Green Chemicals Market

The global Green Chemicals Market was valued at USD 10763.58 Million in 2022 and is projected to reach a value of USD 21134.35 Million by 2030 at a CAGR (Compound Annual Growth Rate) of 8.80% between 2023 and 2030.

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The Green Chemicals market are produced using plant or animal waste, thus are eco-friendly, non-toxic, and abundant in nature. Hence, the adoption of Green Chemicals market is expected to increase in the near future as concerns grow over the rapid depletion of oil and gas reserves. Growing adoption of bio-based packaging materials owing to its non-toxic nature, requirement for less raw material for production, low production cost, and easy disposal is a factor expected to drive growth of the global Green Chemicals market. Fluctuations in global oil prices and increasing number of green chemical applications in various industries are some of the other factors expected to augment the target market growth. The increasing adoption of green cities and green-based construction of residential, industrial, and commercial buildings globally are expected to boost the market expansion in the next coming years.

However, high cost of Green Chemicals market, availability of synthetic chemicals, coupled with COVID-19 outbreak are factors that may limit growth of the target market during the forecast period. Furthermore, increasing R&D activities, government initiatives to use sustainable components for production, and investments by prominent players are factors expected to create lucrative growth opportunities in terms of revenue for players operating in the global Green Chemicals market over the forecast period.

Market Segmentation:

The Green Chemicals market is segmented on the basis of product and application. Based on product, the market is segmented as bioalcohols, biopolymers, biosolvents, organic acids and other products. The other products segment include biolubricants and biosurfactants. By application, the market is segmented into personal care, packaging, automotive, agriculture, and other applications. The other applications segment include construction, electrical & electronics, paints & coatings, and textiles.

Based on product, the bioalcohols segment is accounted as a major contributor in the Green Chemicals market

The bioalcohols category is expected to hold a major share in the global Green Chemicals market in 2022. This is attributed to growing usage of bioethanol as an alternative fuel in vehicles as it is cheap and environmental-friendly. According to the Energy Information Administration (EIA), the number of vehicles is expected to reach 1.7 million by 2035 and the liquid fuel consumption is expected to reach 21.9 million gallons per day in 2035 from 19.1 million barrels per day in 2009. Thus, there is rise in adoption of bioethanol as a transportation fuel and blending mandates by several regulatory bodies, such as Renewable Energy Directive (EU RED) and Renewable Fuel Standard (EPA RFS) is mandatory. Additionally, increasing demand for bioethanol in the production of alcoholic beverages, such as beer, brandy, gin, vodka, and whiskey.

Personal Care segment witness growth at a rapid rate

The personal care segment is projected to grow at a rapid rate in the global Green Chemicals market owing to growing concerns pertaining to the harmful effects of synthetic chemicals on the skin. Hence, with the growing popularity of bio-based beauty products and personal hygiene products, there is an increase in demand for Green Chemicals in the personal care sector, especially in countries such as the US, Germany, UK, China, and India.

In the region, the North America Green Chemicals market holds significant revenue share.

The North America Green Chemicals market is expected to register highest market share in terms of revenue in the near future. This can be attributed to the strong focus on the environment in the region, with the increasing adoption of Green Chemicals in different industries including food & beverages, personal care, packaging, automotive, and others. In addition, the chemical industry in the region is focusing on the production of Green Chemicals to develop sustainable and environmental-friendly solutions. Growing demand for bio-based components across industries and widespread adoption of Green Chemicals in the production of intermediate chemicals in the region are factors proliferating growth of the target market in the region. In addition, Asia Pacific is projected to grow at a rapid rate in the global Green Chemicals market due to growing concerns about environment, rapid industrialization, government initiatives, and increasing funding in various industries.

Competitive Landscape

The key players in the Green Chemicals market have shifted their focus towards bio-based components for product manufacturing and are initiating significant strategies such as mergers, acquisitions, and joint ventures of major and domestic players to enhance product portfolio and strengthen their market footprint across the globe. Some of the major key players in the Green Chemicals market are Cargill Inc., BASF SE, Bio-Kleen Products, Inc., Balfour Beatty PLC, DuPont Industrial, Biosciences, Dryvit Systems, Inc., Anderson Corporation, Palmer Industries, Inc., Plycem USA, Inc., Silver Line Building Products LLC, Thermafiber, Inc., Huber Engineered Woods LLC, Bayer Material Science AG, Kingspan Group, USG Corporation, Koninklijke DSM NV, and Calera Corporation.

Green Chemicals Market is segmented as follows:

Green Chemicals Market is tabulated as follows: