De-aromatic Solvents Market

De-aromatic Solvents Market Analysis, By Flash Point (Low, Medium and High Flash Point Solvent), By Application (Paint & Coatings Formulation, Printing Inks Formulation, Varnishes Formulation, Drilling Fluids, Others), By Boiling Point and Region - Global Market Insights 2023 to 2033

Analysis of De-aromatic Solvents Market Covering 30+ Countries Including Analysis of US, Canada, UK, Germany, France, Nordics, GCC countries, Japan, Korea and many more

De-aromatic Solvents Market Outlook (2023-2033)

The global de-aromatic solvents market is anticipated to reach a valuation of US$ 2.2 billion in 2023 and further expand at a CAGR of 6.2% to reach US$ 4.0 billion by the end of 2033.

A de-aromatic solvent is also termed as an ultra-low aromatic solvents or de-aromatized hydrocarbon solvent. These are a subclass of hydrocarbon solvents with very little (less than 1%) aromatic content and a high concentration of naphthenic, paraffinic, and iso-paraffinic components, among others.

Report Attributes

Details

Market Size (2022A)

US$ 2.1 Billion

Estimated Market Value (2023E)

US$ 2.2 Billion

Forecasted Market Value (2033F)

US$ 4.0 Billion

Global Market Growth Rate (2023-2033)

6.2% CAGR

North America Market Share (2023)

~5.3%

East Asia Market Growth Rate (2023-2033)

~6.4% CAGR

United States Market Growth Rate (2023-2033)

~5.5% CAGR

Key Companies Profiled

  • Exxon Mobil Corporation
  • Shell plc
  • Idemitsu Kosan Co., Ltd.
  • Neste
  • Raj Petro Specialities Pvt. Ltd.
  • DHC Solvent Chemie GmbH
  • Avani Petrochem Pvt. Ltd.
  • Calumet Specialty Products Partners, L.P.

Know thy Competitors

Competitive landscape highlights only certain players
Complete list available upon request

Sales Analysis of De-aromatic Solvent (2018-2022) Vs. Market Forecast Outlook (2023-2033)

De-aromatic solvents are the most modern type of solvent that is characterized by various components such as naphthenic, paraffinic, and others. These de-aromatic solvents are widely used in coatings, paints and inks, industrial cleaning, drilling fluids, adhesives and sealants, metal working fluids, consumer products such as household insecticides, and many other applications.

De-aromatized solvents have different characteristics such as low toxicity, low VOC content, and high occupational exposure limits, which make them an ideal alternative to conventional solvents. Due to such characteristics, the use of de-aromatic solvents is increasing which will drive the de-aromatic solvent market over the forecast period.

  • Short Term (2023 to 2026): Rising use of de-aromatic solvent in the paint and coatings industry to positively impact de-aromatic solvent market growth.
  • Medium Term (2026-2029): Asia Pacific and North America are anticipated to witness high de-aromatic solvent demand on the back of the availability of major-end use industries in these regions.
  • Long Term (2029-2033): Increase in the use of de-aromatic solvent for Industrial cleaning and degreasing will drive de-aromatic solvent demand.

Over the 2018-2022 historical period, the global de-aromatic solvent market registered a CAGR of 3.8%, and according to the Fact.MR, a market research and competitive intelligence provider, the market is projected to exhibit growth at 6.2% CAGR between 2023 and 2033.

De-aromatic solvent market forecast by Fact.MR

Market share analysis of de-aromatic solvent based on application and region is provided in a nutshell in the above image. Under the application segment, the paint & coatings formulation sub-segment dominates with a 27.2% market share in 2023.

“Growing Use of De-aromatic Solvent in Paint & Coatings Sector”

De-aromatic solvents are widely used in paint formulations. De-aromatic solvents have various properties such as fast drying time, low VOC content, and low odor. All of these characteristics make de-aromatic solvent a preferred choice for paint and coatings formulations. The market is anticipated to increase as a result of rising demand for paints & coatings from both the residential and commercial sectors.

The growing paint and coating industry market is anticipated to project high growth opportunities. For instance, the global paints and coatings market reached a valuation of US$ 184.0 billion in 2021, which is around 20.0% larger than the market value of 2019.

Other than this the demand for paints from marine, automotive, and aerospace industries are also anticipated to increase which will drive the demand for de-aromatic solvent around the world over the period.

“Strict Government & Organizations Restrictions on Hazardous Chemicals Boosting De-aromatic Solvent Sales”

In order to control the pollution by harmful volatile organic compounds (VOCs) that are emitted by the aromatic or related other compounds into the atmosphere, the regulatory organizations & governments have established strict laws that regulate the manufacturing and use of chemicals, particularly solvents which are volatile in nature. These regulations emphasize reducing the use of traditional solvents and promoting the use of lower or non-VOC substitutes.

De-aromatized hydrocarbon solvents, also known as de-aromatic solvents, contain low aroma than traditional hydrocarbon solvents. As a result, as compared to traditional solvents, these solvents exhibit relatively lower toxicity and low odor, and relatively high occupational exposure limits. Thus, de-aromatic solvents are effective and relatively eco-friendlier as compared to conventional solvents.

Thus, all these benefits of de-aromatic solvent will open new doors of opportunities for de-aromatic solvent companies over the coming years.

“Fluctuating Cost of Raw Materials to hamper De-aromatic Solvent Market Growth”

The cost of raw materials that are required to produce de-aromatic solvents is predicted to fluctuate, which would have a negative impact on the industry. The most common feedstock used to make a de-aromatic solvent is naphtha. Naphtha is produced from crude oil.

Crude oil prices are skyrocketing due to the Russia – Ukraine invasion and trade sanctions over Russia and Iran two major oil and gas-producing countries. Thus, the skyrocketing crude oil prices affect the profit margins of market players and hamper the market’s growth.

Further, crude oil needs to refine before it can be used and the consumption of crude oil resources, requires extra cost.

Such factors are anticipated to hamper the market growth of de-aromatized solvents over the forecast period.

Country-wise Insights

Will the Huge Adhesives & Sealants Industry in the U.S. Drive High Demand for De-aromatic Solvents?

The United States de-aromatic solvent market is expected to expand at a GAGR of 5.5% by 2033.

The United States possesses one of the world's largest crude oil systems. The nation produces the most oil per day and has a significant reservoir share of 14.0% of the world's total reserves (18.6 million barrels per day). This, in turn, meet the raw material requirement of the de-aromatic solvent market.

Further, de-aromatic solvents are odorless and due to this property, they are used on large scale in the production of adhesives and sealants. De-aromatic solvents are predicted to have tremendous market expansion due to the expanding market for adhesives and sealants around the U.S. The U.S. demand for adhesives and sealants reached around US$ 13.0 billion in 2021. This increase in demand may be ascribed to rising building activity. This factor is anticipated to drive the market of de-aromatic solvents.

Because of the rising use of adhesives and sealants in construction and many other industries, the United States holds significant potential for de-aromatic solvent sales over the coming years.

Why is the China De-aromatic Solvent Market Expected to Be Highly Lucrative?

China is one of the largest chemical producers in the world, contributing 44.6% of global chemical consumption in 2020 with US$ 1.9 trillion.

China is projected to be one of the prominent producers and consumers of de-aromatic solvents, and the market in china is anticipated to grow at the highest rate over the forecast period.

The flourishing construction sector coupled with the huge industrial revolution the demand for the de-aromatic solvent is anticipated to elevate over the forecast period.

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Category-wise Insights

Why is Medium Flash Point De-aromatic Solvent Widely Used?

Medium flash point is estimated to hold close to half of the market value share among the flash point-based segments. Medium flash point de-aromatic solvent consumption is anticipated to drive during the forecast period due to increasing demand for environmental-friendly products such as solvent-free coatings and powder-coatings.

The current infrastructure and production methods support and demand medium flash point de-aromatic solvents, thus, driving the de-aromatic solvent market’s growth.

Furthermore, with the global economy on the way up, the medium flash point de-aromatic solvent sub-segment is predicted to expand 1.7x by the end of 2033.

Will Market Growth Be Led by Boiling Point, Type 1 (150–200°C)?

According to the boiling point, type 1 (150-200°C) for de-aromatic solvent is anticipated to hold close to one-third of the overall market share. The market is predicted to continue to dominate in the upcoming years. It is predicted to experience the fastest growth and be widely used in industrial applications such as water treatment, inks, and metalworking.

Owing to the above-mentioned factors, the demand for type 1 de-aromatic solvent is expected to grow at a CAGR of 5.7% in the upcoming period.

Key Market Strategies

Prominent de-aromatic solvent manufacturers are Exxon Mobil Corporation, Shell plc., Idemitsu Kosan Co., Ltd., Neste, Raj Petro Specialities Pvt. Ltd., DHC Solvent Chemie GmbH, Avani Petrochem Pvt. Ltd., Calumet Specialty Products Partners L.P., Cepsa, Gandhar Oil Refinery (India) Limited., Eastern Petroleum Pvt. Ltd., Arham Petrochem Private Limited, Mehta Petro Refineries Limited.

The world’s leading manufacturers of de-aromatic solvent products are focusing on developing customized products and increasing their production capacity to serve the rising demand of consumers. Key players also manufactured products that have higher as well as medium flash points, and lower toxicity.

Fact.MR has provided detailed information about the price points of key manufacturers of de-aromatic solvents positioned across regions, sales growth, production capacity, and speculative technological expansion, in the recently published report.

Segmentation of De-aromatic Solvent Industry Research

  • By Flash Point :

    • Low Flash Point Solvent
    • Medium Flash Point Solvent
    • High Flash Point Solvent
  • By Boiling Point :

    • Type 1 (150-200°C)
    • Type 2 (200-240°C)
    • Type 3 (> 240°C)
  • By Application :

    • Paint & Coatings Formulation
    • Printing Inks Formulation
    • Varnishes Formulation
    • Wood Preservatives Formulation
    • adhesives and sealants Formulation
    • Cleaning Solvents Formulation
    • Drilling Fluids
    • Others
  • By Region :

    • North America
    • Latin America
    • Europe
    • East Asia
    • South Asia & Oceania
    • MEA

- FAQs -

What is the global de-aromatic solvent market size?

The global de-aromatic solvent market is valued at US$ 2.2 billion in 2023.

How is the market for de-aromatic solvent expected to fare going forward?

Worldwide demand for de-aromatic solvent is anticipated to reach US$ 4.0 billion by 2033-end.

Which regional de-aromatic solvent market accounts for a leading market share?

East Asia tops the global de-aromatic solvent market accounting for 32.2% market share.

Which de-aromatic solvent type holds the highest market share?

Medium flash point de-aromatic solvent accounts for a 42.5% share of global sales.

How did the market perform over the last few years?

During 2018-2022, sales of de-aromatic solvent increased at 3.8% CAGR.

De-aromatic Solvents Market