Dimethyl Carbonate Market - By Application (Polycarbonate, Solvent, Pharmaceutical, Pesticide), By Product (Industrial Grade, Pharmaceutical Grade, Electronic Grade) & Forecast, 2024-2032

Dimethyl Carbonate Market Size

Dimethyl Carbonate Market recorded USD 1.1 billion in 2023 and will grow at 8.2% CAGR from 2023 to 2032. This growth is largely driven by the increasing demand for environmentally friendly chemical alternatives in various industries, especially in the production of polycarbonate plastics.
 

Additionally, the rising company efforts in investments and expansion support the market. For instance, in March 2024, UBE Corporation, a leading Japanese chemical company, recently announced its intention to invest $500 million in creating its first U.S. manufacturing plant for essential electric vehicle (EV) lithium-ion battery components, specifically dimethyl carbonate (DMC) and ethyl methyl carbonate (EMC).
 

Dimethyl carbonate is gaining traction as a safer, more sustainable substitute for phosgene, a toxic chemical traditionally used in polycarbonate manufacturing. As global industries seek to reduce environmental impacts and adhere to stricter regulatory standards, the adoption of dimethyl carbonate is expected to rise. The market growth is also influenced by its use in fuel additives, as a solvent in paints and coatings, and in the production of pharmaceuticals, which collectively contribute to the broadening of its application base and market expansion.
 

The dimethyl carbonate market is poised for significant growth, driven by the escalating demand for high-performance plastics such as polycarbonate in the automotive, electronics, and construction sectors. The shift towards sustainable chemical processes and materials has positioned dimethyl carbonate as a key component in these industries, given its lower environmental impact than traditional solvents and reagents.
 

However, challenges in the market include the high production costs and the technical complexities associated with the synthesis of dimethyl carbonate. These factors may hinder the widespread adoption of the compound, particularly in regions with high-cost sensitivity. Additionally, the market faces competition from other green solvents and additives, which could moderate the growth pace.
 

Dimethyl Carbonate Market Trends

The dimethyl carbonate industry will witness robust growth through 2032, driven by the increasing focus on green chemistry and sustainable manufacturing processes. The adoption of dimethyl carbonate as a solvent in lithium-ion battery electrolytes is a notable trend, especially with the rising demand for electric vehicles (EVs).
 

This compound’s ability to enhance battery performance and safety while being less toxic than alternatives is likely to drive its use in battery production. Moreover, the growing emphasis on circular economy practices and the development of bio-based dimethyl carbonate are trends that are anticipated to shape the market landscape, aligning with global sustainability goals and consumer preferences for eco-friendly products. Additionally, the rising trends in approvals and licensing support market demand.
 

In July 2021, Asahi Kasei finalized its first licensing agreement for a technology package aimed at producing high-purity ethylene carbonate (EC) and high-purity dimethyl carbonate (DMC) using CO2 as a key feedstock.
 

Dimethyl Carbonate Market Analysis

The polycarbonate application segment is expected to cross USD 1.2 billion by 2032 and will gain significant traction through the forecast period. Dimethyl carbonate is a critical raw material in the production of polycarbonate, a high-performance plastic used in automotive components, electronics, and construction materials.
 

The increasing demand for lightweight, durable, and impact-resistant materials in these industries is a major driver for the growth of this segment. Additionally, the push towards reducing carbon footprints in manufacturing processes has encouraged the use of dimethyl carbonate as a greener alternative to phosgene in polycarbonate production. The expansion of the automotive and electronics sectors, particularly in emerging markets, is expected to further boost segment revenue.
 

Asia Pacific dimethyl carbonate market will generate a demand of over 800 kilotons by 2032. The demand for dimethyl carbonate (DMC) in the Asia-Pacific region is experiencing robust growth, driven by the expanding applications in various industries. As a crucial component in lithium-ion battery electrolytes, DMC's demand is surging with the rise in electric vehicle (EV) production and the growing consumer electronics market.
 

The rapid industrialization and urbanization in countries like China and India are further propelling the need for DMC, particularly in the automotive and electronics sectors. Additionally, the increasing focus on environmental sustainability and the shift towards green chemicals are fueling demand for DMC, which is valued for its eco-friendly properties and versatility. Major investments by companies in the region, including new manufacturing facilities and technological advancements, underscore the strategic importance of DMC. This trend reflects the broader push towards adopting cleaner, more efficient chemical processes in the rapidly evolving Asia-Pacific market.
 

Dimethyl Carbonate Market Share

The dimethyl carbonate (DMC) market is witnessing heightened demand due to strategic efforts by leading companies to expand production capabilities and innovate applications. Major players are investing significantly in new manufacturing facilities and technologies to meet rising industrial needs, driven by DMC's versatility in pharmaceuticals, plastics, and solvents. Companies are focusing on sustainable practices, such as using DMC as a greener alternative to traditional solvents, aligning with global environmental regulations. These initiatives not only boost DMC's market presence but also cater to increasing consumer and industrial demand for eco-friendly and efficient chemical solutions.
 

Dimethyl Carbonate Market Companies

The key dimethyl carbonate industry participants include

• Merck KGaA
• UBE Industries
• Kishida Chemicals
• Tangshan Chaoyang Chemical
• Connect Chemicals
• Dongying City Longxing
• SMC Global
• Alfa Aesar
• Asahi Kasei Corporation
• Kowa American Corporation
   

Dimethyl Carbonate Industry News

In April 2024, Circa Group AS, a company specializing in sustainable biochemicals, and Merck, a leading science and technology firm, finalized an agreement for the supply of Cyrene. This solvent, developed by Circa, is both sustainable and bio-derived, marking a significant step in their collaboration.
 

The dimethyl carbonate market research report includes in-depth coverage of the industry with estimates & forecast in terms of volume in kilo tons and revenue in USD Million from 2021 to 2032 for the following segments:

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By Application

• Polycarbonate
• Solvent
• Pharmaceutical
• Pesticide
• Others

By Product

• Industrial Grade
• Pharmaceutical Grade
• Electronic Grade

The above information is provided on a regional and country basis for the following:

• North America
  • U.S.
  • Canada
• Europe
  • Germany
  • Russia
  • Italy
  • UK
  • France
  • Spain
• Asia Pacific
  • China
  • India
  • Japan
  • South Korea
  • Malaysia
  • Thailand
  • Indonesia
• Latin America
  • Brazil
  • Mexico
• Middle East & Africa
  • South Africa
  • GCC