The Global Isopropyl Alcohol Market size is expected to reach $4.4 billion by 2030, rising at a market growth of 7.7% CAGR during the forecast period. In the year 2022, the market attained a volume of 2,052.31 kilo tonnes, experiencing a growth of 6.9% (2019-2022).
IPA is widely used for cleaning and degreasing electronic components, circuit boards, connectors, and sensitive equipment in electronics manufacturing. Therefore, the electronics segment captured $460.49 million revenue in the market in 2022. It removes flux residues, soldering residues, oils, greases, and contaminants from surfaces without leaving behind residue or damaging electronic components.
Heightened hygiene and sanitation awareness, particularly in response to the COVID-19 pandemic, has increased demand for effective disinfection solutions. Consumers, businesses, and institutions prioritize cleanliness to minimize the risk of illness and infection transmission. Constant surface disinfection and regular hand hygiene have been deemed critical by governments and health organizations across the globe to avert the transmission of contagious illnesses.
Additionally, the rising global semiconductor industry significantly influences the demand for it in critical applications such as cleaning, surface preparation, and wafer fabrication. According to the Semiconductor Industry Association, the global semiconductor industry sales totaled $48.0 billion during November 2023, an increase of 5.3% compared to the November 2022 total of $45.6 billion and 2.9% more than the October 2023 total of $46.6 billion. In conclusion, the expansion of the global semiconductor and electronics industry is propelling the market's growth.
However, fluctuating raw material prices directly impact the profitability of IPA manufacturers. When raw material prices rise, manufacturers may face increased production costs, reduced profit margins, and pricing pressures. Conversely, when raw material prices fall, manufacturers may experience margin compression and competitive challenges in delivering customer cost savings. Fluctuating raw material prices challenge IPA manufacturers' financial planning and risk management. Hence, volatility in raw material prices is impeding the growth of the market.
IPA is widely used for cleaning and degreasing electronic components, circuit boards, connectors, and sensitive equipment in electronics manufacturing. Therefore, the electronics segment captured $460.49 million revenue in the market in 2022. It removes flux residues, soldering residues, oils, greases, and contaminants from surfaces without leaving behind residue or damaging electronic components.
Heightened hygiene and sanitation awareness, particularly in response to the COVID-19 pandemic, has increased demand for effective disinfection solutions. Consumers, businesses, and institutions prioritize cleanliness to minimize the risk of illness and infection transmission. Constant surface disinfection and regular hand hygiene have been deemed critical by governments and health organizations across the globe to avert the transmission of contagious illnesses.
Additionally, the rising global semiconductor industry significantly influences the demand for it in critical applications such as cleaning, surface preparation, and wafer fabrication. According to the Semiconductor Industry Association, the global semiconductor industry sales totaled $48.0 billion during November 2023, an increase of 5.3% compared to the November 2022 total of $45.6 billion and 2.9% more than the October 2023 total of $46.6 billion. In conclusion, the expansion of the global semiconductor and electronics industry is propelling the market's growth.
However, fluctuating raw material prices directly impact the profitability of IPA manufacturers. When raw material prices rise, manufacturers may face increased production costs, reduced profit margins, and pricing pressures. Conversely, when raw material prices fall, manufacturers may experience margin compression and competitive challenges in delivering customer cost savings. Fluctuating raw material prices challenge IPA manufacturers' financial planning and risk management. Hence, volatility in raw material prices is impeding the growth of the market.
By End Use Analysis
On the basis of end-use, the market is segmented into cosmetic & personal care, pharmaceutical, food & beverage, paints & coatings, chemicals, electronics, and others. The pharmaceutical segment recorded the largest revenue share in the market in 2022. The rising demand for in the pharmaceutical segment underscores its critical role in infection control, sterilization, drug formulation, and patient care within the healthcare and pharmaceutical industries. As healthcare standards and hygiene practices continue to evolve, IPA remains a vital component of pharmaceutical formulations and medical interventions promoting health, safety, and therapeutic efficacy.
By Application Analysis
Based on application, the market is divided into antiseptic & astringent, cleaning agent, solvent, chemical intermediate, and others. The solvent segment procured a remarkable revenue share in the market in 2022. IPA is an effective solvent for cleaning and degreasing surfaces, machinery, equipment, and electronic components in industrial settings. It dissolves oils, greases, dirt, and residues without leaving behind residue, making it ideal for precision cleaning applications. IPA is a solvent for inks, dyes, and pigments in the printing, graphic arts, and textile industries. It helps dissolve colorants and facilitate uniform dispersion, ensuring consistent color coverage and print quality.By Regional Analysis
Region-wise, the market is analyzed across North America, Europe, Asia Pacific, and LAMEA. In 2022, the North America region generated a substantial revenue share in the market. North America has a well-established healthcare and pharmaceutical industry relies on IPA for various applications. IPA produces pharmaceuticals, disinfectants, antiseptics, and medical devices, supporting healthcare facilities, pharmaceutical manufacturers, and medical research institutions across the region.List of Key Companies Profiled
- The Dow Chemical Company
- LyondellBasell Industries Holdings B.V.
- Huntsman Corporation
- Ecolab, Inc.
- Exxon Mobil Corporation
- INEOS Group Holdings S.A.
- LG Chem Ltd. (LG Corporation)
- Linde plc
- Shell plc
- Mitsubishi Chemical Holdings Corporation
Market Report Segmentation
By Application (Volume, Kilo Tonnes, USD Billion, 2019-2030)- Antiseptic & Astringent
- Cleaning Agent
- Chemical Intermediate
- Solvent
- Others
- Pharmaceutical
- Cosmetics & Personal Care
- Food & Beverage
- Paints & Coatings
- Electronics
- Chemicals
- Others
- North America
- US
- Canada
- Mexico
- Rest of North America
- Europe
- Germany
- UK
- France
- Russia
- Spain
- Italy
- Rest of Europe
- Asia Pacific
- China
- Japan
- India
- South Korea
- Singapore
- Malaysia
- Rest of Asia Pacific
- LAMEA
- Brazil
- Argentina
- UAE
- Saudi Arabia
- South Africa
- Nigeria
- Rest of LAMEA
Table of Contents
Chapter 1. Market Scope & Methodology
Chapter 2. Market at a Glance
Chapter 3. Market Overview
Chapter 4. Global Isopropyl Alcohol Market by Application
Chapter 5. Global Isopropyl Alcohol Market by End-use
Chapter 6. Global Isopropyl Alcohol Market by Region
Chapter 7. Company Profiles
Companies Mentioned
- The Dow Chemical Company
- LyondellBasell Industries Holdings B.V.
- Huntsman Corporation
- Ecolab, Inc.
- Exxon Mobil Corporation
- INEOS Group Holdings S.A.
- LG Chem Ltd. (LG Corporation)
- Linde plc
- Shell plc
- Mitsubishi Chemical Holdings Corporation
Methodology
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