Propylene Carbonate Market - Regional Analysis
APAC Market Insights
The Asia Pacific propylene carbonate market is estimated to account for 36.5% of the global revenue share by 2035, due to rapid industrialization and strong chemical manufacturing infrastructure. The large-scale production of lithium-ion batteries, paints and coatings, and consumer electronics is also contributing to the increasing sales of propylene carbonate. China, India, South Korea, and Japan are among the most profitable marketplaces for key investors.
The sales of propylene carbonate in India are projected to expand at a robust pace between 2026 and 2035. The growing electric vehicle (EV) market, helped by supportive government policies and funding, is expected to increase the sales of high-purity, battery-grade propylene carbonate in the coming years. In November 2024, the Ministry of Heavy Industries announced that the PM E-DRIVE Scheme, with USD 1.3 billion, would support the domestic EV industry. The move is anticipated to encourage electric mobility and reduce the use of fossil fuels. The public initiatives supporting renewable energy, clean mobility, and advanced electronics manufacturing are further boosting the consumption of propylene carbonate.
North America Market Insights
The North America propylene carbonate market is expected to hold the second-largest global revenue share throughout the forecast period. The well-established chemical manufacturing sector and booming export activities are expected to double the revenues of domestic players. The rising registrations of electric vehicles and robust expansion of renewable energy infrastructure are also contributing to the high sales of propylene carbonate.
The U.S. market for propylene carbonate is anticipated to be driven by the strong industrial demand and advanced chemical manufacturing capabilities. The expanding construction activities and high demand for paints and coatings are likely to fuel the sales of propylene carbonate. According to the Federal Reserve Bank of St. Louis, the producer price index for paint and coating manufacturing stood at 420.351 in July 2025. Furthermore, the booming investments in grid-scale energy storage infrastructure are also set to create a profitable environment for propylene carbonate manufacturers.
Europe Market Insights
The European propylene carbonate industry is forecast to expand at the fastest CAGR from 2026 to 2035. The electric vehicle and renewable energy storage are the most revenue-generating sectors for propylene carbonate companies. The strong presence of automakers and lithium-ion battery manufacturers is creating a profitable environment for key market players. Furthermore, the sustainability trends and strict environmental regulations are likely to drive innovations in the production of propylene carbonate in the EU.
Germany leads the demand for propylene carbonate due to its mature automotive and chemical manufacturing sectors. The country’s Climate Law outlines a framework to achieve zero net carbon emissions by 2045. Thus, the aggressive domestic EV and battery ecosystem is set to fuel the consumption of high-purity propylene carbonate. The green building trends and technological advancements in electronics manufacturing are further projected to double the demand for propylene carbonate solvents.
