Global sales of Ethylene Amines stood at USD 2,403.5 million in 2023. The industry is further projected to exhibit a y-o-y growth of 4.3% in 2024 and reach USD 2,511.7 million in the same year. Surging at a CAGR of 4.5% between 2024 to 2034, demand for the compound is estimated to reach USD 3,900.6 million by 2034.
Monoethylene amines (MEG) is the main product in the Ethylene Amines field. It is mostly used to make polyester fiber, antifreeze, and coolants. By 2024, MEG makes up about 60% of the market by volume. Its wide use in clothes, cars, and packing drives demand and leads the industry.
The automotive sector is a dominant application for ethylene amines, primarily in the production of antifreeze and coolants. These products are essential for regulating engine temperature, preventing freezing and overheating. As demand in the automotive sector rises, ethylene amines is projected to witness a promising CAGR of 5.1% over the forecast period.
| Attributes | Description |
|---|---|
| Estimated Global Ethylene Amines Market Size (2024E) | USD 2,511.7 million |
| Projected Global Ethylene Amines Market Value (2034F) | USD 3,900.6 million |
| Value-based CAGR (2024 to 2034) | 4.5% |
By 2034, demand for Ethylene Amines is projected to increase 1.7 times from the current level, driven by industrial growth across multiple sectors. Ethylene Amines are expected to see expanded use as functional agents, ingredients, additives, or intermediates in various industries, with consumption rising globally.
As of 2024, the textile and automotive industries are expected to account for over 40% of total demand. However, demand from other industries is predicted to grow at a CAGR of 5.7% during the forecast period. Several macroeconomic factors will support this demand, including the increasing need for polyester fibers, higher automotive production, expansion in the construction and packaging industries, and greater healthcare sector investments.
One of the primary factors driving the global industry is the rising demand for textile products. As the consumption of polyester fibers increases, advancements in textile manufacturing technologies and the growth of the fashion industry, along with a growing global population, contribute to the rising need for monoethylene amines in textile production. The need for greater textile output due to population growth indirectly boosts the demand for Ethylene Amines.
Sales of Ethylene Amines, particularly monoethylene amines, are closely linked to the expansion of textile manufacturing. As polyester fibers, which rely on Ethylene Amines for their synthesis, continue to be in high demand for apparel, home textiles, and industrial fabrics, the Ethylene Amines industry is expected to grow in tandem, supporting overall industry expansion.
Increasing demand for polyester fibers in textiles drives significant MEG consumption in the Ethylene Amines Market.
Polyester fibers are one of the most widely used synthetic fabrics, which have become an essential part of the fashion and textile industry because of their durability, versatility, and cost-effectiveness. With the growing textile industry in the world, the demand for MEG, which is a critical intermediate in polyester fiber manufacturing, is constantly increasing.
The demand for polyester fibers in emerging economies, where middle-class populations are growing at a rapid rate, significantly affects the Ethylene Amines business. MEG is the largest single consumer of EG in the world and one of the most important chemicals in the production of polyester.
As polyester fibers enter into a wide range of products, from clothing to home furnishings, the textile industry remains the largest consumer of MEG. The more emphasis on sustainable and environment-friendly textile production increases demand for high-quality MEG produced through advanced production technology.
The main factors driving this growth are shifting towards synthetic fibers, particularly polyester, which remains to be the most used fibre globally. Development in textile industries, for instance in recycled polyester, and newer production processes add to why MEG remains in high demand. The increase in electronic commerce, especially in garments, and a consumer appetite for affordable yet durable material also contribute to the reason why polyester fibres become in high demand.
For instances, in 2022, leading ethylene amines producer indorama ventures announced the expansion of its MEG production capacity, targeting increasing demand from the textile sector.
Rising automotive production boosts demand for antifreeze, coolants, and hydraulic fluids, expanding the Ethylene Amines Market.
Ethylene Amines, specifically monoethylene amines (MEG) and diethylene amines (DEG), are critical raw materials in the manufacture of antifreeze, coolants, and hydraulic fluids-all of which are crucial for vehicle performance, safety, and durability. With automotive production increasing to keep pace with the growing appetite of consumers, the requirement for these fluids is rising proportionally, thereby increasing the demand for Ethylene Amines.
Ethylene Amines are an essential constituent of antifreeze and coolants that find use in vehicles, radiators, and other heating systems. As production of vehicles is on an increase, their usage too is on an upswing.
Moreover, the rapidly growing electric vehicle industry still consumes cooling fluids to keep their batteries cool, further boosting Ethylene Amines consumption. This increased demand for automotive fluids directly impacts the ethylene amines industry, especially in regions such as North America, Europe, and Asia Pacific, where automotive production is high.
One of the main drivers behind this growth is the post-pandemic recovery of automotive manufacturing around the world combined with the on-going shift toward electric vehicles, which, despite still being electric, still use coolant fluids. The increased demand for efficient cooling systems of high quality will drive the consumption of Ethylene Amines.
For example, in January 2023, BASF announced that it will invest in the capacity expansion of its ethylene amines to meet increasing demand from the automotive and industrial segments. The new capacity also includes the development of more sustainable production processes that align with the increasing automotive demand for higher performance and eco-friendly fluids.
Growing emphasis on eco-friendly materials promotes the use of advanced butadiene-derived products in various applications.
The growing need to make industries less carbon footprint-prone and more responsible with their environmental impact also presents a growing demand for the products of renewable resources-based advancements, such as the material in question: butadiene-based advanced material. These materials, specifically bio-based plastics, synthetic rubbers, and polymers, are gradually substituting the traditional petrochemical-based alternatives that may have less sustainability.
This driver in the ethylene amines sector drives demand toward bio-based monoethylene amines (MEG) and other glycols from renewable sources. Bio-based alternatives are gradually gaining acceptance in textiles, automotive, and packaging applications, which conventionally used large volumes of MEG for polyester manufacturing. Tightening environmental regulations and eco-conscious consumers will make the companies respond to these requirements by adopting more sustainable ways of production.
The advancement of production technologies is a key factor influencing the driver. This driver of extracting butadiene from renewable feedstocks such as biomass and waste plastics is improving both its sustainability and performance characteristics as compared to conventional materials that are used in applications for the same purposes.
For example, LyondellBasell announced in 2022 the development of a new sustainable polymer technology that uses bio-based butadiene as feedstock, which arises with the increasing demand for greener alternatives.
Variability in raw material costs impacts production expenses, creating challenges for consistent pricing strategies in the Ethylene Amines market.
Raw material cost variability is one of the key restrains in the ethylene amines industry, which has an impact on the cost of production and makes it challenging to maintain a stable price. Ethylene amines is mainly sourced from ethylene, which in turn is produced from crude oil and natural gas petrochemical feedstocks.
These raw materials' prices are very volatile. They are affected by dynamics in global supply and demand, geopolitical tensions, and fluctuation in energy prices. An increase in the cost of raw materials will, therefore, directly increase the production cost for ethylene amines manufacturers, which would be hard to handle without transferring these costs to consumers.
This variability makes it hard for companies to maintain stable pricing strategies. Price instability can lead to a loss of consumer confidence and complicate long-term contract negotiations, especially in industries where cost predictability is crucial, such as automotive, textiles, and pharmaceuticals.
Manufacturers will have to bear some of the increased costs, which would lead to reduced profit margins for them, or they would have to increase prices erratically, which would cause uncertainty for downstream industries. In extreme cases, a long-term increase in raw material prices may force companies to reconsider their operations or find alternative raw materials or production methods, which could cause a disruption in the ethylene amines sector.
Limited production capacities may restrict the ability to meet increasing market demands, thereby impacting overall market growth.
Limited production capacities can significantly restrain industry growth, especially in sectors like Ethylene Amines, where demand is rising across multiple segments such as automotive, textiles, and pharmaceuticals. As sector needs increase, companies may struggle to scale production quickly enough to meet the growing demand for these essential chemicals.
Production capacity limitations can arise from various factors, including the availability of raw materials, technological constraints, and the need for substantial investments in expanding manufacturing facilities. In industries with high demand fluctuations, such as automotive and construction, this can lead to supply shortages, delays, or even price hikes.
These production constraints not only hinder the ability of companies to fulfill orders on time but also restrict their ability to take advantage of emerging industry opportunities, resulting in lost revenue and business share.
Scaling up production to meet rising demand often involves complex processes, including compliance with environmental regulations, safety standards, and the integration of advanced manufacturing technologies. Any delay or difficulty in these areas can lead to production bottlenecks.
In a highly competitive global market, the inability to meet demand effectively can cause companies to fall behind competitors who have the capacity to increase output quickly. This can lead to a shift in consumer preference towards more reliable suppliers, further limiting the potential for growth.
The global ethylene amines industry recorded a CAGR of 3.0% during the historical period between 2019 and 2023. The growth of Ethylene Amines industry was positive as it reached a value of USD 2,403.5 million in 2023 from USD 1,995.1 million in 2019.
Demand for ethylene amines was robust, with monoethylene amines (MEG) accounting for the largest share, primarily due to its application in polyester production and antifreeze formulations. The automotive industry, in particular, played a significant role in boosting MEG consumption, driven by rising vehicle production and increasing demand for coolants and antifreeze. The textile industry also contributed significantly to the demand for MEG, particularly in developing economies.
From 2020 to 2023, the market saw fluctuations in demand due to the global pandemic and supply chain disruptions, which affected industries like automotive and construction. However, the market demonstrated resilience, especially with a recovery in demand for polyester fibers as textile production rebounded post-pandemic.
The growth of the healthcare sector and increased use of EG in pharmaceuticals, specifically in drug formulation and medical applications, further supported market expansion. As a result, global EG sales saw a moderate increase, particularly in the second half of the forecast period.
Looking forward from 2024 to 2034, the demand for Ethylene Amines is expected to experience steady growth driven by several factors. The automotive industry’s demand for antifreeze and coolants, the growing need for sustainable solutions in textiles, and increasing infrastructure projects in emerging markets will continue to drive MEG demand.
Additionally, the expanding demand for DEG and TEG in water treatment, packaging, and healthcare applications is anticipated to contribute to the market’s growth.
Forecasts suggest that the global EG market will witness consistent growth between 2024 and 2034, with a compound annual growth rate (CAGR) of approximately 5-6%. The market will be influenced by technological advancements in production processes, the increasing shift toward sustainability, and the growing adoption of EG-based solutions in industries such as packaging, automotive, and textiles.
Tier 1 companies include industry leaders with annual revenues exceeding USD 100,000 - 120,000 million. These companies are currently capturing a significant share of 40-45% globally. These frontrunners are characterized by high production capacity and a wide product portfolio.
They are distinguished by extensive expertise in manufacturing and a broad geographical reach, underpinned by a robust consumer base. The firms provide a wide range of products and utilize the latest technology to meet regulatory standards. Prominent companies within Tier 1 include : Arabian Amines Company, BASF SE, Delamine BV, Diamines and Chemicals Ltd, Dow, Fisher Chemicals, Huntsman International LLC, Nouryon, Oriential Union Chemical Corporation and among others.
Tier 2 companies encompass mid-sized participants with revenues ranging from USD 60,000 - 70,000 million, holding a presence in specific regions and exerting significant influence in local economies. These firms are distinguished by robust presence overseas and in-depth industry expertise.
They possess strong technology capabilities and adhere strictly to regulatory requirements. However, the firms may not wield cutting-edge technology or maintain an extensive global reach. Noteworthy entities in Tier 2 include : Sadara Chemical Company, SABIC, Tosoh Corporation, Kanto Chemicals, Balaji Speciality Chemicals Ltd, Junsei Chemical Co, Kishida Chemical Co, GFS Chemicals and Nacalai.
The section below covers assessments of Ethylene Amines sales across key countries. Countries from East Asia, and North America, are anticipated to exhibit promising double-digit growth over the forecast period. All the below-listed countries are collectively set to reflect a CAGR of around 7% through the forecast period.
| Countries | Value CAGR (2024 to 2034) |
|---|---|
| South Korea | 7.8% |
| Japan | 7.4% |
| China | 6.8% |
| Canada | 7.1% |
| USA | 6.7% |
Japan's automotive industry, renowned for its innovation and quality, significantly contributes to the high demand for Ethylene Amines. The country is home to some of the world's largest automobile manufacturers, including Toyota, Honda, and Nissan.
These companies consistently push the boundaries of automotive technology, requiring advanced materials to meet evolving standards for performance, efficiency, and sustainability. Ethylene Amines, particularly monoethylene amines (MEG) and diethylene amines (DEG), are vital components in this equation.
Ethylene Amines are integral to the production of antifreeze and coolants, essential for maintaining optimal engine temperatures and preventing overheating. In Japan's temperate climate, these products are crucial for both passenger and commercial vehicles, ensuring reliability and longevity.
Additionally, Ethylene Amines are used in hydraulic fluids and brake fluids, which are indispensable for vehicle safety and performance. The continuous demand for these fluids underscores the importance of Ethylene Amines in the automotive sector.
Japan's strong emphasis on technological innovation drives the development of new materials and applications. Japanese automakers are at the forefront of incorporating lightweight and durable materials to enhance fuel efficiency and reduce emissions. Ethylene Amines play a crucial role in this context, particularly in the production of polyester resins and fibers used in various automotive components.
In recent years, the shift towards electric and hybrid vehicles in Japan has further amplified the demand for Ethylene Amines. These vehicles require advanced cooling systems to manage the heat generated by high-performance batteries and electric motors. Ethylene amines-based coolants are preferred for their efficiency and reliability, making them indispensable in the rapidly growing electric vehicle market.
In the textile sector, China's dominance as the world's largest producer of polyester fibers drives substantial consumption of monoethylene amines (MEG), a key raw material in polyester production. The increasing demand for clothing, home textiles, and industrial fabrics in both domestic and international markets further accelerates MEG usage.
The automotive industry, experiencing rapid growth, also contributes to the heightened demand for Ethylene Amines. Ethylene Amines are essential in manufacturing antifreeze, coolants, and hydraulic fluids, which are critical for vehicle performance and maintenance. As China continues to increase its vehicle production to meet both local and global demands, the need for these glycols escalates correspondingly.
Infrastructure development plays a crucial role as well. Massive investments in construction projects, including residential, commercial, and industrial buildings, require substantial amounts of ethylene amines-based products.
These include resins and solvents used in construction materials, enhancing durability and performance. The synergy between these booming sectors creates a robust market for Ethylene Amines, positioning China as a pivotal player in the global market and driving sustained demand growth.
In the automotive industry, ethylene amines is essential for the production of antifreeze and coolants, which are crucial for vehicle engine performance and longevity. With the rise in vehicle production and the push for advanced automotive technologies, the need for these ethylene amines-based products continues to grow.
In the healthcare industry, ethylene amines derivatives are widely used as solvents in pharmaceutical formulations and in the production of medical devices and sterilization agents. The expanding healthcare sector, driven by an aging population and increased healthcare spending, is boosting the demand for high-quality ethylene amines products.
The packaging industry also plays a vital role in driving ethylene amines consumption. Ethylene amines is a key raw material in the production of polyethylene terephthalate (PET), which is extensively used for packaging beverages, food products, and pharmaceuticals. The growing emphasis on sustainable packaging solutions and the rising demand for packaged goods are further propelling the consumption of ethylene amines.
The section explains the growth trajectories of the leading segments in the industry. In terms of application, the fuel additives will likely dominate and generate a share of around 25.8% in 2024.
Based on product type, the Diethylenetriamine (DETA) segment is projected to hold a share of 48.3% in 2024. The analysis would enable potential clients to make effective business decisions for investment purposes.
| Segment | Fuel Additives (Application) |
|---|---|
| Value Share (2024) | 25.8% |
The textile segment is forecast to experience a decent CAGR of 7.3% from 2024 to 2034. The demand for Ethylene Amines is expected to surge across the fuel additives application due to their critical role in enhancing fuel performance and reducing emissions.
Ethylene amines-based additives improve fuel stability, prevent corrosion in fuel systems, and enhance the efficiency of engines, making them essential in the automotive and industrial sectors. As environmental regulations become stricter and the demand for cleaner, more efficient fuels rises, the need for high-performance fuel additives, including Ethylene Amines, is set to grow.
| Segment | Diethylenetriamine (DETA) (Product Type) |
|---|---|
| Value Share (2024) | 48.3% |
The diethylenetriamine (deta), with a projected value share of 48.3% in 2024, is poised to significantly impact the global industry.
The demand for Ethylene Amines, particularly Diethylenetriamine (DETA), is expected to surge due to its critical applications across multiple industries. DETA is widely used as a curing agent for epoxy resins, which are essential in coatings, adhesives, and composite materials. Its use in fuel additives, corrosion inhibitors, and as a chelating agent in water treatment further drives demand.
DETA's role in the automotive, textile, and oil and gas industries enhances its market growth potential. As these industries continue to expand and adopt advanced technologies, the consumption of DETA will rise, fueling growth in the ethylene amines market.
The section provides comprehensive assessments and insights that highlight current opportunities and emerging trends for companies in developed and developing countries. It analyzes advancements in manufacturing and identifies the latest trends poised to drive new applications in the market.
A few key players in the Ethylene Amines industry are actively enhancing capabilities and resources to cater to the growing demand for the compound across diverse applications. Leading companies also leverage partnership and joint venture strategies to co-develop innovative products and bolster resource base.
Significant players are further introducing new products to address the increasing need for cutting-edge solutions in various end-use sectors. Geographic expansion is another important strategy that is being embraced by reputed companies. Start-ups are likely to emerge in the sector through 2034, thereby making it more competitive.
Industry Updates
Product type segments included in the study are Ethylenediamine (EDA), Diethylenetriamine (DETA), Triethylenetetramine (TETA), Tetraethylenepentamine (TEPA) and Others.
Application segments included in the study are Fuel Additives, Polyamide Resins, Curing Agents, Chelating Agents, Bleach Activators, and Other Applications. Fuel Additives are used in the Automotive and Oil & Gas industries. Polyamide Resins are applied in Automotive, Textile, and other industries. Curing Agents are utilized in Resins, Textile, Automotive, and other industries. Chelating Agents are used in Water Treatment, Paper and Pulp, Pharmaceuticals, and other industries. Bleach Activators are employed in Textile, Paper and Pulp, and other industries. Other Applications encompass various other industries.
Key countries of North America, Latin America, Western Europe, Eastern Europe, East Asia, South Asia, Middle East and Africa (MEA), have been covered in the report.
The global market was valued at USD 2,403.5 million in 2023.
The global market is set to reach USD 2,511.7 million in 2024.
Global demand is anticipated to rise at 4.5% CAGR.
The industry is projected to reach USD 3,900.6 million by 2034.
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