From 2021 to 2028, the Global Acetone Market is predicted to grow at a CAGR of 6%, from US$ 4,524 Million in 2020 to US$ 6,962 Million in 2028.

Acetone (propanone) is a colorless, volatile, and flammable natural compound with the formula (CH3)2CO. The substance has a distinct aroma that has been described as sweet. Acetone is a ketone body that is employed as a solvent in a variety of pharmaceutical and commercial products. Dermatologists use acetone in conjunction with alcohol to treat skin acne.Acetone is a common solvent utilized in a wide range of industries today. Flooring, paint, coatings, cabinets, and fiberglass manufacture are among them. Because of the high demand for acetone and the recent tightening of supply, the price of virgin acetone is expected to rise. Businesses can save money by purchasing recycled acetone or using solvent recovery equipment on-site to extend the life of their supply. This polar volatile substance can easily form homogeneous mixtures with water and various organic compounds, making it an effective solvent. Another appealing feature is its low boiling point, which allows it to evaporate quickly.

Market Dynamics

The growing demand for acetone as a solvent in a number of end-user industries is the primary factor driving the growth of the global acetone market. Acetone is a solvent, which means it may dissolve or break down materials such as paint and varnish. That's why nail polish removers, varnish removers, and paint removers all contain it. This chemical is also used to clean grease from wool, lessen the stickiness of silk, and provide protective coatings for furniture and automobiles. In the pharmaceutical industry, acetone is a popular organic solvent. It is used to ensure that tablets and liquid medications have the proper density. Low toxicity, safer to use, easily evaporates, inexpensive, less regulated, water-soluble, and effective are all advantages of using acetone as a solvent. As a result, acetone is an excellent solvent choice.

The increasing application of acetone in the pharma industry also strengthens the growth of the market. Acetone is at times used to improve the efficacy of a medication. This also serves as an antiseptic. In addition, their widespread use in the chemical sector is also predicted to propel market growth in the coming years. In the ever-expanding plastics and PVC industries, the most common applications are as a precursor to other chemicals, primarily methyl methacrylate. It is estimated that 75 percent of acetone produced by chemical manufacturers is used in this manner.

The market, however, consists of a major restraint that is health risks associated with continuous exposure to acetone. It is observed that direct and prolonged exposure to acetone could damage the liver, cause blindness and vomiting. Furthermore, the rising trend of recycling and using environmentally friendly products has created significant awareness in the acetone industry as well. When it comes to purchasing and using solvents, businesses have a variety of cost-cutting options. Because virgin solvents can be costly to purchase regularly, recycled acetone is a great alternative. Recycled acetone is a cost-effective alternative to virgin acetone while also being more environmentally friendly. This in turn is predicted to generate numerous growth opportunities for the market growth in the coming years.

Market Insights

The global acetone market is classified into four segments – grade, application, end-user, and regions. Based on the grade, the market splits into specialty grade and technical grade. Among specialty grades, technical grade accounted for the majority of the share in 2020 and is likely to continue its trend throughout the forecast period. Because of its binding capabilities, this grade is gaining popularity in the building industry at a reduced price. Solvents, methyl methacrylate (MMA), bisphenol-A, and others are covered under the application segment. Based on the application segment, the solvents held the maximum share in 2020. This is due to the fact that acetone is extensively employed as a solvent in the production of plastics and other industrial goods. Meanwhile, the bisphenol-A segment is likely to gain significant impetus during the forecast period 2021 – 2028. Furthermore, the end-user segment is divided into automotive, adhesives, cosmetics and personal care, electronics, paints, coatings, pharmaceutical, and others. In 2020, the paints and coatings category dominated the market in terms of volume. Because of their capacity to dissolve both polar and nonpolar compounds, solvents are frequently utilized in the paints and coatings industry.

Acetone Market Regional Overview

North America, Latin America, Europe, Asia-Pacific, and the Middle East & Africa are the classification of the global acetone market. Among them, the Asia-Pacific region is expected to lead the market share in 2020. The acetone sector benefits indirectly from the region's massive growth in the paints & coatings, cosmetics, and pharmaceutical industries. Furthermore, due to low infrastructural and labor costs, foreign businesses have relocated their production operations to this region.

Global Acetone Segment Analysis

Market By Grade

·         Specialty Grade

·         Technical Grade

Market By Application

·         Solvents

·         Bisphenol-A

·         Methyl Methacrylate (MMA)

·         Others

Market By End-User

·         Electronics

·         Automotive

·         Pharmaceutical

·         Paints, Coatings, and Adhesives

·         Cosmetics and Personal Care

·         Others

Acetone Market Competitive Landscape

This section of the report identifies the market's major players. ALTIVIA, CepsaQuimica, S.A., INEOS Phenol GmbH, Honeywell Chemicals, LyondellBasell Industries, Kumho P&B Chemicals, Royal Dutch Shell Co, SABIC, Mitsui Chemicals Inc., and The Dow Chemical Company are the key companies mentioned in the research.

Acetone Market Regional Overview