The rising rate of industrialization in emerging economies is a key trend influencing the isobutanol market growth. The growth of the market is strongly influenced by increasing industrialization across the globe, especially in emerging countries.
The global isobutanol market is primarily being driven by the widespread product adoption in the chemical industry. Isobutanol acts as a feedstock chemical to produce several industrially important compounds, such as isobutyl acetate, isobutyl acrylate, and isobutyl esters which are further used for manufacturing rubber, plastics, and coating resins.
Acetone is used in agriculture as fungicides and insecticides as it is a good solvent and acts as a carrier agent for the active ingredients. Also, it is used for thinning polyester resin and dissolving two-part epoxies and superglue before they harden. It also helps in cleaning of polyester resins and gelcoats.
The 2-ethylhexanol industry represents an exceptional opportunity for investment, propelled by its diverse application in sectors such as adhesives, chemicals, construction, and more. With this industry standing as a vital cog in the economic wheel, comprehending its trajectories, challenges, and opportunities is vital to stay ahead of the curve.
At the beginning of the quarter, prices rose marginally amid volatile upstream Crude Oil and shifting feedstock Benzene and Propylene costs. During the mid-quarter, the consumption rates improved from the downstream MMA producers amid expansion in the manufacturing activities.
2-Ethyl Hexanol prices in Germany recovered towards the very end of the first quarter after observing a consistent decline in the first two months. Low demand coupled with weak feedstock Propylene costs and declining energy costs resulted in a consistent decrease in 2-Ethylhexanol prices. In March, the price of 2-Ethyl Hexanol increased in the German market, backed by increased demand from other European countries.
The global n-Butanol market has expanded to reach approximately 5000 thousand tonnes in 2021 and is expected to grow at a healthy CAGR of 5.51% during the forecast period until 2032. The global n-Butanol market is anticipated to reach 8200 thousand tonnes by 2032.
The global isobutanol market is divided on the basis of type, application, end use industry, and region. On the basis of the type, isobutanol market is bifurcated into bio-based and synthetic.
Global Acetone capacity is expected to experience moderate growth over the next five years from 8.99 mtpa in 2018 to 9.51 mtpa by 2023. Around four planned and announced Acetone plants are expected to come online, predominantly in Asia over the upcoming years. Haldia Petrochemicals, Saudi Arabian Oil Co, and Petroliam Nasional are the top three companies accounting for the planned and announced capacity additions during the outlook period.
The global 2-ethylhexanol market is expected to post a CAGR of over 5% during 2023.
A key factor driving the growth of the market is the increase in demand from developing countries. Developing economies such as China, Brazil, Mexico, India, Philippines, and Indonesia are driving the growth in the global 2-ethylhexanol market.