Bio-based and Synthetic Dimethyl Ether Market Size, Share and Industry Analysis Report by Raw Material (Fossil Fuel Based, Bio-based), and Application (LPG Blending, Aerosol Propellants, Transportation Fuel, Industrial), Regional Outlook, Growth Potential, Competitive Market Share & Forecast, 2019 – 2025

Published Date: Sep 2019  |  Report ID: GMI852  |  Authors: Kiran Pulidindi, Hemant Pandey

Report Format: PDF   |   Pages: 202   |   Base Year: 2018

Summary Table of Contents Industry Coverage Methodology

Industry Overview

Bio-based & Synthetic Dimethyl Ether Market size was valued at USD 5.9 billion in 2018 and will witness a CAGR of more than 8.5% between 2019 and 2025 due to shifting focus towards cleaner sources for energy generation.

Government and regional regulatory bodies are encouraging DME use for domestic purposes to reduce harmful emissions from the environment. Rising product demand for LPG blending in the Asia Pacific is anticipated to boost the overall bio-based and synthetic dimethyl ether market share in the forecast timeframe. Methanol and DME are expected to play a significant role to achieve the energy demand in the coming years. DME demand in China is driven by its application in LPG blending as it results in low soot and NOx emissions in the environment which will help improve the overall quality of the environment.

U.S. Bio-Based & Synthetic Dimethyl Ether (DME) Market Size By Application

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DME is environment friendly and cost-effective and therefore it is an effective substitute for diesel. Growing concerns pertaining to environmental sustainability led the transport sector companies to launch vehicles compatible with DME. For instance, Oberon Fuels, FVV along Ford have come together for USD 3.8 billion projects for 3 years to research, test, and analyze the DME potential in heavy-duty truck engines and passenger cars.

Stringent regulations against DME to ensure limited use owing to its highly flammable characteristics may impede the market growth in the forecast timeframe. It contains gas under pressure which may explode if heated, resulting in hazardous implications on human health including drowsiness & dizziness, suffocation, etc. However, growing demand for a green and sustainable sources of energy generation will generate ample opportunities for the bio-based & synthetic dimethyl ether market in the forecast timeframe.

Market, By Raw Material

Fossil-fuel-based DME constituted approximately 98% of the overall industry share in 2018, projecting gains of more than 8% through 2025. The growing product use for LPG blending and transportation fuel in the Asia Pacific will help attain promising gains to the bio-based and synthetic dimethyl ether market in the coming years. Also, rising regulations against high emission fuels in the transportation sector are contributing to the overall DME demand as it has a higher cetane number which provides a better ignition value to ultimately reduce pollutants from the environment.

Market, By Application

Based on applications, bio-based & synthetic dimethyl ether market for aerosol propellants is expected to witness gains of more than 7.5% in the coming years. It is used as an aerosol propellant across various industries such as pharmaceuticals, cosmetics, paints & coatings, etc. It offers low odor, low cost, improved purity & stability, low toxicity, wide boiling points range, wide vapor pressure range, eco-friendly nature, etc. Furthermore, it is used in fragrances, hair spray, and several other products in the cosmetics and personal care industry.

Market, By Region

Global bio-based & synthetic dimethyl ether market share by region

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Asia Pacific attained the largest market share which accounted for more than 85% of the total business size in 2018 due to the increasing adoption of cleaner source of energy generation by the regional government. A series of initiatives undertaken by the regional government to drive LPG penetration amidst the growing urbanization in the region. For example, the Indian government unveiled a welfare scheme to provide LPG connections at concessional rates to women living below the poverty line. These factors present brighter demand aspects for DME which will help make promising gains to the overall market size by 2025.

Competitive Market Share

Bio-based & synthetic dimethyl ether industry is highly competitive with key players constituting approximately half the industry share. Some of the major contributors in the market are China Energy Ltd., Shenhua Ningxia Coal Group, Korea Gas Corporation, Toyo, Mitsubishi Corporation, etc. Most of these companies are proposing strategies to boost DME production to meet its rising demand from various end-users. The plant required USD 1 billion investment with a capacity to produce 100,000 tons/annum of methanol and 20,000 tons/annum of dimethyl ether.

Industry Background

The bio-based & synthetic dimethyl ether market is segmented based on raw material into fossil fuel and bio-based. Bio-based DME is processed via methanol dehydration whereas fossil fuel-based DME is manufactured from dead remnants of plants & animals. The rising need to use cleaner energy generation sources is likely to contribute significantly to the overall business size in the forecast period. The product is blended with LPG for its applications in domestic cooking & heating owing to lesser emissions and economic aids.

Growing environmental alarms and the need to replace the conventional LPG with blended LPG with DME will make noteworthy contributions towards the overall business size by 2025. Furthermore, it is also used as an aerosol propellant, transportation fuel, and industrial purposes. In the transportation sector, it is used as an alternative fuel to diesel as it is a cleaner source of energy to help save the environment from harmful pollutants.

The bio-based and synthetic dimethyl ether market research report include in-depth coverage of the industry, with estimates & forecasts in terms of volume in kilo tons and revenue in USD million from 2014 to 2025, for the following segments:

By Raw Material

  • Fossil-fuel based
  • Bio-based

By Application

  • LPG blending
  • Aerosol propellants
  • Transportation fuel
  • Industrial

The above information is provided on a regional and country basis for the following:

By Region

  • North America
    • U.S.
    • Canada
  • Europe
    • Germany
    • UK
    • France
    • Spain
    • Italy
  • Asia Pacific
    • China
    • India
    • Japan
    • Australia
    • Indonesia
    • Malaysia
  • Latin America
    • Brazil
    • Mexico
    • Trinidad and Tobago.
  • Middle East & Africa
    • South Africa
    • Saudi Arabia
    • UAE
    • Iran
    • Qatar

Frequently Asked Questions (FAQ) :

The bio-based & synthetic dimethyl ether industry share will grow at a CAGR of 8.5% from 2019 to 2025.
Fossil fuel based DME will expand at a rate of over 8% by 2025 due to the increasing usage for transportation fuel and LPG blending in the APAC.
The bio-based & synthetic DME market for aerosol propellants will grow at 7.5% rate through 2025, driven by the rising usage across various industries such as cosmetics, pharmaceuticals, paints & coatings, and others.
The Asia Pacific bio-based & synthetic dimethyl ether industry will register substantial growth owing to the escalating adoption of cleaner source of energy generation by regional governments.

Premium Report Details

  • Published Date: Sep 2019
  • Pages: 202
  • Tables: 226
  • Charts / Figures: 18
  • Companies covered: 10
  • Countries covered: 22

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