Market Size of Dipropylene Glycol Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| CAGR | 4.00 % |
| Fastest Growing Market | Asia-Pacific |
| Largest Market | Asia-Pacific |
| Market Concentration | High |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Dipropylene Glycol Market Analysis
The global dipropylene glycol market accounted for around 160 kilo tons in 2021 and is projected to register a CAGR of over 4% during the forecast period (2022-2027).
The market was negatively impacted by COVID-19 in 2020. Due to the COVID-19 outbreak in the first half of 2020, the cosmetic industry was significantly affected. This, in turn, has unfavorably impacted the consumption of dipropylene glycol. The market is projected to grow steadily as fragrances production observed growth in 2021.
Over the short term, rising demand from personal care and cosmetic industries, coupled with increasing demand for DPG as a solvent, coupling agent, and chemical intermediate in various end-use applications in the emerging economies, are some of the driving factors stimulating the market demand.
However, the availability of substitutes such as 2-Methyl-1,3-propanediol may hinder the growth of the target market.
Nevertheless, rising trends for bio-based dipropylene glycol are likely to create lucrative growth opportunities for the global market over the forecast period.
The Asia-Pacific region is expected to dominate the market and is also likely to witness the highest CAGR during the forecast period. This growth is attributed to a rise in the production of polyurethane resins and plasticizers in China and India.
Dipropylene Glycol Industry Segmentation
Dipropylene glycol (DPG) is a clear, colorless industrial product used as a benzoate ester plasticizer and glycol component in unsaturated polyester resins. It is a byproduct of propylene glycol, manufactured by non-catalytic propylene oxide hydration reaction. Dipropylene glycol is a superior solvent completely miscible with water and various organic compounds. It finds its application in alkyd resins, urethane polyols, inks and paints, functional fluids, fragrances, and cosmetics. The dipropylene glycol market is segmented by type, application, and geography. By type, the market is segmented into fragrance grade and industrial grade. By application, the market is segmented into polyester resins, functional fluids, humanfood/pharmaceutical/cosmetics, and personal care products, liquid detergents, and other applications. The report also covers the market size and forecasts for the dipropylene glycol market in 15 countries across major regions. For each segment, the market sizing and forecasts have been done based on volume (kilo tons).
| Type | |
| Fragrance Grade | |
| Industrial Grade |
| Application | |
| Polyester Resins | |
| Functional Fluids | |
| Human Food/ Pharmaceutical/Cosmetics and Personal Care Products | |
| Liquid Detergents | |
| Other Applications |
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Dipropylene Glycol Market Size Summary
The dipropylene glycol market is poised for steady growth, driven by increasing demand from the personal care, cosmetic, and automotive industries. The market's expansion is supported by its application as a solvent, coupling agent, and chemical intermediate in various end-use sectors, particularly in emerging economies. Despite the challenges posed by the availability of substitutes like 2-Methyl-1,3-propanediol, the rising interest in bio-based dipropylene glycol presents significant growth opportunities. The Asia-Pacific region is expected to lead the market, with China and India playing pivotal roles due to their burgeoning production of polyurethane resins and plasticizers. The functional fluids application segment, which includes uses in cutting oils, coolants, and agricultural chemicals, holds a substantial share of the market, benefiting from the superior properties of dipropylene glycol that meet critical performance requirements.
The Asia-Pacific region, with its dominant market position, is experiencing robust growth fueled by the increasing demand for dipropylene glycol in cosmetics, fragrances, and plasticizers. The region's growth is further bolstered by rapid industrialization and a thriving automotive sector, particularly in countries like China, India, and Japan. The presence of major industry players such as Manali Petrochemicals Limited, Adeka Corporation, BASF, and Dow enhances the market's expansion prospects, with a focus on capacity expansion. The dipropylene glycol market is characterized by its consolidated nature, with key players like Dow, LyondellBasell Industries Holdings B.V., BASF SE, Shell Plc, and Manali Petrochemicals Limited driving competition and innovation. These factors collectively contribute to the anticipated growth trajectory of the dipropylene glycol market over the forecast period.
Dipropylene Glycol Market Size - Table of Contents
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1. MARKET DYNAMICS
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1.1 Drivers
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1.1.1 Rising Demand from Personal Care and Cosmetic Industries
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1.1.2 Increasing Demand for DPG in Plasticizer Applications
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1.2 Restraints
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1.2.1 Availability of Substitutes
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1.2.2 Other Restraints
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1.3 Industry Value Chain Analysis
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1.4 Porter's Five Forces Analysis
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1.4.1 Bargaining Power of Suppliers
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1.4.2 Bargaining Power of Buyers
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1.4.3 Threat of New Entrants
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1.4.4 Threat of Substitute Products and Services
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1.4.5 Degree of Competition
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2. MARKET SEGMENTATION
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2.1 Type
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2.1.1 Fragrance Grade
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2.1.2 Industrial Grade
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2.2 Application
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2.2.1 Polyester Resins
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2.2.2 Functional Fluids
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2.2.3 Human Food/ Pharmaceutical/Cosmetics and Personal Care Products
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2.2.4 Liquid Detergents
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2.2.5 Other Applications
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2.3 Geography
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2.3.1 Asia-Pacific
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2.3.1.1 China
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2.3.1.2 India
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2.3.1.3 Japan
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2.3.1.4 South Korea
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2.3.1.5 Rest of Asia-Pacific
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2.3.2 North America
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2.3.2.1 United States
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2.3.2.2 Canada
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2.3.2.3 Mexico
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2.3.3 Europe
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2.3.3.1 Germany
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2.3.3.2 United Kingdom
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2.3.3.3 Italy
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2.3.3.4 France
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2.3.3.5 Rest of Europe
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2.3.4 South America
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2.3.4.1 Brazil
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2.3.4.2 Argentina
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2.3.4.3 Rest of South America
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2.3.5 Middle-East and Africa
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2.3.5.1 Saudi Arabia
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2.3.5.2 South Africa
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2.3.5.3 Rest of Middle-East and Africa
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Dipropylene Glycol Market Size FAQs
What is the current Dipropylene Glycol Market size?
The Dipropylene Glycol Market is projected to register a CAGR of greater than 4% during the forecast period (2024-2029)
Who are the key players in Dipropylene Glycol Market?
Dow, LyondellBasell Industries Holdings B.V. , Manali Petrochemicals Limited, BASF SE and Shell Plc are the major companies operating in the Dipropylene Glycol Market.
