1, 4 Butanediol Market By Product Type (Synthetic, Bio-based) , By Application (Gamma butyrolactone (GBL) , Polyurethane (PU) , Tetrahydrofuran (THF) , Polybutylene terephthalate (PBT) , Others) By End-Use Industry (Automotive, Pharmaceutical, Electrical and Electronics, Personal Care and Cosmetics, Others) : Global Opportunity Analysis and Industry Forecast, 2024-2033
1,4 Butanediol Market
The 1,4 butanediol market was valued at $6.8 billion in 2023 and is projected to reach $11.7 billion by 2033, growing at a CAGR of 5.5% from 2024 to 2033.
1,4 butanediol is an organic chemical compound that belongs to the class of primary alcohols and is primarily used as a solvent in industrial applications. It is a highly versatile compound used in diverse industries, including automotive and pharmaceuticals. The different applications of 1,4 butanediol include paint thinners, cleaning agents, paint & coating formulations, synthetic fibers, and adhesives. The compound further serves as a precursor for manufacturing plastics, polyurethanes, and synthetic fibers.
Rapid expansion of different end-use industries such as automotive, electronics, and construction is a key driver of the 1,4 butanediol market. In addition, technological innovations in the manufacturing process of 1,4 butanediol has led to reduction in production expenses along with enhancing production efficiency. These innovations propel the market development significantly. In recent times, sustainability and green chemistry are the emerging trends acquiring traction in the 1,4 butanediol market. The manufacturers of the compound are laying emphasis on developing bio-based 1,4 butanediol by replacing the conventional petrochemical-based sources with renewable sources. Bio-based 1,4 butanediol containing materials are easily recyclable, hence promoting the circular economy approach in the market.
However, the market growth remains considerably uncertain owing to economic downturns and recessions, which lead to reduced demands in the end-use industries. Moreover, the petrochemical-derived 1,4 butanediol continues to dominate the market, hampering the growth due to its hazardous environmental impact, fluctuations in the prices of raw materials, and implementation of stringent environmental regulations. Further, the chemical is considered hazardous for humans. According to the global product strategy (GPS) safety summary of LyondellBasell Industries, a chemical company, 1,4 butanediol causes low to moderate acute toxicity through oral contact and results in dizziness or drowsiness when inhaled or ingested.
Segment ReviewThe 1,4 butanediol market is segmented into product type, application, end-use industry, and region. On the basis of product type, the market is bifurcated into synthetic and bio-based. Depending on application, it is divided into gamma butyrolactone (GBL), polyurethane (PU), tetrahydrofuran (THF), polybutylene terephthalate (PBT), and others. As per end-use industry, it is classified into automotive, pharmaceutical, electrical & electronics, personal care & cosmetics, and others. Region wise, it is analyzed across North America, Europe, Asia-Pacific, and LAMEA.
Key FindingsOn the basis of product type, the synthetic segment held the highest market share in 2023.
Depending on application, the polybutylene terephthalate (PBT) segment acquired a high stake in the market in 2023.
As per end-use industry, the automotive segment dominated the market in 2023.
Region wise, North America was the highest revenue generator in 2023.
Competition AnalysisThe leading players operating in the global 1,4 butanediol market include DCC, BASF SE, Otto Chemie Pvt. Ltd., NOVEL CHEM, Suvchem, Henan GP Chemicals Co.,Ltd, Tokyo Chemical Industry Co., Ltd. (TCI), Univar Solutions LLC, Genomatica, Inc., and Shandong LanDian Biological Technology Co., LTD. These major players have adopted various key development strategies such as business expansion, new product launches, and partnerships, to strengthen their foothold in the competitive market.
Key Market SegmentsBy Product TypeSynthetic
Bio-based
By ApplicationGamma butyrolactone (GBL)
Polyurethane (PU)
Tetrahydrofuran (THF)
Polybutylene terephthalate (PBT)
Others
By End-Use IndustryAutomotive
Pharmaceutical
Electrical and Electronics
Personal Care and Cosmetics
Others
By RegionNorth America
U.S.
Canada
Mexico
Europe
Germany
UK
France
Spain
Italy
Rest of Europe
Asia-Pacific
China
India
Japan
South Korea
Australia
Rest of Asia-Pacific
LAMEA
Brazil
Saudi Arabia
South Africa
Rest of LAMEA
Key Market Players
DCC
BASF SE
Otto Chemie Pvt. Ltd.
NOVEL CHEM
Suvchem
Henan GP Chemicals Co.,Ltd
Tokyo Chemical Industry Co., Ltd. (TCI)
Univar Solutions LLC
Genomatica, Inc.
Shandong LanDian Biological Technology Co., LTD.