The Global Succinic Acid Market was estimated to be US$ 271.78 Million in 2022 and is expected to grow at a CAGR of 7.3% between 2023 to 2032.
Succinic acid, also known as butanedioic acid, is a dicarboxylic acid with the chemical formula C4H6O4. It is a colorless, crystalline solid with a sour taste. Succinic acid occurs naturally in various living organisms, including plants, animals, and microorganisms, and it plays important roles in cellular metabolism. In terms of industrial production, succinic acid can be derived through both petrochemical-based and bio-based processes.
Petrochemical-based succinic acid is typically synthesized from maleic anhydride or butane, while bio-based succinic acid is produced through fermentation using renewable feedstocks such as sugars, starch, or biomass. Bio-based succinic acid has gained attention due to its potential as a sustainable alternative to petrochemical-derived succinic acid.
The global succinic acid market is witnessing growth due to two main factors.
Firstly, the demand from various industries such as chemicals, packaging, pharmaceuticals, food and beverages, and personal care is driving the market forward. Succinic acid serves as a versatile compound in these industries, finding applications in chemical intermediates, flavoring agents, and drug formulations. The increasing use of succinic acid-derived chemicals in automotive and textile sectors further fuels its demand.
Secondly, there is a rising emphasis on sustainability and bio-based products. With global concerns about environmental impact, industries are adopting bio-based alternatives to reduce their carbon footprint. Bio-based succinic acid, derived from renewable feedstocks, offers a sustainable solution to replace petroleum-based chemicals. Companies like BioAmber Inc. and Reverdia are leading the way in producing bio-based succinic acid to cater to the growing demand for eco-friendly alternatives.
Moreover, supportive government regulations and policies promoting bio-based chemicals contribute to the expansion of the succinic acid market. These policies create a favorable environment for the development and adoption of bio-based succinic acid, accelerating its growth and fostering a sustainable future for the industry.
The largest segment in terms of the production process for succinic acid is the "Petrochemical-based" segment. This is primarily due to historical factors and the well-established infrastructure for petrochemical production. Petrochemical-based succinic acid is traditionally synthesized from maleic anhydride or butane, which are derived from petroleum feedstocks.
Petrochemical processes have been used for succinic acid production for a longer period of time and have been well-developed and optimized. As a result, the petrochemical-based production method has higher production capacities and efficiency compared to bio-based processes.
However, the dynamics are gradually shifting towards the bio-based segment. With increasing emphasis on sustainability and reducing dependence on fossil fuels, bio-based succinic acid production has gained significant attention. Bio-based succinic acid is derived from renewable feedstocks such as sugars, starch, or biomass through fermentation processes.
As advancements in biotechnology and fermentation techniques continue to evolve, the bio-based segment is expected to grow and gain market share in the coming years. In summary, while the petrochemical-based segment currently holds the largest share in succinic acid production, the growing focus on sustainability and the development of bio-based processes indicate a potential shift towards the bio-based segment in the future.
Geographically, the global succinic acid market is segmented into North America, Europe, Asia-Pacific, Middle East and Africa, and South America.
Following are some of the major trends in these regions –
North America: North America is a prominent region in the global succinic acid market. The region has a well-established chemical industry and is characterized by robust manufacturing capabilities. Additionally, the region's strong focus on research and development and technological advancements drives innovation in succinic acid production processes.
The United States, in particular, is a major player in the succinic acid market, with several companies engaged in the production and application of succinic acid in various industries.
Europe: Europe is another significant market for succinic acid, driven by factors such as stringent regulations promoting bio-based chemicals and sustainable practices. European countries have implemented policies and directives, such as the European Green Deal and Renewable Energy Directive, which encourage the use of renewable feedstocks and bio-based chemicals, bolstering the demand for succinic acid.
Germany, France, and the Netherlands are among the leading countries in the European succinic acid market, with a focus on research, development, and industrial applications.
Asia-Pacific: The Asia-Pacific region presents immense growth opportunities for the succinic acid market. Additionally, the increasing awareness of environmental sustainability and favorable government policies supporting bio-based chemicals are expected to drive the growth of the bio-based succinic acid market in the region.
China, Japan, and South Korea are key players in the Asia-Pacific succinic acid market, with significant production capacities and technological advancements.
Middle East and Africa: In the Middle East and Africa, the succinic acid market is at a nascent stage but exhibits potential for growth. The region's chemical industry is gradually shifting towards sustainable practices, and there is an increasing focus on renewable and bio-based chemicals.
As the demand for sustainable alternatives grows, succinic acid finds applications in various sectors, including chemicals, food, and pharmaceuticals. The United Arab Emirates and Saudi Arabia are among the countries in the region that are expected to contribute to the succinic acid market growth.
South America: South America also presents opportunities for the succinic acid market, driven by factors such as industrial development, expanding consumer base, and increasing environmental awareness. Brazil, in particular, has a significant presence in the market, with a growing focus on bio-based chemicals and sustainable practices. The region's agricultural resources provide potential feedstocks for bio-based succinic acid production, fostering the market's growth.
Companies operating in the global succinic acid market have adopted various growth strategies to expand their market presence and capture new opportunities.
Some of the major growth strategies include:
Expansion and Capacity Enhancement: Companies are investing in expanding their production capacities to meet the growing demand for succinic acid. They are establishing new manufacturing facilities or expanding existing ones. For example, BioAmber Inc., a leading succinic acid producer, expanded its production capacity in North America by building a large-scale commercial plant.
Strategic Partnerships and Collaborations: Companies are forming strategic partnerships and collaborations to enhance their product portfolios, access new markets, and leverage each other's expertise. For instance, BASF SE and Corbion, two major chemical companies, formed a joint venture named Succinity to produce bio-based succinic acid using renewable feedstocks.
Research and Development: Companies are investing in research and development activities to innovate and improve their succinic acid production processes. They focus on optimizing fermentation techniques, developing new catalysts, and enhancing yields. An example is Reverdia, a joint venture between DSM and Roquette, which focuses on continuous research and development to advance bio-based succinic acid production.
Market Penetration and Geographic Expansion: Companies are targeting new geographic markets to expand their customer base and increase sales. They establish distribution networks, form partnerships with local distributors, and set up regional sales offices. An example is Kawasaki Kasei Chemicals, a Japanese company that expanded its succinic acid business in Asia by establishing a sales office in Singapore.
Product Diversification and Application Expansion: Companies are focusing on developing new applications and derivatives of succinic acid to cater to diverse industry needs. They explore new markets and industries where succinic acid can be utilized. For instance, Myriant Corporation, a renewable chemicals company, expanded its product portfolio to include bio-based succinic acid derivatives for applications in coatings, adhesives, and sealants.
Anhui Sunsing Chemicals Co., Ltd., Anqing Hexing Chemical Co., Ltd., BASF SE, BioAmber Inc., DSM N.V., Gadiv Petrochemical Industries Ltd., Kawasaki Kasei Chemicals Ltd., Linyi Lixing Chemical Co., Ltd., Mitsubishi Chemical Corporation, Myriant Corporation, Nippon Shokubai Co., Ltd., Qingdao Kehai Biochemistry Co., Ltd., Reverdia, Roquette Frères, Succinity GmbH and many more.
By End-Use Industry:
By Production Process:
The succinic acid market is expected grow at a CAGR of 7.3% between 2023 to 2032.
The succinic acid market was estimated to be US$ 271.78 Million in 2022.
The global succinic acid market is witnessing growth due to rising emphasis on sustainability and bio-based products and the demand from various industries such as chemicals, packaging, pharmaceuticals, food and beverages, and personal care.
The largest production process for succinic acid is the petrochemical-based. Petrochemical processes have been used for succinic acid production for a longer period of time and have been well-developed and optimized.
North America is a prominent region in the global succinic acid market. The region has a well-established chemical industry and is characterized by robust manufacturing capabilities.
Anhui Sunsing Chemicals Co., Ltd., Anqing Hexing Chemical Co., Ltd., BASF SE, BioAmber Inc., DSM N.V., Gadiv Petrochemical Industries Ltd., Kawasaki Kasei Chemicals Ltd., Linyi Lixing Chemical Co., Ltd., Mitsubishi Chemical Corporation, Myriant Corporation, Nippon Shokubai Co., Ltd., Qingdao Kehai Biochemistry Co., Ltd., Reverdia, Roquette Frères, Succinity GmbH and many more are leading players in this market.
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