Oxygenated Solvents Market Trends

Growth Drivers

Surging Demand for Personal Care Products - the worldwide perfume industry was found to be worth approximately USD 50 billion by the end of 2022. Since oxygen molecules are present in oxygenated solvents, they are highly soluble and non-toxic. These solvents are frequently used in the manufacturing of a variety of personal care items, such as lotions, hair styling products, deodorants, and perfumes due to their low toxicity.
Growing Usage in the Pharmaceutical Industry – Oxygenated solvents, such as ketones, are commonly used as a chemical intermediate in chemical peelings, acne treatment, and the manufacture of various pharmaceutical drugs. Thus, the pharmaceutical industry's expansion is expected to drive demand for such organic solvents in the coming years.
Rising Traction and Popularity of Environment-Friendly Products – Based on a survey report conducted in 2021, the popularity of environment-friendly products expanded by around 75% throughout the world. The popularity of environment-friendly products and the rising consumer awareness regarding the harmful impacts of chemical-based products on the environment is propelling the demand for green solvents. Hence, the growing application of industrial solvents specifically, oxygenated solvents in several industries for a wide variety of end-use products such as home care cleaning products, industrial and institutional cleaning products, paints, inks, coatings, building, construction, and infrastructure applications, and food production applications is predicted to boost the market growth over the projected time frame.

Challenges

Stringent Government Regulations Concerning Environment - The production of conventional oxygenated solvents generates volatile organic compounds (VOC), that cause pollution issues in the atmosphere. Organizations such as the US Environmental Protection Agency (EPA), the California Air Resource Board (CARB), and other government agencies have imposed regulations to regulate VOC emissions to avoid or reduce VOC emissions. Such regulations are expected to impede the expansion of the oxygenated solvents market as they may hinder the manufacturing of conventional oxygenated solvents.
Associated Risk of VOC Emission
Significant Effect of Bio and Green Solvents on Food Security

Oxygenated Solvents Market: Key Insights

Base Year	2024
Forecast Year	2025-2037
CAGR	6.5%
Base Year Market Size (2024)	USD 34.3 billion
Forecast Year Market Size (2037)	USD 77.77 billion
Regional Scope	North America (U.S., and Canada) Latin America (Mexico, Argentina, Rest of Latin America) Asia-Pacific (Japan, China, India, Indonesia, Malaysia, Australia, Rest of Asia-Pacific) Europe (U.K., Germany, France, Italy, Spain, Russia, NORDIC, Rest of Europe) Middle East and Africa (Israel, GCC North Africa, South Africa, Rest of the Middle East and Africa)

Frequently Asked Questions (FAQ)

In the year 2025, the industry size of oxygenated solvents is estimated at USD 36.08 billion.

The oxygenated solvents market size was over USD 34.3 billion in 2024 and is poised to exceed USD 77.77 billion by 2037, witnessing over 6.5% CAGR during the forecast period i.e., between 2025-2037. The growing demand for esters which is an oxygenated solvent used in the manufacturing of coatings with the expanding paint & coatings and construction industry will drive the market growth.

Asia Pacific industry is set to hold largest revenue share of 39% by 2037, owing to increasing advances in urban areas in emerging economies such as China, followed by escalation in the construction sector in the region.

The major players in the market are BASF SE, Solvay SA, OQ Chemicals GmbH, Arkema Group, The Dow Chemical Company, Exxon Mobil Corporation, LyondellBasell Industries N.V., Eastman Chemical Company, Shell International B.V., Petroliam Nasional Berhad (PETRONAS)

Oxygenated Solvents Market Trends