Home Speciality Chemicals Succinic Acid Market Size Worth US$ 583.4 million by 2031

Succinic Acid Market

Succinic Acid Market Size, Share & Trends Analysis Report By Type  (Petro-based, Bio-based), By End-use  (Food and Beverages, Pharmaceutical, Coatings, Industrial, Personal Care and Cosmetics, Others) and By Region(North America, Europe, APAC, Middle East and Africa, LATAM) Forecasts, 2023-2031

Report Code: SRSC55863DR
Study Period 2019-2031 CAGR 10.10%
Historical Period 2019-2021 Forecast Period 2023-2031
Base Year 2022 Base Year Market Size USD 245.4 Million
Forecast Year 2031 Forecast Year Market Size USD 583.4 Million
Largest Market Europe Fastest Growing Market Asia Pacific
The sample report only takes 30 secs to download, no need to wait longer.

Market Overview

The global succinic acid market size was valued at USD 245.4 million in 2022 and is projected to reach USD 583.4 million by 2031, registering a CAGR of 10.1% during the forecast period (2023-2031). Succinic acid market growth is fueled by rising industrial, personal care, and food and beverage demand. Succinic acid is widely utilized in Europe's personal care and cosmetics industries.

Succinic acid has the chemical formula C4H6O4 and is a dicarboxylic acid. It is a naturally occurring substance found in many living organisms, although it can also be synthesized chemically or by fermentation. Succinic acid is a versatile and valuable chemical with numerous essential uses in various sectors.

Its use as a critical component for polyurethanes, polybutylene succinate (PBS), plasticizers, and a substrate for compounds such as 1,4-butanediol (BDO) is one of the primary drivers fueling the industry. Expanding demand for bio-based compounds, increased use of succinic acid as a core ingredient in producing chemical substances and consumer goods, and technological advancements in bio-based succinic acid production have all accelerated succinic acid market share growth. The market is influenced by the preference for succinic acid over butane-based maleic anhydride in the production of chemicals such as succinic anhydride, fumaric acid, diethylmaleate, glyoxylic acid, and other plastics, as well as its use in the production of polymers that are traditionally made from butane.

Market Dynamics

Succinic Acid Market Drivers

Expanding Application in the Polymer Industry

Succinic acid is critical in manufacturing bio-based polymers such as polybutylene succinate (PBS). Succinic acid's growth has been driven by the demand for environmentally friendly and biodegradable polymers in various applications, such as packaging and textiles. BioAmber, Myriant Corporation, and Reverdia (a joint venture of DSM and Roquette) have been at the forefront of developing succinic acid-based biopolymers. For example, BioAmber's bio-based succinic acid is employed in creating bio-succinic acid-based PBS, providing an environmentally beneficial alternative to typical petroleum-based polymers. Consumer preferences, governmental actions promoting sustainable practices, and business commitments to lessen the environmental effects of packaging materials have all fueled demand for biodegradable polymers. Compared to conventional plastics, bio-based polymers made from succinic acid have ecological benefits such as reduced reliance on fossil resources, a smaller carbon footprint, and superior end-of-life disposal choices.

Moreover, collaboration between succinic acid producers and downstream polymer makers has been a prominent trend. For example, collaborations between chemical companies and package producers aim to increase the production and acceptance of bio-based polymers. Succinic acid's rising uses in the polymer industry will likely influence the succinic acid market trend. Technological developments, continued research, and strategic alliances are projected to develop new bio-based polymers further. Demand for bio-based polymers is predicted to rise as consumer preferences alter and regulatory pressures increase, adding to the continuous growth of succinic acid applications in this industry.

Succinic Acid Market Restraints

Competitive Pricing and Market Overcapacity

Overcapacity and competitive pricing pressures have occurred in the succinic acid market. The arrival of several players and the possibility of surplus production capacity can cause price swings, affecting succinic acid manufacturers' profitability. Companies in the succinic acid sector have faced price fluctuation difficulties. During the third quarter of 2023, the price of succinic acid fluctuated throughout Europe and Asia. Prices in the United States had hit USD 1,962/MT by the quarter's conclusion. Expenses were USD 1,842/MT in China and USD 1,872/MT in South Korea. Fluctuations in raw material prices, production costs, and market demand, for example, can all contribute to abrupt changes in succinic acid prices. This unpredictability can influence manufacturing profitability significantly when production capacity exceeds market demand.

Furthermore, the admission of new companies and increased production facilities have led to periods of succinic acid market overcapacity. This, combined with the necessity for businesses to remain competitive, can make maintaining steady and advantageous pricing difficult. Furthermore, companies competing in the succinic acid industry may need to manage pricing to stay competitive while proactively maintaining long-term profitability. Pricing pressures can have an impact on revenue streams as well as investment decisions in R&D and production capacity expansion.

Succinic Acid Market Opportunity

Rising Demand for Bio-Based and Sustainable Chemicals

The global shift toward sustainable and bio-based chemistry presents succinic acid with tremendous opportunities. As a bio-based platform chemical, succinic acid may address the demand for greener solutions as companies and consumers prefer environmentally friendly options. Companies such as BioAmber, which manufactures bio-succinic acid, have positioned themselves to capitalize on the growing demand for environmentally friendly chemicals. BioAmber's bio-succinic acid is created by fermentation using renewable feedstocks, providing a greener alternative to succinic acid production methods. Bio-based and sustainable chemicals, including polymers, plastics, and specialty chemicals, are becoming more popular in various industries. Companies use bio-based products throughout the value chain to achieve environmental goals and consumer expectations.

Furthermore, regulatory frameworks in many regions are becoming more favorable to bio-based chemicals. Incentives, subsidies, and requirements to decrease the environmental impact of industrial processes, such as succinic acid, encourage the use of bio-based alternatives. The United States government has boosted its support for bio-based materials. The USDA, for example, rebranded its "Biorefinery Assistance Program" in 2014 to the "Biorefinery, Renewable Chemical, and Biobased Product Manufacturing Assistance Program." President Biden signed an executive order in 2023 to establish a national strategy with a 30% bio-based chemicals target. Furthermore, global programs such as the United Nations Sustainable Development Goals (SDGs) highlight the significance of sustainable production and consumption. Succinic acid, a bio-based and sustainable chemical, is compatible with these global sustainability goals. Thus, increased demand for bio-based and sustainable chemicals will likely support the succinic acid market's continuous expansion. Companies that present themselves as sustainability leaders and provide bio-based alternatives will likely thrive on this opportunity.

Regional Analysis

Europe Dominates the Global Market

The global succinic acid market analysis is conducted in North America, Europe, Asia-Pacific, the Middle East and Africa, and Latin America.

Europe is the most significant global succinic acid market shareholder and is estimated to grow at a CAGR of 10.2% over the forecast period. This expansion can be attributed to the region's healthcare and agriculture sectors. Europe is predicted to see stagnating product demand due to customers' increased preference for bio-based products as a drop-in substitute. Many cosmetic brands, such as Unilever and P&G, are headquartered in Europe, contributing significantly to this regional market's growth. The presence of aircraft manufacturers in various parts of Germany and the United Kingdom has expanded the aerospace sector.

Furthermore, in 2022, the European Union (EU 27), Norway, Switzerland, and the United Kingdom collected an estimated 29.5 million metric tons of consumer plastic rubbish from posters, according to a PlasticsEurope (PEMRG) report. 35% of the entire amount was recycled. Most post-consumer treatments included energy recovery, with landfilling accounting for about a quarter. Such issues have opened up potential for the succinic acid market as it is utilized to make bioplastics. 

North America is anticipated to exhibit a CAGR of 10.4% over the forecast period. This is due to numerous regional opportunities to establish and expand manufacturing facilities. Succinic acid production from the microbial conversion of renewable feedstock has attracted North American interest in achieving sustainable development in these times of petroleum scarcity. Furthermore, the country's high consumer spending potential has influenced the use of personal care and cosmetic products.

Additionally, throughout the projection period, this factor will significantly increase demand for succinic acid in the personal care industry in the United States. Succinic acid supplements and succinic acid tablets are predicted to enjoy a steady increase in use during the forecast period due to the country's growing health consciousness. Increasing desire for organic products and raising awareness about chemical-based products' dangers will drive up demand for succinic acid in the United States.

Asia-Pacific holds a significant market share. According to succinic acid market insights, major advancements in the application are driving the Asia-Pacific market. The availability of low-cost labor is increasing the number of production plants in Asia-Pacific, with China having the most production capacity of any country in the region. China is well-known for its excellent manufacturing capabilities, and the succinic acid market is projected to benefit from this. China's succinic acid market growth is predicted to be boosted by low labor costs and supporting government efforts. The manufacturing of succinic acid food additives, supplements, and tablets is predicted to increase in the country throughout the forecast period.

Report Scope

Report Metric Details
Segmentations
By Type 
  1. Petro-based
  2. Bio-based
By End-use 
  1. Food and Beverages
  2. Pharmaceutical
  3. Coatings
  4. Industrial
  5. Personal Care and Cosmetics
  6. Others
Company Profiles BASF SE Myriant Corporation BioAmber Parchem Dow Chemicals Ernesto Ventos, S.A. The Chemical Company Kawasaki Kasei Chemicals Ltd. Mitsubishi Chemical Corporation.
Geographies Covered
North America U.S. Canada
Europe U.K. Germany France Spain Italy Russia Nordic Benelux Rest of Europe
APAC China Korea Japan India Australia Singapore Taiwan South East Asia Rest of Asia-Pacific
Middle East and Africa UAE Turkey Saudi Arabia South Africa Egypt Nigeria Rest of MEA
LATAM Brazil Mexico Argentina Chile Colombia Rest of LATAM
Report Coverage Revenue Forecast, Competitive Landscape, Growth Factors, Environment & Regulatory Landscape and Trends
Need a Custom Report?

We can customize every report - free of charge - including purchasing stand-alone sections or country-level reports

Segmental Analysis

The global succinic acid market is segmented based on type, end-user, and region.

The market is further segmented by type into petro-based and bio-based.

Petro-based businesses generate the most revenue in the market.

Petro-based

Petro-based succinic acid is primarily synthesized from fossil fuel feedstocks using standard chemical synthesis methods. This entails the chemical conversion of petrochemical intermediates to succinic acid. The petro-based category is expected to contribute the most to market growth throughout the projection period. The chemical industry's need for PBS, PBST, and polyurethane is mostly to blame for the segment's growth. Petro-based succinic acid is more cost-effective and efficient than bio-based succinic acid. It's also extensively used to make PBS as a flavor enhancer in the food, beverage, and chemical industries.

Bio-based

Bio-based succinic acid is expected to develop the fastest during the projected period. Bio-based succinic acid is formed by biological processes, most commonly through fermentation with renewable feedstocks. Sugars are converted into succinic acid by microorganisms such as bacteria or yeast. As a result, manufacturers are shifting to bio-based succinic acid, which performs in compositions similar to phthalic anhydride. Companies such as Myriant, for example, have developed bio-based succinic acid with structural similarities to maleic anhydride and phthalic anhydride, thereby enhancing efficiency and decreasing variations in production. As a result, the bio-based chemical segment of the market studied has expanded.

The market can be further bifurcated by end-users into food and beverages, pharmaceuticals, industrial coatings, personal care, and cosmetics.

The industrial segment influenced market growth.

Industrial

Succinic acid is used in the industrial sector for various purposes, including manufacturing industrial chemicals, solvents, and intermediates. It can be used in operations that require dicarboxylic acid. Succinic acid may be crucial in industrial processes such as manufacturing polymers, resins, and chemicals. In 2022, the industrial-use category dominated the succinic acid market, accounting for more than 40% of total revenue. This high market share can be attributable to the growing use of goods such as 1,4-butanediol (BDO), polyurethane, and tetrahydrofuran in industries where succinic acid is the key raw ingredient. BDO is utilized in synthesizing tetrahydrofuran, which is employed as a solvent in the chemical industry and an essential raw material in spandex production. Spandex has high flexibility and strength. The increased demand for this material will increase the segment's growth.

Coatings

Succinic acid is utilized in the coatings industry as a building block in the manufacturing of some coatings and paints. It may aid in the development of resins with specific characteristics. Coatings maintained the second-largest revenue share in 2022, owing to increased demand from the construction and automotive industries. Succinic acid is a common raw material in layers because it adds hardness, a quick cure ratio, and shine to the surface. Improving infrastructure due to more lavish government spending in nations such as the United States, India, and China will likely stimulate demand even further. Rising construction activity and increased urbanization will also drive demand. The transfer of the automotive manufacturing business from Europe to areas of Asia Pacific is expected to expand the automotive industry in this region and drive coating demand.

Market Size By Type 

Market Size By Type 
  • Petro-based
  • Bio-based
  • Recent Developments

    • December 2023: BASF will introduce Irgastab® PUR 71, an innovative antioxidant that improves regulatory compliance and performance in polyols and polyurethane foams.
    • October 2023: Pilot-scale testing revealed that novel strains could produce up to 110 g/L of succinic acid and an overall yield of 64% after batch fermentation and downstream processing.
    • December 2023: Dow launched a line of low-carbon caustic soda products driven by renewable energy.

    Top Key Players

    Succinic Acid Market Share of Key Players

    Succinic Acid Market Share of Key Players
    BASF SE Myriant Corporation BioAmber Parchem Dow Chemicals Ernesto Ventos, S.A. The Chemical Company Kawasaki Kasei Chemicals Ltd. Mitsubishi Chemical Corporation. Others

    Frequently Asked Questions (FAQs)

    What is the estimated growth rate (CAGR) of the Succinic Acid Market?
    The market size is growing at a CAGR of 10.10% from 2023 to 2031.
    Europe has the largest share of this market.
    Expanding application in the polymer industry is the key driver for the growth of this market.
    The key players in this market are BASF SE, Myriant Corporation, BioAmber, Parchem, Dow Chemicals, Ernesto Ventos, S.A., The Chemical Company, Kawasaki Kasei Chemicals Ltd. Mitsubishi Chemical Corporation.
    The Projected value of this market is USD 583.4 million by 2031.


    We are featured on :