Bio-butanol Market - Growth, Trends, COVID-19 Impact, and Forecasts (2021 - 2026)

The Global Bio-butanol Market size is evaluated at 3,000 million gallons in 2020 and is projected to register a CAGR of over 8. 5% during the forecast period (2021-2026). COVID-19 pandemic in 2020 has negatively affected the market due to lockdown and the temporary shutdown of manufacturing plants.

New York, Nov. 03, 2021 (GLOBE NEWSWIRE) -- Reportlinker.com announces the release of the report "Bio-butanol Market - Growth, Trends, COVID-19 Impact, and Forecasts (2021 - 2026)" - https://www.reportlinker.com/p06179096/?utm_source=GNW
Moreover, renewable ethanol producers were actively involved in the effort to contain the pandemic across the European Union. Even as they continue to deliver the necessary volumes of fuel ethanol, refineries are shifting parts of their production from biofuels to ethyl alcohol for use as disinfectants and hand sanitizers, and producers are working with national EU governments to ensure increased production and maintain supply chains.

Key Highlights
- Major factors driving the market studied are the reduction of carbon emission to a great extent and gaining prominence as a building block for chemical manufacturing. Technological challenges in production are expected to hinder the growth of the market studied.
- The acrylates segment dominated the market, and is expected to grow at a significant rate during the forecast period, owing to the increasing production of butyl acrylates.
- The Asia-Pacific region was the largest consumer of bio-butanol. Growing production of coatings, adhesives, resin and textile in countries, such as China, India, and Japan, are driving the market growth.

Key Market Trends

Acrylates to Dominate the Market

- Acrylates dominated the market studied, and is expected to maintain its position over the forecast period.
- Bio-butanol is used as an intermediate in the production of butyl acrylates, which are further used in the production of paints and coatings, adhesives, and textiles, among others. Increasing demand for such products from various end-user industries is likely to result in a demand pull from every phase in the value chain, thereby driving the growth of the market studied.
- The production of paints and coatings is rising steadily in the global market, owing to its demand from the construction, automotive, and industrial coating applications.
- Adhesives demand is also rising, driven majorly by the growing construction and infrastructural activities, rising automotive production, increasing need for furniture, etc.
- Asia-Pacific is the major consumer of butyl acrylates, majorly dominated by Japan, followed by North America and Europe. The demand for butyl acrylate is expected to be the highest in Asia-Pacific, owing to the increasing production of adhesives, textiles, and coatings, followed by the Middle East & African region.
- The aforementioned factors are expected to drive the demand for bio-butanol, over the forecast period.

Asia-Pacific Region to Dominate the Market

- In the Asia-Pacific region, China accounts for the largest market share in bio-butanol consumption. The country is the largest producer of paints and coatings in the Asia-Pacific region, with an estimated coating production of more than 15 million metric ton, which is expected to increase significantly in the near future.
- China accounts for more than one-fourth of the global coatings market presently. According to the China National Coatings Industry Association, the industry has been registering a growth of 7% through recent years. It was estimated that from 2019, the construction of at least ten large coatings investment projects in China had been reported publicly. Nippon has been tapping into this market situation by upgrading its coatings production process in its new plants in China. The increased living spaces required in urban areas, resulting from urbanization, and the desire of middle-class urban residents to improve their living conditions are expected to have a profound effect on the housing market.
- In May 2021, PPG announced the completion of its USD 13 million investment in its Jiading, China paint and coatings facility, including eight new powder coating production lines and an expanded powder coatings technology center that is expected to enhance PPG’s research and development capabilities. The expansion is likely to increase the plant’s capacity by more than 8,000 metric ton per year.
- According to the National Bureau of Statistics of China, in 2020, the total production of plastic products amounted to more than 78 million metric ton in the country. China is the world’s largest plastic producer, accounting for nearly one-third of the global plastics production. Moreover, the country produced 6.5 million ton to 7.5 million ton of plastic products from August 2020 to August 2021.
- The Indian chemical industry produces 80,000 different chemical products, covering bulk chemicals, specialty chemicals, agrochemicals, petrochemicals, polymers, and fertilizers. According to India Brand Equity Foundation (IBEF), the domestic chemicals sector’s small and medium enterprises are expected to showcase 18%-23% revenue growth in FY22, owing to an improvement in domestic demand and higher realization due to high prices of chemicals
- Such aforementioned factors are expected to drive the market growth, over the forecast period.

Competitive Landscape

The bio-butanol market is in the nascent stage and is apparently a consolidated one. The key players include Cathay Industrial Biotech, Gevo inc., GranBio, Eastman Chemical Company, and Abengoa, among others.

Additional Benefits:

- The market estimate (ME) sheet in Excel format
- 3 months of analyst support
Read the full report: https://www.reportlinker.com/p06179096/?utm_source=GNW

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