Isopropanol Market
Isopropanol Market Analysis by Technical Grade, Pharmaceutical Grade, and Cosmetic Grade from 2023 to 2033
Analysis of Isopropanol Market Covering 30+ Countries Including Analysis of US, Canada, UK, Germany, France, Nordics, GCC countries, Japan, Korea and many more
Isopropanol Market Growth Outlook (2023 to 2033)
The global isopropanol market is valued to be US$ 3.4 billion in 2023 and it is anticipated to grow at a CAGR of 2.5% to reach US$ 4.3 billion by the end of 2033. Global consumption of isopropanol is set to reach over 4,160.2 kilo tons by 2033 end which amounts to around 1% share of the global organic chemical consumption.
Over the past-half decade, isopropanol has gained immense significance as an effective solvent across various industrial sectors in light of its complete miscibility in most of the solvents including water. Isopropanol has been deemed as an accurate solvent for compounds such as natural & epoxy resins, alkaloids, ethyl cellulose, and essential oils.
Report Attributes |
Details |
Isopropanol Market Size (2022A) |
US$ 3.3 Billion |
Estimated Market Value (2023E) |
US$ 3.4 Billion |
Forecasted Market Value (2033F) |
US$ 4.3 Billion |
Global Market Growth Rate (2023-2033) |
~2.5% CAGR |
North America Market Share (2023) |
~29.1% |
US Market Growth Rate (2023-2033) |
~2.6% CAGR |
Key Companies Profiled |
|
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Historic and Future Pathway Analysis for the Isopropanol Market
According to Fact.MR, historically, from 2018 to 2022, utilization of isopropanol increased at around 2.1% CAGR, wherein, countries such as United States, China, Japan, Germany and UK held a significant share in the global market.
Moreover, fast evaporating property of isopropyl alcohol that leaves zero oil traces, and its lower toxicity, coupled with the estimated future phase out of ethanol will continue to augur well for its market growth in the near future.
- Short Term (2023-2026): Rising use of isopropanol in research & development activities of the biopharmaceutical industry will drive the market in short term.
- Medium Term (2026-2029): Increasing investments in new technologies to overcome performance and quality issues associated with the manufacturing of isopropanol will drive the market in medium term.
- Long Term (2029-2033): Growing Asia pacific markets and demand for isopropanol in various industries will drive the market for isopropanol in long term.
According to the Fact.MR, a market research and competitive intelligence provider, the market is projected to exhibit growth at 2.5% CAGR between 2023 and 2033.
“Growing demand from pharmaceutical industry”
Isopropanol forms an integral ingredient in the production of rubbing alcohol, disinfecting pads, and hand sanitizer. The compound also serves as an efficacious skin soother, and pain reliever. Banking on these attributes of isopropanol, pharmaceutical companies highly seek pharmaceutical-grade variant for use as a solvent during the API (Active Pharmaceutical Ingredients) production that comprise 67-70% isopropanol in water. In addition, isopropanol observes robust adoption in the DNA extraction process during research & development activities of the biopharmaceutical industry.
“Demand for high purity isopropanol gaining traction”
Semiconductor- or electronic-grade isopropanol is sought-after for use as an exclusive cleaner and solvent in the industry. Demand for electronic-grade isopropanol has witnessed a significant surge, backed by the proliferation in semiconductor ICs and consumer electronics. Leading stakeholders are adopting capacity extension strategies to keep up with the rising demand. In 2017, Sumitomo Chemical commenced construction of new plant for production of high purity isopropanol in China.
“Isopropanol gaining importance as an effective solvent”
Over the past-half decade, isopropanol has gained immense significance as an effective solvent across various industrial sectors in light of its complete miscibility in most of the solvents including water. Isopropanol has been deemed as an accurate solvent for compounds such as natural & epoxy resins, alkaloids, ethyl cellulose, and essential oils. Moreover, fast evaporating property of isopropyl alcohol that leaves zero oil traces, and its lower toxicity, coupled with the estimated future phase out of ethanol will continue to augur well for its market growth in the near future.
Country-wise Insights
What makes China a Prominent Market for Isopropanol?
China isopropanol market is largely driven by the expansion of chemical, pharmaceutical, automotive, and construction sectors. China solvent market is growing steadily and the country reported for the highest consumption of isopropanol among all Asia Pacific countries during 2021.
Growth of the pharmaceutical sector in China, is another factor driving the growth of isopropanol market. In addition, owing to the progressive demand for personal care, household cleaning and other consumer products, isopropanol is likely to remain in high demand during the review period.
Why Germany is being the centre for Isopropanol Business across Europe?
Germany is estimated to be one of the prominent countries for the isopropanol consumption in Europe, which is largely driven by the established automotive industry. Isopropanol as a cleaning agent is highly sought after for various automotive applications.
Further, positive growth of the construction industry has proportionally increased the consumption of isopropanol in paints and coating production. The market for isopropanol in Germany is expected to grow at a steady pace due to the rising levels of consumption in these multiple industries.
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Category-wise Insights
Why Isopropanol is highly used as high purity solvent in electronic industry?
Due to its miscibility in most non-polar solvents, isopropanol readily dissolves dirt, light organic contaminants, and ionic flux residues. These properties are prerequisites for cleaning minute pores present in the electronic components, making it suitable cleaner for the electronic industry.
Moreover, it removes ionic salts from the printed circuit boards and dissolves organic acids in rosin-based soldering fluxes. Isopropyl alcohol is also known as rubbing alcohol and is largely used as disinfectant or sterilizer in home applications. Following the huge demand for isopropanol, manufacturers deliver multiple purity grades of isopropanol cleaners for variety of industrial as well as household applications
Why Isopropanol as an antiseptic is gaining demand and having the Futuristic Market Potential?
Based on revenue, antiseptic held the highest share in 2019 at 41.1%. The product is in high demand as an antiseptic because of rising health concerns after recent pandemic. The global consumption of sanitizers, personal care items, and other pharmaceutical formulations to preserve personal hygiene are directly influenced by the virus outbreak.
This is forecasted to show a significant demand in the formulation of pharmaceutical and personal care products. Formulation of antiseptics is one of the major applications of the compound since it exhibits excellent disinfectant properties. The concentration of ideally 70% of IPA is used in producing hand sanitizers globally.
Eminent Players Key Stratagems
Prominent isopropanol manufacturers are Dow Chemical Company, Exxon Mobil Corporation, Shell Chemicals, Mitsui Chemicals, Inc, Tokuyama Corporation, LG Chem Ltd., Perrigo Company plc, Sasol Limited and Lyondell Basell Industries N.V.
IPA shortages are witnessed in the semiconductor industry, to fill the supply demand gap, manufacturers are focusing on the construction of new isopropanol production plants. Additionally, isopropanol manufacturers pushing for long terms supply contracts, since, they understand the likelihood of price correction during next two years.
The manufacturers rely on access to international markets or are planning to increase investments on offshore operations might find themselves on the receiving end. Pressure has continued to build on review and modernization of NAFTA (North America Free Trade Agreement) to boost job creation and economic growth in the region.
Fact.MR has provided detailed information about the price points of key manufacturers of isopropanol positioned across regions, sales growth, production capacity, and speculative technological expansion, in the recently published report.
Segmentation of Isopropanol Industry Research
-
By Grade Type :
- Technical Grade
- Direct Solvent Grade
- Chemical Derivatives Grade
- Pharmaceutical Grade
- Cosmetic Grade
- Electronic Grade
- Technical Grade
-
By Manufacturing Process :
- Indirect Hydration of Propylene
- Direct Hydration of Propylene
- Catalytic Hydrogenation of Acetone
-
By Primary Function :
- Dissolving Agent
- Cleaning & Drying Agent
- Disinfectant
- Anti - freezing Agent
- Synthetic Flavoring Adjuvant
- Antiseptics
- Anti-adhesives
- Others
-
By Application :
- Pharmaceuticals
- Homecare
- Cosmetic & Personal Care
- Chemical Intermediates
- Electronics
- Others
-
By Region :
- North America
- Latin America
- Europe
- East Asia
- South Asia & Oceania
- Middle East & Africa
- FAQs -
What is the Global Isopropanol Market Size?
The global isopropanol market is estimated to be valued at US$ 3.4 billion in 2023.
What is the Isopropanol market valuation expected for 2033?
The market for Isopropanol is projected to reach the valuation of US$ 4.3 Bn by 2033.
Which regional Isopropanol Market Accounts for a Leading Market Share?
North America in the global isopropanol market is anticipated to account for 29.1% market share in 2023.
What was the Global Isopropanol Market Size in 2022?
The global isopropanol market is valued at US$ 3.3 billion in 2022.