Diethylene Glycol Market is driven by the growth in automotive and building and construction industry. The automotive sector is the largest end-user of the paints and coatings which uses DEG. The other usages are inks, adhesives, resins, aerosols, cosmetics among others. The varied applicability of these organic compounds has fueled the demand across the globe, with well-established markets being North America and Europe.
DEGs are organic compounds used widely as solvents. It is used across various strategic industries such as automotive, construction, chemical and personal care among others. These coatings are applied as raw material in the production of polyester resins & plasticizers, dehydrating agent in natural gas, humectants, textile lubricant & coupling agent, solvent in textile dyeing and printing, plasticizer for paper, cork and synthetic sponges and raw material for the production of esters as emulsifiers, and lubricants. Additionally the properties of DEGs such it can be used as softening agent, which is why it can be used in pigments and brake fluids paste.
Market Scenario and Growth Factors:
Furthermore the growth of automotive industry due to high demand for automobile from the emerging nations has led to the increased market for paints & coatings, which is the largest application. The regions of APAC have shown high population and urbanization which fuels the demand for automobiles in the region. Also, APAC is currently valued as the fastest growing market for diethylene glycol and is expected to keep up the pace by 2023. The foreign and domestic investment in infrastructure industry widens the scope for coating material. The global diethylene glycol market is expected to cross USD 350 Million mark at the end of the forecasted period and is expected to show a staggering growth at CAGR of approximately 4.3% from 2016 to 2023.
The key players of global Diethylene Glycol market report include- SINOPEC Corporation, Dow Chemical Company, SABIC, Reliance Industries Ltd, Formosa Plastics Corporation, Shell International B.V., Alberta & Orient Glycol Company ULC, TOC Glycol Company Limited, Huntsman Corporation, and Indorama Ventures Public Company Limited.
Scope of the report:
This study provides an overview of the global Diethylene Glycol industry, tracking two application and end-use segments across four geographic regions. The report also provides a forecast, focusing on the market opportunities for the next five years for each region.
- By Application
- Paints & coatings
- Personal care
- By End-use
- Polyester resins
- Antifreeze & coolants
- Gas dehydration & treating
- Chemical intermediates
Market Research Analysis:
The market is highly application based. Its dependency on the end-use industry has widened over a period of time. With increasing awareness among dealers and suppliers along with rapid increase in disposable income induces the market for DEG especially from automotive sector.
It is expected that the global diethylene glycol market will advance with higher growth rate as compared to previous years. The current challenge for the market is stringent regulations to limit the use of DEG due to its toxic nature of compound and fluctuating raw material prices of ethylene and propylene. The increasing utility of DEG across sectors is driving the market of diethylene glycol. This is backed by the increased use of DEGs in construction as a result of upcoming government policies to strengthen the infrastructure for the rising population and industrialization in emerging countries, especially in APAC. Paints & Coatings is the largest market by application and is expected to attain a similar share in global diethylene glycol market by 2023. Furthermore, the growth in automotive sector on a global level has fueled the demand.
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