Global Tung Oil Market Analysis, Drivers, Restraints, Opportunities, Threats, Trends, Applications, and Growth Forecast to 2027

Global Tung Oil Market Overview

"The Tung Oil Market size is expected to be worth around US$ xx Billion by 2021 from US$ X.xx million in 2031, growing at a CAGR of X.x% during the forecast period 2021 to 2031."

Believed to have originated in ancient China, tung oil – also known as China wood oil – is produced by pressing seeds from tung or Vernicia fordii trees’ nuts. The tree is from the Euphorbiaceae family and is native to countries such as China, Burma, and Vietnam. The extracted oil is used as drying and hardens when it comes in contact with air.

Besides being used to waterproof wood surfaces such as furniture, boats, bridges, etc., tung oil is used in pesticides and electronics applications. The coating imparts a lustrous finish and also creates a surface that helps to resist marring, scratching, and the oil penetrates into wood very effectively. Production and use does not have impact on the environment, and is environmentally friendly.

China is the primary source of tung oil, and Aleurites Montana, Aleurites fordii, and, deciduous trees are highly susceptible to frost damage. As a result of this vulnerability, tung tree cultivation is more predominant in China and South America.

Dynamics

Tung oil is used in the production of varnishes and lacquers, paints, linoleum, resins, oilcloth, synthetic leather products, felt-based floor coverings, brake linings, grease, as well as cleaning and polishing compounds. Tung oil is used to coat furniture and wood, and also as a protective coating on radar, telephones, and other communication equipment and hardware.

Increasing urbanization, changing lifestyle, and rising per-capita income among consumers in developing economies are among some of the primary factors driving demand for tung oil. A number of furniture producers are increasing the visibility of furniture and other wood products on e-Commerce platforms. High visibility, consumer reviews, and the availability of vast catalogs to choose from in terms of furniture design and style are among other positive factors.

However, low-profit margins as a result of the high cost of raw materials are among the primary factors restraining demand. Tung tree growing is declining, especially in China, owing to high production costs. Growing tung trees or plantations is time-consuming and the costs increase as per climatic conditions. Tung trees are impacted by frost, and the areas growing tung trees has been steadily declining due to changing climatic conditions. As a result, the number of players in the global tung oil market is low, which makes it highly competitive.

Global Tung Oil Market Segment Analysis:

By Product: Among the product type segments, raw tung oil accounts for a significantly higher revenue share in the global tung oil market.

By Application: The wood finishing segment among the application segments accounts for substantially higher revenue share as compared to the electronics segment.

Global Tung Oil Market Segment Analysis:

The market in the Asia Pacific is projected to register the fastest-growing revenue during the forecast period. Factors such as rapid urbanizations, increasing penetration of e-Commerce platforms, increasing adoption of furniture for outdoor use, and increasing spending power among consumers in countries in the region. In addition, comparatively lower labor costs and favorable government policies for exports in these countries are also expected to drive the growth of the market in the APAC region.

Global Tung Oil Market Segment Analysis: 

By product type:

• Raw Tung Oil
• Boiled Tung Oil

By application

• Wood Finishing
• Electronic

By region:

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East & Africa