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Propylene Glycol Market

The market for Propylene Glycol was estimated at $768 million in 2024; it is anticipated to increase to $1.17 billion by 2030, with projections indicating growth to around $1.67 billion by 2035.

Report ID:DS1309142
Author:Vineet Pandey - Business Consultant
Published Date:
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Chemicals & Materials
Specialty Chemicals
Propylene Glycol
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Report Price: $4,200
Report Summary
Market Data
Methodology
Table of Contents

Global Propylene Glycol Market Outlook

Revenue, 2024

$768M

Forecast, 2034

$1.55B

CAGR, 2025 - 2034

7.3%

The Propylene Glycol industry revenue is expected to be around $823.7 million in 2025 and expected to showcase growth with 7.3% CAGR between 2025 and 2034. The enduring importance of Propylene Glycol in industries is reflected in its significant market value due to its diverse uses and benefits facilitated by factors like technological advancements and supportive regulations in place. Its effectiveness as a chemical compound allows it to be widely used across applications leading to market expansion and establishing a strong presence, in the global market. This optimistic view of the Propylene Glycol market suggests growth driven by industry trends and advancements.

Propylene Glycol is known for being an hygroscopic synthetic compound that functions as a tasteless and odorless thick liquid substance with the capability to blend well with various solvents like water and acetone in addition to Chloroform (CHCl3). The main uses of Propylene Glycol are seen in sectors like pharmaceuticals well as food and beverage industries along, with personal care products.

Propylene Glycol market outlook with forecast trends, drivers, opportunities, supply chain, and competition 2024-2034
Propylene Glycol Market Outlook

Market Key Insights

  • The Propylene Glycol market is projected to grow from $767.7 million in 2024 to $1.55 billion in 2034. This represents a CAGR of 7.3%, reflecting rising demand across Pharmaceutical Grade Propylene Glycol, Food Grade Propylene Glycol, and Industrial Grade Propylene Glycol.

  • BASF SE, Dow Chemical, and LyondellBasell Industries are among the leading players in this market, shaping its competitive landscape.

  • U.S. and China are the top markets within the Propylene Glycol market and are expected to observe the growth CAGR of 4.7% to 7.0% between 2024 and 2030.

  • Emerging markets including Brazil, Indonesia and South Africa are expected to observe highest growth with CAGR ranging between 8.4% to 10.1%.

  • Transition like Proliferation of BioBased Propylene Glycol is expected to add $44 million to the Propylene Glycol market growth by 2030

    .

  • The Propylene Glycol market is set to add $785 million between 2024 and 2034, with manufacturer targeting Food & Beverage & Pharmaceutical Products Application projected to gain a larger market share.

  • With

    increasing demand in food and beverage industries, and

    Robust Growth in Cosmetics and Personal Care Applications, Propylene Glycol market to expand 102% between 2024 and 2034.

propylene glycol market size with pie charts of major and emerging country share, CAGR, trends for 2025 and 2032
Propylene Glycol - Country Share Analysis

Opportunities in the Propylene Glycol

The market for Propylene Glycol stands to gain from technological progressions as they can also enhance production efficiency and quality while potentially lowering costs as well. Moreover advancements in technology pertaining to its utilization in areas such, as food preservation and pharmaceutical applications could drive an uptick in demand.

Growth Opportunities in North America and Asia-Pacific

In North America's propylene glycol market is seeing a rise due to increased demand from the pharmaceutical and food & beverage sectors offering promising opportunities for manufacturers in the regions focus on top notch product quality standards is a factor driving growth in these industries competition is fierce with major players, like Dow Chemicals and Archer Daniels Midland Company leading the pack. The main factor fueling the growth of this market is the strong industrial development in the region along with increasing consumer interest, in high quality products that fall under the category of propylene glycol applications.
In contrast with regions around the world the market for propylene glycol is quickly growing in the Asia Pacific region. China and India are at the forefront of this growth driven by infrastructure projects. The demand for propylene glycol has soared, for making unsaturated polyester resins. There is competition among companies here such, as SKC Co., Ltd. And Royal Dutch Shell Plc, who are taking advantage of local manufacturing capabilities. The rising popularity of processed foods and drinks and the growing need for food grade propylene glycol are factors fuelin the markets expansion, in this region.

Market Dynamics and Supply Chain

01

Driver: Increasing Demand in Food and Beverage Industries, and Technological Innovations in Unsaturated Polyester Resins

Propylene Glycol has also seen expansion in its use as a food additive and solvent within the food and beverage sector due to its effectiveness, in maintaining moisture levels and shelf life while improving food texture—a factor that has also boosted market demand noticeably.

Propylene Glycol plays a role in creating unsaturated polyester resins commonly utilized in the construction and automotive sectors. The demand for Propylene Glycol has also risen due to advancements in technology that focus on improving the resilience and properties of these resins against elements, like water and heat.

Propylene Glycol is also widely used in the making of cosmetics and personal care products due to its skin conditioning and moisturizing effects. The increasing demand for skincare products and the growing popularity of grooming have also led to a rise, in the use of Propylene Glycol.

02

Restraint: Regulatory Constraints

Propylene glycol is extensively utilized across sectors but encounters regulatory limitations from different governmental and global organizations. Strict rules governing its application and worries about contamination along with safety protocols can influence the market dynamics on a worldwide scale. For example- Its use in the food and beauty industries often undergoes scrutiny due to health issues. Leading to fluctuations, in market demand.

03

Opportunity: Strategic Collaborations Driving Growth and Expanding Horizons in Emerging Markets

Partnerships between manufacturers of Propylene Glycol and industries that use it like cosmetics and personal care can lead to notable growth opportunities for both parties involved. By forming alliances with such sectors the market visibility and acceptance of Propylene Glycol can be enhanced. Moreover these collaborations could pave the way, for product advancements by leveraging industry knowledge and fostering mutual growth.

Propylene Glycol is seeing a surge in usage in developing countries that offers a market opportunity for growth expansion. The automotive and construction sectors are experiencing growth in these regions due to economic development trends. This uptrend coincides nicely with the uses of Propylene Glycol making these up and coming markets ripe, for potential expansion opportunities.

04

Challenge: Technological Challenges

Technological obstacles can be a challenge for the propylene glycol industry as well. Companies must invest heavily in research and development well as equipment upgrades to keep up with technological advancements. Failure to meet these demands could lead to a decrease in market presence for these companies. Moreover the increasing focus, on eco sustainable options has forced industries to adjust which further complicates the current market landscape.

Supply Chain Landscape

1

Propylene Production

Dow Chemical CompanyExxon Mobil
2

Propylene Oxidation

LyondellBasell IndustriesBASF SE
3

Manufacturing

Royal Dutch ShellDupont
4

End-use Industry

PharmaceuticalsFood and BeveragePersonal Care
Propylene Glycol - Supply Chain

Use Cases of Propylene Glycol in Pharmaceutical Grade & Food Grade

Pharmaceutical Grade Propylene Glycol : In the field of pharmaceuticals Propylene Glycol plays a role as an additive providing distinct benefits like its capacity to dissolve compounds and act as a solvent in various drug forms for oral, topical and injectable use. Prominent players in the industry such, as BASF and Dow Chemical utilize the solvent properties of this compound to improve the performance and efficacy of their offerings.
Food Grade Propylene Glycol : In the food sector Food Grade Propylene Glycol is commonly employed as a food additive for its capacity to preserve moisture in items enhance flavors and act as a caking agent. Major companies such, as Archer Daniels Midland and DuPont make use of Propylene Glycol to prolong the shelf life and enhance the quality of their food offerings.
Industrial Grade Propylene Glycol : Industries like manufacturing and paint and plastics use Industrial Grade Propylene Glycol widely because of its non corrosive characteristics and its ability to resist freezing at low temperatures while boasting high boiling properties. Key players in the industry such, as Huntsman Corporation and LyondellBasell leverage the qualities of this compound to produce coolants and antifreeze along with unsaturated polyester resins to enhance their competitive edge in the market.

Recent Developments

The propylene glycol market is primarily driven by rising demand in end-use industries such as food and beverages, personal care, and pharmaceuticals, supported by growing consumer awareness of product quality and safety. Simultaneously, restraints like fluctuating raw material prices and regulatory scrutiny influence market momentum. These dynamics affect supplier power by amplifying dependence on stable feedstock sources, while buyer power increases as alternative solutions gain traction. Competitive intensity rises as companies innovate to differentiate products and expand regional presence. Strategic collaborations, similar to partnerships in the baling machine sector, offer opportunities to strengthen distribution networks, enhance market share, and capitalize on evolving industry trends.

December 2024 : The Dow Chemical Company has revealed plans to enlarge their facility for producing propylene glycol in response, to the rising needs of the pharmaceutical and personal care sectors.
September 2024 : Shell Chemicals introduced their cutting edge and eco friendly technology to enhance the manufacturing of propylene glycol.
June 2024 : LyondellBasell Industries introduced a range of food grade propylene glycol as part of their dedication to upholding food safety standards and health regulations.

Impact of Industry Transitions on the Propylene Glycol Market

As a core segment of the Specialty Chemicals industry, the Propylene Glycol market develops in line with broader industry shifts. Over recent years, transitions such as Proliferation of BioBased Propylene Glycol and Increasing Domestic Production have redefined priorities across the Specialty Chemicals sector, influencing how the Propylene Glycol market evolves in terms of demand, applications and competitive dynamics. These transitions highlight the structural changes shaping long-term growth opportunities.
01

Proliferation of BioBased Propylene Glycol

There is a shift towards using biobased propylene glycol in various industries due to an increased emphasis on sustainability and eco friendly practices, over traditional petrochemical derived propylene glycol. The shift has had an effect on sectors such, as cosmetics, pharmaceuticals and food & beverages by using biobased propylene glycol helping them reduce their environmental impact while improving sustainability practices. This industry transition is expected to add $44 million in the industry revenue between 2024 and 2030.
02

Increasing Domestic Production

In years there has been a significant shift in the propylene glycol industry towards higher domestic production levels. This trend is especially noticeable in regions, like Asia Pacific where local manufacturers are meeting the growing demand. This change not only strengthens the local economy but also leads to cost effective supply chain management and reduced production expenses.

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