Isophorone Market

Isophorone Market Outlook (2024 to 2034)

Worldwide revenue from the isophorone market size is estimated at US$ 1.26 billion in 2024 and has been projected to increase at 4.7% CAGR to reach US$ 1.99 billion by the end of 2034.

A flexible intermediate, isophorone is used in the production of a wide range of compounds, including solvents, emulsifiers, and surfactants. The market for isophorone is set to expand steadily due to rising demand from the adhesives, coatings, and pharmaceutical sectors. Two key drivers of market growth are the rising demand for eco-friendly coatings and personal hygiene products, as well as the increasing use of isophorone in the synthesis of compounds derived from biomass.

• Sales of construction and automobile isophorone are estimated at US$ 340.3 million in 2024 and the segment accounts for 27.1% of the global isophorone market share.
• The paints & coatings application segment is worth US$ 254.9 million in 2024 and accounts for 20.3% share of the global market.

Report Attribute	Details
Isophorone Market Size (2023A)	US$ 1.2 Billion
Estimated Market Value (2024E)	US$ 1.26 Billion
Forecasted Market Value (2034F)	US$ 1.99 Billion
Global Market Growth Rate (2024 to 2034)	4.7%
North America Market Share (2024E)	36.2%
East Asia Market Share (2024E)	26.3%
Key Companies Profiled	Dow; Prasol Chemicals Pvt. Ltd.; Evonik Resource Efficiency GmbH; SI Group, Inc.; KH Chemicals; LGC Limited; Qianyan New Material Technology Co., Ltd; Jiangsu Huanxin High-tech Materials Co. Ltd.; Arkema Group; Somu Chemicals and Pharmaceuticals.

Isophorone Consumption Analysis (2019 to 2023) vs. Market Forecasts (2024 to 2034)

Continuously increasing demand for coatings and adhesives has historically driven the consumption of isophorone in the production of bio-based chemicals. Bio-based chemicals by themselves account for high usage of isophorone.

• Short Term (2024 to 2027): The market will experience moderate growth in the near future due to the rising need for coatings and adhesives. Demand for environment-friendly coatings and adhesives is set to drive this increase, together with the fact that more bio-chemical manufacturers are using Isophorone as a raw material in their production process.
• Medium Term (2027 to 2030): Within the next several years, the market is projected to gain traction from growing appetite for personal care products and pharmaceuticals. Elevated demand for environment-friendly and non-hazardous products will play a crucial role in driving market growth while there is an upsurge in isophorone usage directed toward new chemical development.
• Long Term (2030 to 2034): The market will be driven by the rising need for sustainable chemicals and materials. Demand for bio-based chemicals will grow substantially, along with higher application of isophorone in making advanced materials.

Over the 2019 to 2023 historical period, the global market for isophorone registered a CAGR of 4.3%, according to Fact.MR, a market research and competitive intelligence provider. The market is projected to exhibit growth at 4.7% CAGR between 2024 and 2034.

Why is Relevance of Isophorone High in Today’s World?

“Steady Demand for Isophorone from Paints and Coatings Industry for Improved Product Quality"

The paints and coatings industry's increasing requirement for high-quality products with enhanced performance and durability is a main driver of isophorone demand growth. Isophorone is an essential ingredient in the creation of alkyd resins, which are utilized in a variety of coating applications such as industrial, automotive, and architectural coatings. Since isophorone can be utilized to create bio-based coatings with a lower environmental effect, demand for eco-friendly and sustainable coatings is complementing market growth. Demand for isophorone is also being driven by the constant expansion of the automotive and construction sectors, as it is utilized in the manufacturing of coatings for automobiles, bridges, and buildings

“Growing Use of Isophorone in Various Chemical Products Due to its Superior Solvent Properties”

Isophorone exhibits excellent solvent properties for binders, polymers (made and natural), resins, and many other chemical products. It functions as an intermediate and a solvent in the synthesis of organic molecules. In the construction sector, isophorone is utilized as a corrosion-resistant material for sluices, scaffolding, and roadways. It is a crucial intermediary used in wood preservatives and floor sealants. Isophorone is used to create automotive paints. Metal cans, metal paints, and nitrocellulose finishes are a few applications for isophorone derivatives. Additionally, it is employed in coating systems based on vinyl chloride or acetate.

• Demand for isophorone for use in paint production is from leading paint exporting countries such as the U.S. (US$ 333.2 million), China (US$ 184.6 million), and Japan (US$ 103.4 million).

What is Impeding Isophorone Market Growth to Some Extent?

“Fluctuations in Raw Material Prices and Import Restrictions”

Prices of raw materials for producing isophorone are fluctuating, which affects manufacturers' production costs. It is difficult for manufacturers to have a steady profit margin because of the volatility of the cost of essential raw materials such as acetone and phenol.

Furthermore, impeding market expansion are government-imposed tariffs and import limitations on isophorone imports. Due to this, there is a lack of isophorone in local markets, which has raised prices and made it difficult for producers to satisfy consumer demand for premium paints and coatings. In the near future, it is anticipated that import limitations and price swings for raw materials will continue to obstruct market expansion.

• For instance, in April 2023, the U.S. government's 25% tariffs on Chinese imports, such as phenol and acetone, greatly raised the cost of producing isophorone in North America, driving up prices and decreasing demand for paints and coatings in the region.

How are New Isophorone Manufacturers Strategizing?

“High Focus on Product Innovation”

Emerging market players are focusing on research and developments to ensure uniqueness in their services. As strict rules to save the environment are being enforced globally, new companies can concentrate on developing industrial processes that are more sustainable. By concentrating on product innovation and effective promotional initiatives, newcomers have a great opportunity to enter the isophorone industry and acquire a significant market share.

• Wanhua Chemical Group, which produces and sells polyurethanes and petrochemicals, opened a brand-new, cutting-edge IPDI factory. With an efficient supply chain, the isophorone di-isocyanate factory uses the most recent phosgene synthesis technology. UV resins, aqueous polyurethane dispersions, and adhesives are the main applications for IPDI. Additionally, high-performance, non-yellowing polyurethane coatings for automotive refinishing use IPDI trimers.

Country-wise Insights

What Makes the United States an Attractive Market for Isophorone Manufacturers?

“High Demand for Eco-friendly Products in the Country”

The U.S. market for isophorone is projected to expand at a CAGR of 5.5% and reach a value of US$ 570.1 million by the end of 2034.

Isophorone market trends vastly depend upon the paints, coatings, and adhesives segments, which are expected to exhibit steady growth due in the North American and Asia Pacific regions. With a range of end-use industries, including consumer products, construction, and automotive, the U.S. isophorone industry is regarded as a profitable prospect. Isophorone-based paints and coatings are well-positioned to address the increased demand for eco-friendly and sustainable products, which is another factor driving the market ahead. The U.S. houses leading isophorone manufacturers such as Dow Inc. and BASF SE.

Why is Isophorone in High Demand in the Japanese Market?

“Substantial Consumption in Automobile and Electronics Sectors”

The market in Japan has been calculated to advance at CAGR of 4.8% and climb to a value of US$ 165.4 million by 2034.

Isophorone is in high demand in the country because of its extensive use in the electronics and automotive sectors. Isophorone is in high demand since prominent automakers in the country, such as Toyota and Honda, need premium paints and coatings for their cars. Furthermore, as a result of Japan's high emphasis on research and technology, there is rising need for innovative materials in sectors such as construction and aerospace, including goods based on isophorone

Category-wise Insights

Which Form of Isophorone Accounts for a Substantial Market Share?

“High Demand for Solid Isophorone, Particularly in North America and Asia Pacific”

Market expansion is being driven by increased pharmaceutical applications and the consequent growth of isophorone usage in various pharmaceutical intermediates and ingredients in active pharmaceutical intermediates (APIs). Applications of isophorone in coatings and paints are increasing, with its solid line form being widely employed as a solvent and coalescent in this sector

North America leads with 36.2% of the global isophorone market share. Increasing demand for pharmaceuticals due to rapid advancements in medical treatments in the region is driving market growth. Asia Pacific is expected to be a key market for solid isophorone during the forecast period, with China being the leading contributor to the share of the region. Increasing demand from the Asia Pacific region is driving the need for setting up new production plants for isophorone and isophorone diamine plants in China and other countries.

Competitive Landscape

Leading players in the isophorone market are Dow, Prasol Chemicals Pvt. Ltd., Evonik Resource Efficiency GmbH, SI Group, Inc., KH Chemicals, LGC Limited, Qianyan New Material Technology Co., Ltd, and Jiangsu Huanxin High-tech Materials Co. Ltd. Companies are making efforts to ramp up capacity in production, buy out other firms aiming at expanding their market share, and maintain strong ties with suppliers of raw materials for raw material price stability.

• Evonik announced the extension of the service life of joint prostheses with PEEK biomaterials. The business is looking for ways to expand the applications for the high-performance polymer VESTAKEEP PEE.

Fact.MR has provided detailed information about the price points of key manufacturers of isophorone positioned across regions, sales growth, production capacity, and speculative technological expansion, in the recently published market report.

Segmentation of Isophorone Market Research

• By Product Type :

  • Liquid Condensation
  • Solid Heterogeneous Catalytic Condensation

• By End Use :

  • Construction
  • Automobiles
  • Chemicals & Plastics
  • Agrochemicals
  • Paints
  • Coatings
  • Adhesives
  • Inks
  • Others

• By Region :

  • North America
  • Latin America
  • Western Europe
  • Eastern Europe
  • East Asia
  • South Asia & Pacific
  • Middle East and Africa