The global sales of Renewable Chemicals in 2021 was held at US$ 86.7 Billion and is predicted to reach US$ 262.9 Billion by the end of 2032. With 10.6%, the projected market growth during 2022 – 2032 is expected to be significantly higher than the historical growth. Ethanol is expected to be the highest revenue-generating segment, projected to grow at a CAGR of over 12.5% during 2022 – 2032.
As per the Renewable Chemicals Market research by Fact.MR – a market research and competitive intelligence provider, historically, from 2017 to 2021, the market value of the Renewable Chemicals Market increased at around 10% CAGR. Growing environmental concerns and government backing for eco-friendly materials and products are all driving the renewable chemicals industry expansion. According to the International Energy Agency, in its study Global Energy Review 2021, as demand for coal, oil, and gas rises, energy-related CO2 emissions are expected to expand by 4.8% in 2021.
Want A Detailed Understanding of Market Functioning? Request for a Sample Here –
https://www.factmr.com/connectus/sample?flag=S&rep_id=7436
What Factors are Propelling Renewable Chemicals Demand?
There are numerous factors propelling the demand for renewable chemicals. Depletion of fossil fuels and rise in greenhouse gas emissions will force the industries to use renewable chemicals like ketones, ethanol, biopolymers, etc. in manufacturing.
The restrictions that government imposes in the form of emission fees to discourage the use of fossil fuels are also a contributing factor to the increase in the demand for renewable chemicals. In 2020, the US government charged US$ 24-US$ 39/tCO2e (tonnes of carbon dioxide equivalent) from various companies. Besides, several manufacturers have also added bio-ethanol to their product portfolio to promote environment-friendliness.
Which Country Lies at the CenterStage for Renewable Chemicals Market Revenue?
The United States is expected to account for the highest market share of US$ 63.1 Bn by the end of 2032. This is due to the rise in the concern for sustainability. Increase in the focus of government towards reduction in the greenhouse gases like carbon dioxide, methane, nitrous oxide, etc.
Furthermore, to increase the market share in the renewable chemical industry, companies like BASF SE, Genomatica, and Biosynthetic Technologies are pursuing various growth strategies such as mergers and acquisitions, strategic partnerships, cooperation, and manufacturing facility developments.
What is the impact of Covid-19 on Renewable Chemicals Market?
Covid-19 outbreak had resulted in a narrower demand for chemicals. The emergence of Covid-19 resulted in a decline in the oil prices due to a reduction in world oil consumption of roughly 29 Mn barrels per day. It led to a high supply of crude oil in the market making the prices of synthetic chemicals and materials cheaper. This reduction in the prices had a detrimental impact on renewable chemical production.
Due to lockdowns, the demand for basic commodities and canned goods had skyrocketed, leading to the hoarding of long-lasting items like rice and wheat. Covid-19 had hampered the supply chain, availability of raw materials, and logistics.
Moreover, as a result of covid-19, a significant number of participants in the industry have begun producing PPE or Personal Protective Equipment such as masks, kits, and sanitizers. The key market participants of the renewable chemical industry are extensively focusing on the production of essential and necessary goods, which in turn led to a reduction in renewable chemicals production. For instance, Cargill and BASF SE diverted their production to PPE kits and hand sanitizers.
Speak To Research Analyst For Detailed Insights:
https://www.factmr.com/connectus/sample?flag=AE&rep_id=7436
Competitive Analysis
Players in the market are constantly developing improved analytical solutions as well as extending their product offerings. To help healthcare organizations implement data analysis solutions, combat the Covid-19 pandemic, and preserve competitive advantage in the market, the companies are focused on their alliances, technology collaborations, and product launch strategies.
Some of the recent developments of key Renewable Chemical providers are as follows:
- In July 2020,Praj Industries introduced a new Bio-Prism portfolio that produces renewable chemicals and materials. The portfolio of Praj Industry already includes Bio-Industrial products. This new addition to the existing portfolio will further help in optimizing its revenue.
- In April 2021, Du Pontannounced that they will focus more on sustainability and try to reduce carbon footprint and improve operations, thereby generating lesser waste and higher energy efficiency.
- In October 2021, Mitsubishi Chemical Holdings, established in Japan, seeks to invest US$ 875 Mn by 2030. The funding will be mainly utilized to install solar energy and construct a plastic business that recycles used vegetable oils. By 2050, the corporation aspires to achieve a net-zero in greenhouse gas emissions.
- In September 2021, around5% of the Vattenfall wind farm, Holland Kust Zuid was purchased by BASF SE. The wind farm has already started construction in July 2021 in the Dutch North Sea. This subsidy-free offshore wind farm is scheduled to begin its operation in 2023. This is BASF’s first huge investment in the field of renewable energy.
- In November 2021, Lummus Technologyhas signed an MoU with Braskem Netherlands B.V., which is a subsidiary of Braskem, the world’s largest biopolymer manufacturer. The MOU is targeted to the license of Braskem’s green ethylene technology for two of the ethanol to ethylene conversion projects in development in Asia and North America, indicating that the technology has a worldwide audience.
Market Segments Covered in Renewable Chemicals Market Analysis
By Product Type :
- Ethanol
- Ketones
- Biopolymers
- Platform Chemicals
- Other Product Types
By Feedstocks :
- Biomass
- Corn
- Sugarcane
- Algae
- Other Feedstocks
By End-Use :
- Automotive
- Medical
- Food and Beverages
- Petrochemicals
- Textiles
- Agriculture
- Other End-Uses
By Region :
- North America
- Latin America
- Europe
- APAC
- MEA
About Us:
Market research and consulting agency with a difference! That’s why 80% of Fortune 1,000 companies trust us for making their most critical decisions. While our experienced consultants employ the latest technologies to extract hard-to-find insights, we believe our USP is the trust clients have on our expertise. Spanning a wide range – from automotive & industry 4.0 to healthcare & retail, our coverage is expansive, but we ensure even the most niche categories are analyzed. Our sales offices in United States and Dublin, Ireland. Headquarter based in Dubai, UAE. Reach out to us with your goals, and we’ll be an able research partner.
Contact:
US Sales Office:
11140 Rockville Pike
Suite 400
Rockville, MD 20852
United States
Tel: +1 (628) 251-1583