Dimethylhexanediol (Dmhd) Market

Dimethylhexanediol (Dmhd) Market Synopsis

Dimethylhexanediol (Dmhd) Market acquired the significant revenue of XX Billion in 2023 and expected to be worth around USD XX Billion by 2032 with the CAGR of XX% during the forecast period of 2024 to 2032.

DMHD is a chemical that is utilized mostly as a solvent and for an intermediate in the manufacturing of diverse chemical materials such as coatings, adhesives, sealants, and plasticizers. Two major isomeric hexanediols include 1,2-Dimethylhexanediol and 1,6-Dimethylhexanediol which hitherto have distinguishably different chemical compositions and uses. DMHD is appreciated for its good solubility, low tendency towards volatility along with practical application across various industries. 

The market for Dimethylhexanediol (DMHD) has grown substantially due to the high demand of performance chemicals across industries for use in segments like coatings and adhesives, sealants and plasticizers. While the primary use of DMHD is its function as an intermediate for enhancing the stability, performance and sustainability of various products in the automotive, construction and consumer goods sectors. Some of the more important drivers in the market are the ever increasing global need for environmentally friendly and non toxic solvents and intermediates.

Of these, the coatings industry has been particularly affected with a growth in its use of DMHD because of the contribution it has in improving the performance of coatings by increasing adhesion, reducing viscosity and improving flow. Particularly prominent in industrial applications, where regulatory requirements regarding emissions of volatile organic compounds (VOCs) continue to evolve, DMHD provides a safer, albeit relatively more expensive, substitute to otherwise dangerous chemicals. Besides, the increasing requirement of automotive and construction industries where a high-performance adhesive and sealer is required has helped in further extending the use of DMHD.

Applications of DMHD are not restricted to coatings and adhesives but also include the use of its in plasticizers used in the preparation of the flexible PVC and other plastic products. With enhanced global construction and infrastructure development projects, more of such materials, and therefore DMHD, will be required. In addition, the growth in the variety of formulations for personal care products that either contain DMHD or are expected to incorporate it will also drive the growth of the market.

Nevertheless, this market has growth trends like the increasing prices of raw materials and the regulatory framework that seeks to control chemical industries and their products’ emissions to the environment. However, some of such challenges are thought to be addressed by technological advancement like invention of a sustainable method of producing DMHD for market in the near future.

Dimethylhexanediol (Dmhd) Market Trend Analysis

Trend: Increasing Demand for Eco-Friendly Solutions

Sustainability is a main factor that is causing growth in the market for Dimethylhexanediol (DMHD). As people become more concerned about the environment and since the use of toxic chemicals is limited by the law, industries are diverting toward green chemistry. That is why DMHD, which has low toxicity and high biodegradation potential, meets these growing needs for environmentally friendly products. This trend is especially applicable to coatings and adhesives markets where the trend to low VOC and no toxicity is observed.

Customers and businesses are now looking for products and services that can provide solutions that can address not only high-performance but also have minimal negative impact to the environment. Consequently, the fact that DMHD can work effectively as a solvent and an intermediate in formulations and, at the same time, do not have any negative effects to the environment makes the compound very appealing to manufacturers that wants to produce greener products. Several factors such as green chemistry approach, sustainable products development and high demand for DMHD in different industrial sectors make it possible to continue the same results in the future.

Opportunity: Expansion in Emerging Markets

The most promising prospect in the Dimethylhexanediol (DMHD) industry is its further penetration in new markets. With the advancement of industrialisation in different areas such as Asia-Pacific, Latin America, and Africa, the market of high-quality chemical products like DMHD shall also increase. Such areas are witnessing tremendous development in construction, automotive and consumer goods industries that rely on specialty materials including coatings, adhesives and sealants.

Also, the growing importance of green products is evident with growing regulations in the emerging economies and changing consumer preferences. As more environment regulations tighten in these regional markets, the use of DMHD as a renewable solution to conventional chemical solvents makes the company a formidable force in those evolving markets. The proposed properties of DMHD are expected to be useful to manufacturers in these regions that seek to improve their product quality and ward off increased consumer demands as a way of penetrating new market and growth.

Driver: Technological Advancements in Chemical Production

An increasing pace of technological developments in the production of Dimethylhexanediol (DMHD) influences the market’s dynamics. Due to the rising quality standard of chemical industries, the production methods of synthesizing DMHD are improving to provide high purity and quality of DMHD. Innovations in this context include better promoters and catalytic activity, better reaction conditions and conditions that lead to the optimization of the process that leads to the making of DMHD with minimal impact on the environment.

Secondly, developments in automation and process control have enabled manufactures to increase through put rate, but at the same time producing quality products. Because of these developments, DMHD’s producers benefit from high growth in demand for green superior performance chemicals in many industries. This driver is expected to predominate and drive the market to keep DMHD as a relevant soluble material and intermediate for the production and use.

Restraints: Volatility in Raw Material Prices

A major threat to the Dimethylhexanediol (DMHD) market is the uncertainties in costs of the raw materials. Major raw materials used in the production of DMHD include butadiene and other alcohols all of which are derived from petrochemicals; they are vulnerable to highly volatile market prices arising from market forces, residing country politics, and changes in supply chain.

These fluctuations in raw material costs can cause unpredictable pricing for DMHD which therefore creates difficult for manufacturers to sustain fixed prices for the end consumers. In turn, since companies are attracted to markets as a means for revenue growth, this could reduce the potential of markets’ growth given the availability of cheaper ways to effectively attract consumers interest. Further, the current production of DMHD involves crude oil and natural gas and therefore affects by shifts in the external economics such as price of oil and energy availability.

Dimethylhexanediol (Dmhd) Market Segment Analysis

Dimethylhexanediol (Dmhd) Market Segmented on the basis of type, application and end user.

By Type

o   1,2-Dimethylhexanediol

o   1,6-Dimethylhexanediol

By Application

o   Coatings

o   Adhesives

o   Sealants

o   Plasticizers

o   Others

By Region

o   North America (U.S., Canada, Mexico)

o   Eastern Europe (Bulgaria, The Czech Republic, Hungary, Poland, Romania, Rest of Eastern Europe)

o   Western Europe (Germany, UK, France, Netherlands, Italy, Russia, Spain, Rest of Western Europe)

o   Asia Pacific (China, India, Japan, South Korea, Malaysia, Thailand, Vietnam, The Philippines, Australia, New-Zealand, Rest of APAC)

o   Middle East & Africa (Turkey, Bahrain, Kuwait, Saudi Arabia, Qatar, UAE, Israel, South Africa)

o   South America (Brazil, Argentina, Rest of SA)

By Type, 1,2-Dimethylhexanediol segment is expected to dominate the market during the forecast period

The Dimethylhexanediol (DMHD) market is divided into two primary types: There are two types of alkylated hexanediols namely 1,2-Dimethylhexanediol and 1,6-Dimethylhexanediol which has the application of solvent, coatings and adhesives. And it is also found extensively in plasticizer application. The two types are chemically different and used in different capacities and 1,2-Dimethylhexanediol was chosen for better solvency and 1,6-Dimethylhexanediol was used because of its ability to increase the flexibility and durability of plastics.

Since CCM and ACM are different both in terms of advantages and market necessities, their adoption across industries has defined the global demand for DMHD. Currently, outs selling and highly sought solution-based application, 1,2-Dimethylhexanediol has seen increased use in coatings and adhesives because of its eco-friendly benefits, while 1,6-Dimethylhexanediol will need to continue to be fundamental to plasticizer and sealant markets because of performance and stability.

By Application, Coatings segment expected to held the largest share 

The Dimethylhexanediol (DMHD) has wide applications in various end use industries such as coatings, adhesives, sealants, plasticizers and others. In coatings, the use of DMHD improves the flow and adhesion characteristics of paints and coatings; a factor that improves the manufacturing of high quality and long-lasting layered surfaces. The fact that it’s able to provide the same levels of performance but with much lower VOC emissions makes it particularly desirable in this sector bearing in mind the increasing pressure from regulatory authorities for low emission products.

In adhesives and sealants DMHD efficiency raises adhesion strength, elasticity and stability against various conditions which is why it’s crucial for construction and automotive industries. The plasticizers segment has leverage by the DMHD increased flexibility and durability of plastic products especially those used in the manufacture of the flexible PVC and other related products that require some stress. As the public and manufacturers are shifting towards high quality, sustainable and innovative building and construction materials these two application areas also should continue to be the driving forces of the growth in DMHD.

Dimethylhexanediol (Dmhd) Market Regional Insights

North America is Expected to Dominate the Market Over the Forecast period

As of the geographical segmentation of the Dimethylhexanediol (DMHD) market, North America has been leading the market, due to strong chemical industry players, favourable policies of the government, as well as rising emphasis on environment-friendly products. The United States and Canada have become reliable market participants in the chemical industry investing in the green economy. Consequently, high-performance chemicals including DMHD are critical because industries such as coatings, adhesives, and plasticizers form the backbone of the manufacturing and construction processes in North America.

Also, favorable North America regulations that promote green products have extended DMHD application in numerous industries. Low VOC in addition to no toxic compounds used has made DMHD a favourite and therefore guarantee the region’s supremacy in the market. Subject to further advancement of technologies and growth of environmentally conscious consumers; North America is likely to remain dominant in the DMHD market globally.

Dimethylhexanediol (Dmhd) Market Share, by Geography, 2023 (%)

Active Key Players in the Dimethylhexanediol (Dmhd) Market

o   BASF (Germany)

o   Evonik Industries (Germany)

o   LG Chem (South Korea)

o   SABIC (Saudi Arabia)

o   Dow Chemical Company (USA)

o   Huntsman Corporation (USA)

o   Eastman Chemical Company (USA)

o   Mitsubishi Chemical Corporation (Japan)

o   Lanxess (Germany)

o   Arkema (France)

o   Solvay (Belgium)

o   ExxonMobil Chemical Company (USA)

o   Other key Players

Global Dimethylhexanediol (Dmhd) Market Scope