The Global Ethylene Carbonate Market size is expected to reach $970.4 million by 2030, rising at a market growth of 8.6% CAGR during the forecast period. In the year 2022, the market attained a volume of 3,188.3 hundred Tonnes, experiencing a growth of 7.4% (2019-2022).
EC is used to formulate drug delivery systems, particularly in controlled-release drug formulations. It can act as a co-solvent or plasticizer to control the release rate of active pharmaceutical ingredients (APIs) from drug delivery devices. This helps ensure precise and sustained drug delivery to patients. Hence, the medical segment would register approximately 1/4th share of the market by 2030. Ethylene carbonate manufactures implantable medical devices, including drug-eluting stents and biodegradable implants. It helps control the release of drugs from these devices, lowering the risk of complications and improving patient outcomes. EC can be found in pharmaceutical formulations, including oral and topical medications. It serves as a solvent or co-solvent to improve the bioavailability and solubility of poorly soluble drugs, improving their therapeutic efficacy. Some of the factors impacting the market are rising demand for EC in lithium-ion battery electrolyte, increase in the use of bio-based plasticizers, and volatility in raw material’s prices.
The transition to renewable energy sources, such as wind and solar power, has increased demand for energy storage solutions. Lithium-ion batteries are essential for storing and efficiently distributing renewable energy, further driving the need for EC in their manufacturing. Research and development efforts are ongoing to improve the performance and safety of lithium-ion batteries. EC is favored in these efforts due to its ability to enhance the electrolyte's ionic conductivity and stability, resulting in batteries with higher energy density, faster charging capabilities, and longer lifespan. Major EV manufacturers and battery producers are investing in constructing large-scale battery manufacturing facilities, often called giga factories. These facilities have significantly increased the demand for lithium-ion battery components, including EC. As the need for electric vehicles, renewable energy storage, and advanced battery technologies continues to rise, the ethylene carbonate market is expected to experience sustained growth in the coming years.
Additionally, Some regions and governments have introduced regulations and policies encouraging bio-based materials and promoting sustainability. These policies further support the growth of bio-based plasticizers and their use in combination with ethylene carbonate. Bio-based plasticizers and their combinations with ethylene carbonate find applications in various industries, including food packaging, medical devices, and consumer goods. This diversity of applications contributes to market growth. Companies are investing in green technologies and sustainable material development, including exploring innovative plasticizer formulations that incorporate ethylene carbonate. Overall, the shift toward bio-based plasticizers, along with the compatibility and performance enhancement provided by ethylene carbonate, has contributed to the growth of the ethylene carbonate market.
However, volatility in raw material prices can create uncertainty in the ethylene carbonate market, making it challenging for businesses to make long-term investment decisions. Market participants may hesitate to expand production capacity or invest in new product development when prices are unpredictable. Customers of ethylene carbonate may adjust their purchasing decisions and inventories in response to fluctuating prices. This can lead to demand fluctuations that manufacturers must navigate. Regulatory changes related to raw material sourcing or environmental regulations can also influence the cost structure of ethylene carbonate production. Manufacturers must stay compliant with evolving regulations, which can further affect costs. These aspects will hamper the growth of the market.
On the basis of form, the ethylene carbonate market is segmented into solid and liquid. The liquid segment acquired a substantial revenue share in the ethylene carbonate market in 2022. In its liquid form, the product finds application in lubricants and polymers. It is extensively utilized to produce high-density plastics that exhibit excellent resistance to impact and chemical degradation. By combining liquid ethylene carbonate with substances such as diethyl carbonate, ethene oxide, and propylene oxide, specialized materials can be created to meet specific requirements. Furthermore, the product's liquid form plays a vital role in the manufacturing process of lithium-ion battery electrolytes.
Based on application, the ethylene carbonate market is fragmented into lubricants, surface coatings, lithium battery electrolyte, plasticizers, and others. In 2022, the lubricants segment held the highest revenue share in the ethylene carbonate market. This is attributed to the extensive usage of lubricants in multiple industries, including oil & gas, automotive, industrial, and others. The product is used as an additive or co-solvent in lubricant formulations to enhance their performance and properties. Additionally, it improves the lubricity and film-forming capabilities of the lubricant, reducing friction and wear between moving parts. Ethylene carbonate helps to prevent metal-to-metal contact and minimize the risk of surface damage and component failure by forming a protective film on the metal surfaces.
By end-use, the ethylene carbonate market is classified into automotive, industrial, oil & gas, medical, and others. In 2022, the automotive segment registered the highest revenue share in the ethylene carbonate market. Ethylene carbonate is a key component in the electrolyte formulation of lithium-ion batteries used in EVs and hybrid vehicles. These batteries are essential for storing and delivering electrical energy to power the vehicle. Ethylene carbonate, other solvents, and lithium salts help create a stable and conductive electrolyte, allowing for the efficient movement of lithium ions between the battery's anode and cathode during charging and discharging cycles. The development of the electric vehicle industry is a significant driver of ethylene carbonate's use in the automotive industry.
| Report Attribute | Details |
|---|---|
| Market size value in 2022 | USD 507.8 Million |
| Market size forecast in 2030 | USD 970.4 Million |
| Base Year | 2022 |
| Historical Period | 2019 to 2021 |
| Forecast Period | 2023 to 2030 |
| Revenue Growth Rate | CAGR of 8.6% from 2023 to 2030 |
| Number of Pages | 387 |
| Number of Table | 750 |
| Quantitative Data | Volume in Hundred Tonnes, Revenue in USD Thousands, and CAGR from 2019 to 2030 |
| Report coverage | Market Trends, Revenue Estimation and Forecast, Segmentation Analysis, Regional and Country Breakdown, Companies Strategic Developments, Company Profiling |
| Segments covered | Form, End-use, Application, Region |
| Country scope | US, Canada, Mexico, Germany, UK, France, Russia, Spain, Italy, China, Japan, India, South Korea, Australia, Malaysia, Brazil, Argentina, UAE, Saudi Arabia, South Africa, Nigeria |
| Growth Drivers |
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| Restraints |
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Region-wise, the ethylene carbonate market is analysed across North America, Europe, Asia Pacific, and LAMEA. In 2022, the Asia Pacific region witnessed the largest revenue share in the ethylene carbonate market. The enlargement is attributed to the growing adoption of electric vehicles and the increasing demand for energy storage systems in the region. Additionally, factors such as a strong industrial base, supportive government policies, and the availability of cost-effective labor incentivize major market players to invest in the region. Moreover, the region is prominent in producing lithium-ion battery electrolytes and EV lithium-ion batteries. This is expected to drive the market growth in the coming years. China's thriving automotive industry, driven by the growing demand for electric vehicles (EVs), has significantly contributed to the increased consumption of ethylene carbonate. China has emerged as one of the leading EVs and lithium-ion batteries manufacturers, further boosting the demand for the product.
Free Valuable Insights: Global Ethylene Carbonate Market size to reach USD 970.4 Million by 2030
The market research report covers the analysis of key stake holders of the market. Key companies profiled in the report include Mitsubishi Chemical Holdings Corporation, FUJIFILM Wako Pure Chemical Corporation, Huntsman Corporation, Thermo Fisher Scientific, Inc., BASF Se, Cole-Parmer Instrument Company (Antylia Scientific), Oriental Union Chemical Corp., Asahi Kasei Corporation, Empower Materials, Inc. (Axess Corporation), and Merck KGaA.
By End-Use (Volume, Hundred Tonnes, USD Thousands, 2019-2030)
By Form (Volume, Hundred Tonnes, USD Thousands, 2019-2030)
By Application (Volume, Hundred Tonnes, USD Thousands, 2019-2030)
By Geography (Volume, Hundred Tonnes, USD Thousands, 2019-2030)
This Market size is expected to reach $970.4 million by 2030.
Rising demand for EC in lithium-ion battery electrolyte are driving the Market in coming years, however, Volatility in raw materials prices restraints the growth of the Market.
Mitsubishi Chemical Holdings Corporation, FUJIFILM Wako Pure Chemical Corporation, Huntsman Corporation, Thermo Fisher Scientific, Inc., BASF Se, Cole-Parmer Instrument Company (Antylia Scientific), Oriental Union Chemical Corp., Asahi Kasei Corporation, Empower Materials, Inc. (Axess Corporation), and Merck KGaA.
In the year 2022, the market attained a volume of 3,188.3 hundred Tonnes, experiencing a growth of 7.4% (2019-2022).
The Solid segment is leading the Market by Form in 2022, and would continue to be a dominant market till 2030; thereby, achieving a market value of $508,588.9 Thousands by 2030.
The Asia Pacific region dominated the Market by Region in 2022, and would continue to be a dominant market till 2030; thereby, achieving a market value of $379.7 million by 2030.
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