Bio-Based Platform Chemicals Market Size

The bio-based platform chemicals market experienced substantial growth, reaching a valuation of USD 5,017.2 million in 2017 and is projected to soar to USD 10,205.4 million by 2023, showcasing a remarkable CAGR of 12.67% during the forecast period. In terms of volume, the market was measured at 3,416.0 kilo tons in 2017. The surge in the utilization of bio-based polymers is anticipated to be a key driver for market growth. These bio-based polymers find extensive applications across various sectors like consumer goods, construction, automotive, and others. Additionally, stringent regulations concerning the usage of petroleum-based chemicals are expected to fuel the demand for bio-based platform chemicals in the coming years. Despite these positives, the production of bio-based chemicals requires high capital investment, energy, and technical expertise, posing a challenge to the market's growth.

The primary applications of bio-based platform chemicals span across polymers, solvents, fuels, pharmaceuticals, perfumes, and others. Among these, the polymers segment dominated the market share at 36% in 2017. The increasing apprehension regarding the depletion of fossil fuels and the strict regulations surrounding conventional polymers are driving the growth of the polymers segment, expected to achieve a CAGR of 13.74% during the review period.

The emerging economies of the Asia-Pacific region are poised to significantly contribute to the revenue generation of bio-based platform chemicals during the forecast period. This region benefits from accessible renewable feedstock and favorable government policies, substantially boosting the demand for bio-based platform chemicals. Furthermore, the swelling population has led to increased imports of foreign crude, prompting a shift towards bio-based chemicals to diminish dependency.

In 2017, Asia-Pacific held the largest market share of 41.4% in the global bio-based platform chemicals market, with a valuation of USD 2,078.4 million. The region is expected to sustain a CAGR of 13.79% during the forecast period. China leads the country-level market in the region, closely trailed by Japan and India. China's burgeoning research and development in biotechnology and medical devices are driving the expansion of bio-based platform chemicals in the country, contributing significantly to the regional market's growth.