Acetone Market Size –By Grade, Application Industry Analysis, Share, Growth Forecast, 2025-2034

Acetone Market Size

The global acetone market was valued at USD 6.6 billion in 2024 and is estimated to grow at a CAGR of over 5.2% from 2025 to 2034.
 

The acetone industry has experienced steady growth due to its broad application in various industries, particularly in chemicals, pharmaceuticals, automotive, and cosmetics. As a key solvent, acetone is integral to the production of paints, coatings, and adhesives, contributing to its sustained demand. The growth trend is also driven by increasing industrial activities, especially in emerging economies, where acetone is utilized in manufacturing plastics, synthetic fibers, and other materials. In the pharmaceutical sector, acetone is widely used in drug formulation and extraction processes, further propelling market demand.
 

Additionally, the rise in demand for acetone in the cosmetic industry, for use in nail polish removers and skincare products, has bolstered market expansion. The growing focus on sustainability is also influencing the acetone market, with a shift towards bio-based acetone production from renewable feedstocks, catering to the eco-conscious consumer.
 

The automotive industry’s ongoing advancements in paint and coating technologies contribute to acetone’s prominence in manufacturing and repair processes. Moreover, the adoption of acetone in industrial cleaning and degreasing applications is expected to further augment its market position. Overall, the market is poised for growth, driven by its versatility across industries and the ongoing innovation toward sustainable production methods.
 

Acetone Market Trends

The acetone industry is witnessing a rising demand driven by its essential use in solvents for paints, coatings, adhesives, and cleaning products. This is particularly fueled by industrial growth, especially in construction, automotive, and electronics sectors. Additionally, the pharmaceutical and cosmetics industries are contributing significantly, with acetone utilized in drug formulations and beauty products. 
 

There is also an increasing focus on sustainability, with bio-based acetone production gaining momentum. As environmental concerns grow, eco-friendly alternatives are becoming a priority. The shift towards renewable feedstocks for acetone production is expected to support long-term market demand. Furthermore, the demand for acetone in the production of plastics and synthetic fibers remains strong, reinforcing its market position.
 

Acetone Market Analysis

The acetone industry is evolving with growing demand from industries like automotive, construction, pharmaceuticals, and cosmetics. Consumers are becoming more environmentally conscious, leading to a shift towards bio-based acetone and sustainable production methods. The trend for cleaner and greener products in various sectors is driving the demand for eco-friendly solvents. 
 

Upcoming opportunities in the acetone market include advancements in bio-based production technologies, reducing dependency on petrochemical sources. Moreover, the expanding demand for acetone in the production of lightweight materials, such as composites in the automotive industry, presents new growth avenues. Additionally, with the increasing use of acetone in pharmaceutical applications and personal care products, the market is likely to experience sustained growth driven by evolving consumer preferences for functional and sustainable ingredients.
 

The technical grade segment held over USD 3.8 billion in 2024, and it is anticipated to expand 5.3% of CAGR during 2025-2034. The dominance of technical grade acetone in the market is primarily due to its widespread use in industrial applications where high purity is not a critical requirement. Technical grade acetone is commonly utilized as a solvent in paints, coatings, adhesives, and cleaning products, where it serves as an effective degreasing agent and thinning agent. Its cost-effectiveness and versatile performance across various industries, including automotive, chemicals, and construction, contribute to its strong market presence. Additionally, technical grade acetone is widely used in the manufacturing of plastics and synthetic fibers, where precise chemical purity levels are less stringent, further reinforcing its dominance in the market.
 

The solvent segment dominates the market by generating revenue USD 2.7 billion in 2024 and is expected to grow by 5.4% CAGR from 2025 to 2034. In the acetone market, solvents dominate various applications, with significant contributions across industries. The largest share comes from the paints and coatings sector, where acetone is used as a solvent to dissolve resins and improve application properties. The automotive industry also drives demand for acetone in vehicle refinishing, as it is crucial in cleaning and degreasing applications. In the pharmaceutical and cosmetics sectors, acetone plays a vital role in drug formulation, extractions, and as a solvent in beauty products like nail polish removers. Additionally, acetone's use in industrial cleaning, adhesives, and plastics production further strengthens its dominance as a versatile and essential solvent in diverse applications across multiple sectors.
 

U.S. held over USD 1.3 billion in 2024 and expected to grow at 4% CAGR. The U.S. dominates the acetone market due to its well-established industrial infrastructure, robust manufacturing capabilities, and significant demand across various sectors, including automotive, pharmaceuticals, and cosmetics. The country is a major producer and consumer of acetone, driven by its strong chemical industry and the high consumption of acetone as a solvent in paints, coatings, and adhesives. Additionally, the U.S. has been at the forefront of innovations in bio-based acetone production, bolstering its market leadership. The increasing focus on sustainability and environmental regulations further strengthens the country's position as a key player. With an expanding automotive sector and growing demand for pharmaceuticals, the U.S. remains a dominant force in the global market.  
 

Acetone Market Share

The competitive landscape for the acetone industry is marked by several key players, each contributing significantly to production and innovation. ALTIVIA, Arkema, and Cepsa Quimica are major producers, with a strong presence in North America and Europe, driving supply through established production capacities. Honeywell International and INEOS focus on advanced manufacturing techniques and expanding their portfolio with sustainable acetone production methods, capitalizing on growing consumer demand for bio-based alternatives.
 

LyondellBasell Industries and Mitsui Chemicals maintain competitive advantages by leveraging their global reach and diversifying their product offerings, strengthening their foothold in various end-user industries, such as automotive and electronics. These companies actively invest in R&D to explore cost-effective and eco-friendly acetone production processes, aiming to capture growing opportunities in the sustainable product market. The competition remains intense, as firms continue to innovate and adapt to evolving market dynamics, including regulatory pressures and shifts towards renewable feedstocks.
 

Acetone Market Companies

Major players operating in the acetone industry are:

• ALTIVIA
• Arkema
• Cepsa Quimica
• Honeywell International
• INEOS
• LyondellBasell Industries
• Mitsui Chemicals
• SABIC
• Shell plc
• Solvay
• The Dow Chemical Company
   

Acetone Industry News

• In January 2024, Haldia Petrochemicals Ltd, located in Kolkata, launched a significant phenol plant in India. The plant is expected to be completed by the first quarter of 2026. Once operational, the plant will produce 185,000 tons per annum (KTPA) of acetone and 300,000 tons of phenol yearly.
   
• In December 2023, PTT Global Chemical (PTTGC), based in Thailand, announced its plans to resume acetone and phenol production at 90% capacity by the end of the month. This initiative aims to enhance resource allocation and improve operational efficiency. The company's manufacturing facility has an annual production capacity of 150,000 tons of acetone and 250,000 tons of phenol.
   

This acetone market research report includes in-depth coverage of the industry with estimates & forecast in terms of revenue (USD Billion) & volume (Kilo Tons) from 2021 to 2034, for the following segments:

Market, By Grade

• Technical grade
• Industrial grade
• Pharmaceutical grade

Market, By Application

• Solvent
  • Paints and coatings
  • Adhesives
  • Cleaning agents
• Chemical intermediate
  • Methyl Methacrylate (MMA)
  • Bisphenol A (BPA)
• Pharmaceuticals
  • Drug formulations
  • Medical equipment cleaning
• Personal care and cosmetics
  • Nail polish removers
  • Skin care products
• Others

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • UK
  • Germany
  • France
  • Italy
  • Spain
  • Russia
• Asia Pacific
  • China
  • India
  • Japan
  • South Korea
  • Australia 
• Latin America
  • Brazil
  • Mexico
• MEA
  • UAE
  • Saudi Arabia
  • South Africa