MarketsandMarkets forecasts the propanol market to grow from USD 3.5 billion in 2018 and is projected to reach USD 4.2 billion by 2023, at a CAGR of 4.0% during the forecast period. The propanol market is majorly driven by the household & personal care and pharmaceutical applications in APAC, mainly from India, China, Japan, South Korea, and Southeast Asian countries. The objective of the report is to define, describe, and forecast the propanol market size based on type (isopropanol, n-propanol), application (isopropanol - direct solvent, chemical intermediates, others), and region.

Isopropanol is estimated to lead the propanol market by type during the forecast period.

Isopropanol is the major type of propanol, which is used as a solvent in diverse applications, such as paints & coatings, pharmaceutical, inks, and household & personal care products, owing to its low cost and easy availability. The increasing demand for these products due to high growth industries such as construction, healthcare, printing, and automotive in the developing regions of APAC, South America, and the Middle East & Africa are expected to drive the demand for propanol.

Direct solvent is estimated to be the largest application of isopropanol.

The direct solvent application is estimated to lead the isopropanol market in 2018. Isopropanol is used as a direct solvent in the manufacturing of paints & coatings, pharmaceuticals, and cosmetics. The increasing consumption of these products owing to the growth of the construction, automotive, healthcare, and beauty care industries is expected to drive the demand for isopropanol. Hence, the increasing demand for isopropanol from these applications is expected to drive the propanol market during the forecast period.

APAC is projected to be the fastest-growing propanol market.

APAC (comprising China, Japan, India, Malaysia, South Korea, and Rest of APAC) is estimated to be the fastest-growing propanol market during the forecast period. The growing construction, automotive, household & personal care, and pharmaceutical industries in the region owing to the growing consumer spending and increasing income levels is expected to boost the demand for propanol. Propanol is commonly used in the construction and automotive industries for paints & coatings applications. Similarly, it is used in household cleaner & beauty products and active pharmaceutical ingredients (API) used in the household & personal care and pharmaceutical industries, respectively.

Market Dynamics

Driver: Increasing demand for paint and coating due to the rapidly growing construction and automotive industries

The construction industry in emerging economies is rapidly developing. This has led to the increased demand for paint and coatings, which, in turn, has boosted the propanol market. N-propanol is used as a solvent in the manufacturing process in the paints & coatings industry. The reason for the development of the construction industry is the increasing urban population in most of the developing regions. According to the World Bank, most of the countries in APAC such as India, Myanmar, Nepal, and Afghanistan have less than 35% of their population living in urban areas. The expected growth of these economies at a promising rate will contribute to the development of the construction industry. In the developing countries, there is an increasing shift of population to tier 1 and metro locations, which is creating a demand for residential construction. According to the Institute of Civil Engineers, the construction output will grow by 85% to USD 15.5 trillion by 2030 globally, with three countries�China, the US, and India�accounting for 57% of the global growth. Thus, the increasing construction industry in these economies will boost the demand for paints & coatings, which, in turn, will drive the global propanol market.

Another major consumer of paints and coatings is the automotive industry. The automotive industry is still suffering from the effects of the recession of 2008, and the demand for new cars is not high. However, it is assumed that the emerging markets such as Latvia, Lithuania, Cyprus, and others of the European Union, South America, and APAC are witnessing consistent growth in the sales of vehicles, which is ultimately boosting the demand for propanol solvents. According to the International Organization of Motor Vehicle Manufacturers (OICA), the Europe region witnessed an increase in vehicle sales in 2017 by 3.9% from 2016, while APAC and South America witnessed 4.3% and 12.3% increase, respectively.

Restraint: Shifting focus toward green solvents due to high VOC emission

VOC emissions and other environmental risks associated with the use of petrochemical-based solvents are restraining the propanol market growth. The environmental risks associated with the petroleum-based solvents have led to the increased adoption of substitutes that utilize fewer amounts of petrochemical-based solvents; for example, the use of water-based paints and coatings instead of solvent-based paints and coatings in construction applications. However, water-based paints do not provide the finish that solvent-based paints provide. This problem can be eliminated by the use of bio & green solvents that have the qualities of petrochemical-based solvents and are VOC-free.

Opportunity: Growing demand for industrial solvents in emerging economies

Solvents are used in industries due to their mixing property with different solids, liquids, or gases. Propanol solvents are widely used in industries such as pharmaceuticals, adhesives, and paint. The rapid increase in industrialization in developing economies globally will provide ample growth opportunities to the propanol manufacturers in the coming years. The increasing consumption of adhesives, paints, pharmaceuticals, and other products in the emerging economies due to factors such as development in construction, automobile, healthcare, and other industries will boost the propanol market in the developing economies.

Challenge: Harmful effects of petrochemical-based solvents

Exposure to propanol solvents causes various types of health hazards. Exposure to n-propyl alcohol or n-propanol can produce mild central nervous system depression, cracking skin, drowsiness, headaches, ataxia, gastrointestinal pain, abdominal cramps, nausea, vomiting, diarrhea, and others. On the other hand, exposure to isopropyl alcohol can cause central nervous system depression; liver, kidney, cardiovascular depression; brain damage; and others. It can also act as poison if accidentally consumed by children. N-propanol is considered to be slightly more toxic than isopropyl alcohol. Thus, the harmful effects of propanol solvents can be a challenge for the market.

Report Metric Details Market size available for years 2016�2023 Base year 2017 Forecast period 2018�2023 Units considered Value (USD Million), Volume (Kiloton) Segments Type (Iso-propanol, N-propanol), Application ( Direct Solvent, Chemical Intermediate, Household & Personal Care, Pharmaceutical), and Region Regions North America, APAC, Europe, the Middle East & Africa, and South America Companies Royal Dutch Shell Plc (Netherlands), Exxon Mobil Corporation (US), BASF SE (Germany), The Dow Chemical Company (Japan), LG Chem Ltd. (Seoul), Sasol Limited (South Africa), Eastman Chemical Company (US), Tokuyama Corporation (Japan), LCY Chemical Corp. (Taiwan), JXTG Holdings, Inc. (Japan), Deepak Fertilisers and Petrochemicals Corporation Ltd. (India), and OXEA GmbH (Germany)

Carboclor S.A. (Argentina), ISU CHEMICAL (South Korea), LyondellBasell Industries Holdings B.V. (Netherlands), Solvay (Belgium), Seqens (France), Dairen Chemical Corporation (DCC) (Taiwan), Tasco Group (Taiwan), A. B. Enterprises (India), Wenzhou Huaqiao Chemical Reagent Co., Ltd. (China), KH Chemicals (Netherlands), Tokyo Chemical Industry Co., Ltd. (Japan), Zhejiang Xinhua Chemical Co., Ltd. (China), and Mitsui Chemicals, Inc. (Japan)

This research report categorizes the propanol market based on type, application, and region.

The Propanol Market, By Type:

Isopropanol

N-Propanol

The Propanol Market, By Application (Isopropanol):

Direct Solvent

Chemical Intermediate

Household & Personal Care

Pharmaceutical

Others (inks, pesticide formulations, processing solvent in the production of resins, electronic applications, and chemical reagents)

The Propanol Market, By Application (N-Propanol):

Chemical Intermediate

Direct Solvent

Others (deicing fluids, pharmaceutical solvents, and entrainer in azeotropic distillation)

The Propanol Market, By Region

APAC

North America

Europe

Middle East & Africa

South America

Key Market Players

Royal Dutch Shell Plc (Netherlands), Exxon Mobil Corporation (US), BASF SE (Germany), The Dow Chemical Company (US), LG Chem Ltd. (South Korea), Sasol Limited (South Africa), Eastman Chemical Company (US), Tokuyama Corporation (Japan), LCY Chemical Corp. (Taiwan), JXTG Holdings, Inc. (Japan), Deepak Fertilisers and Petrochemicals Corporation Ltd. (India), and OXEA GmbH (Germany) are the key players operating in the propanol market.

Royal Dutch Shell(Netherlands) is one of the leading players in the propanol market, which provides isopropanol. The company operates through three business segments, namely, upstream, integrated gas and new energies, and downstream. It offers isopropanol products through its chemical sub segment that falls under the downstream business segment. This company is a major player operating in the isopropanol market, which caters to industries such as pharmaceutical and household & personal care.

Recent Developments

In July 2018, OXEA GmbH inaugurated its new propanol production unit in Texas, US. The new production facility will increase the company�s North American production capacity of n-propanol by 75%.

In March 2017, Royal Dutch Shell established its new technology center in Bangalore, India. Expansion is a part of the company�s strategy to expand its R&D activities in Asia.

In August 2015, OXEA GmbH launched a new product, namely, n-propanol (biocide quality). The product is specially designed as a base material for biocidal products.

Critical questions the report answers:

What are the upcoming hot bets for the propanol market?

What are the market dynamics for different types of propanol?

What are the market dynamics for different applications of propanol?

Who are the major manufacturers of isopropanol and n-propanol?

What are the major factors impacting market growth during the forecast period?

Frequently Asked Questions (FAQ): What are the factors Influencing the growth of Propanol market? Increasing demand for paint and coating due to the rapidly growing construction and automotive industries. How many types of Propanol are available in the market? Propanol is available in two different types of isomers, namely, isopropanol and n-propanol which are used in various industrial applications. Which region show highest growth? APAC is the most dominating market for Propanol. The market is witnessing a shift of consumption and production capacity from the developed markets to the emerging markets due to economic growth rate, growing manufacturing industries, low-cost labor, easy availability of raw material, and favorable regulatory policies. Who are the major manufacturers? Major manufactures include, Royal Dutch Shell Plc (Netherlands), Exxon Mobil Corporation (US), BASF SE (Germany), The Dow Chemical Company (Japan), LG Chem Ltd. (Seoul), Sasol Limited (South Africa), Eastman Chemical Company (US), Tokuyama Corporation (Japan), LCY Chemical Corp. (Taiwan), JXTG Holdings, Inc. (Japan), Deepak Fertilisers and Petrochemicals Corporation Ltd. (India), and OXEA GmbH (Germany) among others. What is the major application of isopropanol? Chemical intermediate is the domination application for Isopropanol. As isopropanol is an important precursor used in manufacturing various chemicals such as isopropyl amine, isopropyl esters, and others that are used in various industries. What is the biggest Restraint for fabric finishing chemical? VOC emissions and other environmental risks associated with the use of petrochemical-based solvents are restraining the propanol market growth.

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