N-methyl-2-pyrrolidone or NMP is an excellent solvent that has various industrial applications such as electronic, petrochemical, pharmaceutical, and paints &coatings. It has excellent solvency and is miscible with water in almost all temperature ranges. N-Methyl-2-Pyrrolidone is used as an extraction medium across various industrial processes due to its excellent affinity for unsaturated hydrocarbon. For example, BTX extraction, butadiene recovery, and lube oil purification are some of the extraction processes where N-Methyl-2-Pyrrolidone is used as an extraction medium. Paints & coatings, polymer & plastic, process solvents, solvents/stripping agents, and wire wrappers are some of the applications of N-Methyl-2-Pyrrolidone.
Global N-Methyl-2-Pyrrolidone market was valued at US$ 1054.1 Mn in 2022, exhibiting a CAGR of 5.8% in terms of revenue, over the forecast period (2023 to 2030) to reach US$ 1654.3 Mn by 2030.
Drivers
Increasing demand in the oil & gas industry
Growth in the oil & gas industry where NMP is used as an extraction medium across the various application in the industry is expected to augment the market growth. It is used in BTX extraction, butadiene recovery, and lube oil purification. Thus, the growth of the oil &gas industry is estimated to propel the market growth of the N-Methyl-2-Pyrrolidone over the forecast timeframe. Moreover, growing demand for the solvent across various industries is expected to have a positive impact on the market of N-Methyl-2-Pyrrolidone.
Market Opportunities
Growing demand for N-Methyl-2-Pyrrolidone from agrochemical products
The growing demand for N-Methyl-2-Pyrrolidone from agrochemical products is expected to offer enormous growth opportunities to the market of NMP. The growth of the NMP market is also attributed to the rising production of agrochemicals due to the rising production of Foodgrain and horticulture. According to the Indian Agrochemical Industry 2019, India is the 2nd largest food grain producer in the world after China. Foodgrain production has grown at CAGR 2.8% from 2015 to 2019 with 281.4. This growing demand for agrochemicals for food grains production is expected to fuel market growth.
Market Restraints
Fluctuating prices of feedstock
Fluctuating prices of feedstock affect the overall price of the N-methyl-2-pyrrolidone is expected to hinder the market growth. Moreover, strict regulation associated with the use of NMP is expected to hamper the market growth of N-Methyl-2-Pyrrolidone over the forecast period.
To know the latest trends and insights prevalent in this market, click the link below:
https://www.coherentmarketinsights.com/market-insight/n-methyl-2-pyrrolidone-market-3860
Key Takeaways
On the basis of application, electronics dominated the global n-methyl-2-pyrrolidone market in 2022 with around 31.30% of the market share in terms of revenue, followed by pharmaceuticals and paints & coatings, respectively,
Market Trends
Product innovation and sustainability initiatives by the manufacturer
Product innovation and sustainability initiatives by the manufacturer is another major factor accelerating market growth. For instance, in April 2019, Merck, launched Cyrene, a sustainable dipolar aprotic solvent, developed in two steps from a renewable cellulose source. The bio-derived alternative was produced in response to the need for solvents to meet stricter regulatory requirements for both employee safety and environmental sustainability. The new product targets the rising demand for greener alternatives to Dimethylformamide (DMF) and N-Methyl-2-pyrrolidone (NMP).
Growing demand for N-Methyl-2-Pyrrolidone from petrochemical processing
Growing demand for N-Methyl-2-Pyrrolidone from petrochemical processing in the production of various petrochemicals product for end-use industries is expected to augment the market growth of NMP. Moreover, increasing investment by major players for increasing the production of NMP is further expected to propel the market growth over the forecast period.
Competitive Section
Key players operating in the global N-methyl-2-pyrrolidone market are BASF SE, LyondellBasell Industries N.V., Ashland Inc., Shandong Qingyun Changxin Chemical Science-Tech Co., Ltd., Hefei TNJ Chemical Industry Co., Ltd., Puyang Guangming Chemicals Co., Ltd., Zhejiang Realsun Chemical Industry Co., Ltd., Abtonsmart Chemical Co. Ltd., and Balaji Amines Limited
