Polycarbonate Diols Market Outlook:
Polycarbonate Diols Market size was valued at USD 294.63 million in 2025 and is set to exceed USD 508.06 million by 2035, expanding at over 5.6% CAGR during the forecast period i.e., between 2026-2035. In the year 2026, the industry size of polycarbonate diols is evaluated at USD 309.48 million.
The market growth is driven by increasing utilization of polycarbonate diols to fulfill the massively surging demand and production of synthetic leather and synthetic leather products across the world. For instance, Taiwan's polyurethane synthetic leather (PU leather) production output has surpassed roughly 17 million meters in 2020. Moreover, the rising shifts towards water-borne paints and coatings will spike the market size.
In addition, the market revenue is propelled by excellent hydrolytic stability of polycarbonate diols which makes them an excellent product to be used in wide applications. For instance, owing to low moisture absorption and the ability to hydrolyze without creating an acidic molecule, polycarbonate diols have the highest hydrolytic stability among polyester polyols. Acid molecules autocatalyze additional hydrolysis in the soft block of the polyurethane. Additionally, radical expansion in environmental consciousness among people, along with the surge in the strict regulatory policies to conserve the environment is estimated to spur the market growth.
