The North America 1,4-Butanediol Market would witness market growth of 7.3% CAGR during the forecast period (2024-2031). In the year 2020, the North America market's volume surged to 318.7 KILO TONNES, showcasing a growth of 25.5% (2020-2023).
In the 1,4-Butanediol (BDO) market, "synthetic" refers to BDO produced through chemical synthesis rather than biological processes. Synthetic BDO is primarily derived from petrochemical feedstocks through processes such as Reppe chemistry, which involves the reaction of acetylene with formaldehyde, or from other petrochemical-based methods. This type of BDO is widely used due to its consistent quality, high purity, and cost-effectiveness. It is a critical raw material for manufacturing various industrial products, including plastics, polyurethanes, and elastic fibers. Thus, the synthetic in US market registered a volume of 341.8 Kilo Tonnes in 2023.
The US market dominated the North America Market by Country in 2023, and would continue to be a dominant market till 2031; thereby, achieving a market value of $2.14 billion by 2031. The Canada market is experiencing a CAGR of 9.6% during 2024-2031. Additionally, the Mexico market would exhibit a CAGR of 8.6% during 2024-2031.
This BDO is a cornerstone chemical compound in the modern industrial landscape, with a multifaceted presence across various sectors. Its importance lies in its wide range of uses and its essential function as a chemical intermediary in synthesizing many downstream products. The adoption of this has steadily risen over the years, propelled by its versatility and indispensability across multiple industries. Initially embraced for its utility as a precursor in polymer manufacturing, BDO has now found its way into myriad applications, from textiles to pharmaceuticals.
Furthermore, BDO's unique chemical structure and properties make it an ideal candidate for various chemical reactions, enabling its use as a building block for an extensive range of products. The functional advantages BDO offers, such as its solubility, reactivity, and compatibility with other compounds, have made it indispensable in formulating diverse end-products. The burgeoning demand for BDO-driven products, coupled with the continuous expansion of end-use sectors, has fueled the adoption of this chemical compound on large scale.
Spandex fibers, which are derived from BDO, are essential components in stretchable and elastic textiles. As the textile sector in Mexico grows, there will be a greater demand for spandex fibers to meet the requirements of various industries, such as apparel, sportswear, undergarments, and medical textiles. This increased production of spandex fibers will directly translate into higher demand for BDO as a raw material. As per the Government of Mexico, in the fourth quarter of 2023, the textile mills sector generated a gross domestic product of $5.18T MX, which represents a decline of 2.09% in comparison to the preceding quarter and a reduction of 0.99% in comparison to the corresponding period of the prior year. Moreover, as the agriculture sector in Canada grows, there's an increasing need for sustainable packaging solutions. Biodegradable plastics derived from BDO are gaining traction in agriculture for mulch films, greenhouse covers, and agricultural packaging materials. These materials offer environmental benefits and align with the sustainability goals of the agriculture industry. As per the data from the Government of Canada, in 2022, the whole agriculture and agri-food system generated $143.8 billion (around 7.0%) of Canada's gross domestic product (GDP). Therefore, rising textile and agriculture sectors can boost the demand for 1,4-butanediol in the region.
In the 1,4-Butanediol (BDO) market, "synthetic" refers to BDO produced through chemical synthesis rather than biological processes. Synthetic BDO is primarily derived from petrochemical feedstocks through processes such as Reppe chemistry, which involves the reaction of acetylene with formaldehyde, or from other petrochemical-based methods. This type of BDO is widely used due to its consistent quality, high purity, and cost-effectiveness. It is a critical raw material for manufacturing various industrial products, including plastics, polyurethanes, and elastic fibers. Thus, the synthetic in US market registered a volume of 341.8 Kilo Tonnes in 2023.
The US market dominated the North America Market by Country in 2023, and would continue to be a dominant market till 2031; thereby, achieving a market value of $2.14 billion by 2031. The Canada market is experiencing a CAGR of 9.6% during 2024-2031. Additionally, the Mexico market would exhibit a CAGR of 8.6% during 2024-2031.
This BDO is a cornerstone chemical compound in the modern industrial landscape, with a multifaceted presence across various sectors. Its importance lies in its wide range of uses and its essential function as a chemical intermediary in synthesizing many downstream products. The adoption of this has steadily risen over the years, propelled by its versatility and indispensability across multiple industries. Initially embraced for its utility as a precursor in polymer manufacturing, BDO has now found its way into myriad applications, from textiles to pharmaceuticals.
Furthermore, BDO's unique chemical structure and properties make it an ideal candidate for various chemical reactions, enabling its use as a building block for an extensive range of products. The functional advantages BDO offers, such as its solubility, reactivity, and compatibility with other compounds, have made it indispensable in formulating diverse end-products. The burgeoning demand for BDO-driven products, coupled with the continuous expansion of end-use sectors, has fueled the adoption of this chemical compound on large scale.
Spandex fibers, which are derived from BDO, are essential components in stretchable and elastic textiles. As the textile sector in Mexico grows, there will be a greater demand for spandex fibers to meet the requirements of various industries, such as apparel, sportswear, undergarments, and medical textiles. This increased production of spandex fibers will directly translate into higher demand for BDO as a raw material. As per the Government of Mexico, in the fourth quarter of 2023, the textile mills sector generated a gross domestic product of $5.18T MX, which represents a decline of 2.09% in comparison to the preceding quarter and a reduction of 0.99% in comparison to the corresponding period of the prior year. Moreover, as the agriculture sector in Canada grows, there's an increasing need for sustainable packaging solutions. Biodegradable plastics derived from BDO are gaining traction in agriculture for mulch films, greenhouse covers, and agricultural packaging materials. These materials offer environmental benefits and align with the sustainability goals of the agriculture industry. As per the data from the Government of Canada, in 2022, the whole agriculture and agri-food system generated $143.8 billion (around 7.0%) of Canada's gross domestic product (GDP). Therefore, rising textile and agriculture sectors can boost the demand for 1,4-butanediol in the region.
List of Key Companies Profiled
- Lonza Group Ltd.
- BASF SE
- Mitsubishi Chemical Holdings Corporation
- Nan Ya Plastics Corp. (NPC)
- Sipchem Company
- Ashland Inc.
- INEOS Group Holdings S.A.
- Evonik Industries AG (RAG-Stiftung)
- LyondellBasell Industries Holdings B.V.
- Sinopec Group (China Petrochemical Corporation)
Market Report Segmentation
By Type (Volume, Kilo Tonnes, USD Billion, 2020-2031)
- Synthetic
- Bio-based
By Technology
- Reppe Process
- Davy Process
- Butadine Process
- Propylene Oxide Process
- Others
By Application (Volume, Kilo Tonnes, USD Billion, 2020-2031)
- Tetrahydrofuran
- Polybutylene Terephthalate
- Gamma Butyrolactone
- Polyurethane
- Others
By Country (Volume, Kilo Tonnes, USD Billion, 2020-2031)
- US
- Canada
- Mexico
- Rest of North America
Table of Contents
Chapter 1. Market Scope & Methodology
Chapter 2. Market at a Glance
Chapter 3. Market Overview
Chapter 4. North America 1,4-Butanediol Market by Type
Chapter 5. North America 1,4-Butanediol Market by Technology
Chapter 6. North America 1,4-Butanediol Market by Application
Chapter 7. North America 1,4-Butanediol Market by Country
Chapter 8. Company Profiles
Companies Mentioned
- Lonza Group Ltd.
- BASF SE
- Mitsubishi Chemical Holdings Corporation
- Nan Ya Plastics Corp. (NPC)
- Sipchem Company
- Ashland Inc.
- INEOS Group Holdings S.A.
- Evonik Industries AG (RAG-Stiftung)
- LyondellBasell Industries Holdings B.V.
- Sinopec Group (China Petrochemical Corporation)
Methodology
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