Global Toluene Diisocynate (TDI) Market Growth 2025-2031

The global Toluene Diisocynate (TDI) market size is predicted to grow from US$ 4768 million in 2025 to US$ 6443 million in 2031; it is expected to grow at a CAGR of 5.1% from 2025 to 2031.

Toluene diisocyanate (TDI) is a member of the diisocyanate family associated with polyurethane chemistry. It is often marketed as 80/20 and 65/35 mixtures of the 2,4 and 2,6 isomers respectively.

TDI is one of the main raw materials for polyurethane and an upstream raw material for the production of sponges, polyurethane adhesives and sealants. The TDI production route includes liquid-phase phosgenation and gas-phase phosgenation. Currently, only Covestro uses the gas-phase method, and other devices are liquid-phase methods. There are steps such as nitration, photochemical reaction, and hydrogenation in the TDI reaction process, which has high technical barriers.

Globally, TDI production facilities are mainly distributed in China, Japan, South Korea, Germany, Hungary and the United States. China is the largest TDI producer, accounting for about 45% of the market share. Wanhua Chemical is the world's largest TDI producer, with a total TDI production capacity of 0.95 million tons/year in 2023. In 2024, Wanhua Chemical announced the TDI expansion plan for the Fujian base. After the project expansion is completed, Wanhua Chemical's total TDI production capacity is expected to reach 1.42 million tons/year. With BASF closing its German TDI plant in 2023 and Wanhua Chemical acquiring Yantai Juli's TDI business, the global TDI industry concentration will be further improved.

Market Drivers

Increasing Demand from the Polyurethane Industry: The primary market driver for Toluene Diisocyanate (TDI) is its extensive use in the production of polyurethane (PU) products. TDI is a key raw material for flexible polyurethane foams, which are widely used in furniture, bedding, and automotive seating. The growing construction and automotive industries, driven by increasing urbanization and rising disposable incomes, have led to heightened demand for flexible PU foams. TDI is also used in coatings, adhesives, sealants, and elastomers (CASE applications), further contributing to its market growth.

Growth in the Furniture and Bedding Sectors:The rising consumer preference for comfort and the increasing demand for high-quality mattresses and furniture have boosted the need for flexible polyurethane foam, driving the TDI market. The expansion of e-commerce and the trend toward online shopping for home furnishings have also accelerated the demand for PU foam-based products. With the global shift towards more comfortable and ergonomic furniture, TDI consumption is expected to rise in the production of cushions, mattresses, and upholstered furniture.

Rising Automotive Industry Demand:The automotive industry's growth, particularly in emerging markets, is a significant driver for TDI. The use of flexible polyurethane foam in automotive interiors, such as seat cushions, headrests, and soundproofing materials, enhances comfort and safety. As the global automotive industry moves toward electric vehicles (EVs), the need for lightweight materials like PU foam is increasing to enhance fuel efficiency and range, further boosting the demand for TDI.

LP Information, Inc. (LPI) ' newest research report, the “Toluene Diisocynate (TDI) Industry Forecast” looks at past sales and reviews total world Toluene Diisocynate (TDI) sales in 2024, providing a comprehensive analysis by region and market sector of projected Toluene Diisocynate (TDI) sales for 2025 through 2031. With Toluene Diisocynate (TDI) sales broken down by region, market sector and sub-sector, this report provides a detailed analysis in US$ millions of the world Toluene Diisocynate (TDI) industry.

This Insight Report provides a comprehensive analysis of the global Toluene Diisocynate (TDI) landscape and highlights key trends related to product segmentation, company formation, revenue, and market share, latest development, and M&A activity. This report also analyzes the strategies of leading global companies with a focus on Toluene Diisocynate (TDI) portfolios and capabilities, market entry strategies, market positions, and geographic footprints, to better understand these firms’ unique position in an accelerating global Toluene Diisocynate (TDI) market.

This Insight Report evaluates the key market trends, drivers, and affecting factors shaping the global outlook for Toluene Diisocynate (TDI) and breaks down the forecast by Type, by Application, geography, and market size to highlight emerging pockets of opportunity. With a transparent methodology based on hundreds of bottom-up qualitative and quantitative market inputs, this study forecast offers a highly nuanced view of the current state and future trajectory in the global Toluene Diisocynate (TDI).

This report presents a comprehensive overview, market shares, and growth opportunities of Toluene Diisocynate (TDI) market by product type, application, key manufacturers and key regions and countries.

Segmentation by Type:
TDI 80/20
TDI 65/35
TDI 100

Segmentation by Application:
Flexible Polyurethane Foams
Coating
Adhesives & Sealants
Others

This report also splits the market by region:
Americas
United States
Canada
Mexico
Brazil
APAC
China
Japan
Korea
Southeast Asia
India
Australia
Europe
Germany
France
UK
Italy
Russia
Middle East & Africa
Egypt
South Africa
Israel
Turkey
GCC Countries

The below companies that are profiled have been selected based on inputs gathered from primary experts and analysing the company's coverage, product portfolio, its market penetration.
Wanhua Chemical
BASF
Mitsui Chemicals
Covestro
Hanwha Chemical
Cangzhou Dahua
Gansu Yinguang Juyin
OCI
GNFC

Key Questions Addressed in this Report

What is the 10-year outlook for the global Toluene Diisocynate (TDI) market?

What factors are driving Toluene Diisocynate (TDI) market growth, globally and by region?

Which technologies are poised for the fastest growth by market and region?

How do Toluene Diisocynate (TDI) market opportunities vary by end market size?

How does Toluene Diisocynate (TDI) break out by Type, by Application?

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