The global market for "dimethyl carbonate" is projected to expand at a CAGR of 6.3% during the forecast period of 2022 to 2030. Dimethyl carbonate, sometimes known as DMC, is a clear liquid that can be used in place of other organic solvents. The production of polycarbonates, which are plastics that are both heat and light resistant, as well as transparent and robust, is made possible by DMC. It also has use in the manufacturing of insecticides, which are used in agricultural settings. Due to its low water solubility (0.002 %), dimethyl carbonate has a greater potential for use in the pharmaceutical industry, as well as in the paints and coatings industry and the detergent industry. The increased need for polycarbonate in industries such as electrical and electronics, automotive, building and construction, consumer items, and medical is one aspect that is driving the market for dimethyl carbonate.
Dimethyl Carbonate, often known as DMC, is a clear liquid that can be used in place of other organic solvents. The manufacturing of polycarbonates, which are plastics that are both durable and transparent and have good qualities regarding their resistance to heat, is made possible by DMC. In the field of agriculture, it is also put to use in the production of insecticides. Due to the fact that dimethyl carbonate has a low water solubility (0.002%), its application potential in the medicines, paints and coatings, and detergents sectors is significantly increased. As a solvent, dimethyl carbonate is gradually displacing ethyl, benzene, acetone, and xylene, in addition to other chemicals, which is beneficial to the expansion of its market. In addition, it is anticipated that the environmentally friendly synthesis of dimethyl carbonate from carbon dioxide will fuel the rise of the industry.
Dimethyl Carbonate Market to Be Driven by Strong Demand for Polycarbonate Across Industries
Polycarbonate is a material that finds widespread application throughout a broad spectrum of industries, such as the electrical and automotive, consumer products, building and construction, and many more sectors. Because of its qualities such as transparency, strength, resistance to heat, and chemical resistance, the market for dimethyl carbonate is anticipated to be propelled forward by rising demand in the electronics and automotive industries. Additionally, the growth of the automotive industry in countries such as India, China, and Japan have been a primary driver for the expansion of the dimethyl carbonate market. In addition, the market for dimethyl carbonate is propelled ahead by the growing need for low-cost and cost-effective consumer goods. These goods include laptops, smartphones, smart speakers, smart home devices, power banks, and a variety of other electronic gadgets.The construction and automobile industries are two of the most common end users of polycarbonate material. The expansion of these industries has pushed the demand for the manufacturing of plastic polymers to a higher level. In nations such as Germany, Japan, Thailand, and South Africa, the production of the plastic polymer is growing as a result of developing technologies, backing from the government, and demand from the packaging, electronics, and medical industries.
Increasing Research and Development Efforts to Improve the Efficiency of Green Synthesis of DMC to Stimulate Market Growth
Carbon is a common element that plays a critical role in the manufacturing of fuels and polymers. Players in the market for dimethyl carbonate have been encouraged to convert carbon dioxide (CO2) into useful chemicals such as dimethyl carbonate because carbon does not have any qualities that make it harmful (DMC). It is anticipated that this pattern will continue because traditional methods, such as phosgenation, have drawbacks. These drawbacks include the utilisation of highly toxic and corrosive phosgene gas as well as the production of substantial quantities of inorganic salts. As a direct consequence of this, market participants in the dimethyl carbonate industry are stepping up their research and development activities in an effort to boost the efficiency of green chemistry. In order to make green chemistry more effective, manufacturers are turning to processes that involve the direct synthesis of dimethyl carbonate from CO2 and methanol. These processes are currently being used. The green synthesis of DMC is becoming more popular as a cost-effective approach. This is mostly due to the fact that methanol is a cheaper raw ingredient.
Demand for Environment Friendly Chemicals to Positively Impact the Market
Because of its lack of toxicity as well as its biodegradability and high solvency, dimethyl carbonate is one of the organic compounds that is most suited for employment in a wide variety of end-use industries. As a consequence of this, it is increasingly replacing other compounds as a solvent, including xylene, benzene, ethyl, and acetone. This is believed to be one of the primary reasons for the expansion of the market for dimethyl carbonate. In addition, because of the recent developments in the construction sector, the utilisation of dimethyl carbonate in paints and coatings is anticipated to be a driving force behind the growth of the dimethyl carbonate market. During the production of polycarbonate, neither acids nor phenols are created. There has been an increase in the number of orders placed for DMC goods as a direct result of the rising demand for polycarbonate in the electronics and automotive industries.The production of DMC is increasing every day as it successfully controls the production of thermoplastics in an environmentally responsible manner. The business of producing paints and coatings, which has seen an increase in demand for environmentally friendly paints, is also another significant driver. As a result of the rising demand coming from these particular industries, a significant number of new market participants have entered the global dimethyl carbonate market.
The Exceptional Properties of PolycarbonatesDriving the Demand for Dimethyl Carbonate
By 2030, the market for dimethyl carbonate derived from polycarbonate is projected to cross$ 900 million. Polycarbonate is a type of thermoplastic that is transparent and provides manufacturers and designers more freedom in terms of design, as well as cost reductions and aesthetic improvements. It is well recognised for its ability to keep both its strength and colour for an extended length of time. The plastic is so clear and translucent that it can transmit over 90% of the light that passes through it, just like glass. The colouring of polycarbonate sheets, which can be manufactured in an extensive palette of hues, can be altered to meet the specifications of the project, if necessary. Polycarbonate can effectively block ultraviolet (UV) light, so providing protection from the sun's potentially damaging UV rays. It can withstand temperatures up to 135 degrees Celsius without degrading, and its heat resistance can be further improved by the addition of flame retardants. Polycarbonates, which are characterised by their versatility, have a wide range of applications, which has resulted in an increased demand for the dimethyl carbonate sector.
The Synthesis of DMC Requires the Use of Extremely Hazardous Raw Materials
The conventional approach to the manufacture of dimethyl carbonate (DMC) calls for the consumption of poisonous gases such phosgene and carbon monoxide, in addition to the generation of hazardous waste. Phosgene is an extremely hazardous substance that has been linked to a variety of serious health problems. Even the disposal of phosgene's byproducts has a significant influence on the environment, thus any process design that includes phosgene will result in additional expenses to ensure that the surrounding environment is kept safe. The process of methanol phosgenation is utilised for the production of dimethyl carbonate by a variety of businesses across the globe. This, in turn, functions as a factor that acts as a barrier to the expansion of the market for dimethyl carbonate. However, increasing R&D initiatives will likely increase the efficiency of DMC synthesis. Green synthesis is already being largely adopted and will continue to be adopted during the forecast period, therefore diminishing the impact of this restraint.
Stringent Licencing Regulations Slowing Down the Market Growth
The demand for dimethyl carbonate is growing all over the world, but producers are coming into some issues that are projected to slow down the increase that was anticipated. Because of the stringent licencing regulations that manufacturers of dimethyl carbonate must comply with, it is difficult for manufacturers to secure permits, which may eventually be detrimental to growth. It is also anticipated that during the period covered by this estimate, the dimethyl carbonate market will have expansion that is hampered by challenges associated with the use of cutting-edge technology in order to produce a desirable processing environment.
Fluctuating Oil and Gas Pricing Challenging the Market Growth
Because methanol, ethylene oxide, and carbon dioxide are all derivatives of crude oil, fluctuations in the price of oil and gas have a negative impact on the production of dimethyl carbonate. This is because the raw materials that are used in the production of dimethyl carbonate are all derived from oil. Because of this, the maker of dimethyl carbonate must base the cost structure of the product on the price of raw materials as well as the availability of those commodities.
The Use of Dimethyl Carbonate as An Oxygenated Fuel Additive Presents Opportunities
Due to the fact that dimethyl carbonate offers qualities such as non-toxic manufacture, environmental friendliness, non-corrosiveness, and safe handling, numerous researchers have suggested using it as an alternative fuel or oxygenated additive fuel for diesel or gasoline fuel. DMC is now available as an oxygenated alternative to MTBE in commercial gasoline, where it has taken its place. Because of the dangers it poses to human health and the environment, some governments have placed restrictions on the use of MTBE in premium limitless gasoline fuel. In light of this, the incorporation of dimethyl carbonate into fuels as an additive is anticipated to develop into a lucrative business in the years to come.
The Industrial Grade Will Continue to Be the Most Prominent Segment of The Dimethyl Carbonate Market
In 2021, the industrial grade held more than 82% of the market share in the worldwide dimethyl carbonate market, making it the dominant grade. Between the years 2020 and 2030, it is anticipated that it will continue to hold a dominant position in the global market for dimethyl carbonate. Dimethyl carbonate is an important component in the manufacturing of a broad variety of solvents, such as cleaning agents, adhesives, paints & coatings, and additives for alternative fuels. In addition, as a result of the expansion of the global automotive sector, it is anticipated that the market for batteries would have profitable prospects during the time covered by the projection.Because of the growing demand for polycarbonates from end-use industries including the automotive and electrical & electronics sectors, industry grade DMC is finding more applications in these industries.
The Polycarbonate Synthesis Category Held the Largest Share Among Applications
In 2021, polycarbonate synthesis subsegment accounted for the largest proportion among other applications. Due to the fact that polycarbonate possesses characteristics such as resistance to heat and impact, structural stability, and optical clarity, it is well suited for usage in a variety of applications, including those involving automobiles and electrical devices. As a result of expansions in both the automotive and electrical industries across the globe, there has been an increase in demand for polycarbonate.
Solubility Of Less Than 0.005% Water to Witness the Last Growth During the Forecast Period
Dimethyl carbonate is a solvent that is used to dissolve gums and resins in paint, waxes for polishes, varnishes, and shoe polish, acrylics for paintings; cellulose nitrate film bases, lacquers, and other materials. This solvent contains less than 0.002% water. Alternately, acetone or methyl ethyl ketone might be substituted for it in some applications (MEK).0.005% water (100mL pkg) segment is the one that has seen the most significant growth in terms of volume and revenue over the past few years. This is due to the fact that this segment offers a lower moisture content than other segments, such as ">95%" and ">99%," which provide higher levels of purity at a slightly higher cost. This can be explained by the fact that it is used as a solvent in the production of paints and polycarbonates.
North America Takes the Lion's Share
North America with a revenue share of approximately 40% dominated the global DMC market in 2021. Europe contributed to over 30% of the revenue share. Because of the widespread use of environmentally friendly chemicals as intermediates, it is anticipated that both Europe and North America will experience significant growth over the course of the period under consideration. Both Asia-Pacific (APAC) and Latin America are expected towitness strong growth during the forecast period and are extremely lucrative markets promising significant opportunities during the forecast period of 2022 to 2030. The demand for DMC in APAC has been driven by a variety of factors, including the rising demand for lithium-ion batteries and the production of polycarbonate. The production of polycarbonate in countries such as China, Japan, Korea, Thailand, Taiwan, Singapore, and Malaysia is what drives demand for DMC in the region. Other countries in the region include Malaysia and Singapore.While the pharmaceutical, paints & coatings, and agrochemical industries in China use dimethyl carbonate primarily for the production of polycarbonates, the Indian pharmaceutical, paints & coatings, and agrochemical industries use dimethyl carbonate primarily for the production of various products such as medicines, paints, and pesticides. Taiwan is also a major producer of polycarbonates.Due to the high demand for polycarbonate in the automotive and electronics industries in Asia-Pacific, it is anticipated that Asia-Pacific will be one of the dominant forces in the global market for dimethyl carbonate. This prediction is based on the fact that Asia-Pacific is the largest market for dimethyl carbonate. As a result of an uptick in demand for paints and coatings within the construction sector, it is anticipated that the market for dimethyl carbonate will continue to expand steadily throughout LAMEA. As a result, it is anticipated that the global market for dimethyl carbonate will experience growth that is both robust and consistent over the course of the forecast period.
Increased Levels of Industrial Competition Leading to Joint Ventures, Partnership Agreements, And Acquisitions
In order to achieve a competitive advantage in the sector, market participants in the dimethyl carbonate industry are continuously investing in geographic expansion by means of joint ventures, partnerships, and mergers and acquisitions. Asahi Kasei entered into its first licence agreement for a technology package in July 2021. The technology package was designed to produce high-purity dimethyl carbonate by utilising CO2 as one of its primary feedstocks. This action was taken because there was a rise in demand for dimethyl carbonate all over the world. Dimethyl carbonate is an essential part of the electrolyte solution in lithium-ion batteries (LIBs), which are used in electric vehicles and smartphones. This move was done as a result. Key players in the dimethyl carbonate sector include, UBE Industries Ltd. from Japan, Merck KGaA from Germany, Alfa Aesar from the United Kingdom, Lotte Chemical from South Korea, Kowa Company Ltd. from Japan, Kishida Chemical Co. Ltd. from Japan, Tokyo Chemical Industry Co. Ltd. from Japan, Shandong Shida Shenghua Chemical Group Co. Ltd. from China, Guangzhou Tinci Materials Technology Co. Ltd. from China, Haike Chemical Group from China, Dongying Hi-tech SpringTangshan Chaoyang Chemical, Asahi Kasei and others.
Historical & Forecast Period
This study report represents analysis of each segment from 2020 to 2030 considering 2021 as the base year. Compounded Annual Growth Rate (CAGR) for each of the respective segments estimated for the forecast period of 2022 to 2030.
The current report comprises of quantitative market estimations for each micro market for every geographical region and qualitative market analysis such as micro and macro environment analysis, market trends, competitive intelligence, segment analysis, porters five force model, top winning strategies, top investment markets, emerging trends and technological analysis, case studies, strategic conclusions and recommendations and other key market insights.
Research Methodology
The complete research study was conducted in three phases, namely: secondary research, primary research, and expert panel review. key data point that enables the estimation of Dimethyl Carbonate market are as follows:
- Research and development budgets of manufacturers and government spending
- Revenues of key companies in the market segment
- Number of end users and consumption volume, price and value.
- Geographical revenues generate by countries considered in the report
- Micro and macro environment factors that are currently influencing the Dimethyl Carbonate market and their expected impact during the forecast period.
Market forecast was performed through proprietary software that analyzes various qualitative and quantitative factors. Growth rate and CAGR were estimated through intensive secondary and primary research. Data triangulation across various data points provides accuracy across various analyzed market segments in the report. Application of both top down and bottom-up approach for validation of market estimation assures logical, methodical and mathematical consistency of the quantitative data.
Market Segmentation
End-Use
- Plastics
- Paints & Coating
- Pharmaceutical
- Battery
- Agrochemicals
- Others (Adhesives & Sealants, Ink, Food & Beverages, and Energy)
Application
- Polycarbonate Synthesis
- Battery Electrolyte
- Solvents
- Reagents
- Others (Fuel Additives, Electrolyte for Supercapacitors, Electrolyte for Dye-synthesized Solar Cells)
Grade
- Industry grade (>99.0 weight %)
- Pharmaceutical grade (>99.5 weight %)
- Battery grade(>99.9 weight %)
Solubility
- (< 0.002% water),
- (< 0.005% water (100mL pkg)).
Key questions answered in this report
- What are the key micro and macro environmental factors that are impacting the growth of Dimethyl Carbonate market?
- What are the key investment pockets with respect to product segments and geographies currently and during the forecast period?
- Estimated forecast and market projections up to 2030.
- Which segment accounts for the fastest CAGR during the forecast period?
- Which market segment holds a larger market share and why?
- Are low and middle-income economies investing in the Dimethyl Carbonate market?
- Which is the largest regional market for Dimethyl Carbonate market?
- What are the market trends and dynamics in emerging markets such as Asia Pacific, Latin America, and Middle East & Africa?
- Which are the key trends driving Dimethyl Carbonate market growth?
- Who are the key competitors and what are their key strategies to enhance their market presence in the Dimethyl Carbonate market worldwide?
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Table of Contents
Companies Mentioned
- UBE Industries Ltd.
- Merck KGaA
- Alfa Aesar
- Lotte Chemical
- Kowa Company Ltd.
- Kishida Chemical Co. Ltd.
- Tokyo Chemical Industry Co. Ltd.
- Shandong Shida Shenghua Chemical Group Co. Ltd.
- Guangzhou Tinci Materials Technology Co. Ltd.
- Haike Chemical Group from China
- Dongying Hi-tech SpringTangshan Chaoyang Chemical
- Asahi Kasei
