Propylene Glycol Market

Market Overview:

The global propylene glycol market size reached US$ 4.3 Million in 2023. Looking forward, IMARC Group expects the market to reach US$ 6.1 Million by 2032, exhibiting a growth rate (CAGR) of 3.3% during 2024-2032. The escalating demand across the food and beverages, pharmaceuticals, and personal care industries, the rise in consumer awareness for health and hygiene, surging demand for eco-friendly solutions, rapid technological innovations, and growing end-use industries are factors shaping the market's trajectory.

Propylene glycol (C3H8O2) is a synthetic liquid substance widely used across various industries due to its versatile properties. Functioning primarily as a humectant, propylene glycol attracts and retains moisture, making it a common ingredient in cosmetics, skincare products, and personal care items. Its unique ability to maintain moisture levels in products contributes to its efficacy and longevity. Propylene glycol is also utilized as a food additive, enhancing the texture, flavor, and stability of consumables. In the pharmaceutical sector, it serves as a carrier for active ingredients in medications, facilitating their controlled release and absorption within the body. One of the key advantages of propylene glycol is its low toxicity, making it safe for use in a wide range of applications. Its water-soluble nature further enhances its utility in formulations where even distribution is crucial. In terms of types, propylene glycol exists in two main forms: industrial grade and food grade.

The global propylene glycol market is influenced by their increasing demand in diverse applications, including food and beverages, pharmaceuticals, and personal care products. This is further supported by the expanding automotive and aviation sectors, which has driven the demand for antifreeze and de-icing solutions. Furthermore, the rise in consumer awareness about health and hygiene fuels the demand for personal care and cosmetic products, subsequently enhancing the market. Additionally, the growing pharmaceutical industry necessitates the use of propylene glycol in drug formulations, contributing to market expansion. Besides this, stringent regulations and environmental concerns promote the use of eco-friendly solutions, thus driving the market growth. 

Propylene Glycol Market Trends/Drivers:

Increasing product demand for diverse applications

The global propylene glycol market experiences a significant boost from the rising demand across various applications, including food and beverages, pharmaceuticals, and personal care products. Propylene glycol, recognized for its versatile nature and safe properties, finds extensive utilization in food preservation, cosmetics, and pharmaceutical formulations. In the food and beverage sector, it acts as a solvent for flavoring agents and humectant, extending the shelf life of products. In the pharmaceutical industry, propylene glycol serves as a solvent in oral and injectable drug formulations, enhancing bioavailability. Additionally, the personal care sector relies on its moisture-retaining characteristics, making it a staple ingredient in lotions, creams, and cosmetics. This diverse range of applications creates a steady demand for propylene glycol, solidifying its position as a pivotal component in several industries.

Expanding automotive and aviation sectors

The propylene glycol market is driven by the burgeoning automotive and aviation sectors, where its role as an antifreeze and de-icing agent is crucial. As temperatures drop during winter months, the need for efficient antifreeze solutions to prevent engine coolant from freezing becomes paramount. Propylene glycol, due to its low toxicity compared to other alternatives, is favored for this purpose. In the aviation industry, propylene glycol-based de-icing fluids are applied to aircraft surfaces, ensuring safe takeoffs and landings by removing ice and snow accumulation. This reliability and effectiveness have led to increased adoption, particularly in regions with harsh winter climates. The reliance of these sectors on propylene glycol showcases its indispensable role in maintaining the operational integrity of vehicles and aircraft.

Rise in consumer awareness about health and hygiene

The propylene glycol market is experiencing an upward trajectory driven by the escalating consumer consciousness regarding health and hygiene. This trend fuels the demand for personal care and cosmetic products, where propylene glycol's attributes contribute significantly. Known for its moisture-retaining properties, it is a favored ingredient in skincare and cosmetic formulations, aiding in hydrating and nourishing the skin. Moreover, its use in oral care products, such as toothpaste and mouthwash, is valued for its ability to enhance product efficacy. With consumers seeking products that align with their well-being, the incorporation of propylene glycol in personal care items offers tangible benefits. As a result, the market continues to flourish, supported by the pivotal role it plays in fulfilling the evolving health and hygiene preferences of consumers. 

Propylene Glycol Industry Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the global propylene glycol market report, along with forecasts at the global, regional and country levels from 2024-2032. Our report has categorized the market based on source, application and end use industry.

Breakup by Source:

• Petroleum-based
• Bio-based
   

Petroleum-based dominates the market

The report has provided a detailed breakup and analysis of the market based on the source. This includes petroleum-based and bio-based. According to the report, petroleum-based represented the largest segment.

The growth of the petroleum-based segment is propelled by the consistent demand for petrochemical products, including plastics, synthetic fibers, and industrial chemicals, which drives the utilization of petroleum-based feedstocks. These feedstocks serve as the building blocks for a wide range of essential products in various industries, contributing to sustained growth. Moreover, advancements in refining technologies have enhanced the efficiency of extracting valuable components from petroleum, enabling cost-effective production and refining processes. This efficiency translates into competitive pricing and availability, further stimulating the segment's growth. Additionally, the petrochemical industry's close alignment with sectors like automotive, construction, and electronics ensures a steady and diversified demand for petroleum-based products. Besides this, the ever-evolving landscape of consumer preferences and industrial needs necessitates the ongoing development of innovative petroleum-derived materials, fostering continuous expansion within the segment.

Breakup by Application:

• Unsaturated Polyester Resins
• Antifreeze and Functional Fluids
• Food, Drug, and Cosmetics
• Liquid Detergent
• Paints and Coatings
• Others
   

Unsaturated polyester resins dominates the market

The report has provided a detailed breakup and analysis of the market based on the application. This includes unsaturated polyester resins, antifreeze and functional fluids, food, drug, and cosmetics, liquid detergent, paints and coatings, and others. According to the report, unsaturated polyester resins represented the largest segment.

The growth of the unsaturated polyester resins segment is driven by the widespread adoption in the construction and infrastructure sectors. These resins are favored for their durability, corrosion resistance, and versatility, making them essential for applications such as pipes, tanks, and building components. This is further boosted by the increasing demand for lightweight and high-strength materials in industries like automotive and aerospace, which stimulates the use of unsaturated polyester resins in composite materials. These resins, when combined with reinforcing fibers, offer exceptional strength-to-weight ratios, meeting the demands of modern lightweight design. Besides this, the rising awareness of environmental sustainability propels the adoption of bio-based unsaturated polyester resins, aligning with the shift towards greener alternatives. Furthermore, the ease of processing and cost-effectiveness of these resins enhances their attractiveness across diverse industries.

Breakup by End Use Industry:

• Transportation
• Building and Construction
• Food and Beverage
• Pharmaceuticals
• Cosmetics and Personal Care
• Others
   

Transportation dominates the market

The report has provided a detailed breakup and analysis of the market based on the end use industry. This includes transportation, building and construction, food and beverage, pharmaceuticals, cosmetics and personal care, and others. According to the report, transportation represented the largest segment.

The transportation segment is witnessing robust growth, driven by the expansion of urbanization and the increasing population, which have led to a surge in demand for efficient transportation systems. This demand spans various modes, including public transport, ridesharing, and electric mobility solutions. Additionally, environmental concerns and regulatory initiatives aimed at reducing carbon emissions have propelled the adoption of sustainable transportation alternatives. This shift towards electric vehicles, hybrid technologies, and improved fuel efficiency has significantly impacted the transportation landscape. Moreover, advancements in technology have given rise to innovative solutions such as autonomous vehicles, smart traffic management systems, and shared mobility platforms. These technologies enhance convenience, safety, and connectivity, driving consumer interest and industry growth. Besides this, the global supply chain's growing complexity has boosted the demand for efficient freight and logistics solutions, fostering the expansion of the transportation sector.

Breakup by Region:

• North America
  • United States
  • Canada
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia
  • Indonesia
  • Others
• Europe
  • Germany
  • France
  • United Kingdom
  • Italy
  • Spain
  • Russia
  • Others
• Latin America
  • Brazil
  • Mexico
  • Others
• Middle East and Africa
   

Asia Pacific exhibits a clear dominance, accounting for the largest propylene glycol market share

The report has also provided a comprehensive analysis of all the major regional markets, which include North America (the United States and Canada); Asia Pacific (China, Japan, India, South Korea, Australia, Indonesia, and others); Latin America (Brazil, Mexico, and others); Europe (Germany, France, the United Kingdom, Italy, Spain, Russia, and others); and the Middle East and Africa. According to the report, Asia Pacific accounted for the largest market share.

The Asia Pacific's growth in the propylene glycol market can be attributed to rapid urbanization and industrialization across the region. This, in turn, has led to an upsurge in manufacturing activities, creating higher demand for propylene glycol in various industrial applications, including chemicals, automotive, and construction. Furthermore, the increasing population and rising disposable incomes have driven consumption of consumer goods, leading to greater use of propylene glycol in products such as cosmetics, personal care items, and packaged foods. Additionally, the growing pharmaceutical sector in the region, coupled with the expanding healthcare infrastructure, has bolstered the demand for propylene glycol in pharmaceutical formulations and healthcare products. Moreover, favorable government policies, foreign investments, and a shift towards eco-friendly products are some of the factors propelling the adoption of propylene glycol in the Asia Pacific region.

Competitive Landscape:

The competitive landscape of the global propylene glycol market is characterized by a dynamic interplay of various factors. Market players strive to differentiate themselves through product innovation, strategic partnerships, and expansions to tap into new markets. Robust research and development activities contribute to the introduction of advanced formulations, catering to the diverse needs of end-use industries. Additionally, the emphasis on sustainable practices and eco-friendly solutions has prompted companies to invest in the development of bio-based propylene glycol, aligning with environmental regulations and consumer preferences. Market participants also engage in strategic collaborations with suppliers, distributors, and manufacturers to ensure efficient supply chain management and reach a wider customer base. As the market evolves, maintaining a balance between technological advancements, regulatory compliance, and customer demands becomes pivotal for players aiming to establish a competitive edge and carve out a significant market share.

The report has provided a comprehensive analysis of the competitive landscape in the market. Detailed profiles of all major companies have also been provided. Some of the key players in the market include:

• Archer-Daniels-Midland Company
• BASF SE
• DuPont de Nemours Inc.
• Global Bio-chem Technology Group Company Limited
• INEOS Group Limited
• LyondellBasell Industries N.V.
• Shell Plc
• SK Picglobal
• Dow Inc.

Recent Developments:

• In August 2023, DuPont announced the completion of its previously announced acquisition of Spectrum Plastics Group, a recognized leader in specialty medical devices and components markets.
• In August 2023, BASF SE announced to increase the production capacity for its medium-molecular weight polyisobutenes, marketed under the tradename OPPANOL B, by 25%.
• In August 2023, Google announced to join the Avelia programme, powered by Shell Aviation and American Express Global Business Travel (Amex GBT).

Propylene Glycol Market Report Scope:

Key Benefits for Stakeholders:

• IMARC’s report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the propylene glycol market from 2018-2032.
• The research study provides the latest information on the market drivers, challenges, and opportunities in the global propylene glycol market.
• The study maps the leading, as well as the fastest-growing, regional markets. It further enables stakeholders to identify the key country-level markets within each region.
• Porter's five forces analysis assist stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the propylene glycol industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.