United States (USA) Green Chemicals Market Overview, 2029

United States (USA) Green Chemicals Market Overview, 2029

As the U.S. green chemicals market continues to grow, its growth is at an eco-conscious pace, with industries trading petrochemicals for greener alternatives, thereby sending a wave of sustainable transformation across the country. Green chemicals, also referred to as sustainable or eco-friendly chemicals, refer to substances that are produced using environmentally friendly processes that have negligible impacts on human health and the environment throughout the life cycle of that substance. Innovations in biotechnology encompass genetic modification, synthetic biology, and metabolic engineering, which have been producing bio-based chemicals that are more efficient and sustainable. Catalytic processes that reduce energy consumption and lower waste are gaining acceptance in industries like pharmaceuticals and industrial manufacturing. As carbon capture and utilization (CCU) technologies emerge to use CO₂ emissions as feedstocks for value-added bio-based chemicals with environmental and economic advantages, this gives the green chemistry approach in production a strong thrust propelled by a well-defined regulatory framework that encourages and supports sustainability and environmental safety. Another important actor in the pursuits of more responsible and sustainable chemical development is the Environmental Protection Agency. In this context, the agency has been promoting cleaner chemistry, for example, through its Green Chemistry Program that encourages the development of less risky chemicals. The Toxic Substances Control Act takes exhaustive consideration of whether any new chemical will be safe and, in fact, makes draconian requirements for its use. The renewable fuel standard obliges the manufacture and utilization of renewable fuels-a reasonable proxy measure to encourage bio-based chemical production. In addition to this, states such as California are leaders in the same space, programs like the Green Chemistry Initiative propel companies toward safer alternatives in consumer products. In May 2023, NTPC Green Energy Limited (NGEL) and HPCL Mittal Energy Limited (HMEL) entered into a collaboration to explore opportunities in the green hydrogen business & its derivatives (Green Ammonia and green Methanol).

According to the research report ""USA Green Chemicals Market Overview, 2029,"" published by Bonafide Research, the USA Green Chemicals market is anticipated to grow at more than 8% CAGR from 2024 to 2029. There are various significant trends that dictate the future of the US Green Chemicals market. Another widely adopted vehicle component in the automotive industry is the use of biobased materials, as they offer a potential savings in weight, hence better fuel efficiency. Biodegradable plastics replace traditional plastics in the packaging industry, which until recently were prohibited in some countries and shunned by consumers because of consumer groups and authorities' demands for sustainability or 'green' alternatives. More and more, natural, bio-based ingredients become popular in the personal care industry, as consumers increasingly look for petrochemical-free products. Rising concern toward the end of plastic products have enhanced demand for biodegradable and compostable plastics in the U.S. Food, beverages, and retail industries are facing the need for sustainable packaging-a great opportunity for bioplastics manufacturers. The personal care and home care sectors are massive growth opportunities as consumers increasingly prefer the use of bio-based, non-toxic raw materials in the products. Brands are creating organic and green alternatives for virtually anything includes cosmetics to cleaning supplies. One of the main challenges facing the U.S. green chemicals market is high production costs for bio-based chemicals compared to their conventional counterparts, or petrochemicals. Bio-feedstocks tend to be more expensive and often less resource-efficient, making the end product more costly. Conventional petrochemical-based chemicals are generally cheaper and greatly more accessible; therefore, the industry is likely to face stiff competition from green chemicals. The industry then needs to rid of that price competitiveness and scalability challenge to grow further with time. Even though there exist countless green chemical start-ups and companies in the U.S., the challenge remains to scale up production to match the ever-growing demand. The industry needs those investments in infrastructure, especially biorefineries and production plants, to reach the scale it would require to achieve mass adoption.

There are several key product types associated with green chemistry in the USA, which include bio alcohols, bio organic acids, bio ketones, bio polymers, bio solvents and others. Bio alcohols are produced from renewable sources and bio-based product lines with the main application being a green substitute to fossil fuels. There are many products in bio-based product lines are bioethanol and biobutanol are examples of the application of bio alcohols in transportation, as well as various industrial applications. Thus, production of bio alcohols results in reduction of CO2 emissions and supports energy independence through application of domestic agricultural resources. Bio organic acids are among the big tickets of the green chemicals market. Through fermentation with renewable feedstocks like sugarcane and corn, these acids find application in a host of sectors, ranging from food preservation and biodegradable plastics to pharmaceuticals. This, among other factors, is why lactic acid and citric acid emerge as particularly useful bio organic acids. Bio ketones are gaining significant importance through their relevance as solvents and intermediates in organic synthesis. Their methods of preparation become increasingly amenable to renewable resources with sustainability developments in all sectors. Bio polymers are one of the fastest-growing categories in the green chemicals market. The materials belong to a family that also includes polylactic acid (PLA) and bio-polyethylene. These favorites for biodegradability are both significantly lower impact than traditional plastics, with uses throughout packaging, agriculture and consumer goods, an order of magnitude greater commitment than we see toward reducing plastic waste. Bio solvents hold a less toxic and environmental footprint compared to the classic solvents, and it is commonly used in paint, coatings, and cleaning solutions so it's part of significant industrial change towards sustainability.

The market for green chemicals in the USA is rapidly moving ahead because many industries embrace sustainable practice to minimize harmful environmental impacts. Starting from the packaging line, companies are becoming green-friendly by gradually shifting their reliance on non-biodegradable materials and emphasizing plant-based plastics that decompose, thus reducing plastic waste substantially. For example, popular food brands have begun using compostable packaging products to attract eco-friendly customers. Green chemistry transforms the pharmaceuticals industry based on looking at elements more from a position of safety and lesser toxicity. For instance, Pfizer has incorporated elements of green chemistry as a way of reducing pharmaceutical production wastes through optimization and recycling of resources into 19%. Instead, the personal care industry is greenly reformulating their products, removing the harmful chemicals and opting for safer natural ingredients, which would contribute to both consumer safety and the environment. This increase includes paints or coatings that are low-VOC (volatile organic compounds) in construction to bring out a healthier indoor air quality coupled with less environmental footprint. Companies are shifting gears towards these green alternatives due to the strict regulations that are being enforced and complying with consumer demands. In the food and beverage industries, green chemistry inspires less hazardous processes in production and packaging. Many companies have implemented the use of recyclable materials and nontoxic inks to make it less of a burden on the earth. Using bio-based materials in car manufacturing gives it lighter vehicle weight but gets better fuel efficiency. An example of this is interior parts that are made of renewable resources. Biopesticides form an important area of green chemicals to control pests without affecting the beneficial organisms or the environment. They are doing great strides in agriculture.

Considered in this report
• Historic year: 2018
• Base year: 2023
• Estimated year: 2024
• Forecast year: 2029

Aspects covered in this report
• Green Chemicals market Outlook with its value and forecast along with its segments
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

By Product Type
• Bio Alcohols
• Bio Organic Acids
• Bio Ketones
• Bio Polymers
• Bio Solvents
• Others Product Types

By Applications
• Packaging
• Healthcare
• Pharmaceuticals & Personal Care Products
• Construction
• Food & Beverages
• Paints & Coatings
• Automotive
• Other Applications

The approach of the report:
This report consists of a combined approach of primary and secondary research. Initially, secondary research was used to get an understanding of the market and list the companies that are present in it. The secondary research consists of third-party sources such as press releases, annual reports of companies, and government-generated reports and databases. After gathering the data from secondary sources, primary research was conducted by conducting telephone interviews with the leading players about how the market is functioning and then conducting trade calls with dealers and distributors of the market. Post this; we have started making primary calls to consumers by equally segmenting them in regional aspects, tier aspects, age group, and gender. Once we have primary data with us, we can start verifying the details obtained from secondary sources.

Intended audience
This report can be useful to industry consultants, manufacturers, suppliers, associations, and organizations related to the Green Chemicals industry, government bodies, and other stakeholders to align their market-centric strategies. In addition to marketing and presentations, it will also increase competitive knowledge about the industry.