1,2-Dichloroethane Market Size (2024 – 2030)

The Global 1,2-dichloroethane Market was valued at USD 1.94 billion and is projected to reach a market size of USD 2.97 billion by the end of 2030. The market is anticipated to expand at a compound annual growth rate (CAGR) of 6.27% between 2024 and 2030.

One common organic solvent in industry is 1,2-dichloroethane. It is mostly employed in the synthesis of solvents, binders, and chlorinated hydrocarbons. Grain silos and grains are also fumigated with it. The use of 1,2-dichloroethane is common. It occasionally causes episodes of occupational poisoning. For 1,2-dichloroethane, there is presently no biological monitoring index. As a result, there is no diagnosis of 1,2-dichloroethane occupational toxicity. Typical indicators. An intermediary of the plant growth regulator chlormequat and the fungicide rice blast spirit is 1,2-dichloroethane. mostly utilized as raw materials for polyethene polyamine, vinyl chloride, ethylene glycol, ethane dioic acid, ethylenediamine, and biphenyl. The substance in question finds application in various fields such as a solvent for oils and fats, resins, and rubbers; dry cleaning; extractant for caffeine, vitamins, and hormones; wetting agent; penetrating agent; dewaxing agent for petroleum; anti-vibration agent; pesticide; and a pharmaceutical agent. the feminine and piperidine's basic ingredients. It can be used as a disinfectant for soil, fumigant for grain, and other purposes in agriculture.

Key Market Insights:

Vinyl Chloride Monomer (VCM) dominates global EDC demand, accounting for over 70%. Asia Pacific drives market growth with a 4.75% CAGR until 2030, fueled by rapid urbanization and construction, notably in China and India. Stringent environmental regulations, like the Montreal Protocol and Clean Air Act amendments, aim for a 20% reduction in EDC use by 2030 in developed nations. EDC remains indispensable in niche applications such as pharmaceuticals and metal cleaning, providing stability to the overall market. Manufacturers are adopting eco-friendly technologies like membrane separation and closed-loop systems to minimize waste and ensure long-term market viability.

Global 1,2-Dichloroethane Market Drivers:

Fuelling the Growth of the 1,2-Dichloroethane Market with the PVC Surge and VCM Demand.

The primary driver of the 1,2-dichloroethane market is its essential function in the synthesis of vinyl chloride monomer (VCM), a critical raw material used to make polyvinyl chloride (PVC) plastic. PVC is widely used in a variety of industries, including construction (pipes, fittings, flooring), automobile (instrument panels, upholstery), and packaging. It is known for its adaptability. The need for PVC is rising dramatically worldwide, particularly in developing nations with strong building and automotive sectors. As a result, there will be an increasing need for 1,2-dichloroethane as a precursor. This mutually beneficial relationship between VCM and PVC production highlights how important VCM demand is as the main driver of the 1,2-dichloroethane market's growth.

Growth in the 1,2-Dichloroethane Market is Driven by Emerging Markets.

There is a noticeable geographic movement in the 1,2-dichloroethane market towards developing nations, especially in the Asia Pacific area. This change is mostly driven by the impressive growth of the building and automotive industries in these countries. PVC plastic usage is expected to rise significantly as these sectors expand to accommodate growing populations and urbanization trends. Since vinyl chloride monomer (VCM) is essential to the manufacturing of PVC plastic, the need for 1,2-dichloroethane is expected to increase significantly in these areas. This pattern highlights the growing impact emerging economies are having on the worldwide 1,2-dichloroethane market environment.

Global 1,2-Dichloroethane Market Restraints and Challenges:

There are several obstacles and limitations facing the worldwide 1,2-dichloroethane market. First off, because 1,2-dichloroethane is hazardous and may pose environmental risks, its manufacture and usage are restricted by strict environmental rules designed to minimize harmful emissions and encourage sustainable practices. Furthermore, the market is vulnerable to changes in the price of raw materials, especially ethylene, which is a crucial feedstock for the production of 1,2-dichloroethane and might have an effect on the producers' total profitability. Furthermore, the demand for 1,2-dichloroethane has decreased due to growing awareness of the harmful health effects of prolonged exposure to the chemical, such as respiratory problems and neurological disorders. This is particularly true in developed regions where people are looking for cleaner alternatives. Furthermore, producers would probably have to pay more for compliance with the new, stricter rules of occupational safety and health standards, which will hurt market growth. Finally, players in the 1,2-dichloroethane market face a great challenge from the growing trend towards the adoption of eco-friendly substitutes and sustainable manufacturing techniques. This trend forces them to stay competitive in the face of changing market dynamics by investing in and developing greener solutions.

Global 1,2-Dichloroethane Market Opportunities:

The 1,2-dichloroethane market is poised for growth driven by several factors. In developing economies, rising demand for applications such as solvent cleaning, degreasing, and metal processing is expected to be a significant driver, fueled by industrialization and infrastructure development. Moreover, the PVC industry stands as a key contributor to market expansion, with increasing utilization of 1,2-dichloroethane in the production of vinyl chloride monomer (VCM), a pivotal raw material for PVC plastic. This trend creates new avenues for market growth, particularly in construction, automotive, and other sectors reliant on PVC materials. Furthermore, ongoing research and development endeavors to discover less toxic and more sustainable alternatives to 1,2-dichloroethane present opportunities for innovative product development. This could carve out a niche market for environmentally conscious manufacturers, catering to the growing demand for greener solutions across various industries. These factors collectively contribute to the optimistic outlook for the 1,2-dichloroethane market, highlighting potential pathways for expansion and adaptation in response to evolving market dynamics and consumer preferences.

1,2-DICHLOROETHANE MARKET REPORT COVERAGE:

Global 1,2-Dichloroethane Market Segmentation: By Application

• Vinyl Chloride Monomer

• Ethylenediamine

• Tetrachloroethene

• Trichloroethene

• Methyl Chloroform

The Global 1,2-Dichloroethane Market is Segmented by Application, Vinyl Chloride Monomer held the largest market share last year and is poised to maintain its dominance throughout the forecast period. 1,2-Dichloroethane, also known as ethylene dichloride, serves as a cornerstone in multiple industrial processes, particularly in the production of vinyl chloride monomer (VCM) for polyvinyl chloride (PVC) manufacturing. With PVC commanding a substantial presence in industries spanning paints, adhesives, coatings, pharmaceuticals, and more, the significance of 1,2-dichloroethane cannot be overstated. Its pivotal role as a precursor underscores its indispensable contribution to the chemical industry. Beyond VCM synthesis, 1,2-dichloroethane acts as a crucial intermediate for various organic compounds, driving the expansion of chemical manufacturing. Its versatility as a solvent, with a boiling point of 70.5°C, further enhances its utility across diverse industrial applications, including those necessitating water as a solvent. As organic compound production continues to surge, the market for 1,2-dichloroethane is poised for growth, reflecting its integral position in sustaining the evolution and advancement of numerous industrial sectors worldwide.

Global 1,2-Dichloroethane Market Segmentation: By End-Use Industry

• Pharmaceutical

•  Textile

• Construction

• Automotive

• Packaging

• Furniture

• Paint & Coatings

• Adhesive

The Global 1,2-Dichloroethane Market is Segmented by End-use, Pharmaceutical held the largest market share last year and is poised to maintain its dominance throughout the forecast period.1,2-Dichloroethane, commonly known as ethylene dichloride, holds a pivotal role in various industrial sectors, particularly in the production of vinyl chloride monomer (VCM), a fundamental building block for polyvinyl chloride (PVC). PVC's widespread application across diverse industries including construction, automotive, healthcare, and packaging underscores the critical importance of 1,2-dichloroethane in the global chemical landscape. As a precursor, it enables the large-scale synthesis of PVC, prized for its durability, versatility, and cost-effectiveness. Beyond its role in PVC production, 1,2-dichloroethane serves as a vital intermediate for an array of organic compounds, driving innovation and expansion in the chemical manufacturing sector. Additionally, its solvent properties, with a boiling point of 70.5°C, further broaden its utility in various industrial processes, including as a medium for dissolving water-insoluble substances. The projected growth in organic compound production signals a promising market outlook for 1,2-dichloroethane, affirming its indispensable status in facilitating industrial advancements and meeting the evolving needs of diverse sectors worldwide.

Global 1,2-Dichloroethane Market Segmentation: By Region

• North America

• Asia-Pacific

• Europe

• South America

• Middle East and Africa

The Global 1,2-Dichloroethane Market is Segmented by Region, Asia-Pacific held the largest market share last year and is poised to maintain its dominance throughout the forecast period. With a market share of over 30%, Asia Pacific led the world's 1,2-dichloroethane market as a result of rising demand from the construction, automotive, textile, pharmaceutical, and other industries, particularly in China, Malaysia, Thailand, and India. Vinyl chloride, which is utilized in upholstery and automobile parts, is made from 1,2-dichloroethane. Therefore, it is predicted that the expanding vinyl chloride usage of the automobile industry will increase demand for 1,2-dichloroethane. The Chinese government anticipated to produce 35 million cars by, according to the International Trade Administration (ITA). The International Organization of Motor Vehicle Manufacturers reports that, in Malaysia, the output of passenger and commercial cars climbed by 1.2% to 571,632 units, from 564,800 units in recent years.

COVID-19 Impact Analysis on the Global 1,2-Dichloroethane Market:

The onset of the COVID-19 pandemic presented pregnant women, particularly those infected with the virus, with heightened risks of preeclampsia, compounded by delays in regular prenatal checkups due to lockdowns and healthcare strains. Consequently, there was a notable increase in pre-eclampsia diagnoses occurring later in pregnancies, spurring a surge in demand for diagnostic tools. However, strained healthcare systems diverted resources from routine prenatal care, potentially exacerbating delays in preeclampsia identification, while disruptions in the supply chain for diagnostic kits may have caused temporary shortages. Despite these challenges, the rise in preeclampsia cases likely resulted in a net positive impact on market revenue, underscoring the continued necessity for innovation in preeclampsia diagnostics to enhance accessibility and accuracy amidst evolving healthcare landscapes and global crises like the COVID-19 pandemic.

Latest Trends/ Developments:

The global market for ethylene dichloride (EDC) is undergoing a transformative phase driven by environmental and health considerations, prompting regulatory bodies like the Montreal Protocol and Clean Air Act to impose stricter regulations on its usage. These measures aim to phase out EDC in various applications, necessitating the development of eco-friendly alternatives. Despite these regulatory pressures, EDC remains indispensable in niche sectors such as pharmaceutical production and metal cleaning, ensuring a degree of stability in the overall market. To address environmental concerns, manufacturers are increasingly adopting sustainable production practices such as membrane separation and closed-loop systems, thereby mitigating EDC's ecological footprint and aligning with regulatory mandates. While stringent regulations may dampen demand in certain sectors, the market is expected to experience moderate growth propelled by the sustained need for EDC in vital applications and the ongoing adoption of sustainable production technologies. This balanced approach underscores the industry's commitment to environmental responsibility while ensuring the long-term viability of EDC within a changing regulatory landscape and evolving market dynamics.

Key players:

1. Westlake Chemicals

2. BASF SE

3. Bayer AG

4. OxyChem

5. PPG Industries, Inc.

6. INEOS Group Ltd.

7. Formosa Plastic Corporation

8. Dow Chemical Company

9. Occidental Chemical Corporation

10. Sigma Plastic