Low Carbon Chemicals Market is Set to Surge at 5.8% CAGR, to Reach US$ 147.2 Billion by 2035 | Fact.MR Report

Low Carbon Chemicals market grows fast as industries and many firms focus on production method innovation, emphasizing low carbon and many innovative technologies on carbon reductions that transform different manufacturing sectors.

/EIN News/ -- Rockville, MD, Feb. 18, 2025 (GLOBE NEWSWIRE) -- Global Low Carbon Chemicals Market is valued at US$ 83.5 billion in 2025 to US$ 147.2 billion in 2035. Fact. MR’s extensive study shows that the market will expand at a growth rate of 6.8% from 2025 to 2035.

The low carbon chemicals market is viewed as a significant shift in approach by the chemical industry toward environmental stewardship or sustainable manufacturing. This growing market is targeted at innovation in production methods, which result in very low carbon levels with high-quality chemical products. The market is driven by changes arising from increasingly tight environmental rules and regulations, strengthening of corporate responsibility, and continued rising demand among customers for greener products and environmentally friendly chemicals.

Companies invest in research and development in novel production processes that embrace bio-based manufacturing, carbon capture usage, and use of renewable sources in chemical process manufacturing. Process optimization and green chemistry are the fastest-growing technology areas in the industry. Other growth factors in the market are government initiatives encouraging low-carbon manufacturing and international climate agreements. Collaboration between traditional chemical manufacturers and technology providers is increasing as far as innovation of new solutions is concerned.

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Key Takeaways from Market Study:

• Global Low carbon chemicals market will grow at a CAGR of 5.8% reaching US$ 147.2 billion by the end of 2035.
• North America will expand at a CAGR of 5.9% from 2025 to 2035, captured 29.9% of the market shares in 2025 and offering an absolute opportunity of US$ 19.4 billion during the forecast period.
• East Asia account for 24.8% of market share in 2025, generating an absolute dollar opportunity of US$ 16.6 billion between 2025 and 2035.
• Between 2025 and 2035, Bio-based Chemicals is expected to produce an absolute dollar opportunity US$ 24.3 billion during the forecast period.
• With 30.8% of market share, the Construction materials end-use industry holds the valuation of US$ 21.1 billion in 2025.

"Low Carbon Chemicals Market exhibits outstanding growth as the manufacturers open their minds to carbon reduction technologies and sustainable practices and transform their traditional methods of chemical production.”, says a Fact.MR analyst.

Leading Players Driving Innovation in the Low Carbon Chemicals Market:

Key players in the Low carbon chemicals Market are SABIC, BASF SE, Dow Inc., LanzaTech, Total Energies SE, Neste Corporation, Genomatica, Braskem, Covestro AG, LyondellBasell Industries, DuPont, Mitsubishi Chemical Corporation.

Market Development:

The market is showing strategic growth due to new technologies of production and green manufacturing. It is happening mainly through green chemistry infrastructure, investment in producing capacity, and establishment of regional hubs for the manufacture of products. This sector has a significant technological collaboration, which leads to immense growth through collaborative research and digitized solutions.

The market growth for Low carbon chemicals is being driven by leading companies such as SABIC, BASF SE, Dow Inc., LanzaTech, Total Energies SE, Neste Corporation, Genomatica, Braskem, Covestro AG, LyondellBasell Industries, DuPont, Mitsubishi Chemical Corporation, other market players are propelling the market growth. Major attention was paid to the deals and expansions.

• In January 2024, Dow Chemical Company Established a strategic partnership with a leading European biotechnology firm to develop new fermentation-based processes for low-carbon chemical production.
• In November 2023, LyondellBasell Industries Completed the expansion of their low-carbon chemicals production facility in Rotterdam, Netherlands. The project included implementation of advanced carbon capture technology and renewable energy integration, significantly reducing the carbon footprint of chemical production processes.

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Low Carbon Chemicals Market News:

• A new line of bio-based polyols for building applications was introduced by BASF SE in March 2024, with a carbon footprint that is up to 40% lower than that of traditional alternatives. Comprehensive testing and certification procedures were part of the development, and the results showed performance on par with conventional products.
• Evonik Industries strengthened their position in the production of low-carbon chemicals in July 2023 by acquiring a specialised biotechnology firm that focused on enzymatic procedures for chemical production.

More Valuable Insights on Offer:

Fact.MR, in its new offering, presents an unbiased analysis of the global Low carbon chemicals market, presenting historical data for 2019 to 2023 and forecast statistics for 2025 to 2035.

The study reveals essential insights based on by Chemical Type (Bio-based Chemicals, Recycled Carbon Chemicals, Green Hydrogen-derived Chemicals), by Application (Agriculture, Packaging, Construction, Automotive), by Production Technology (Carbon Capture and Utilization (CCU), Renewable Feedstock Processing, Green Chemistry Routes), by End-User industry (Construction materials, Automotive & transportation, Packaging, Agriculture, Other (Energy)) and across major seven regions of the world.

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