PUBLISHER: IMARC | PRODUCT CODE: 1753997
PUBLISHER: IMARC | PRODUCT CODE: 1753997
The global 1,4 butanediol market size reached USD 8.1 Billion in 2024. Looking forward, IMARC Group expects the market to reach USD 13.2 Billion by 2033, exhibiting a growth rate (CAGR) of 5.29% during 2025-2033. The market is experiencing stable expansion due to its amplifying demand in producing solvents, plastics, and fibers. Moreover, its expanding applications in sectors like pharmaceuticals, automotive, and textiles significantly bolster market growth, supported by continuous technological innovations and magnifying industrialization across major industries.
1,4 butanediol (C4H10O2) is a colorless, oily, and viscous liquid with high solubility in water and other chemicals. It is a primary alcohol and an organic compound produced from petroleum-based substrates such as acetylene, butane, propylene, and butadiene. It is widely used in industrial settings as a solvent and in the manufacturing of some types of plastics, elastic fibers, and polyurethanes. 1,4 butanediol is also used as a raw material in both the organic and fine chemical industries for its excellent environmental characteristics and minimal health risks to workers. As a result, it finds extensive applications across the textile, automotive, chemical, electrical and electronics, papermaking, healthcare, and pharmaceutical industries.
Growing Demand from Electronics and Automotive Sectors
The global 1,4 butanediol (BDO) market is witnessing growth principally driven by its increasing utilization in the electronics and automotive sectors. 1,4 butanediol is an integral component in the manufacturing of polybutylene terephthalate (PBT) resins, which are extensively leveraged in these industries to produce durable plastic components, like housings or connectors. For instance, in May 2024, Yazaki Corporation and Toray Industries collaborated to produce a new recycled PBT resin particualrly for manufacturing connectors for automotive wire harnesses. Moreover, the heightening adoption of lightweight materials in electronic products and vehicles to lower weight and enhance efficacy has further bolstered the need for 1,4 butanediol. In addition, as the electronics and automotive industries continue to grow rapidly, the demand for superior-performance materials like 1,4 butanediol is anticipated to propel, boosting the market expansion.
Increasing Applications in Personal Care and Pharmaceuticals
The 1,4 butanediol market analysis indicates that the expanding applications in the personal care and pharmaceutical industries is notably driving the demand. 1,4 butanediol plays a crucial role as a key raw material in the production of tetrahydrofuran (THF), which is generally utilized in manufacturing spandex fibers generally found in personal care products as well as medical textiles. For instance, in May 2024, The LYCRA Company collaborated with Dairen Chemical Corporation (DCC) to produce low-impact PTMEG, a key ingredient for bio-based LYCRA fiber or spandex fiber, from 1, 4 butanediol. In addition, 1,4 butanediol is extensively leveraged in the development of excipients and solvents for a broad range of pharmaceutical formulations. Moreover, as customer need for enhanced pharmaceuticals and personal care products escalates, the demand for versatile chemicals is anticipated to further boost market growth in these sectors, consequently broadening the 1,4 butanediol market scope. As per industry reports, by 2026, personal care market is projected to grow by 4.5% in India.
Inclination Toward Sustainable Production Techniques
The magnifying inclination towards sustainability is significantly impacting the 1,4 butanediol market as manufacturers are currently seeking bio-based production techniques. Bio-based 1,4 butanediol, typically derived from renewable feedstocks, is rapidly gaining momentum due to its lower environmental impact in comparison to conventional petrochemical-based production methods. Moreover, this inclination aligns with the increasing global environmental regulatory policies and customer demand for environmentally friendly products. In addition, several companies are actively investing in green production methods and technologies to address the rising requirement for sustainable materials. Consequently, the adoption of this product is expected to accelerate, as indicated by the 1,4 butanediol market research, offering new growth avenues in the market while addressing the demand for environmentally safe manufacturing solutions. According to a research article published in the journal Green Chemistry in January 2023, an eco-friendly method for the production of bio-based 1,4-butanediol from succinic acid was successfully developed. This method exhibited exceptional prolonged stability of 1,4-butanediol without hampering its functional activity, attaining a 91.2% yield rate.