced. Both countries are estimated to produce
paraffin waxes at approximately 20 thousand metric tons each.
There may be several polyolefin wax producers in South Korea and Taiwan. These produce polyethylene wax from by-
products of polyethylene production. Consumption is in the range of 4–7 thousand metric tons each, with Taiwan
believed to be more than South Korea. Polyolefin waxes are used for the same applications in South Korea and Taiwan as
they are in Japan.
Shell MDS (Malaysia) Sdn Bhd is the largest solid wax producer through gas-to-liquids (GTL) production. The wax plant
was expanded in 2012, which was reported to have doubled the annual capacity to 150 thousands of metric tons.
Consumption
The following table presents Other Asian consumption of waxes:
Vegetable wax
Imports
The following table presents Other Asian imports of vegetable wax:
Exports
The following table presents Other Asian exports of vegetable wax:
Imports
The following table presents Other Asian imports of beeswax and other insect waxes:
Exports
The following table presents Other Asian exports of beeswax and other insect waxes:
Imports
The following table presents Other Asian imports of wool grease and fatty substances derived from it:
Other Asian imports of wool grease and fatty substances derived from ita
(thousands of metric tons)
South
India Indonesia Malaysia Philippines Singapore Korea Taiwan Thailand Totalb
2000 0.1 0.2 0 0 0.1 0.1 0.1 0.6 1.2
2001 0.1 0.4 0.1 0.1 0.1 0.2 0.1 0.7 1.8
2002 0 0.2 0 0.2 5.0 0.2 0.1 0.6 6.3
2003 0.5 0.1 0 0.3 2.4 0.1 0.1 0.7 4.2
2004 0.7 0.2 0 0.3 3.6 0.2 0.1 0.7 5.8
2005 0.7 0.1 0.2 0.4 4.7 0.1 0.1 0.3 6.6
2006 0.6 0 0 0.4 3.5 0.2 0.1 0.7 5.5
2007 0.6 0 0 0.3 2.0 0.1 0.1 0.6 3.7
2008 0.5 0 0 0.2 2.1 0.1 0.1 0.3 3.3
2009 0.5 0.1 0 0.4 1.9 0.1 0.1 0.2 3.3
2010 0.6 0.1 0 0.1 2.5 0.1 0.1 0.3 3.8
2011 0.3 0.2 0 0.3 2.8 0.1 0.1 0.3 4.1
2012 0.4 0.1 0 0.7 2.2 0.2 0.1 0.3 4.0
2013 0.3 0.1 0 0.2 2.1 0.2 0.1 0.3 3.3
2014 0.4 0.1 0 0.1 3.0 0.3 0.1 0.3 4.3
2015c 0.3 0.1 0 0 2.6 0.3 0.1 0.5 3.9
a. Data include lanolin. Reported under import code # 1505.00.
b. Totals may not equal the sums of the columns because of rounding.
c.Data are trough July for South Korea and Thailand, through May for Malaysia and the Philippines, through April for India, and through June for other countries.
Source: Global Trade Atlas, Global Trade Information Services, Inc. © 2015 IHS
Exports
The following table presents Other Asian exports of wool grease and fatty substances derived from it:
Other Asian exports of wool grease and fatty substances derived from ita
(thousands of metric tons)
South
India Indonesia Malaysia Philippines Singapore Korea Taiwan Thailand Totalb
2000 0 0 0 0 1.7 0 0.1 0 1.8
2001 0 0 0 0 1.6 0 0.1 0 1.7
2002 0.1 0 0 0 1.6 0 0.1 0 1.8
2003 0.2 0 0 0 1.6 0 0.1 0 1.9
2004 0.2 0 0 0 2.1 0 1.2 0 3.5
2005 0.5 0 0 0 1.5 0 0.9 0 2.9
2006 0.4 0 0 0 1.4 0 1.1 0 2.9
2007 0.4 0 0 0 1.4 0 0.7 0 2.5
2008 0.5 0 0 0 1.0 0 0.7 0 2.2
2009 0.4 0 0.3 0 1.7 0 0.4 0 2.8
2010 0.7 0 0 0 2.2 0 0.5 0 3.4
2011 0.7 0 0 0 1.0 0 0.7 0 2.4
2012 0.7 0 0 0 1.1 0 0.4 0 2.2
2013 0.5 0 0.2 0 1.5 0 0.1 0 2.3
2014 0.5 0 0.1 0 1.8 0 0.1 0 2.5
2015c 0.9 0 0.3 0 1.6 0 0.1 0 2.9
a. Data include lanolin. Reported under export code # 1505.00.
b. Totals may not equal the sums of the columns because of rounding.
c. Data are through July for South Korea and Thailand, through May for Malaysia and the Philippines, through April for India, and through June for other countries.
Source: Global Trade Atlas, Global Trade Information Services, Inc. © 2015 IHS
Petroleum wax
Imports
The following table presents Other Asian imports of petroleum wax:
Exports
The following table presents Other Asian exports of petroleum wax:
Oceania
Consumption
The following table presents Oceanian consumption of waxes:
Trade
Petroleum waxes
The following table shows Oceanian imports and exports of petroleum waxes:
Bibliography
IHS Chemical Economics Handbook—The following CEH reports contain additional information that is related to the
subject of this report:
IHS Specialty Chemicals Update Program—The following Specialty Chemicals Update Program reports contain
additional information that is related to the subject of this report:
Plastic Additives
Printing Inks
Rubber Processing Chemicals
Synthetic Lubricants
Other References—The following list of additional references is suggested for supplemental reading:
Allpress, James, “Nabucco Open Season to Finish End of 2010,” ICB, 7 June 2010.
Beercheck, Richard, “Hot Trio: White Oil, Microwax, Petrolatum,” Lubes ‘n’ Greases, July 2015.
Demarco, Nancy, “No Plan No Future,” Lubes ‘n’ Greases, January 2011.
Demarco, Nancy, “Wax Market Meltdown,” Lubes ‘n’ Greases, January 2011.
Gill, George, and Gabriela Wheeler, “Colas Joins Group I Exodus,” Lubes ‘n’ Greases, March 2015.
Kamchev, Boris, “Are Europe’s Waxes Up to Snuff?” Lubes ‘n’ Greases, January 2014.
Mills, James, “Alternatives to Paraffin Wax Needed to Avoid World Shortage,” ICIS, 11 November 2010.
Mills, James, “Glimmer of Hope for More Paraffin Wax,” ICIS, February 2011.
Niobeni, Siseko, “New Sasol Plant for Wax Exports,” All Africa, 12 March 2010.
Sargeant, John, and Stuart Speding, “Every Silver Lining Has a Cloud, “ Lubes ‘n’ Greases, October 2015.
“The Coming Base Oil Glut,” Lubes ‘n’ Greases, January 2010.