Global propylene glycol market size is expected to record a CAGR of around 5% between 2022 and 2028. This growth is primarily credited to the increasing product usage across food industry where it serves as a solvent, humectant, and preservative. The material is also popular on account of its hygroscopic properties. In addition, propylene glycol also finds rising application in the cosmetics industry given that it attracts water from the air and works well in hair-care products and moisturizers.
On the basis of source, bio-based propylene glycol segment is anticipated to contribute a considerable share to the propylene glycol market revenue through 2028. This is because the production of bio-based propylene glycol provides a reduction of 61% in GHG emissions in comparison to the product procured from petrochemical method. While there can be price fluctuations in the derivatives of crude oil, the advantage of bio-based products is price reliability. The usage of plant derived ingredients in products including cleaners and detergents supports ‘green’ claims including plant-based, renewable, and sustainable, further boosting industry growth.
Based on end-use, the market is expected to register substantial growth by 2028 owing to the increasing use of propylene glycol in transportation. The segment expansion is attributed to the rising product deployment as a heat transfer medium for dissolving active agents, controlling viscosity, and protection against corrosion. The material is also used as aircraft de-icer for enabling safe air transport and ensuring the smoothness of surfaces for the aircraft to stay in the air. Additionally, propylene glycol is witnessing increasing applicability in the production of formidable plastics including unsaturated polyester resins (UPR) in electrical and automotive components such as ship hulls.
Considering the regional landscape, Asia Pacific propylene glycol market is expected to register remarkable growth through 2028. Numerous market players in the region are formulating capacity expansion strategies, enhancing the prospects of market growth. Citing an instance, in July 2021, Dow Chemical Company announced plans for the expansion of its PG capacity at the company’s existing facility in Thailand. The move supports the soaring demand for propylene glycol in food, pharmaceutical, personal care, as well as attractive flavor and fragrance industries and helps in the advancement of Dow’s leading position across these sectors.
Key companies in the propylene glycol market include Huntsman Corporation, BASF, Qingdao Shida Chemical Co., Archer Daniels Midland, Haike Chemical, Oleon, Helm AG, Royal Dutch Shell, Temix International, Lyondellbasell, and others. These players are focusing on the adoption of strategic moves such as mergers, acquisitions, partnerships, collaborations, and product developments for consolidating their position in the industry.
Citing an instance, in August 2021, Oleon secured RSB Certification as the first processor and collector of vegetable oil into refined mono propylene glycol and glycerin products for use in various food, flavors & fragrances, and home and personal care applications.
Propylene glycol is a significant product in the manufacturing of hand sanitizers, and is also utilized in a variety of topical, oral, and intravenous medicines. Therefore, the onset of the COVID-19 pandemic has led to an increased product demand. Moreover, a number of institutes are initiating research activities for the development of products that could help in combating coronavirus.
An instance of such products is nasal barriers and nasal sprays containing bentonite (magnesium aluminum silicate) in a matrix composed of xanthum gum, mannitol, mono-, di- and triglycerides, citric acid, disodium EDTA, and water.