Green Solvents Market Size & Share, by Type (Alcohols, Glycols, Diols, Lactate Esters, D-Limonene, Methyl Soyate); Application (Industrial & Domestic Cleaners, Paints & Coatings, Adhesives & Sealants, Pharmaceuticals, Cosmetics) - Global Supply & Demand Analysis, Growth Forecasts, Statistics Report 2023-2035

Global Green Solvents Market Definition

Green solvents, also known as bio-solvents, are environmentally beneficial solvents that come from the processing of agricultural commodities. The majority of chemical processes rely heavily on petrochemical solvents, however doing so has negative environmental effects. As an eco-friendlier substitute for petrochemical solvents, green solvents were created. For instance, a green solvent made from the processing of corn is called ethyl lactate, which is an ester of lactic acid. The paint and coatings industry frequently uses lactate ester solvent owing to its many appealing benefits, which include being 100 percent biodegradable, simple to recycle, non-corrosive, noncarcinogenic, and having no ozone-depleting properties.

There are several different kinds of eco-friendly solvents, including water, supercritical fluids, ionic liquids, and fluids. These green solvents are significantly more environmentally friendly, toxic-free, and safer than conventional volatile organic compounds (VOCs). Supercritical fluid, or SCF, is a substance that can persist simultaneously above and below its critical temperature and pressure. Their physical and chemical characteristics fall between that of a fluid and a gas. On the other hand, water works excellently as a solvent for the majority of organic processes. Since it is non-toxic, readily available, and has a high specific heat capacity, it is known as a green or universal solvent. In water, several syntheses and reactions take place, including pericyclic reactions, radical reactions, and multicomponent reactions. An ionic liquid is a liquid molten salt. They offer good solubility properties for a wide range of polar and non-polar molecules. They can also be used as biocatalytic solvents.

Each type of green solvent has a distinct set of qualities and accompanying methodologies for a variety of applications. These solvents have the potential to give additional control variables over activity and selectivity in all domains of catalysis, including heterogeneous, homogeneous, and bio-catalysis. Many prospects for the application of advanced fluids exist in the manufacture of catalysts and materials. Thus, the use of Green Solvents has a significant potential to contribute to more sustainable operations in the chemical, pharmaceutical, and processing industries.

Global Green Solvents Market: Key Insights

Global Green Solvents Market Size, Forecast, and Trend Highlights Over 2023 - 2035

The global green solvents market is estimated to garner a revenue of ~USD 9 Billion by the end of 2035 by growing at a CAGR of ~5% over the forecast period, i.e., 2023 – 2035. Further, the market garnered revenue of ~USD 5 Billion in the year 2022. The growth of the market can be attributed to their being biodegradable in nature, followed by the surging use of eco-friendly paints and coatings. As green solvents emit less volatile organic compounds (VOC) owing to which the major population these days prefers to use such solvents as of the rise in pollution. Such advantages are estimated to be the primary growth factor for the green solvents market in the forecast period. For instance, a recent estimate showed that emissions of VOCs decreased from 12,930 in 2018 to 11,880 tons in 2021 in the United States. In addition to this, the growing use of green solvents in various end-use industries such as automotive, pharmaceutical, industrial & domestic cleaners is another major factor that is estimated to propel the market growth over the projected time frame.

In addition to these, factors that are believed to fuel the market growth of green solvents include the rising trend of sustainability, along with increasing awareness in people for reducing carbon footprints. Since, traditional solvents highly impact the environment by creating air pollution and diseases such as lung infection, nausea, headache, and skin irritation. Therefore, the high level of air pollution and rising concern for environmental protection is anticipated to foster the demand for green solvents. The World Health Organization stated that in 2019, 99% of the world’s population was living in places where the WHO air quality guidelines levels were not met. Additionally, the growing promotion for adopting green products by various regulatory bodies is also predicted to present the potential for market expansion over the projected period.

Global Green Solvents Market: Growth Drivers and Challenges

Growth Drivers

• Rapid Urbanization and Industrialization – Rapid urbanization has resulted in high demand for construction, food & beverages, automobiles, and other things. This increased demand is further expected to rise the adoption rate of green solvents for their varied use. As per data from the United Nations Organization, the worldwide ratio of the population living in urban settlements accounted to be around 55% in 2018.  This number is further anticipated to increase to 68% by 2050.

• Worldwide Expansion in the Automobile Sector - As per the data by the International Organization of Motor Vehicle Manufacturers (OICA), the global sales of all vehicles rose from 78,774,320 units in 2020 to 82,684,788 units in 2021.

• Increase in Demand for Paints and Coatings- For instance, in 2020, the consumption of architectural paint in the U.S. amounted to be around 860 million gallons.

• Increased Demand for Consumer Goods –In 2022, India’s fast-moving consumer goods (FMCG) sector was calculated to be India’s fourth-largest sector with household and personal care accounting for 50% of FMCG sales in India.

• An Upsurge in the Pharmaceutical Industry - For instance, as of November 2021, the pharmaceutical industry in the United States was worth over USD 2.8 trillion.

Challenges

• High Cost of Production of Green Solvents – The production cost of green solvents is comparatively higher than that of conventional paints as of their complex production process. Hence, this factor is anticipated to hinder the market growth over the forecast period.

• Fluctuation in Raw Material Prices
• Complex Production Process of Green Solvents

Global Green Solvents Market Segmentation

The global green solvents market is segmented and analyzed for demand and supply by application into industrial & domestic cleaners, paints & coatings, adhesives & sealants, pharmaceuticals, cosmetics, and others. Out of these segments, the paints & coatings segment is anticipated to garner the highest revenue over the projected time frame. The growth of the segment can be attributed to the worldwide growth in the construction industry where demand for renewable solvent solutions has been increasing. For instance, the worldwide revenue collected by the construction industry was almost USD 2 trillion in 2019. Further, the increased housing construction, backed by the growing population are further factors that are estimated to propel the growth of the segment.

The global green solvents market is also segmented and analyzed for demand and supply by type into alcohols, glycols, diols, lactate esters, D-limonene, methyl soyate, and others. Amongst these segments, the lactate esters segment is expected to garner a significant share. The growth of this segment can be attributed to the increasing demand and consumption of lactate asters from the various end-use industries, followed by the rising use of lactate aster as they are recyclable, biodegradable, non-corrosive, and so on. On the other hand, the D-limonene segment is projected to witness a massive CAGR during the forecast period, owing to the rising use of D-limonene as a fragrance ingredient in several sectors such as food & beverages, along with its rising use in the production of cleaning goods. In addition to this, the significantly rising use of lactate asters as a thickening agent in several kind of creams, and lotions in functional cosmetics and personal care products is also a major factor that is projected to push the segment growth further throughout the forecast period.

.Our in-depth analysis of the global green solvents market includes the following segments:

Global Green Solvents Market Regional Synopsis

The Asia Pacific green solvents market, amongst the market in all the other regions, is projected to hold the largest market share by the end of 2035. The growth of the market can be attributed majorly to the significant rise in pharmaceutical spending in Asia-Pacific countries such as Japan and Korea, which is anticipated to boost the market growth of green solvents throughout the region during the projected timeframe. According to the Organization for Economic Cooperation and Development (OECD), pharmaceutical spending in Japan was 2.27% of the GDP in 2019, while it was 1.63% of the GDP in Korea in 2021. In addition to this, the increasing initiatives to reduce air pollution and the surge in the use of eco-friendly products are also anticipated to boost the market growth during the forecast period in the APAC region. Moreover, rapid urbanization is propelling the huge use of architectural coatings to coat buildings is also a significant factor that is anticipated to boost the growth of the green solvents market throughout the forecast period in the region.

Furthermore, the North American green solvents market is also estimated to display lucrative market growth by the end of 2035. The growth of the market can be attributed to the rising concern regarding environmental safety among people and end-use sectors which is fueling up the deployment of eco-friendly products. For instance, approximately 3 quarters of Americans say they are conscious about the environment. More than 80% admit they attempt to live in ways that help safeguard the environment. In addition to this, the rising use of green solvents in the paint and coatings industry, along with the stringent rules by the government regarding the use of traditional solvents are some further factors that are anticipated to accelerate the market growth further throughout the projected time frame in the region.

Top Featured Companies Dominating the Global Green Solvents Market

• Archer Daniels Midland Company
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• Braskem SA
• BASF SE
• Huntsman International LLC
• The Dow Chemical Company
• Cargill, Incorporated
• Gevo, Inc.
• Vertec BioSolvents Inc.
• Akzo Nobel N.V.
• LyondellBasell Industries N.V.