According to the report "Solvents Market by Type (Alcohols, Ketones, Esters, Glycol Ethers, Aromatic, Aliphatic), Application (Paints & Coatings, Polymer Manufacturing, Printing Inks), and Region - Global Forecast to 2025," the solvents market is expected to reach $30 billion by 2025, at a CAGR of 6.6% from an estimated value of $21.8 billion in 2020.
Growing demand for home care, personal care, pharmaceuticals are projected to drive the demand for solvents across regions.
Volatile Organic Compounds (VOCs) are compounds that form ground-level ozone and particulate matter and are the main constituents of smog.
Stringent regulations in Europe and North America for the reduction of VOCs are projected to drive the demand for bio & green solvents.
Based on type, the oxygenated solvents segment of the solvents market is projected to grow at the highest CAGR from 2020 to 2025, in terms of volume. This is due to their high solvency power and low-toxicity.
In addition, their usage in various applications, such as paints & coatings, adhesives, pharmaceuticals, and printing inks, among others are expected to result in increasing demand during the forecast period.
Based on application, the printing inks application segment is projected to grow at the highest CAGR between 2020 and 2025, in terms of volume.
The rapid growth of population in regions such as APAC and growing demand for agricultural food produce drive the demand for solvents in agricultural chemicals application.
Moreover, usage of solvents for high yield and increasing supply of agricultural products is another factor driving its growth.
The solvents market has been studied for North America, Europe, Asia Pacific (APAC), South America, and the Middle East & Africa.
The APAC region is estimated to account for the largest share of the solvents market and is also projected to grow at the highest CAGR during the forecast period, in terms of volume.
The growth of the solvents market in the region is attributed to increasing industrialization and rising demand for petrochemical-based solvents from end-use industries.
In addition, the availability of cheaper raw materials in the region is expected to drive the growth of the solvents market.
Moreover, there are many construction projects which are on hold in APAC due to COVID-19. These construction projects are likely to resume, thereby driving the demand for solvents in paints & coatings applications.
