TERTIARY BUTYL ACETATE MARKET ANALYSIS

Tertiary Butyl Acetate MarketSize and Trends

MARKET DYNAMICS

Regulations imposed on the limited use of volatile organic solvents for manufacturing various products have encouraged manufacturers to use solvents that meet the performance expectations and also the stringent environmental regulations. For instance, the U.S. Environmental Protection Agency (EPA) through National Volatile Organic Compound Emission Standards for Architectural Coatings aims to limit the Volatile Organic Compounds (VOCs) emissions from the use of architectural coatings. The rule is estimated to reduce VOC emissions by 113,500 tons per year. This factor is expected to drive growth of the tert-butyl acetate market over the forecast period.

Furthermore, in 2016, the U.S. Environmental Protection Agency (EPA) amended EPA’s regulatory definition of VOC compounds under the Clean Air Act (CAA). The new regulatory definition exempted tert-butyl acetate from the VOC list on the basis that it makes negligible contribution to tropospheric ozone formation. The VOC exemption is expected to increase demand for tert-butyl acetate over the forecast period.

MARKET OUTLOOK

Among regions, Asia Pacific is expected to be the fastest-growing region in the tert-butyl acetate market over the forecast period. Rising demand for automotive coatings owing to growth of the automobile industry in the region is expected to drive demand for tert-butyl acetate. For instance, according to China Association of Automobile Manufacturers, over 27 million vehicles were sold in China in 2018. According to the same source, the automobile market in China is expected to reach 30 million units by 2020 and 35 million units by 2025.