The Global Propylene Glycol market is projected to reach the valuation of USD 3,933.94 Million by 2026 with a CAGR of 2.26%
Published | March 2019
Global Propylene Glycol Market has gained the momentum in recent years with a CAGR of 2.26%, in value terms, over the forecast period 2020-2026, and expected to reach at USD 3,933.94 Million by 2026. The production of specialty chemicals will receive gains from end-use applications such as oilfield chemicals, coatings, electronic chemicals, adhesives, flavors, cosmetic chemicals, and fragrances. The surge in the demand for specialty chemicals will also remain sustained, on account of the growth in industrial and construction activities in the future. Application of Propylene Glycol as an ingredient in engine coolants, deicing fluids, antifreeze and which are also helpful in making base fluid for aircraft deicing formulations and a coolant in the food industry will boom the global propylene glycol market.
Pharmaceuticals & Cosmetics is playing major role to drive the Propylene Glycol market
Pharmaceutical & Cosmetics industries is leading the market during the forecast period 2020-2026. Propylene glycol (CH8O2) is a commonly used drug solubilizer in topical, oral, and injectable medications. Rising investment in pharmaceutical sector due to various outbreak of chronic diseases & Covid-19 across the world will escalate the propylene glycol market growth rate owing to its application as excipient in medicines and raw material in sanitizers. Many European countries such as France, Italy, etc. are leading manufacturers of cosmetics and personal care products, these countries are also home of some of the leading brands, which makes it suitable destination for propylene market.
BioBased is the major driver for the global Propylene Glycol market
The demand for bio-based chemicals has thus increased as the chemical industry aims for sustainability and commercialization of their products. Bio-based propylene glycol is obtained from renewable sources and can be put to diverse application, which is a key factor fueling its demand in the chemical industry. Bio-based propylene glycol has a low toxicity level and many bio-based propylene glycol products are listed as GRAS (generally recognized as safe) for use in food and pharmaceuticals.
Rising demand of humectant
Propylene glycol is one of the most commonly used humectants substances that have a high affinity for water and have a stabilizing action on the water content of a material. The demand for humectants market in recent years has grown due to the increase in its usage for prolonging the shelf life of a product by retaining moisture and increasing product's effectiveness. Growing demand of humectants from food & beverage based applications is quite common. For instance, glucose syrup and honey are most frequently used as humectants which not only helps to retain the shape of the product but also helps in preservation for a longer period of time. Additionally, use of humectant as an ingredient is common among many personal care & cosmetic products. These products are generally used as moisturizers i.e., hair conditioners, lip balms, face or body cleansers, creams as well as body lotions along with transforming changes in cosmetics and lifestyle will propel the global Propylene glycol market.
Asia Pacific is expected to witness significant growth in the market during the forecast period
Propylene glycol production from bio-based materials is possible since it involves conversion of glycerine (e.g. lower grades of glycerine from biodiesel production) by hydrogenation to this substance. it is already commonly used in certified natural and organic cosmetics. As such this area of the cosmetics segment represents an opportunity for further development and growth of bio-based chemicals in Asia-Pacific region. Developing economies in Asia Pacific region will show a robust growth rate in near future supported by increasing urbanization. It is expected that market is expected to get consolidated in Asian countries due to rising demand of unsaturated polyester resins.
Propylene Glycol: Competitive Landscape
Companies such as The Dow Chemical Company, LyondellBasell Industries N.V., SABIC, Archer Daniels Midland Company, BASF SE Company, Huntsman International LLC., Exxon Mobil Corporation, Dupont Company, Total S.A., Formosa Plastics Corporation, LG Chem Ltd., Sinopec, Sumitomo Chemical Co., Ltd., Royal Dutch Shell PLC, INEOS are the key players in manufacturing of propylene glycol.