Propanol Market Report 2026

The propanol market size has grown strongly in recent years. It will grow from $3.96 billion in 2025 to $4.19 billion in 2026 at a compound annual growth rate (CAGR) of 5.8%. The growth in the historic period can be attributed to expansion of chemical manufacturing, growth in pharmaceutical production, increasing demand from paints and coatings, rising use in printing inks, availability of industrial alcohol production.

The propanol market size is expected to see strong growth in the next few years. It will grow to $5.13 billion in 2030 at a compound annual growth rate (CAGR) of 5.2%. The growth in the forecast period can be attributed to crescent adoption in electronics manufacturing, rising demand for pharmaceutical-grade solvents, expansion of sustainable solvent production, growing use in specialty chemical formulations, increasing regulatory focus on solvent safety. Major trends in the forecast period include increasing demand for high-purity solvents, rising use in pharmaceutical formulations, growing application in electronics cleaning, expansion of bio-based solvent alternatives, enhanced focus on process safety.

Growing demand for pharmaceuticals is expected to propel the growth of the propanol market going forward. The rising demand for pharmaceuticals is driven by factors such as an aging global population, the increasing prevalence of chronic diseases, and expanding healthcare access in developing regions. Propanol is widely used in the pharmaceutical industry as a solvent for producing various medications, aiding in the dissolution of active ingredients and ensuring proper consistency in liquid formulations. For instance, in January 2024, according to IQVIA, a US-based healthcare analytics and contract research organization, global medicine usage increased by 414 billion defined daily doses over the past five years and is expected to grow by another 400 billion by 2028. Therefore, growing pharmaceutical demand is driving the propanol market.

Major companies operating in the propanol market are focusing on the development of newly advanced long-acting capsules, to strengthen their position in the market. Long-Acting Capsules are used to describe a type of medication that is designed to release its active ingredient over an extended period of time, typically over several hours or days. For instance, in August 2023, Lupin Limited, an India-based pharmaceutical company, launched Propranolol LA (long-acting) capsules with composition of 60 mg, 80 mg, 120 mg and 160 mg, in Canada. Propranolol LA is the generic version of Inderal LA, and it has been a successful therapy option for patients and healthcare practitioners since the discontinuance of Inderal LA. The introduction of Propranolol LA meets the needs of Canadian patients, underscoring Lupin's commitment to improving healthcare access and cost.

In August 2023, Star Group, L.P., a US-based home energy distributor and services provider, completed the acquisition of a privately held propane company in Long Island for approximately $18.4 million. The acquisition made by Star Group may have been made for similar reasons, such as expanding its footprint in the Long Island area or increasing its propane operations. Long Island Propane Inc. is a US-based family-owned and operated propane delivery company. They offer propane delivery for home heating, gas cooking, pool heaters, and more.

Major companies operating in the propanol market are BASF SE, Dow Inc., LyondellBasell Industries, INEOS Group, Exxon Mobil Corporation, Shell plc, Sasol Limited, Oxea GmbH, Eastman Chemical Company, Mitsubishi Chemical Group, LG Chem Ltd., Tokuyama Corporation, Arkema SA, Evonik Industries AG, Solvay SA, Formosa Plastics Corporation, PCC Group, Gujarat Alkalies and Chemicals Ltd., Shandong Lianmeng Chemical Co., Ltd., Zibo Nalcohol Chemical Co., Ltd., Tokuyama Asia Group, LCY Chemical Corp.

Asia-Pacific was the largest region in the propanol market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the propanol market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the propanol market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The propanol market consists of sales of propan-1-ol and propan-2-ol. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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