Bio-based n-Butanol Market

The rising demand for sustainable chemicals in infrastructural construction and automotive manufacturing boosts the adoption of bio-based n-butanol. From strict environmental statutes to carbon-reduction directives and the expansion of ESG reporting, chemicals and other end-use industries focus on shifting from fossil-derived solvents to renewable substitutes due to regulatory and operational pressures. Bio-based n-butanol has functional equivalence with petrochemical n-butanol, allowing it to be seamlessly integrated into paints, coatings, adhesives, pharmaceuticals, and specialty chemicals without any performance downgrades. Increased demand for low-VOC formulations and green chemical intermediates in Asia Pacific further boosts the market growth. On the supply side, process improvements, scale-up, and technology advances in fermentation are raising yields and gradually reducing costs. Use of waste and non-food biomass feedstocks is also addressing the concerns on feedstock sustainability and food versus fuel, and creating greater life-cycle carbon benefits.

BASF (Germany), Dow (US), SABIC (Saudi Arabia), Mitsubishi Chemical Group Corporation (Japan), Eastman Chemical Company (US), Sasol Limited (South Africa), OQ Chemicals GmbH (Germany), PetroChina Company Limited (China), KH Neochem Co., Ltd. (Japan), and Petronas Chemicals Group Berhad (Malaysia) are the key players operating in the bio-based n-butanol market. Top players are primarily adopting strategies focused on technology optimization, partnerships, and capacity scaling to improve cost competitiveness and accelerate commercialization. Companies are investing in advanced fermentation strains, process efficiency, and downstream purification technologies to enhance yields and reduce production costs. Strategic collaborations with feedstock suppliers, technology firms, and end-use industries help secure raw material availability and ensure demand alignment.

To know about the assumptions considered for the study download the pdf brochure

In August 2024, BASF signed a Memorandum of Understanding (MoU) with UPC Technology Corporation. UPC is a well-known chemical company in the MiTAC-Synnex Group. Its main products are plasticizers and phthalic anhydride. To better meet the evolving needs of its clientele, UPC, which has multiple production and operational locations throughout Asia, is currently expanding its product line and production capacity. To cater to UPC’s continuously rising market demands, notably in South China, BASF is expected to supply n-butanol and 2-Ethylhexanol (2-EH) from the Oxo plant at the Zhejiang Verbund site when it opens in 2026.

BASF (Germany)

BASF is one of the world’s largest chemical companies, headquartered in Ludwigshafen, Germany, with a global presence spanning over 80 countries and a diverse portfolio serving numerous industries. Founded in 1865, the company operates through key segments, including Chemicals, Materials, Industrial Solutions, Surface Technologies, Nutrition & Care, Agricultural Solutions, and Others. It develops and manufactures a range of products, such as petrochemicals, intermediates, polymers, performance materials, coatings, catalysts, battery materials, agricultural solutions, and specialty chemicals. It is a major supplier to sectors such as automotive, construction, electronics, packaging, agriculture, energy, and consumer goods. It places strong emphasis on innovation, operating one of the largest research networks in the chemical industry with R&D centers across Europe, North America, and Asia. Its sustainability strategy focuses on carbon reduction, circular economy initiatives, digitalization, and climate-neutral production by 2050. It also plays a significant role in emerging technologies, such as electric mobility materials, advanced coatings, and high-performance plastics.

Dow (US)

Dow is one of the world’s leading materials science companies and a major global producer of n-butanol, leveraging its extensive petrochemical manufacturing expertise and integrated value chains. The company is headquartered in Midland, Michigan, the company operates large-scale production facilities across North America, Europe, and Asia, ensuring reliable supply and high product quality. In the bio-based n-butanol market, it manufactures the chemical through the oxo-alcohol production process, using propylene as a primary feedstock. Its n-butanol is widely used in the production of butyl acrylate, glycol ethers, plasticizers, and specialty coatings, serving industries such as paints & coatings, adhesives, solvents, automotive, packaging, and construction. It emphasizes consistent product purity, efficient logistics, and strong technical support to meet the needs of formulators and industrial customers. It continues to invest in process optimization, energy-efficient technologies, and sustainable manufacturing initiatives aligned with its broader ESG goals. With a strong global distribution network, robust R&D capabilities, and decades of expertise in oxo-alcohol chemistry, it remains a key supplier and strategic partner in the global bio-based n-butanol market.

MARKET RANKING

The top five companies in the bio-based n-butanol market are BASF (Germany), Dow (US), SABIC (Saudi Arabia), Mitsubishi Chemical Group Corporation (Japan), and Eastman Chemical Company (US). BASF holds a leading position in the bio-based n-butanol market, supported by its integrated Verbund production network, strong presence in China and Southeast Asia, and reliable supply of oxo alcohols to downstream industries, such as coatings, plasticizers, and adhesives. Dow maintains a strong foothold through advanced Oxo process technologies, large-scale manufacturing capabilities, and long-term supply relationships with key customers globally. SABIC leverages its cost-competitive feedstock access, integrated petrochemical complexes, and expanding Asian distribution network to strengthen its regional market share. Mitsubishi Chemical Group Corporation benefits from deep regional manufacturing roots, diversified specialty chemical applications, and strong customer relationships in Japan and broader Asia. Eastman Chemical Company reinforces its position through specialty-grade n-butanol offerings, application-driven innovation, and a well-established regional distribution footprint.

Related Reports:

"Bio-based n-Butanol Market by Type (Starch-based, Sugar-based), Application (Direct Solvents, Adhesives & Sealants, Specialty Chemicals, Rubber & Plasticizers, Bio Fuels, and Others), and Region - Global Forecast to 2030" 

Contact:
Mr. Rohan Salgarkar
MarketsandMarkets™ INC.
1615 South Congress Ave.
Suite 103, Delray Beach, FL 33445
USA : 1-888-600-6441
sales@marketsandmarkets.com