Green solvents Global Market Report 2026

Green solvents are environmentally friendly solvents derived from crop processing, known for their lower toxicity and reduced hazardous nature compared to traditional volatile organic compounds. They serve the purpose of dissolving or dispersing other substances without causing harm to the environment and find applications in the production and formulation of antibiotics, vitamins, and water-based paints.

The primary types of green solvents include bio-alcohols, bio-diols, bio-glycols, and lactate esters. Bio-alcohols, for example, represent a category of renewable fuels derived from biological materials, functioning as eco-friendly transportation fuels and industrial solvents across various industries. These solvents are utilized in a range of applications, spanning construction, coating, cleaning products, industrial processes, toiletries, and cosmetics. They find diverse end-uses in chemical intermediates, pharmaceuticals, printing inks, paints and coatings, cosmetics, personal care, and other sectors.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report's Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

Tariffs have influenced the green solvents market by affecting costs of bio based feedstocks, fermentation equipment, and processing technologies. These impacts have been most notable in europe and north america where sustainability regulations are strong. Higher tariffs have increased production costs and impacted pricing competitiveness. At the same time, tariffs have encouraged domestic bio solvent production and investment in local green chemistry infrastructure.

The green solvents market research report is one of a series of new reports from The Business Research Company that provides green solvents market statistics, including green solvents industry global market size, regional shares, competitors with a green solvents market share, detailed green solvents market segments, market trends and opportunities, and any further data you may need to thrive in the green solvents industry. This green solvents market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The green solvents market size has grown strongly in recent years. It will grow from $2.19 billion in 2025 to $2.35 billion in 2026 at a compound annual growth rate (CAGR) of 7.6%. The growth in the historic period can be attributed to growth in chemical manufacturing, rising environmental awareness, increased use in pharmaceuticals, availability of bio feedstocks, expansion of coating industries.

The green solvents market size is expected to see strong growth in the next few years. It will grow to $3.27 billion in 2030 at a compound annual growth rate (CAGR) of 8.6%. The growth in the forecast period can be attributed to stricter environmental regulations, growth of green chemistry, rising demand for sustainable products, expansion of cosmetic manufacturing, advancements in solvent technologies. Major trends in the forecast period include increasing adoption of bio based solvents, rising demand from paints and coatings, growing use in pharmaceutical manufacturing, expansion of low voc formulations, increasing focus on regulatory compliance.

The increasing demand for eco-friendly solvents is expected to propel the growth of the green solvents market going forward. An eco-friendly solvent is an environmentally friendly solvent derived from renewable resources such as plants or biomass, designed to have a lower impact on human health and the environment compared to traditional solvents. Green solvents help reduce the environmental footprint of chemical production and can replace conventional solvents across various industrial applications. For instance, in November 2024, according to Advanced Biofuels Canada (ABFC), a Canada-based industry association, biofuel consumption saw strong growth in 2023-renewable diesel more than doubled to 1.2 billion liters per year, biodiesel increased by 14% to 530 million liters per year, and ethanol rose by 13% to 4.0 billion liters per year. Biofuel content also climbed to 9.44% in gasoline and 6.23% in diesel, marking respective increases of 10% and 68% compared to 2022. Therefore, the rising demand for eco-friendly solvents is driving the growth of the green solvents market.

Major companies operating in the green solvents market are developing innovative products such as high-purity solvents to ensure product safety, performance, and consistency across specialized applications. Controls to ensure product quality refer to systematic processes implemented during production to guarantee that a product meets required standards and performs as intended, reducing defects and enhancing reliability. For instance, in August 2024, Eastman Chemical Company, a US-based chemical manufacturer, launched EastaPure isopropyl alcohol (IPA), offering a purity level of 99.99%. This ultra-high-purity IPA is tailored for critical applications in semiconductor manufacturing, including wafer fabrication, precision cleaning, and photoresist thinning. Designed to meet stringent industry requirements, EastaPure IPA minimizes contamination and ensures consistent performance, and is available in packaging options suitable for both large-scale industrial operations and controlled laboratory environments.

In March 2024, Univar Solutions Inc., a US-based chemical and ingredient distributor, acquired Valley Solvent Company Inc. for an undisclosed amount. This acquisition enables Univar Solutions Inc. to broaden its product portfolio, strengthen supply chain capabilities, and expand its market reach to better serve customers across diverse industries. Valley Solvent Company Inc. is a US-based supplier specializing in industrial solvents and chemicals.

Major companies operating in the green solvents market are Cargill Incorporated, Archer Daniels Midland Company, Stepan Company, Novozymes A/S, Praj Industries Limited, Genomatica Inc., Galactic S.A., LanzaTech Inc., Elevance Renewable Sciences Inc., SACHEM Inc., Green Biologics Limited, CREMER OLEO GmbH & Co. KG, DMC Biotechnologies, AgroSustain S.A., Circa Group Pty. Ltd., Gevo Inc., Greenyug LLC, Botaneco Inc., Vertec Biosolvents Inc., Myriant Corporation

North America was the largest region in the green solvents market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the green solvents market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa

The countries covered in the green solvents market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain

The green solvents market consists of sales of bio-based solvents, biofuels, green pharmaceuticals, and essential oils. Values in this market are 'factory gate' values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

Green solvents Market Global Report 2026 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.

This report focuses green solvents market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.

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Where is the largest and fastest growing market for green solvents ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward, including technological disruption, regulatory shifts, and changing consumer preferences? The green solvents market global report from the Business Research Company answers all these questions and many more.

The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, total addressable market (TAM), market attractiveness score (MAS), competitive landscape, market shares, company scoring matrix, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.

• The market characteristics section of the report defines and explains the market. This section also examines key products and services offered in the market, evaluates brand-level differentiation, compares product features, and highlights major innovation and product development trends.
• The supply chain analysis section provides an overview of the entire value chain, including key raw materials, resources, and supplier analysis. It also provides a list competitor at each level of the supply chain.
• The updated trends and strategies section analyses the shape of the market as it evolves and highlights emerging technology trends such as digital transformation, automation, sustainability initiatives, and AI-driven innovation. It suggests how companies can leverage these advancements to strengthen their market position and achieve competitive differentiation.
• The regulatory and investment landscape section provides an overview of the key regulatory frameworks, regularity bodies, associations, and government policies influencing the market. It also examines major investment flows, incentives, and funding trends shaping industry growth and innovation.
• The market size section gives the market size ($b) covering both the historic growth of the market, and forecasting its development.
• The forecasts are made after considering the major factors currently impacting the market. These include the technological advancements such as AI and automation, Russia-Ukraine war, trade tariffs (government-imposed import/export duties), elevated inflation and interest rates.
• The total addressable market (TAM) analysis section defines and estimates the market potential compares it with the current market size, and provides strategic insights and growth opportunities based on this evaluation.
• The market attractiveness scoring section evaluates the market based on a quantitative scoring framework that considers growth potential, competitive dynamics, strategic fit, and risk profile. It also provides interpretive insights and strategic implications for decision-makers.
• Market segmentations break down the market into sub markets.
• The regional and country breakdowns section gives an analysis of the market in each geography and the size of the market by geography and compares their historic and forecast growth.
• Expanded geographical coverage includes Taiwan and Southeast Asia, reflecting recent supply chain realignments and manufacturing shifts in the region. This section analyzes how these markets are becoming increasingly important hubs in the global value chain.
• The competitive landscape chapter gives a description of the competitive nature of the market, market shares, and a description of the leading companies. Key financial deals which have shaped the market in recent years are identified.
• The company scoring matrix section evaluates and ranks leading companies based on a multi-parameter framework that includes market share or revenues, product innovation, and brand recognition.

Scope

• Markets Covered:1) By Type: Bio-Alcohols; Bio-Diols; Lactate Esters
• 2) By Application: Construction; Coating; Cleaning Products; Industrial Applications; Toiletries; Cosmetics
• 3) By End-Use: Chemical Intermediate; Pharmaceuticals; Printing Inks; Paints And Coatings; Cosmetics And Personal Care; Other End-Uses
• Subsegments:
• 1) By Bio-Alcohols: Ethanol; Isopropanol; Butanol
• 2) By Bio-Diols: Propylene Glycol; Butylene Glycol
• 3) By Lactate Esters: Ethyl Lactate; Butyl Lactate
• Companies Mentioned: Cargill Incorporated; Archer Daniels Midland Company; Stepan Company; Novozymes A/S; Praj Industries Limited; Genomatica Inc.; Galactic S.A.; LanzaTech Inc.; Elevance Renewable Sciences Inc.; SACHEM Inc.; Green Biologics Limited; CREMER OLEO GmbH & Co. KG; DMC Biotechnologies; AgroSustain S.A.; Circa Group Pty. Ltd.; Gevo Inc.; Greenyug LLC; Botaneco Inc.; Vertec Biosolvents Inc.; Myriant Corporation
• Countries: Australia; Brazil; China; France; Germany; India; Indonesia; Japan; Taiwan; Russia; South Korea; UK; USA; Canada; Italy; Spain
• Regions: Asia-Pacific; South East Asia; Western Europe; Eastern Europe; North America; South America; Middle East; Africa
• Time Series: Five years historic and ten years forecast.
• Data: Ratios of market size and growth to related markets, GDP proportions, expenditure per capita,
• Data Segmentations: country and regional historic and forecast data, market share of competitors, market segments.
• Sourcing and Referencing: Data and analysis throughout the report is sourced using end notes.
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