May 22, 2024

The Rising Global 1,3 Propanediol Market is in Trends by Bio-based Production Methods

The global 1,3 propanediol market comprises products which have wide ranging applications in various industries such as polymers, personal care, lubricants etc. 1,3 propanediol offers advantages such as flexibility, high moisture retention and biodegradability. This makes it useful in manufacturing elastic fibers, adhesives and solvents.

The Global 1,3 Propanediol Market is estimated to be valued at US$ 424.5 MN in 2024 and is expected to exhibit a CAGR of 9.1% over the forecast period 2024 to 2031.

Key Takeaways

Key players operating in the global 1,3 propanediol market are Tokyo Chemical Industry Co., Ltd., Shenghong Group Holdings, Primient, Haihang Industry, DuPont, Metabolic Explorer, Zhangjiagang Glory Biomaterial Co., Ltd., Zouping Mingxing Chemical Co., Ltd., Shell Chemicals LP, and Merck KGaA. Key players are focusing on adoption of sustainable production methods and developing new applications to expand their market share.

The increasing demand from end-use industries like polymer manufacturing, pharmaceuticals and personal care is a major factor fueling growth of the Global 1,3 Propanediol Market Size. The growing trend of using bio-based chemicals to reduce dependency on petroleum is also expected to drive market growth over the forecast period.

Geographically, the Asia Pacific region dominates the global 1,3 propanediol market and the trend is expected to continue owing to rapid industrialization and growth of end-use industries in countries like China and India. Leading market players are focusing on expanding their manufacturing facilities in the region to leverage growth opportunities.

Market key trends

One of the major trends in the global 1,3 propanediol industry is the growing focus on developing sustainable and bio-based production methods. Key players are investing in R&D to commercialize 1,3 PDO produced through fermentation of renewable feedstocks like sugarcane or corn. This is expected to boost market growth as well as address issues related to dependency on petrochemicals.

Porter’s Analysis
Threat of new entrants: Entry barriers for new players are moderate due to need for huge capital investments and need for technology and production expertise to manufacture 1,3-propanediol on commercial scale.

Bargaining power of buyers: Buyers have moderate bargaining power as 1,3-propanediol is used for various end-use industries. Buyers can negotiate on the basis of price and quality.

Bargaining power of suppliers: Suppliers have moderate bargaining power due to availability of raw materials from different sources across the world. Suppliers can negotiate on the basis of price and quality.

Threat of new substitutes: Threat of new substitutes is low as 1,3-propanediol has unique properties and applications compared to its substitutes.

Competitive rivalry: Moderate-high as the market is consolidated with presence of major players accounting for major share while small players competing on the basis of pricing and quality.

Geographical Regions
North America accounts for the largest share in terms of value owing to increasing demand from textile and construction industries. The region is estimated to hold over 35% share of the global market in 2024.

Asia Pacific is projected to be the fastest growing regional market between 2024 and 2031 due to increasing consumption from industries such as cosmetics and personal care in countries like China and India. The region is anticipated to register a CAGR of around 10% during the forecast period.

Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it