Dibasic Ester Market Trends

Growth Drivers

• Increasing Need in the Paint & Coatings Sector- Because of its low volatility, strong solvency power, and environmental friendliness, dibasic ester is frequently employed as a solvent in the paint and coatings industry. The need for paints and coatings is being driven by the expansion of the construction and automotive industries, which is increasing the need for dibasic esters. In 2022, there were 1.4 billion registered automobiles. In 2022, 57 million passenger vehicles were made globally.

• Growing Utilization of Agrochemicals- In the formulation of pesticides, herbicides, and other agrochemicals, dibasic ester is employed as a solvent. The need for agrochemicals is rising due to the growing requirement for agricultural products to feed the world's population, which is also propelling the expansion of the dibasic ester market. As per the FAO, the global use of herbicides was close to 1.4 million metric tons in 2020, while the consumption of fungicides and bactericides was approximately 606 and 471 thousand metric tons, respectively.

• The Need for Industrial Cleaning- Because of its low toxicity and strong solvency power, dibasic ester is employed as a solvent in industrial cleaning applications. Dibasic ester demand is rising as a result of the expanding industrial sector, particularly in emerging nations where industrial cleaning solutions are in high demand.

• Expanding Use of Pharmaceuticals- In the pharmaceutical sector, medication products are formulated using dibasic ester as a solvent. The need for dibasic ester in this industry is being driven by the rising incidence of illnesses and the expanding need for pharmaceuticals. The pharmaceutical industry has grown significantly during the last 20 years, with global sales expected to reach 1.48 trillion dollars in 2022.

Challenges

• Regulatory Difficulties- It might be difficult for DBE manufacturers to comply with regulatory requirements, such as safety standards and environmental restrictions. The manufacture, marketing, and application of DBE may be impacted by modifications to existing laws or the adoption of new ones.

• Other solvents with comparable solvency qualities, like glycol ethers, ketones, and aromatic solvents, compete with BE. To effectively compete, manufacturers must distinguish DBE and show its superior performance or environmental benefits.

• Paints and coatings, agrochemicals, and medicines are among the industries that have seen supply chain disruptions and demand effects due to the COVID-19 epidemic. These industries are key users of DBE. The post-pandemic revival of these industries may have an effect on the demand for DBE.