Isobutanol is a colorless, low boiling isomer of butanol that is mainly used in solvents. It has various technical and industrial applications that include feedstock in isobutyl acetate manufacturing, precursor of various isobutyl esters, solvents for cleaners & coating, extractant in pharmaceutical products, textiles, anti-wear and anti-corrosion in engine oils, gasoline additive, agricultural chemicals manufacturing and automotive cleaners & polish additive and second generation bio-fuel. The advantageous properties of isobutanol include medium volatility, limited miscibility, improve gloss and flow and prevent blushing. Isobutanol can be synthesized from propene through industrial process as well as from fermentation of carbohydrate substrates.

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Growing paints and coating industry is expected to drive the isobutanol market. Isobutanol is an important constituent of solvents and coatings used in various applications in automobiles, building & construction industry and other industrial coatings. Owing to growing building & construction industry, the coatings industry is experiencing high growth, which in turn is expected to drive the isobutanol market. Isobutanol have various applications in automobiles that include anti-wear and anti-corrosion engine oils constituent and polishing & cleaning of automobile parts. Owing to changing lifestyle and rising disposable income in developing countries, number of automobiles for personal use is increasing. Growing demand from automobile industry is expected to further boost the isobutanol market. In addition, isobutanol is an important solvent in pharmaceutical industry owing to its properties such as medium volatility, less miscibility with water and forming mobile phase during chromatography process. Growing pharmaceutical industry in developed and developing countries owing to improving health standards is expected to fuel the market growth. Isobutanol is dehydrated to produce butenes which is a building block of lubricants, plastics, propylene and PET. Demand for plastics is increasing due to their applications to replace metals at low cost without compromising quality. This demand is expected to drive the isobutanol market growth.

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However, crude oil price and supply fluctuations are expected to hamper the isobutanol market growth. Isobutanol is synthesized from propene that is a derivative of crude oil refining. Research and development in the field of bio-fuel has lead high production of isobutanol through biological fermentation. Isobutanol is converted to kerosene which is a drop-in component of jet fuel. This fuel has potential to provide renewable jet fuel with cleaner burning and low carbon footprints. Isobutanol is considered as second generation bio-fuel due to advantages over ethanol as a fuel. Isobutanol based fuel burning meet the EPA emission target and has 30% more energy content than ethanol. Bio-fuel developments with isobutanol based fuels are expected to provide immense opportunities for the players in this market.

Asia Pacific was the largest consumer of the isobutanol in terms of consumption and is expected to remain same. Growing automobile industry and paints & coatings industry are anticipated to drive the market in this region. Disposable income of growing population is driving the automobile industry. Asia Pacific was followed by Europe in terms of consumption. Growing awareness about bio-fuel and environmental regulations in this region is expected to boost the demand for isobutanol as a second generation fuel. Europe is expected to witness the highest growth rate in the near future. Demand for isobutanol in North America is growing due to growing automobile and pharmaceutical industry.

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Some of the key players include The Dow Chemical Company, Oxea GmbH, Mitsubishi Chemical Corporation, BASF SE, Formosa Plastics Corp., Perstorp Holding AB, Sasol Ltd., Eastman Chemical Company, Saudi Kayan Petrochemical Company, KH Neochem Co. Ltd., Ineos Oxide Ltd. among others.

This research report analyzes this market on the basis of its market segments, major geographies, and current market trends. Geographies analyzed under this research report include
North America
Asia Pacific
Europe
Middle East and Africa
Latin America
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