Dimethyl Carbonate Market Analysis by Application (Polycarbonate Synthesis, Battery Electrolyte, Solvents, and Reagents); by End Use (Plastics, Paints & Coatings, Pharmaceuticals) and by Grade (Industry, Pharmaceutical, and Battery) – Global Supply & Demand Analysis & Opportunity Outlook 2023-2035
Buy Now Report ID: 4890 | Published Date: May 02, 2023
Dimethyl Carbonate Market size is estimated to reach ~USD 7 Billion by the end of 2035 by growing at a CAGR of ~10.20% over the forecast period, i.e., 2023 – 2035. In addition to this, in the year 2022, the market size of dimethyl carbonate was ~USD 2 Billion. The growth of the market can be attributed to the increasing demand for dimethyl carbonate from various end-user such as construction, automotive, paints, and others. Further, the demand for lithium-ion batteries which uses dimethyl carbonate as electrolytes are also anticipated to contribute to the market growth. The lithium-ion battery market size is estimated to be USD 90 Billion by the year 2030 and is predicted to increase further in the years to come.
In addition to these, factors that are believed to fuel the market growth of dimethyl carbonate include soaring investments, and collaboration between major key players to produce environment-friendly dimethyl carbonate. For instance, Ube Industries announces that it is expanding production of basic chemical dimethyl carbonate to its derivative with the commissioning of a new US facility in July 2019. In the production facility, about 50 000 tons of dimethyl carbonate will be produced as well as 20,000 to 30,000 tonnes of hydrogen carbonate. Additionally, the growing number of awareness campaigns on the use of dimethyl carbonated as oxygenated fuel is predicted to present the potential for market expansion over the projected period.
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Base Year |
2022 |
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Forecast Year |
2023-2035 |
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CAGR |
~10.20% |
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Base Year Market Size (2022) |
~ USD 2 Billion |
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Forecast Year Market Size (2035) |
~ USD 7 Billion |
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Regional Scope |
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Growth Drivers
Challenges
The global dimethyl carbonate market is segmented and analyzed for demand and supply by application into polycarbonate synthesis, battery electrolytes, solvents, and reagents. Out of the four types of dimethyl carbonate, the polycarbonate synthesis segment is estimated to gain the largest market share of about ~35% in the year 2035. The growth of the segment can be attributed to the increasing use of polycarbonates by multiple end-user industries such as electronics, medical, and others. Dimethyl carbonate is used in the process of synthesizing polycarbonates and hence is estimated to contribute to the segment growth in the forecast period. Polycarbonates offer various properties which make them suitable for use in many applications owing to their characteristics of thermal resistance, impact resistance, stability, and light transparency. Polycarbonate demand is driven by growth in automobile and electrical sectors around the world. For instance, global polycarbonate demand from the automobile sector was estimated to be USD 1 Million in the year 2022 and is predicted to grow throughout the forecast period.
The global dimethyl carbonate market is also segmented and analyzed for demand and supply by grade into industry, pharmaceutical, and battery. Among these three segments, the industry segment is expected to garner a significant share in the year 2035. The use of industry-grade DMC is widespread in various applications like paint & coating, reagents, or pesticides. Owing to the growing demand for polycarbonate from end-use industries, such as automotive and electronics, industry-grade DMCs are being adapted in an increasingly large way. Further, the increased demand for dimethyl carbonate from the automotive industry is being driven by vehicles and modern performance equipment. Demand for dimethyl carbonate has been driven by an increase in consumption of consumer goods and electronic products due to rising disposable incomes, as well as improving living standards. These factors are predicted to contribute to the growth of the segment in the forecast period.
Our in-depth analysis of the global dimethyl carbonate market includes the following segments:
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By Application |
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By End Use |
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By Grade |
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The market share of dimethyl carbonate in the Asia Pacific, amongst the market in all the other regions, is projected to be the largest with a share of about ~35% by the end of 2035. The growth of the market can be attributed majorly to the increasing use of dimethyl carbonate by various end users such as paints, cleansing agents, automotive, medical, and others in the region. The market for dimethyl carbonate in this region is largely dominated by India, China, South Korea, and Japan. In China, Thailand, Japan, and Taiwan dimethyl carbonate is a primary material for polycarbonate production while in India it is mainly applied to the pharmaceutical, paints & Coatings as well as Agrochemical industries making various products such as drugs, paints, or pesticides. For instance, China’s polycarbonate production capacity is estimated to be 582,000 tonnes owing to 12% of the global capacity. In addition, the region's expanding pharmaceutical industry and rising paints and pesticides industry are also anticipated to boost the market growth during the forecast period.
The North American dimethyl carbonate market is estimated to be the second largest, registering a share of about ~24% by the end of 2035. The growth of the market can be attributed majorly to the increasing adoption of environment-friendly intermediates for chemical synthesis. Further, a surge in the demand for dimethyl carbonate from paints and the construction industry is also estimated to contribute to the growth of the market in the forecast period. In addition, following the removal of DMC from the VOC list in 2009, there has been a substantial rise in demand for it in North America. The market shall continue to grow during the forecast period with companies such as Tesla, researching hybrid electric vehicles (HEVs), and plug-in hybrid electric vehicles (PHEVs). All these factors are anticipated to boost the market growth during the forecast period.
Further, the market in Europe, amongst the market in all the other regions, is projected to hold a majority of the share by the end of 2035. The growth of the market can be attributed majorly to the increasing adoption of oxygenated fuels for synthesis. The use of fossil fuels in the region is reducing owing to environmental concerns. Hence, the need for green alternatives like dimethyl carbonate increases. All these factors are anticipated to contribute to the growth of the market in the forecast period.
In 2023, market players might incur losses due to huge gap in currency translation followed by contracting revenues, shrinking profit margins & cost pressure on logistics and supply chain.
Controlling Inflation has become the first priority for global economies from last quarter of 2022 and to be followed in 2023. With skewed economic situations, rise in interest rate by governments to control spending and inflation, spiked oil and gas prices, high inflation, geo-political issues including U.S. & China trade war, Russia-Ukraine conflict to intensify the global economic issues.
The interest rates in the U.S. may be less sensitive in 2023 as compared to 2022; sigh of relief for businesses. Positive business sentiments, healthy business balance sheets, growth in construction spending (private construction value in 2022 stood at $1,429.2 billion, 11.7 percent (±1.0 percent) above the $1,279.5 billion spent in 2021, Residential construction in 2022 was $899.1 billion, up by 13.3 percent (±2.1 percent) from $793.7 billion in 2021, non-residential construction touched $530.1 billion, 9.1 percent (±1.0 percent) above the $485.8 billion in 2021.) showcases minimal impact of recession in the country.
Similarly, spiked spending in the European and major Asia economics including, India, China & Japan to showcase less impact on the global demand.
Author Credits: Smruti Ranjan, Rajrani Baghel
Ans: Increasing demand for dimethyl carbonate from the electronics sector, increasing demand for polycarbonates, and rising R &D investments are the major factors driving the market growth.
Ans: The market size of dimethyl carbonate is anticipated to attain a CAGR of ~10.20% over the forecast period, i.e., 2023 – 2035.
Ans: The use of toxic materials for synthesis, and moisture absorption by DMC are estimated to be the growth hindering factors for the market expansion.
Ans: The market in the Asia Pacific region is projected to hold the largest market share by the end of 2035 and provide more business opportunities in the future.
Ans: The major players in the market are Alfa Aesar, Connect Chemicals, Dongying Hi-tech Spring Chemical Industry Co., Ltd., Guangzhou Tinci Materials Technology Co., Ltd., Haike Chemical Group, Hebei New Chaoyang Chemical Stock Co., Ltd., Kishida Chemical Co. Ltd., Kowa Company Ltd., Lotte Chemical, Merck KGaA, Shandong Depu Chemical Industry Science and Technology Co., Ltd.,
Ans: The company profiles are selected based on the revenues generated from the product segment, the geographical presence of the company which determines the revenue generating capacity as well as the new products being launched into the market by the company.
Ans: The market is segmented by application, end-use, grade, and by region.
Ans: The polycarbonate synthesis segment is anticipated to garner the largest market size by the end of 2035 and display significant growth opportunities.
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