Global 2-Ethylhexanol (EH) Market Size, Share & Trends Analysis Report, by Application, End-User, By Region Forecasts, 2023 - 2030

Global 2-Ethylhexanol (EH) Market Size, Share & Trends Analysis Report, by Application, End-User, By Region Forecasts, 2023 - 2030

Global 2-Ethylhexanol (EH) Market was valued at US $ 6.1 Billion in 2022 and is expected to reach US $ 8.1 Billion by 2030 growing at a CAGR of 3.6% during the forecast period 2023 – 2030.

The chemical industry's 2-ethylhexanol (EH) market is a diverse and ever-changing area. EH is a practically colourless and odourless liquid that is used in many different applications across a wide range of industries. Its main function is to produce plasticizers, which increase the pliability and toughness of plastic products. The EH market is significantly driven by the plasticizers category, which aims to meet the growing demand for plastics in consumer products, automotive, and construction. EH has an impact on paints and coatings as well since it improves adhesion, durability, and flexibility, which increases the coatings' resistance to deterioration. The building and automotive industries' rise has been the driving force behind this segment's notable expansion. Additionally, EH enhances adhesives by enhancing their overall performance and adhesive characteristics. Its versatility is demonstrated by the range of chemical intermediates in which it finds use.

The 2-ethylhexanol (EH) market is expanding significantly because to the paint and coatings industry's high demand for 2-ethylhexanol acrylate. The need for high-performance coatings is growing as infrastructure and building projects throughout the world get bigger. In particular, 2-ethylhexanol acrylate is sought after for industrial and architectural painting applications because of its reputation for improving adhesion, flexibility, and weather resistance in coatings. The paint and coatings industry's steady rise, fueled by sophisticated formulas and the transition to environmentally friendly water-based coatings, establishes EH as a crucial element and drives market expansion. This demand is cross-regional, thus it will grow widely. The expansion of the construction industry and rising demands from a variety of industries, such as automotive, general industrial, coil, wood, aerospace, railing, and packaging coatings, are the main drivers of this growth.

“Plasticizers segment, by application, to be dominating market from 2023 to 2030.”

Plasticizers commanded a commanding share of the global market in 2022, accounting for around 56.72% of total revenue. Paints, rubber goods, sealants and adhesives, and printing inks are among the many products that use plasticizers. Because of safety concerns, their usage in all of these applications is governed by stringent restrictions. The growing need for plasticizers is anticipated to be fueled by the expanding plastics sector, especially in the Asia Pacific area. This will positively impact the 2-EH market.

“Paint and Coatings segment, by end user, to be dominating market from 2023 to 2030.”

The paint and coatings industry is the main user of 2-ethylhexanol (EH). In a wide variety of paint and coating formulas, including industrial finishes, automotive paints, and architectural coatings, EH is an essential component. The flexibility, durability, and water resistance of these coatings are improved by their integration. In the meantime, the adhesives industry is the sector seeing the fastest development in EH utilisation. EH is widely used in the production of hot melt adhesives, pressure-sensitive adhesives, and water-based adhesives, among other adhesive kinds. This application serves to improve adhesive performance in general and adherence in particular.

“Asia Pacific to be largest region in 2-Ethylhexanol (EH) market.”

With a sizeable revenue share of 60.2%, the Asia Pacific region led the market in 2022. By 2030, projections indicate that this region will continue to hold its dominant position and will have grown to a respectable market value. Additionally, it is anticipated to increase at the fastest rate due to the growing demand for 2-ethylhexanol in a variety of industries. The rising need for phthalate plasticizers, especially in developing nations like China, India, Indonesia, and Vietnam, is the reason behind this. Furthermore, the region's growth trajectory is expected to be further bolstered by the continuous breakthroughs in technology and the rising levels of disposable income.

2-Ethylhexanol (EH) Competitive Landscape

The competitive landscape of the 2-Ethylhexanol (EH) market involves assessing the competitive landscape to understand the strengths, weaknesses, opportunities, and threats of the industry. Key industry players have recognized that the adoption of 2-Ethylhexanol (EH) technology holds the potential for further growth. The growing desire among producers to optimize their production costs has spurred collaborative efforts among companies to scale up their production capacity. This strategic collaboration not only aims to increase revenue but also seeks to establish dominance in the market.

The 2-Ethylhexanol (EH) market is highly competitive, with numerous companies vying for market share. Prominent companies in the 2-Ethylhexanol (EH) Market include:

Eastman Chemical Company, Dow, BASF SE, SABIC, LG Chem, Ineos, Nan Ya Plastics Corporation, Mitsubishi Chemical Corporation, OQ Chemicals Gmbh, Grupa Sigma-Aldrich, Elekeiroz Exxon Mobil Corporation, Andhra Petrochemicals Limited, Saudi Basic Industry Corporation, Tianjin Zhongxin Chemtech Co.,Ltd., Arkema, Formosa Plastics Corporation, Shandong Haiwang Chemical Co., Ltd, Merck Kgaa and others.

Recent Developments in the market:

The Saudi Basic Industries Corporation (SABIC) opened a new facility in Jeddah for industrial chemicals in December 2022. This cutting-edge facility is well-positioned to strengthen Saudi Arabia's reputation as a trustworthy supplier of safe plasticizers, which are widely used in a variety of production processes and plastic-related industries. The Saudi Industrial Chemicals Factory is unique in that it is the first in the Kingdom of Saudi Arabia to use ethyl hexanol (2-EH) from SABIC for the synthesis of dioctyl terephthalate (DOTP), an essential ingredient in the plasticizer industry.

Anqing Shuguang Petrochemical Oxo (Anqing) was able to produce about 200 kta of 2-ethyl hexanol and 25 kta of iso-butyraldehyde after obtaining a licence agreement with Johnson Matthey (JM) and Dow in September 2022. With this licence, Anqing has obtained its second LP Oxo licence, making it the 23rd application of LP Oxo technology in China. The licence is meant to make it easier for Anqing to build its oxo company in response to the market's increasing demand for oxo alcohol. Operations at the new plant are expected to start in 2024. In order to produce 100 kta of 2-ethyl hexanol, 115 kta of regular butanol, and 23 kta of iso butanol, Anqing first used LP Oxo Technology in 2016.