Market Overview [2024-2032]

Global Dimethyl Carbonate Market size was valued at USD 4.65 Billion in 2023 and is poised to grow from USD 5.27 Billion in 2024 to USD 14.42 Billion by 2032, growing at a CAGR of 13.4% in the forecast period (2024-2032).

The global dimethyl carbonate (DMC) market has emerged as a dynamic and rapidly evolving sector, driven by its versatile applications across various industries and the growing demand for sustainable chemical solutions. Dimethyl carbonate, a colourless and flammable liquid, is valued for its low toxicity, high biodegradability, and multifunctional chemical properties. It is mainly used as a methylating and carbamylating agent, and its applications include pharmaceuticals, agrochemicals, paints and coatings, and as a solvent in numerous industrial processes. Furthermore, DMC is an important intermediate in the synthesis of polycarbonate, a high-performance plastic widely used in the automotive, electronics, and construction industries.

Among the factors driving growth in the DMC market, one of the most important is the emphasis on green chemicals. Dimethyl carbonate is considered to be a greener alternative compared to the conventional toxic solvents such as phosgene and dimethyl sulphate, in accordance with global efforts to reduce the environmental footprint of industrial activities. Furthermore, the automotive industry's shift toward lightweight and durable materials to enhance fuel efficiency and reduce emissions has bolstered the demand for polycarbonate, thereby driving the consumption of dimethyl carbonate.

DMC adoption as an electrolyte in lithium-ion batteries makes it crucial to the energy sector. As the electric vehicle industry and renewable energy storage solutions grow rapidly, so does the need for advanced battery technologies, thereby making dimethyl carbonate a vital component in producing efficient and safe batteries. The trend follows the global shift toward cleaner energy sources, further underpinning growth in the market.

Dimethyl carbonate is a solvent that can be used effectively in the paints and coatings sector, improving product performance while lowering VOC emissions. High-quality coatings for construction, automotive, and industrial applications have contributed to market growth. Additionally, the pharmaceutical and agrochemical industries have incorporated dimethyl carbonate into their formulations due to its non-toxic profile and superior chemical properties.

Innovation in production technologies and increases in availability of raw materials also have been significant factors in the development of the DMC market. Manufacturers are taking on more environmentally friendly processes, such as oxidative carbonylation of methanol, to dimethyl carbonate manufacturing with reduced costs and environmental impact. Further, mergers and acquisitions are forcing continued innovation for product quality and breadth of application.

Market Drivers

Growing Adoption of DMC in Lithium-Ion Battery Electrolytes

• The growth in demand for DMC in lithium-ion battery electrolytes is the most significant factor for the market, driven by the rapid expansion of electric vehicles and renewable energy storage solutions. It is a highly used solvent in lithium-ion battery electrolytes due to its excellent chemical stability, high dielectric constant, and low viscosity, which allow efficient ion transport and improved battery performance. There are increasing demands to produce advanced battery technologies with elevated energy density and safety and enhanced longevity as worldwide demand for Electric Vehicles increases as a result of environmental concerns coupled with government incentive packages. Such requirements are primarily met by using DMC stable and efficient formulation of electrolyte.
• Other than EVs, the fast-growing demand for renewable energy resources like solar and wind has definitely intensified the requirement for efficient and stable energy storage systems, of which lithium-ion batteries have been the ideal option. The transformation in the direction toward sustainable energy solutions has enabled DMC to become the impossible glue in the production of batteries. Moreover, ongoing research and development efforts to optimize electrolyte formulations and improve battery performance continue to highlight the importance of DMC in the evolving energy storage landscape, underscoring its significance in driving innovation and sustainability across multiple industries.

Key Findings:

• The company plans to set up a new 300 TPD formaldehyde capacity factory at the present GIDC, Ankleshwar, Gujarat manufacturing site in February 2023.
• To promote trade in specialty chemicals, the Indian Speciality Chemical Manufacturer' Association (ISCMA) and USIIC signed a Memorandum of Understanding on February 15, 2023.

Expanding Use of Polycarbonate in Automotive and Electronics Industries

• The use of polycarbonate in automotive and electronics applications is rapidly growing and thus a key driver of the demand for dimethyl carbonate (DMC), a crucial intermediate in polycarbonate manufacturing. Polycarbonate is known for its outstanding strength, weight saving, and impact resistance features as a high-performance thermoplastic material with potential applications across many applications. The automobile manufacturer uses polycarbonate for new-generation applications while replacing metals or glass in product forms such as headlamp lens, interior elements, and sunroofs with an increasingly aggressive thrust in areas such as engine downsize through supercharging technologies. These advances will significantly grow demand for DMC It will benefit largely from a strategic market expansion from Asia and then in the world markets.
• Electronics manufacturers prefer polycarbonate because it exhibits excellent thermal stability, dielectric properties of insulation, and optical clarity. The applications are mainly for housings and electronic connectors as well as for discs and optical storage media such as DVDs and Blu-ray. Due to high consumer electronics growth, coupled with an increased speed at which smart products are coming in, quality like that found in polycarbonate is greatly desired. With the growth in electric vehicles and autonomous driving, there is a new demand for polycarbonate in advanced automotive electronics, and hence is a dual-sector demand situation. This is once again offering important opportunities for DMC in sustaining the production of polycarbonate and matching changing needs of these exciting sectors.

Market Opportunities

Development of Bio-Based Dimethyl Carbonate

• A groundbreaking step toward sustainable chemical manufacturing, bio-based dimethyl carbonate is the answer to the rapidly increasing demand for renewable and ecologically friendly substitutes. Conventional production of DMC through petrochemical feedstocks contributes to carbon emissions and other environmental issues. Bio-based DMC, on the other hand, reduces its carbon footprint by using sustainable feedstocks as biomass, bioethanol, or collected CO₂. This is aligned with worldwide initiatives to move towards a circular economy and reduce the burden of industrial activities on the environment.
• The potential of bio-based DMC is widely spread across numerous industries, particularly as a solvent in green application, a very important intermediate during the production process of polycarbonate, and an essential material in the formation of lithium-ion battery electrolytes. Bio-based DMC use is highly valued in sectors aimed at achieving greater sustainability standards like automotive, electronics, and construction. Moreover, it has less toxicity and its biodegradable rate is considered high, a very good solution for eco-friendly formulations in paints, coatings, and agrochemicals.

Market Restraining Factors

Limited Awareness of DMC's Potential Applications in Emerging Markets

• Limited awareness of dimethyl carbonate’s (DMC) potential applications in emerging markets remains a significant challenge, despite its versatility and growing global demand. DMC is recognized for its environmentally friendly profile and broad applicability in industries such as batteries, polycarbonates, paints, coatings, pharmaceuticals, and agrochemicals. However, in many emerging economies, industries are either unaware of the benefits of DMC or lack the infrastructure to integrate it into their production processes. This is highly probable in areas where the old chemicals and obsolete fabrication practices remain prominent just because of the economic inability to afford better technological know-how.
• Inadequate marketing efforts and less availability of DMC-specific know-how in the markets inhibit the adoption. In these markets, potential users will not completely know how DMC can help them improve their products' performance and enhance their sustainability while supporting international environmental rules and regulations. Because of that, industries operating within these regions lack the opportunities associated with the role of DMC as a safer solvent and the key intermediate of high-performance plastics and also its role in an electrolyte for advanced batteries.

Segmentation Analysis

The market scope is segmented because of by Grade, by Application.

• By Grade

Based on the Grade of the market is segmented into Industrial Grade (≤99%), Reagent Grade (99.1% - 99.8%), Battery Grade (≥99.9%).

Battery Grade (≥99.9%) is ruling the grade segments of global dimethyl carbonate market due to its critical contribution within the rapidly growing lithium-ion battery industry. Filling in the still growing need for the optimally performing, safe, and efficient lithium-ion batteries, DMC fills in mostly from having been particularly cut to meet stringent quality requirements for battery electrolyte formulation. Even trace impurities in battery electrolytes can adversely affect battery life and performance.

The market leader is mainly influenced by the high demand for the lithium-ion batteries used in electric vehicles, renewable energy storage systems, and portable electronics. Governments and automotive producers have set forth aggressive targets regarding carbon emissions; therefore, it is no wonder that the acceptance of EVs has increased enormously as the world is shifting toward cleaner energy. This has generated an unprecedented demand for high-performance batteries, where battery-grade DMC plays a pivotal role as a key solvent in electrolyte compositions.

• By Application

Based on the Application of the market is segmented into Chemical Synthesis, Pharmaceuticals, Pesticides, Paints & Dyes, Electronics, Others.

Among the different application segments of the global dimethyl carbonate (DMC) market, the chemical synthesis segment has traditionally dominated the market. This is mainly because DMC plays a versatile role as a key reagent in the production of a wide range of chemicals. DMC is used extensively as a methylating and carbamylating agent. Such has become crucial to the production of several chemicals among which are polycarbonates, solvents, and intermediary compounds used as part of their formulation in making resins, adhesives, and plasticizers. One factor that further adds to its predominance was due to increasing demand for the production of a high-performance plastic used in many automobile, electronic, and building construction industries named polycarbonate. Polycarbonate production, which is reliant on DMC, has led to an upsurge in the use of polycarbonate in lightweight automobile parts, electronic components, and safety equipment, further increasing the demand in this segment.

In addition to this, being a solvent, DMC, in the chemical industry, mainly in the synthesis of specialty chemicals, has seen an increase in demand. Since there is now a shift to safer, nontoxic chemicals, DMC is an increasingly favourable substitute to harmful solvents in chemical synthesis processes.

• Regional Snapshots

By region, Insights into the markets in North America, Europe, Asia-Pacific, Latin America and MEA are provided by the study. The Asia-Pacific region is the largest and most dominant player in the global dimethyl carbonate (DMC) market. This is due to its solid industrial base, rapid economic growth, and high penetration of advanced manufacturing technologies. The region boasts some of the world's biggest producers and consumers of DMC, with China and Japan as the leaders in this market. Rapid industrialization in China with dominance in electronics, automotive, and chemical manufacturing industries is highly responsible for the high demand for DMC. The increased demand for polycarbonate in automotive parts, consumer electronics, and construction applications also stimulate the DMC market in this region. Furthermore, a strong presence of Asia-Pacific within the production of lithium-ion batteries has fastened the use of DMC as a solvent in battery electrolytes and increased its demand.

The region is also characterized by lower production costs and availability of raw materials, which makes it an attractive hub for DMC production and consumption. The pharmaceutical and pesticide industries in India and China also support the growth of the DMC market in the region.

Moving forward, Asia-Pacific is also anticipated to remain the fastest-growing region. Continued economic expansion of countries like China and India, as well as increased demand for electric vehicles, renewable energy storage systems, and industrial production growth overall, set the stage for continued growth in Asia-Pacific in the DMC market. With more focus on sustainability and green chemicals, DMC is likely to be taken up at a much faster pace in this region. Hence, even though Asia-Pacific is leading the market, it will continue to do so, based on its expanding industrial base and the adoption of newer technologies.

List of Companies Profiled

• The Tronox Holdings plc
• LB Group
• Venator Materials PLC
• KRONOS Worldwide Inc.
• Evonik Industries AG
• Ishihara Sangyo Kaisha, Ltd.
• CNNC HUAN YUAN Titanium Dioxide Co., Ltd.
• The Kerala Minerals & Metals Limited
• CATHAY INDUSTRIES
• TOR Minerals International, Inc.

Key Industry Developments

• It announced in February 2024 that it will build a U.S.A. plant for which annual capacities may be up to 100,000 metric tonnes of DMC and 40,000 metric tonnes of DMC-based EMC. It also committed more dollars to finance UBE C1 Chemicals America, Inc. (UCCA), or DMC/EMC product manufacturing and merchandising business which UBE indirectly wholly owns.
• Merck announced in June 2023 that it would raise its capacity to manufacture highly purified reagents at its China facility. The investment will benefit the production of high-purity reagents on a large scale for testing and quality control for biopharma clients.

Report Coverage

The report will cover the qualitative and quantitative data on the Global Dimethyl Carbonate Market. The qualitative data includes latest trends, market players analysis, market drivers, market opportunity, and many others. Also, the report quantitative data includes market size for every region, country, and segments according to your requirements. We can also provide customize report in every industry vertical.

Report Scope and Segmentations

Regional Analysis

North America accounted for the highest xx% market share in terms of revenue in the Dimethyl Carbonate market and is expected to expand at a CAGR of xx% during the forecast period. This growth can be attributed to the growing adoption of Dimethyl Carbonate. The market in APAC is expected to witness significant growth and is expected to register a CAGR of xx% over upcoming years, because of the presence of key Dimethyl Carbonate companies in economies such as Japan and China.

The objective of the report is to present comprehensive analysis of Global Dimethyl Carbonate Market including all the stakeholders of the industry. The past and current status of the industry with forecasted market size and trends are presented in the report with the analysis of complicated data in simple language.

Dimethyl Carbonate Market Report is also available for below Regions and Country Please Ask for that

North America

• U.S.
• Canada

Europe

• Switzerland
• Belgium
• Germany
• France
• U.K.
• Italy
• Spain
• Sweden
• Netherland
• Turkey
• Rest of Europe

Asia-Pacific

• India
• Australia
• Philippines
• Singapore
• South Korea
• Japan
• China
• Malaysia
• Thailand
• Indonesia
• Rest Of APAC

Latin America

• Mexico
• Argentina
• Peru
• Colombia
• Brazil
• Rest of South America

Middle East and Africa

• Saudi Arabia
• UAE
• Egypt
• South Africa
• Rest Of MEA

Points Covered in the Report:

• The points that are discussed within the report are the major market players that are involved in the market such as market players, raw material suppliers, equipment suppliers, end users, traders, distributors and etc.
• The complete profile of the companies is mentioned. And the capacity, production, price, revenue, cost, gross, gross margin, sales volume, sales revenue, consumption, growth rate, import, export, supply, future strategies, and the technological developments that they are making are also included within the report. This report analysed 12 years data history and forecast.
• The growth factors of the market are discussed in detail wherein the different end users of the market are explained in detail.
• Data and information by market player, by region, by type, by application and etc., and custom research can be added according to specific requirements.
• The report contains the SWOT analysis of the market. Finally, the report contains the conclusion part where the opinions of the industrial experts are included.

Key Reasons to Purchase:

• To gain insightful analyses of the Dimethyl Carbonate market and have comprehensive understanding of the global market and its commercial landscape.
• Assess the production processes, major issues, and solutions to mitigate the development risk.
• To understand the most affecting driving and restraining forces in the market and its impact in the global market.
• Learn about the Dimethyl Carbonate market strategies that are being adopted by leading respective organizations.
• To understand the future outlook and prospects for the Dimethyl Carbonate market. Besides the standard structure reports, we also provide custom research according to specific requirements.

Research Scope of the Market

• Historic year: 2019-2022
• Base year: 2023
• Forecast: 2024 to 2032
• Representation of Market revenue in USD Million

Dimethyl Carbonate Market Trends: Market key trends which include Increased Competition and Continuous Innovations Trends: