by Ethyl acetate is predominantly used as a solvent in paints, coatings and inks owing to its low toxicity and favorable solvent properties. It acts as a thinner, dispersing agent and cleaning agent in various paint formulations. The paints and coatings industry has witnessed significant growth over the past few years on account of rising infrastructure development and construction activities worldwide. Ethyl acetate finds widespread application in architectural and industrial paints used for coating buildings, machinery and vehicles. Furthermore, growth of the automotive industry has augmented the demand for automotive paints and coatings.
The global ethyl acetate market is estimated to be valued at US$ 6.35 billion in 2024 and is expected to exhibit a CAGR of 5.8% over the forecast period 2024-2031, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
One of the key trends in the Global Ethyl Acetate Market Size is shifting preference towards bio-based and sustainable products. Environmental regulations regarding VOC emissions from solvents are becoming more stringent. This has prompted manufacturers to develop bio-based and green alternatives to conventional petroleum-derived solvents. For instance, BASF SE produces ethyl acetate from sugarcane-derived ethanol which reduces greenhouse gas emissions by around 80% compared to fossil fuel-based ethyl acetate. Rise in R&D activities for bio-based solvents is expected to boost the market growth of ethyl acetate over the forecast period.
Porter’s Analysis
Threat of new entrants: Low economies of scale, high capital requirements, established brand names of existing players create entry barriers for new players.
Bargaining power of buyers: Buyers have moderate bargaining power as ethyl acetate has substitutes. However, it is widely used in many industries.
Bargaining power of suppliers: Suppliers have high bargaining power as raw materials for ethyl acetate production like ethanol, acetic acid have limited sources of supply.
Threat of new substitutes: Substitutes like methyl acetate, butyl acetate provide some competition but ethyl acetate is preferred for its desirable properties.
Competitive rivalry: Intense competition exists among existing players due to established brands and production facilities. Players differ based on production technologies, capacities and geographic presence.
Key Takeaways
The global ethyl acetate market is expected to witness high growth. The global ethyl acetate market is estimated to be valued at US$ 6.35 billion in 2024 and is expected to exhibit a CAGR of 5.8% over the forecast period 2024-2031.
Regional analysis – The Asia Pacific region holds a major share of around 35% of the global ethyl acetate market owing to presence of large chemicals industry and growing manufacturing sector. China dominates Asia Pacific region with over 50% share due to low manufacturing costs and lenient regulations.
Key players – Key players operating in the ethyl acetate market are Berkshire Corporation, Kimberly-Clark Corporation, Contec, Inc., DuPont, Ansell Ltd., Illinois Tool Works Inc., Thermo Fisher Scientific Inc., Valutek Inc., Steris, Avantor, Inc., and KM Purely. Companies are investing in capacity expansions to cater increasing demand from major end-use industries.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
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