Epoxidized soybean oil (ESBO) is a bio-based epoxy plasticizer and polyol derived from soybean oil through epoxidation using organic peroxides and is used across various industries such as plastics and adhesive due to its advantageous properties. ESBO offers biodegradability, low human toxicity and reduction in VOCs emission.
The epoxidized soybean oil market is estimated to be valued at US$ 1.6 Bn in 2024 and is expected to exhibit a CAGR of 4.5% over the forecast period 2024 to 2031.
The Global Epoxidized Soybean Oil Market Size is driven by the rising demand from plastic and adhesive industries. Epoxidized soybean oil is widely used as a substitute to phthalate plasticizers in medical devices, food packaging, and children’s toys owing to its eco-friendly nature. Further, epoxidized soybean oil acts as a reactive diluent for polyurethanes in coatings, sealants and adhesives, which fuels the demand from adhesive industry.
Key Takeaways
Key players operating in the epoxidized soybean oil are Makwell Plasticizers Pvt Ltd., Llc, Shenzen Kaiqi Chemical Co., Ltd., Arkema SA, Chs Inc., Ferro Corporation, Hairma Chemicals (Gz) Ltd., Anhui Tianyi Environmental Protection Tech. Co.,Ltd, Shandong Novista Chemicals Co.,Ltd (Novista Group), Adeka Corporation, Hallstar, American Chemical Service, Zhejiang Jiaao Enprotech Stock Co., Ltd., Fujian Zhishang Biomass Materials Co., Ltd., Chang Chun Petrochemical Co., Ltd., NAN YA Plastics Corporation, Hebei Jingu Plasticizer Co., Ltd., Puyang Chengyi Plasticizer Co. Ltd, Chaohu Xiangfeng Plastic Aids Co., Ltd.
The rising demand for polyvinyl chloride (PVC) products from construction and automotive industries opens growth opportunities for ESBO as a bio-based plasticizer. Further, development of new applications such as binders for foundry sand, food packaging and medical devices would aid the expansion of ESBO market globally. Europe and North America being early adopters of bio-based products are expected to remain the major markets. However, Asia Pacific market is estimated to exhibit fastest growth owing to rapid industrialization and growing cognizance about eco-friendly chemicals.
Market drivers
The major driver for epoxidized soybean oil market is the stringent regulations regarding phthalate plasticizers especially in Europe and North America. Growing restrictions on phthalates owing to their potential human toxicity andSVHC nomination under REACH regulation is augmenting the substitution toward bio-based plasticizers like epoxidized soybean oil. Further, rising environmental awareness about sustainable products is propelling the demand for epoxidized soybean oil across industries globally.
PEST Analysis
Political: Changes in government policies like renewable fuel standards push demand for bio-based raw materials. Epoxidized soybean oil as a bio-based material is poised to benefit from such policies.
Economic: Fluctuations in soybean prices directly impact prices of epoxidized soybean oil. Lower soybean prices improve competitiveness versus petroleum-based alternatives.
Social: Growing consumer preference for plant-based, environment-friendly products drives demand for epoxidized soybean oil across end-use industries like food packaging and construction chemicals.
Technological: Advances in extraction and epoxidation techniques lower production costs and improve yields of epoxidized soybean oil. This makes the material more viable for a variety of industrial applications.
Based on value, North America accounts for the largest market share currently, given the region’s developed end-use industries and supportive regulatory environment for bio-based materials. However, Asia Pacific region is expected to exhibit the fastest growth through the forecast period on the back of rising industrialization and infrastructure development in countries like China and India. These nations are also major producers and consumers of soybeans.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
About Author - Alice Mutum
Alice Mutum is a seasoned senior content editor at Coherent Market Insights, leveraging extensive expertise gained from her previous role as a content writer. With seven years in content development, Alice masterfully employs SEO best practices and cutting-edge digital marketing strategies to craft high-ranking, impactful content. As an editor, she meticulously ensures flawless grammar and punctuation, precise data accuracy, and perfect alignment with audience needs in every research report. Alice's dedication to excellence and her strategic approach to content make her an invaluable asset in the world of market insights. LinkedIn