1,6-Hexanediol - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts 2019 - 2029

1,6-Hexanediol - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts 2019 - 2029

The 1,6-Hexanediol Market size is estimated at USD 1.02 billion in 2024, and is expected to reach USD 1.42 billion by 2029, growing at a CAGR of 6.98% during the forecast period (2024-2029).

The Covid-19 outbreak had a negative impact on various industries including the construction industry where 1,6-Hexanediol is used in the coatings. This has a negative impact on the market. However, in 2021 and 2022, the market has gained momentum which has led to pre-pandemic demand for 1,6-Hexanediol.

Key Highlights

• Major factors driving the market studied are the increasing usage as feedstock for manufacturing chemical compounds and rising demand from the wind energy sector.
• On the other side, the availability of substitutes such as butanediol and pentanediol is hindering the growth of the market.
• Advancement in technology and the development of bio-based raw materials is expected to provide new opportunities for the 1,6-Hexanediol market.
• Europe region represents the largest market owing to the consumption from countries such as Germany and the United Kingdom.

1,6-Hexanediol Market Trends

Increasing Demand from the Polyurethane and Coatings Segment

• The growth of polyurethanes is attributed to the high demand for paint and coatings, elastomers, and foams. 1,6-hexanediol is used as a chain extender in the polyurethane application segment. It converts the polyurethane into a modified polyurethane with substantially high corrosion resistance.
• Also, it permeates different properties in polyurethanes, such as high mechanical strength, low glass transition temperature, and high heat resistance.
• A key factor for the growth of polyurethanes is the demand for their sub-applications or derivatives, such as thermoplastic polyurethanes elastomers, coatings, and foams, across varied regions. To serve the growing demand from several industries, expansion projects related to paints, coating, and adhesives are being carried out globally.
• In August 2022, TIGER Drylacannounced an expansion project that will be carried out at its existing facility in St. Charles Illinois in the United States. Through this expansion project, the company aims to expand its powder coatings business.
• Further, Pearl Polyurethane Systems launched a new polyurethane-based adhesive by the name PearlBond adhesive in April 2023. This adhesive can be used in jogging tracks, kids' playground mats, and garden tiles as a binder. It can also be used in the construction of sandwich panel insulation as a lamination adhesive, for structural purposes as wood binders, and as a roofing adhesive for a variety of construction uses.
• Further, according to the United States Census Bureau, in the year 2022, the total value of commerical construction in the country was valued at USD 114.7 billion while in the year 2021, it was USD 94.5 billion. Such trends in the construction industry are likely to boost the demand for paints and coatings and hence the demand for 1,6-Hexanediol used in the production of paints over the forecast period.
• Hence, such factors and trends are likely to boost the demand for 1,6-Hexanediol over the forecast period.

Asia-Pacific is the Fastest Growing Market

• Asia-Pacific is the fastest-growing market for 1,6-hexanediol and is projected to remain so owing to steady consumption by manufacturers of adhesives, softening agents, lacquers, acrylics, and several other consumer products, which are driving the growth of the 1,6-hexanediol market.
• The use of chemicals in the manufacturing of acrylates will be particularly notable in Europe. Germany and Italy are among the key importers in the region mainly attributable to the increasing demand for Polyurethane in automobile applications.
• In May 2023, Sirca Paints India Limited signed an agreement with Sirca S.p.A (Italy) to manufacture 10 different Polyurethane wood coating products in India. This step comes towards reducing the import dependency of Sirca Paints India Limited and meeting the growing demand for polyurethane paints and coatings in India.
• Further, in August 2022, BASF SE launched a new invisible Thermoplastic Polyurethane (TPU) Paint Protection Film (PPF) to better serve the automotive industry in the Asia-Pacific region.
• All such aforementioned factors are likely to enhance the demand for 1,6-hexanediol market in the region.

1,6-Hexanediol Industry Overview

The global 1,6-hexanediol market is partially consolidated in nature with a few major players dominating a significant portion of the market. Some of the major players (not in any particular order) are BASF SE, LANXESS, UBE Corporation, Perstorp Holding AB, and Prasol Chemicals Limited.

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