Propylene Glycol Market Size, Share & Trends Analysis Report By Source (Petroleum Based, Bio Based), By Grade (Industrial Grade, USP Grade), By End-Use, By Region, And Segment Forecasts, 2023 - 2030

Propylene Glycol Market Size, Share & Trends Analysis Report By Source (Petroleum Based, Bio Based), By Grade (Industrial Grade, USP Grade), By End-Use, By Region, And Segment Forecasts, 2023 - 2030

Propylene Glycol Market Growth & Trends

The global propylene glycol market is expected to reach USD 6.98 billion by 2030 and is anticipated to register a 6.1% CAGR from 2023 to 2030, as per the new report by Grand View Research, Inc. The growth is majorly driven by the increasing demand for propylene glycol to produce unsaturated polyester resins which are increasingly being used in the construction industry in concrete, reinforcement, roofing, and others. In addition, the product is widely used to produce water emulsion paints for coating the interiors of architectural buildings.

Propylene oxide is a major raw major used in the production of propylene glycol. The product is used in a wide range of industries owing to its low toxicity and freezing point which is depressed upon mixing with water. Propylene glycol is used in the food industry for food flavorings and colorings and is classified as a humectant food additive. It is also used in the cosmetics industry and personal care products such as shampoos, baby wipes, moisturizers, and bubble baths.

Asia Pacific is expected to grow at the highest CAGR in the forecast period owing to the rapidly growing construction industry in the region, especially in developing economies such as China, India, Japan, Indonesia, and others. According to the National Investment Promotion & Facilitation Agency, construction is the second-largest employer in India and is projected to become the third-largest construction market across the globe by 2025. The sector accounts for around 9% of the country's GDP and employs 51 million people.

Propylene Glycol Market Report Highlights

• In 2022, petroleum-based emerged as the dominant source segment by contributing over 71% of the revenue share. This is attributed to its affordability and application in industrial antifreeze and hydraulic fluids
• Industrial was the dominating grade segment accounting for a revenue share of around 63% in 2022 owing to the wide range of applications of the grade in various industries such as construction, transportation, agriculture, and others
• The construction end-use segment is predicted to grow at a CAGR of 6.3% in terms of revenue by 2030, owing to the growing urbanization and increasing infrastructure activities across the globe
• The Asia Pacific is projected to grow at the highest CAGR of 6.6% over the predicted years owing to the rapid growth of major end-use industries including construction and transportation in the region