Octadecanedioic Acid Market Overview
The Global "Octadecanedioic Acid Market" is estimated to reach at a high CAGR during the forecast period (2024-2031).
Octadecanedioic acid, also called C18 diacid, is a long chain dicarboxylic acid which comprises two carbon components. Dicarboxylic acid is produced by the traditional method of butadiene oxidation. The primary raw material utilized in this process consists of petrochemicals. Water repellant features of C18 dicarboxylic acid have gained extensive application in cosmetics.
The application of octadecanedioic acid in coatings, adhesives, sealants and elastomers segment is projected to gain projection in the forecast period. Microbial fermentation of mid-and long-chain n-alkanes or fatty acids to produce octadecanedioic acid is also practiced extensively.
The advantages of octadecanedioic acids, such as reduced carbon footprint, improved performance and renewable content, are boosting the market demand among manufacturers. Moreover, commercialization of biobased methods with rising demand for renewable sources in the cosmetics market is anticipated to market demand.
Octadecanedioic Acid Market Summary
| Metrics | Details |
| Market CAGR | High |
| Segments Covered | By Process, By Usage, By Application, By End-User and By Region |
| Report Insights Covered | Competitive Landscape Analysis, Company Profile Analysis, Market Size, Share, Growth, Demand, Recent Developments, Mergers and acquisitions, New Product Launches, Growth Strategies, Revenue Analysis, and Other vital insights. |
| Largest Market Share | Asia Pacific |
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Source: DataM Intelligence Analysis (2021)
Octadecanedioic Acid Market Trends
The global octadecanedioic acid market growth is driven by rising demand for eco-friendly solutions and growing need from the cosmetics segment.
Rising demand for eco-friendly solutions
The eco-friendly solutions have been gaining importance globally, which is expected to boost the octadecanedioic acid market in the forecast period. The developing trend for sustainable and environment-friendly commodities to decrease the dependency on petrochemical products is assumed to offer various lucrative opportunities for the market's growth. Volatile prices of petrochemical products, owing to supply-demand disparities, have urged a shift towards bio-based chemicals. Growing demand for renewable chemicals used for end-use products is expected to support market growth over the coming years.
Traditionally, dicarboxylic acids were produced through chemical reactions such as multistep butadiene oxidation, which utilize petrochemical as a raw material. Initiatives begun to reduce dependency on petrochemical feedstock led to biotechnological production methods, namely, metathesis and microbial fermentation.
Further expansions & investments in the biotechnological field are anticipated to facilitate commercial-scale production of C18 dibasic acid through microbial fermentation. As compared to other diacids, some of the advantages of C18 diacid are its lower volatility, relatively high melting point, and increased hydrophobic nature. The demand for octadecanedioic acid has been growing in manufacturing candles, shaving soaps, cosmetics, lubricants and pharmaceuticals.
Absence of commercial availability
The octadecanedioic acid market is impacted by the absence of commercial availability. Most of the industry still utilizes petrochemicals for various applications and hence, octadecanedioic acid is still not produced commercially. However, octadecanedioic has increased from two pathways: microbial fermentation and metathesis of natural oils.
The latter pathway is expected to expand the availability of C18 diacid and lower its cost. The goods made from this diacid typically show superior properties, such as water and chemical resistance, then the shorter chain alternatives. Consequently, a myriad of new products made from ODDA should soon be accessible.
Covid-19 Impact Analysis
Due to the pandemic, the octadecanedioic acid industry has declined due to less demand from its end-users. The octadecanedioic acid market used in automotive, construction, cosmetic and textiles industries has been hampered to some extent in the initial phase of the lockdown. For example, consumers are spending less on beauty products during the pandemic, which will negatively impact the cosmetic industry, impacting the sales of octadecanedioic acid. The global beauty industry revenues had fallen between 20-30% in 2020.
However, the market has been stable in 2020, with most of the demand coming from the pharmaceutical sector. Moreover, the construction, automotive and cosmetics industry has also gained market after the initial losses. Various sectors are also is expected to operate with high rates to cope with the growth rate, which will positively impact the octadecanedioic acid market.
Octadecanedioic Acid Market Segmentation
The octadecanedioic acid market is segmented into industrial, medical, construction, cosmetics, textiles, and others by end-user.
The octadecanedioic acid market has been growing as an alternative to azelaic acid in the cosmetic industry
This octadecanedioic acid brightens skin by reducing tyrosinase and melanin (skin pigment) production. It can be utilized to treat skin pigmentation problems such as hyperpigmentation, dark spots and melasma. A study compared twice-daily application of 1% dioic acid to 2% hydroquinone cream in Mexican female subjects with melasma. Both agents showed equal efficacy in decreasing melasma by over 40% after 12 weeks of treatment. Octadecenedioic acid is obtained from sunflower seeds and is structurally comparable to azelaic acid.
One of the things that present octadecanedioic acid as a potentially interesting cosmetic activity is its ability to lighten the skin, decreasing dark spots and hyperpigmentation. Octadecenedioic acid is used in various cosmetic and dermatological formulations as a skin whitening and anti-aging active ingredient. Octadecenedioic acid is considered 50-fold more active than azelaic acid at restraining the growth of propionibacterium acne.
It can also be used for the therapy of rosacea. Octadecenedioic acid has emerged as a higher efficacy alternative to azelaic acid. Azelaic acid was commonly used due to its low cost. Still, its side effects include stinging, burning, itching, tingling or flaking of the skin, which has boosted the market for octadecenedioic acid.
Source: DataM Intelligence Analysis (2021)
Octadecanedioic Acid Market Geographical Share
The rising need in the pharmaceutical sector and growing awareness towards eco-friendly products is boosting the market in the Asia-Pacific
Asia-Pacific region holds the significant market share for the octadecanedioic acid market globally and is expected to continue its dominance in the forecast period. Countries like China, India and Japan are seeking the surge in the usage of polyester polyols in multiple sectors. The automotive sector utilizes polyester polyols for making parts.
The polyester polyols obtained from octadecanedioic acid have superior toughness, solvent resistance, optical clarity and hydrolytic stability. Owing to these unique properties, the demand for octadecanedioic acid is growing in the polyester polyols segment. At the same time, the increasing infrastructure development projects, urbanization and industrialization also boosted the demand for octadecanedioic acid in the construction sector. Octadecanedioic acid is extensively utilized as a basic building block for the formulation of compounds used in the personal care & cosmetics sector and pharmaceutical sector to treat type-2 diabetes.
Additionally, the growing usage of octadecanedioic acid as a thickener in grease compositions boosts its market in the region. Also, polyamide derived from octadecanedioic acid is utilized for metalworking lubricants. Furthermore, the growing awareness in the region for sustainable and environment-friendly goods and environmental regulations on the industrial and automotive industry has increased the need for bio-based products.
Source: DataM Intelligence Analysis (2021)
Octadecanedioic Acid Market Companies and Competitive Landscape
The octadecanedioic acid market is consolidated and is manufactured by global companies. However, the local companies are also taking an interest in the octadecanedioic acid market with its growing applications, contributing to the major share in the market growth. In addition, some of the key players contributing to the market's growth are Elevance Renewable Sciences, Inc., TCI Chemicals Pvt. Ltd., Xiamen Sinopeg Biotech Co., Ltd, Larodan, Nanjing Chemlin Chemical Industry Co., Ltd., Elevance Renewable Sciences, Inc., Elevance Renewable Sciences Inc., Croda International Plc., Cathay Industrial Biotech Ltd., TCI America, BASF SE and others. The players are adopting various new strategies to dominate the market, such as partnerships, launching new products, acquisitions and collaborations, contributing to the global growth of the octadecanedioic acid market.
Larodan
Overview: Larodan manufactures, develops and markets a range of lipids for the international market. The company serves customers throughout the world directly and competent distribution partner. The company represents manufacturers such as Cambridge Isotope Laboratories, Moravek Biochemicals, Cayman Chemicals, Matreya, Lipomed, Oxford Biomedical Research and Wilmad-Labglass.
The company manufactures fatty acids, fatty acid methyl esters (fame), fame kits and mixture, wax esters, fatty alcohols, saturated hydrocarbons, carnitines, coenzyme A and CoA esters, sterols, dolichols, polyprenyl phosphate, prostaglandins, acylglycerols/glycerides, glycines, glycidyl esters and various other products.
Product Portfolio: The Company offers octadecanedioic acid products under the fatty acids segment.
Key Development: In 2020, ABITEC Corporation announced that it had acquired Larodan AB, a manufacturer and international marketer of high-purity research-grade lipids. The strategic acquisition will expand ABITEC's functional lipid product offerings to serve the pharmaceutical, nutritional, and industrial sectors.
Why Purchase the Report?
- Visualize the octadecanedioic acid market segmentation by process, usage, application, end-user and region, highlighting the key commercial assets and players.
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- Excel data sheet with thousands of octadecanedioic acid market-level 4/5 segmentation points.
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- Product mapping in excel for the key product of all major market players
The global octadecanedioic acid market report would provide access to an approx: 69 market data tables, 72 figures and 180 pages
Target Audience
- Industry Investors/Investment Bankers
- Chemical Companies
- Cosmetic Companies
- Monomer and Additive Companies
- Coating Companies
- Education & Research Institutes
- Research Professionals
- Emerging Companies
- Manufacturers
- Distributors, logistic companies, etc.
