The global propylene glycol market size was valued at USD 4.09 billion in 2020 and is expected to grow at a CAGR of 4.8% during the forecast period. Propylene glycol is used in varied applications such as automotive, food and beverage, construction, and pharmaceutical, among others. Propylene glycol is widely used as a solvent and emulsifier for stabilizing insoluble fluids and dissolving ingredients in a medium.
Know more about this report: request for sample pages
Propylene glycol is also capable of holding moisture, increasing boiling point, reducing freezing point, and binding other substances. The growth in disposable income of consumers, increasing demand for personal care and cosmetics, and growing urbanization are expected to fuel the demand for propylene glycol during the forecast period.
The application of propylene glycol has significantly increased in the food and beverage sector. It is widely used in packaged foods such as bread and dairy, cakes, soft drinks, dressings, and cake mix, among others. Propylene glycol acts as an anti-caking agent, texturizer, stabilizer, and thickener in food products. It thickens food components, preventing them from sticking together during and after processing.
Propylene glycol is also used as an antioxidant to extend the shelf life of packaged food products. It is capable of dissolving food additives or nutrients and strengthening baking dough by altering starches and gluten for enhanced stability. The demand for propylene glycol has increased as an emulsifier, moisture preserver, and processing aid to improve the use or appeal of food products.
Growth in industrialization across the globe and increasing application in the pharmaceutical sector are factors expected to fuel the market growth during the forecast period. Propylene glycol is widely used in intravenous, oral, and topical medicines. The rise in demand for propylene glycol as a solvent and drug stabilizer, coupled with regulations supporting the use of propylene glycol boosts the market growth.
Increasing use of propylene glycol in industrial applications such as liquid detergents, paints and coatings, plastic resin, and heat transfer fluids is further expected to provide numerous growth opportunities during the forecast period.
The global market is fueled by the economic growth in countries such as China, Japan, and India, rising industrialization, and growing penetration of automobiles in Asia-Pacific. Global players are expanding into these countries to tap market potential offered by the food and beverage industry, further boosting the market growth.
New product launches and acquisitions by leading players in the market coupled with technological advancements have further increased the demand for propylene glycol across the globe. Growing disposable income, changing lifestyles, and growth in the personal care and pharmaceutical industries would support the growth of the market.
The market is primarily segmented on the basis of grade, source, end-use, and region.
Know more about this report: request for sample pages
The grade segment has been divided into pharmaceutical, and industrial. The pharmaceutical grade propylene glycol is used as a solvent and extractant in medicines, vaccines, antiseptics, local anesthetics, vitamins, and hormones. It is also used in food and beverages such as biscuits, cakes, and beverages as a solvent, stabilizer, clarifier, thickener, and carrier for flavor. The pharmaceutical grade propylene glycol also finds application in animal feed to keep it moist, fresh, and chewy for pets and livestock.
The source market segment has been divided into bio-based and petroleum-based. The petroleum-based propylene glycol segment dominated the global market in 2020. Petroleum-based propylene glycol is used in diverse industries such as automotive, construction, and aerospace among others. The increasing investments in the construction sector, development of public infrastructure, and government initiatives for the development of smart cities are expected to fuel the growth of this segment.
On the basis of end-use, the market is segmented into food and beverage, automotive, personal care and cosmetics, chemical, pharmaceutical, construction, and others. The automotive segment accounted for a significant share of the global propylene glycol market in 2020. Factors such as increasing automotive penetration, rising disposable income, and modernization of vehicles drive the market growth.
Propylene glycol is used in engine coolants, brake fluids, deicing fluids, and antifreeze for the effective operation of vehicles. Governments across the globe are investing significantly towards the development of electric vehicles and offering incentives and schemes to promote their adoption, supporting the market growth.
Asia Pacific dominated the global market in 2020. Increasing use of propylene glycol in industries such as food and beverage, pharmaceuticals, and transportation has fueled the growth of the market in the region. Increasing urbanization, industrial market growth in countries such as China, India, and Japan, rising automotive penetration, and increasing construction and development activities drive the growth in this region. Increasing research & development activities, expansion of international players in this region, and technological advancements are some additional factors attributed to the market growth.
The leading players in the propylene glycol market include BASF SE, Global Bio-Chem Technology Group Co., LTD., DowDuPont, Temix Oleo S.R.L., Asahi Glass Co., LTD., Sinopec, INEOS Oxide Ltd., Arrow Chemical Group, Chaoyang Chemicals, Inc., SKC Co., LTD., Tongling Jintai Chemical Industrial Co., LTD., Royal Dutch Shell PLC., Helm AG, LyondellBasell Industries N.V., Adeka Corporation, Huntsman Corporation, and Archer Daniels Midland Company.