Market Size, Share, Trends, Growth and Forecast 2032

Renewable Chemicals Market Insights

According to Zion Market Research, the global Renewable Chemicals Market was worth USD 18.38 Billion in 2023. The market is forecast to reach USD 84.36 Billion by 2032, growing at a compound annual growth rate (CAGR) of 16.5% during the forecast period 2024-2032.

The report offers a comprehensive analysis of the market, highlighting the factors that will determine growth, potential challenges, and opportunities that could emerge in the Renewable Chemicals Market industry over the next decade.

Request Free Sample

Market Overview

  Renewable chemicals or bio-based chemicals consist of various chemicals which are obtain from renewable sources such as agricultural feedstock, organic waste products, agricultural waste, biomass, and microorganisms. These chemicals are used in surfactants and lubricants, resins, consumer goods, and plastics for environmental purposes. Key players across renewable chemicals market are focusing aggressively on innovation, as well as on including advanced technologies in their existing products. Over the coming years, they are also expected to take up partnerships and mergers and acquisitions as their key growth strategy across renewable chemicals market, states the renewable chemicals market study.

Citing an instance, in August 2018, Ryze Renewables, a manufacturer of renewable fuels based in the U.S., entered into partnership with Phillips 66 Company, a U.S. based multinational energy firm, to construct two next-gen renewable diesel fuel units in Nevada. Sources cite that the two renewable diesel fuel manufacturing facilities are projected to produce 11,000 barrels quantity of renewable diesel fuel per day. Analysts forecast that the strategic initiative will encourage other industry participants to follow the suit and this is likely to promote the renewable chemicals market demand in the next few years.

Several industries are adopting it as an alternative to fossil fuels to achieve net-zero emission targets. The climate change crisis and rise in focus on circular economy encourages research and advancements in the development of renewable chemical. Countries across the globe are taking initiatives to promote the use of chemical to decrease dependency on fossil fuel imports. These chemicals are developed for affordable and energy-efficient recycling.

Organic acids are used in surfactants, food ingredients, and pharmaceutical sectors, among others. Biosurfactants are obtained from renewable feedstock. These are used as emulsifiers, foaming agents, and wetting agents. A wide range of cosmetics and personal care products use biosurfactants.

The growth in the personal care industry has increased the demand for the industry. The application of biosurfactants is expected to increase in coatings, paints, and varnishes during the forecast period. Strengthening the construction sector and the development of public infrastructure has accelerated the adoption of the renewable chemical market.

The use of chemicals such as bio-alcohol is expected to increase in the automotive and transportation sector during the forecast period. The adoption of bioethanol has experienced growth in petrol engines. Bioethanol offers a high engine compression ratio and thermal efficiency in vehicles. Bioethanol is being used in existing vehicles with up to 5% bioethanol without alterations to the engine

Growth Factors

Massive depletion of sources of fossil fuels and growing environmental damage along with oscillations witnessed in crude oil costs will anchor the lucrative growth for renewable chemicals market over the coming years. Apart from this, favorable government policies and high product applications in various sectors such as food & beverages, farming, textiles, and biomedicine will foster the growth of renewable chemicals market in the ensuing years.

Lower output and lack of technological innovations, however, can hinder the growth of renewable chemicals market over the years to come. Nevertheless, extensive R&D activities for achieving higher output along with devising of cost-effective methods of producing renewable energy chemicals is anticipated to accelerate the renewable chemicals market development in the years ahead, normalizing the impact of hindrances on the renewable chemicals market.

Renewable Chemicals Market: Report Scope

Segment Analysis Preview  

The main products available in renewable chemicals market are alcohols, ketones, biopolymers, platform chemicals, and organic acids. Among them, the demand for alcohol is relatively higher and the trend is anticipated to remain so over the next few years. However, biopolymers segment is projected to witness highest growth rate during the forecast period growth of the segment is mainly attributed to growing demand for the product in the automotive and packaging sectors.

By Product (Alcohols, Ethanol, Methanol, Biopolymers, Polyhydroxy alkanoates (PHA), Starch blends, Polylactic acid (PLA), Regenerated cellulose, PBS, bio-PET, bio-PE, Ketones, Platform chemicals, and Organic acids),

By Applications (Agriculture, Textiles, Environment, Transportation, Food & beverage packaging, Communication, Bio-medical, and Other)

Regional Analysis Preview  

Regionally, Europe has been leading the worldwide renewable chemicals market and is anticipated to continue on the dominant position in the years to come, states the renewable chemicals market study. Escalated concerns about environmental pollution along with the  sense of corporate responsibility prevailing among the manufacturers leading them to produce renewable chemicals based products is the main factor behind the dominance of the Europe renewable chemicals market. The high number of market players being headquartered in Europe is another significant factor that is supporting the growth of renewable chemicals market across the region.

Request Free Sample

Key Market Players & Competitive Landscape

Some of the major players of the global Renewable Chemicals market include-

• Corbion N.V.
• Mitsubishi Chemical Corporation
• Myriant Corporation
• Genomatica
• Metabolix Inc.
• BASF
• Braskem
• BioMCN
• NatureWorks LLC
• DuPont Tate & Lyle Bio Products
• Cobalt Technologies and BioAmber among others.

Request Free Sample

The global renewable chemicals market is segmented as follows:

By Products

• Alcohols
• Ethanol
• Methanol
• Biopolymers
• Polyhydroxy alkanoates (PHA)
• Starch blends
• Polylactic acid (PLA)
• Regenerated cellulose
• PBS
• bio-PET
• bio-PE
• Ketones
• Platform chemicals
• Organic acids

By Applications

• Agriculture
• Textiles
• Environment
• Transportation
• Food & beverage packaging
• Communication
• Bio-medical
• Other

By Region

• North America
  • The U.S.
  • Canada
• Europe
  • France
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Southeast Asia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • South Africa
  • Rest of Middle East & Africa