1,3-Butanediol Market Growth Driven by Bio-Based Innovations and Cosmetic Industry Demand | DataM Intelligence
1,3-Butanediol (BDO) Market
The 1,3-Butanediol market is growing steadily due to demand in cosmetics, green production methods, and evolving pharmaceutical applications.
NEW YORK, NY, UNITED STATES, July 7, 2025 /EINPresswire.com/ -- Market Overview :
The 1,3-Butanediol Market is projected to grow from US$ 188.2 million in 2023 to US$ 251.7 million by 2031, at a CAGR of 3.7% during the forecast period (2024-2031). 1,3-Butanediol is a versatile chemical compound used across various industries including personal care, cosmetics, pharmaceuticals, and industrial applications. It functions as a solvent, humectant, and intermediate in polymer production. Increasing demand from skincare and personal care industries, along with rising interest in bio-based chemical alternatives, are driving the global market's expansion.
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Market Drivers are :
Growing Demand in the Cosmetics Industry: 1,3-Butanediol is widely used as a moisturizing agent and texture enhancer in skincare and cosmetic formulations.
Rise in Bio-Based Production Methods: Manufacturers are investing in bio-based routes for BDO production to reduce reliance on petrochemicals.
Expansion of Pharmaceutical Applications: The pharmaceutical industry is utilizing 1,3-Butanediol as a solvent and excipient, boosting market growth.
Industrial Use in Polymer Intermediates: BDO serves as a key intermediate in producing high-performance polymers and resins.
Sustainability and Regulatory Compliance: Increasing environmental regulations are driving the development of greener chemical processes, enhancing BDO’s marketability.
Key Market Players are :
The 1,3-Butanediol (BOD)market is moderately consolidated with key global and regional players actively engaged in R&D and expanding production capacities. The major players include:
KH Neochem
Godavari Biorefineries
Haihang
Genomatica
OQ Chemicals
Daicel Corporation
Merck KGaA
LobaChemie Pvt. Ltd.
Tokyo Chemical Industry Co., Ltd. (TCI)
Central Drug House
Otto Chemie Pvt. Ltd.
These companies are focusing on innovation, sustainability, and strategic partnerships to meet evolving industry demands.
Market Segmentation
By Purity: <98%, >98%
By Application: Cosmetic and Personal Care, Pharmaceutical, Industrial Use, Others
By End-User Industry: Cosmetics, Pharmaceuticals, Industrial Manufacturing, Others
By Region: North America, Europe, Asia Pacific, Latin America, Middle East & Africa
Latest News: USA
In the United States, demand for bio-based 1,3-Butanediol is accelerating, particularly in the personal care industry. Regulatory support for sustainable cosmetics and chemical transparency has encouraged brands to opt for bio-fermented BDO, driving investment in green chemistry solutions.
Latest News: Japan
In Japan, cosmetic manufacturers are increasingly incorporating 1,3-Butanediol in next-gen skincare products aimed at hydration and sensitivity care. Domestic chemical firms have announced plans to scale up production using renewable raw materials to reduce their carbon footprint.
Recent Key Developments are :
In 2024, Genomatica advanced its bio-BDO platform through collaborations with Asian partners, aiming to penetrate emerging markets with sustainable solutions. KH Neochem expanded its production capacity to meet growing demand in the APAC region, while Godavari Biorefineries launched a new initiative to explore agricultural waste as a feedstock for BDO production. These developments highlight the shift toward green alternatives and region-specific expansion strategies.
Conclusion
The 1,3-Butanediol market is steadily expanding, supported by growing consumer preference for sustainable ingredients, advancements in bio-based production technologies, and increased use across diverse applications. The cosmetic and pharmaceutical sectors remain the largest contributors to market growth. Going forward, innovation, strategic collaborations, and environmental compliance will play key roles in shaping the competitive landscape. As demand for cleaner chemical alternatives rises globally, the market is expected to witness sustained momentum through 2031.
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Distribution channels: Chemical Industry
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