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Isobutanol Market to Perceive Substantial Growth by the End 2023

Author: Priyanka Thakare
by Priyanka Thakare
Posted: Feb 15, 2019

Global Isobutanol Market: Snapshot

Isobutanol is a primary alcohol and an organic compound with a molecular formula of (CH3)2CHCH2OH. It is a colourless, flammable liquid used predominantly as solvent and chemical intermediate to manufacture wide range of chemical formulations. Although it has limited miscibility in water, it is easily soluble in a wide range of regular solvents such as ketones, alcohols, ether, gycols, aromatic hydrocarbons, and aldehydes. Isobutanol also performs a number of functionalities, including playing the role of extractant, additive, humectant, dehydrating agent, and starting material.

The global market for isobutanol has witnessed a steady pace of expansion in the past few years owing to high demand from a number of industries. The market continues to expand at a steady pace and is expected to exhibit a healthy CAGR of 5.2% over the period between 2017 and 2025.

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Increased Demand for Bio-based Products to Compel Isobutanol Manufacturers to Turn to Renewable Feedstock

On the basis of type, isobutanol is classified as synthetic isobutanol and bio-based isobutanol. Synthetic isobutanol is majorly produced by the carbonylation of propylene. The industry uses two methods to produced synthetic isobutanol namely – hydroformylation and Reppe carbonylation. Among these two hydroformylation is more common. However, due to environmental concerns, isobutanol manufacturers are shifting their focus on producing bio-based isobutanol, which is manufactured with the use of renewable feedstocks. Bio-based isobutanol is a cost effective alternative to isobutanol derived from fossil feedstock. Bio-based isobutanol serves as an excellent bio-based fuels which helps to lower carbon alternative. As a fuel, it can be blended with gasoline in higher concentration than ethanol without compromising compatibility and performance.

On the basis of end user segment isobutanol is segmented into paints and coatings, oil and gas, pharmaceuticals, chemicals, and textiles. Isobutanol in the form of colorless, oily liquid is used as an industrial solvent that can be used in paints and coatings. When used in paints, isobutanol contributes in reducing viscosity and removes the brush flow of the end product. Isobutanol also helps to reduce the formation of oil residue. The paints and coatings industry is likely to remain one of the key consumers of isobutanol in the next few years as demand for paints and coatings has substantially increased from the construction and automotive sectors.

North America to Emerge as Leading Regional Market for Isobutanol

Asia-Pacific is one of the prominent consumers of isobutanol in the global market and is likely to remain a key force over the report’s forecast period as well. The isobutanol market in Asia-Pacific is anticipated to expand at a fast pace during the forecast period due to the steady expansion of the paints and coatings and chemicals industries in the region.

North America followed Asia Pacific in terms of consumption of isobutanol in 2016, with thriving demand for a variety of chemicals, bio-fuels, and paints and coatings from countries such U.S and Canada driving the market. Various small players that offer isobutanol operate in U.S.; hence, the market is fragmented in the region. North America is also key chemical producer, consuming high volumes of isobutanol across a number of applications in the industry. Therefore, the region is likely to be a leading market for isobutanol during the forecast period. The isobutanol market in Middle East and Africa and Latin America held meagre shares in 2016. The isobutanol market in these regions is estimated to anticipate expand at a sluggish pace during the forecast period.

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Key players operating in the isobutanol market are The Dow Chemical Company, Mistsubishi Chemical Company, BASF SE, Eastman Chemical Company, Gevo, Grupa Azoty S.A., Saudi Butanol Company, Andra Petrochemicals Limited, Oxea GmbH.

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Author: Priyanka Thakare

Priyanka Thakare

Flag of India

Member since: Dec 11, 2018
Total live articles: 842

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