Methylene Diphenyl Diisocyanate (MDI)-Based Polyurethane Market Report 2026

The methylene diphenyl diisocyanate (mdi)-based polyurethane market size has grown steadily in recent years. It will grow from $21.21 billion in 2025 to $22.21 billion in 2026 at a compound annual growth rate (CAGR) of 4.7%. The growth in the historic period can be attributed to construction insulation demand, automotive lightweighting, furniture foam usage, industrial coating applications, growth in packaging materials.

The methylene diphenyl diisocyanate (mdi)-based polyurethane market size is expected to see strong growth in the next few years. It will grow to $27.39 billion in 2030 at a compound annual growth rate (CAGR) of 5.4%. The growth in the forecast period can be attributed to energy efficient building regulations, electric vehicle adoption, growth in smart manufacturing, demand for durable adhesives, expansion of electronics protection. Major trends in the forecast period include increasing use of rigid insulation foams, growth in lightweight automotive components, rising demand for high performance adhesives, expansion of protective industrial coatings, focus on durable elastomer solutions.

The increased production of lightweight vehicles is expected to propel the growth of the methylene diphenyl diisocyanate (MDI)-based polyurethane market going forward. Lightweight vehicles are designed to reduce overall weight in order to improve fuel efficiency, lower emissions, and enhance vehicle performance. MDI-based polyurethane is widely used in the automotive sector due to its versatility, combining lightweight properties with durability for various components and applications. For instance, in August 2023, according to the Federal Reserve Board, a US-based central banking system, industrial production of light trucks in the US rose from 8.3 million units in 2022 to 9.73 million units in July 2023. Therefore, the increased production of lightweight vehicles is driving the growth of the MDI-based polyurethane market.

The growing construction industry is expected to propel the growth of the methylene diphenyl diisocyanate (MDI)-based polyurethane market going forward. The construction industry includes the processes involved in developing buildings, infrastructure, industrial facilities, and related activities throughout their lifecycle. MDI-based polyurethane is widely used in insulation, roofing, flooring, and other construction applications due to its versatile and high-performance properties. For instance, in June 2024, according to TST Europe, a Switzerland-based manufacturer specializing in quick-release couplings and coupling systems, total construction spending in the U.S. reached $1.98 trillion in 2023, showing a 7.4% increase from the previous year. The number of construction businesses in the U.S. stood at approximately 745,000 in 2023. Therefore, the expansion of the construction industry is driving the growth of the MDI-based polyurethane market.

Major companies in the methylene diphenyl diisocyanate (MDI)-based polyurethane market are focusing on developing innovative solutions such as sustainable formulations to meet rising demand across the automotive, construction, and insulation sectors. Sustainable formulations are chemical products designed to reduce environmental impact by using eco-friendly or renewable raw materials, lowering energy use, and minimizing waste and emissions during manufacturing and application. For instance, in October 2024, Kumho Mitsui Chemicals, Inc., a South Korea-based producer of chemical intermediates, launched new MDI production facilities at its Yeosu plant to expand capacity and support growing industrial demand. These facilities increase MDI output from 410,000 tons per year to 610,000 tons per year and incorporate advanced recycling systems to reuse by-products, reduce greenhouse gas and wastewater emissions, and enhance cost efficiency. This expansion supports high-performance applications in polyurethane foams, coatings, adhesives, and insulation materials.

Major companies operating in the methylene diphenyl diisocyanate (mdi)-based polyurethane market are Mitsui Chemicals Inc., BASF SE, The Dow Chemical Company, Wanhua-BorsodChem, Wanhua Chemical Group Co. Ltd., Asahi Kasei Corporation, Covestro AG, DuPont de Nemours Inc., Huntsman Corporation, Sadara Chemical Company, Tosoh Corporation, Kumho Mitsui Chemicals Co. Ltd., Lanxess AG, Karoon Petrochemical Company, PCC Rokita SA, Vencorex, Coim Group Srl, Sika AG, Trelleborg AB, Woodbridge Foam Corporation, Recticel N.V., Springfeel Polyurethane Foams Private Limited.

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

The methylene diphenyl diisocyanate (MDI)-based polyurethane market consists of sales of elastomers, insulation panels, and medical devices. 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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