The global ethylene carbonate market is projected to grow from US$264.8 million in 2017 to US$355.1 million by 2022.
This is at a CAGR of 6% in terms of value from 2017 to 2022.
The growth of automotive, electronics, medical, and energy industries is driving the ethylene market. However, volatility in prices of raw materials poses a risk for ethylene carbonate manufacturers as it is expected to bring down their profit margins.
The lubricants segment of the ethylene carbonate market is expected to lead the ethylene carbonate market during the forecast period. Ethylene carbonate is used as a lubricant stabilizer in the automotive industry. Consumer awareness about the advantages of the synthetic lubricants over the conventional lubricants in developed countries of North America and Western Europe is also driving the lubricants segment.
The automotive segment is expected to lead the ethylene carbonate market during the forecast period. Ethylene carbonate is used as a coating agent in the automotive industry. Ethylene carbonate based products, such as lithium ion electrolyte is used in electric vehicles to transport the positive lithium ion between cathode and anode which helps in storing the power for the longer duration of time.
In terms of volume, the ethylene carbonate market in Asia Pacific is projected to grow at the highest CAGR during the forecast period. Asia Pacific is the largest market for ethylene carbonate, globally. Countries such as China, Japan, South Korea, and Taiwan in Asia Pacific, are global hubs for automobile manufacturing, which use ethylene carbonate in various applications such as surface coatings and lithium-ion batteries.