Ethyl Acetate Market Size and Share Analysis by End Use (Food & Beverage, Pharmaceuticals, Automotive, Artificial Leather, Packaging) - Global Industry Growth and Demand Forecast to 2030

Market Overview

The global ethyl acetate market size was valued at $4,414.6 million in 2021, and this is number is expected to increase to $8,443.1 million by 2030, advancing at a CAGR of 7.5% during the forecast period. This is attributed to the rising usage of synthetic solvents for flavoring food products; the increasing purchase rate of consumer goods including adhesives, nail polish removers, and printing inks, in which the solvent is used; and the surging number of infrastructural activities across the globe.

Automobile Industry To Witness the Fastest Growth

The automobile sector is projected to record the fastest growth during the forecast period, advancing at a CAGR of around 8%, in the market. This can be attributed to factors, including the exponentially growing automobile sector, increasing usage of synthetic leather in vehicles, ongoing technological advancements, and economic growth of OEMs and aftermarket players.

In addition, the pharmaceutical industry accounted for the second-largest market share in 2021, and it is also expected to expand at a substantial CAGR during the forecast period. This is ascribed to the growing pharmaceutical industry, high R&D spending, and the increasing rate of pharmaceutical production where ethyl acetate is used as an extraction solvent.

Moreover, the artificial leather category is expected to witness significant growth in the coming years. This growth can be attributed to the rising demand for artificial leather products as a substitute for natural leather products, due to their cheap cost and efficient durability. Moreover, the sale of the chemical is increasing, owing to the rising necessity of artificial leather from automotive OEMs, as it is being used in the production of interiors of vehicles such as sun visors, knob covers, seat covers, door trims, and steering wheel covers, which propels the overall ethyl acetate market expansion.

On the other hand, the food & beverage category held the largest revenue share, of over 25%, in 2021, and it is further expected to dominate the market during the forecast period. This is due to the wide usage of this chemical in processed food and beverages, the surging need for packaged food, the growing population across the globe, the rising consumer spending, and the expanding product portfolio of prominent players.

Furthermore, the packaging domain accounts for a significant revenue share in the market. This is due to the upsurge in the demand for solvent-based printing inks in packaging applications and the rise in the production of environment-friendly packaging products, including flexible packaging, as a result of increasing environmental concerns. Additionally, these inks are widely used for printing books, journals, magazines, and newspapers. Also, the demand for printing inks has increased as a result of rapid urbanization and a surge in the digital requirements of consumers.

Expanding Demand for Paints and Coatings Propels Ethyl Acetate Consumption

Ethyl acetate is highly used in paints and coatings as a hardener or as a solvent. These products are extremely used in the construction sector with several types of formulations to meet the requirement of different applications, such as to enhance concrete's aesthetic appeal and functionality while reducing shrinkage and cracks in the material. In addition, emerging economies, primarily China and India, with a high construction rate, due to the increased government and giant player investments, as well as the growing residential sector, are expected to drive the market growth in the coming years.

Furthermore, the demand for environmentally sustainable paints and coatings is fueled by developing awareness among consumers of sustainable products and surging stringent environmental regulations aimed at reducing emissions of volatile organic compounds (VOCs). Among organic solvents, ethyl acetate is considered to have the least ecological consequence, which makes it more popular. Also, it has a wide application in paints and coatings, such as industrial solvent in coatings, and adhesive and rayon to dissolve materials, as well as in the production of a wide range of coating formulations including epoxies, celluloses, urethanes, vinyl, and acrylics.

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APAC Is the Largest Revenue Contributor

The APAC ethyl acetate market accounted for the largest revenue share, of around 50%, in 2021, and it is further expected to maintain its lead during the forecast period, advancing at a substantial CAGR. This is ascribed to the high construction rate, increasing population, rising need for consumer goods, surging disposable income, and rapidly growing automotive sector in the region.

• China holds the largest revenue share in the regional market, owing to the presence of a large number of manufacturers, high investments in pharmaceutical R&D, and the developing packaging industry in the country. In addition, it is the largest exporter of ethyl acetate across the globe with huge production facilities.
• The Japanese market is projected to witness significant growth during 2021–2030, due to the technological advancements in manufacturing units and the growing automotive, construction, packaging, and pharmaceutical sectors in the country.

Moreover, Europe held the second-largest revenue share in 2021 in the market, and it is expected to maintain its position in the coming years as well. This is due to the huge automobile industry, continuous technological advancements in the manufacturing sector, and increasing usage of the chemical in flavoring, fragrance, paints & coatings, and packaging solutions, in the region.

• The U.K., Germany, and France are the major revenue contributor to the regional market, owing to the presence of a large number of manufacturers and suppliers of food products and beverages, chemical products, and automobiles, in these countries.

Furthermore, North America generated significant market revenue in 2021. This is ascribed to the highly developed pharmaceutical industry, rise in preference for synthetic leather products over natural leather goods, and strong requirement for ethyl acetate from several downstream industries, in the region. Additionally, the U.S. generates the majority of revenue in the regional market. The upsurge in the demand for cruelty-free leather handbags, apparel, and other commercial goods; the increasing number of production facilities for artificial leather, and the expanding packaging sector fuel the ethyl acetate market expansion in the country.

Growing Flavor & Fragrance Industry Propels Product Usage

Ethyl acetate is widely used as a flavoring agent and fragrance to add a sweet taste to products such as cough syrups, soaps, perfumes, air fresheners, mouthwashes, and other cosmetic products. Moreover, the demand for this chemical has increased, as a result of the rising need for flavoring agents and perfumes from cosmetic, houseware, and toiletry manufacturers. Also, ongoing research and development initiatives involving aroma chemicals are aiding the market growth.

Key Players in the Market Are:

• Jiangsu SOPO (Group) Co. Ltd.
• INEOS Group Holdings S.A.
• Eastman Chemical Company
• Daicel Corporation
• Celanese Corporation
• Jubilant Pharmova Limited

Ethyl Acetate Market Size Breakdown by Segment

The study offers a comprehensive market segmentation analysis along with market estimation for the period 2017-2030.

Based on End Use

• Food & Beverage
• Pharmaceuticals
• Automotive
• Artificial Leather
• Packaging

Geographical Analysis

• North America
  • U.S.
  • Canada
• Europe
  • Germany
  • France
  • U.K.
  • Italy
  • Spain
• Asia-Pacific
  • China
  • India
  • Japan
  • South Korea
  • Australia
• Latin America
  • Brazil
  • Mexico
• Middle East and Africa
  • Saudi Arabia
  • South Africa