Moltan was successful in raising a total seeding fund of USD 7 Billion in October 2021. The goal of the fundraising effort was to improve the company's market position while also expanding its market reach. The growth of the regional market is going to profit tremendously from the expansion of the building industry as well as the increased focus on techniques of wastewater filtering. As a result of the presence of important market players and the improvements that have been made in the construction industry, China will hold the majority of the market share in the worldwide industry. Growth of the diatomite market in the region will be boosted as a direct result of increased attention paid to crop quality and the effectiveness of agricultural practices. The expansion of the food processing industry will also contribute, on its own, to the expansion of the market in the region.
Covid-19 Impact
The global market for 1,3-butanediol has been impacted as a result of the epidemic caused by the covid-19 virus, which has had an effect on industries all around the world. The pandemic caused a decline in demand in both domestic and international markets, which led to the closure of businesses and disruptions in supply chains. After the pandemic, the global market for 1,3-butanediol was driven in large part by unexpected ways in which trends were influenced, which played a very important role. Certain tendencies are being pushed forward by organizations that are experiencing growth and are likely to have an impact on the global 1,3-butanediol market in the not-too-distant future.
Asia Pacific will dominate the Global 1,3-butanediol Market
It is projected that the Asia Pacific will maintain its dominant position in the global 1,3-butanediol market during the duration of the projection period. This is due to the expansion of the healthcare industry in the region, which is supported by both private and public investments. A rise in the population and an increase in disposable income have contributed to the rapid development of the pharmaceutical and medical infrastructure in the growing economies of the Asia Pacific region, such as China and India. It is projected that the market for 1,3-butanediol will rise at a quick pace in the Asia Pacific region.
North America will see a stable growth rate in the period of interest
Due to the high demand for 1,3-butanediol from the cosmetic and personal care, paints and coatings, and plastic industries, it is projected that the market in North America and Europe will increase at a rapid rate over the next several years. In addition, strict environmental legislation in North America and Europe is increasing the demand for chemicals that are derived from bio-based sources.
The Cosmetics & Personal Care segment will dominate the Global 1,3-butanediol Market
The market for cosmetics and personal care products accounted for a sizeable portion of the total revenue generated by the 1,3-butanediol industry worldwide. It is projected that an increase in disposable income, as well as an increase in awareness about skin care and hair care, will lead to an increase in demand for cosmetics and personal care goods. The antioxidant qualities of 1,3-butanediol make it a good choice for preserving cosmetics against the deterioration caused by microorganisms. It is common practice to include 1,3-butanediol in the ingredients list of cosmetic products marketed toward the care of the skin, hair, and face. As a result, the global market for 1,3-butanediol is anticipated to be driven by the growing demand for goods used in the cosmetics and personal care industries.
In 2022, the market for 1,3-butanediol was valued at 169.3 million US dollars, and it is expected that the market size would advance at a CAGR of around 5.9% over the period 2022–2029, reaching 238.22 million US dollars in 2029.
It is anticipated that the 1,3-butanediol sector will expand fast in both Europe and Japan. This is due to the expanding demand for chemicals coming from the paints, plastics, cosmetics, and personal care industries. In addition, stringent environmental restrictions in Western countries are contributing to an increase in the demand for chemicals derived from bio-sources.
The global market for 1,3-butanediol is being driven by the increasing acceptance of 1,3-butanediol as a result of its benefits, which include the stimulation of growth hormone production and the growth of muscles, as well as the capacity to manufacture high-density food. The remarkable growth of the global 1,3-butanediol market can be attributed to a number of critical factors. The chemical molecule known as 1,3-butanediol is put to considerable use in manufacturing chemicals that are used in the pharmaceutical industry and in several other industries.
Furthermore, 1,3-butylene glycol is an essential raw material in the production of alkyd or polyester resins. This is due to the fact that it possesses many desirable qualities and is utilized in a broad variety of applications further down the production chain.
A useful plasticizer that is utilized in the production of PVC and other types of polymers is monocarboxylic acid monoester, which is a derivative that is based on 1,3-butylene glycol. As a result of rising levels of consumer awareness, the growth of emerging countries, an increase in the average amount spent on cosmetics and personal care goods, and the expansion of sales channels on the internet, the global cosmetic, and personal care business has become the industry with the quickest rate of expansion. This is fueling the need for 1,3-butanediol, which in turn is supporting the growth of the global market for 1,3-butanediol. As a result, throughout the course of the period under consideration, it is anticipated that increased PVC production, in addition to significant development in the polymer and plastic industries, will drive demand for 1,3-butylene glycol. These plasticizers are put to use in the manufacturing of a variety of different types of plastic, including polyvinyl chloride (PVC).
In the years to come, the market is projected to be driven by the significant growth of the plastic and polymer industries. Because of its antibacterial qualities, 1,3-butanediol can be used as an antibacterial agent in a variety of foods, including dairy and meat products.
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In the market for 1,3-butanediol around the world, some of the most significant players include KH Neochem, Godavari Biorefineries, Haihang, Genomatica, OQ Chemicals, and Daicel Corporation.
Recent Developments
- Genomatica Inc. and Glenn LLC, which is a subsidiary of Azelis Americas, made the announcement jointly in May 2020 that Glenn LLC would be the sole distributor of Genomatica's Brontide natural butylene glycol in the United States.
- The Daicel Corporation made the announcement in June 2019 that it would be building a new production facility for 1,3-butylene glycol at its Aboshi factory in Japan. The new factory was finished being constructed in September of 2020, and shipments of the products started in October of that same year.
- Genomatica Inc. made the announcement of a distribution relationship with Viachem Ltd. in November of 2018, which is a distributor of specialized chemicals and ingredients based in the United States. As a result of the partnership, Viachem Ltd. was able to advertise, sell, and distribute the natural Brontide butylene glycol that Genomatica produces in the personal care market in North America.
1,3-Butanediol Market Scope
| Metrics | Details |
| Base Year | 2023 |
| Historic Data | 2018-2022 |
| Forecast Period | 2024-2029 |
| Study Period | 2018-2029 |
| Forecast Unit | Value (USD) |
| Revenue forecast in 2029 | USD 238.22 million. |
| Growth Rate | CAGR of 5.9 % during 2021-2029 |
| Segment Covered | By Type, By End-User, By Application, Regions |
| Regions Covered | North America, Europe, Asia Pacific, South America, Middle East and South Africa |
| Key Players Profiled | KH Neochem, Godavari Biorefineries, Haihang, Genomatica, OQ Chemicals, and Daicel Corporation. |
Key segments in ‘1,3-butanediol Market’
By Type, 2019-2029 (USD Million)
- Food Products
- Cosmetic & Personal Care Products
By End-User, 2019-2029 (USD Million)
- Pharmacies
- Retails
- Other Industries
By Application, 2019-2029 (USD Million)
- Intermediate
- Emollient
- Stabilizer
- Humectant
By region, 2019-2029 (USD Million)
- North America
- United States of America
- Canada
- Mexico
- Europe
- France
- Germany
- Italy
- the Netherlands
- Poland
- Russia
- The United Kingdom
- Rest of Europe
- Asia-Pacific
- China
- India
- Indonesia
- South Korea
- Rest of Asia-Pacific
- South America
- Argentina
- Brazil
- Peru
- Uruguay
- Rest of South America
Frequently Asked Questions (FAQ) :
The market value of 1,3-butanediol market in 2029 was USD 238.22 million.
The 1,3-butanediol market is growing at a CAGR of 5.9% over the forecast period.
The application of the 1,3-butanediol market Intermediate, Emollient, Stabilizers, Humectant and other.