Chemicals Industry Today

Butanedioic Acid Market Targeting Healthy Expansion to 2.4 (USD Billion) by 2032

Butanedioic acid is also used as a raw material in the chemical industry for the production of a variety of chemicals, including plastics, solvents, and pharmaceuticals.
Published 04 June 2025

Butanedioic acid, widely known as succinic acid, is a naturally occurring four-carbon dicarboxylic acid with the formula C₄H₆O₄. It plays a critical role in various industrial applications owing to its biodegradable, non-toxic, and versatile nature. Historically produced from petroleum-based feedstocks, butanedioic acid has seen increasing adoption of bio-based alternatives in recent years, driven by growing environmental concerns and the demand for sustainable chemicals.

As industries continue their transition to greener alternatives, the butanedioic acid market is witnessing a significant transformation, marked by technological advancements, rising demand in emerging sectors, and expanding end-user applications.

Market Size and Growth Forecast

The Butanedioic Acid Market Size was estimated at 1.89 (USD Billion) in 2023. The Butanedioic Acid Market Industry is expected to grow from 1.94(USD Billion) in 2024 to 2.4 (USD Billion) by 2032. The Butanedioic Acid Market CAGR (growth rate) is expected to be around 2.69% during the forecast period (2024 - 2032).

Key Drivers of the Butanedioic Acid Market

1. Rising Environmental Awareness and Demand for Bio-Based Chemicals

With increasing concerns about climate change and pollution, there is a significant push toward the adoption of green chemicals. Succinic acid derived through microbial fermentation offers a sustainable solution to traditional petrochemical-derived counterparts. Bio-based succinic acid reduces carbon emissions, conserves energy, and is biodegradable—traits that align well with modern environmental regulations and sustainability goals.

2. Expanding Application in the Food and Beverage Industry

Succinic acid is approved as a food additive and is used as an acidity regulatorflavor enhancer, and preservative in various food and beverage products. The rising consumption of packaged and processed food, particularly in Asia-Pacific and North America, has spurred demand for such additives. This trend is expected to continue, further boosting the succinic acid market.

3. Use in Pharmaceuticals and Nutraceuticals

In pharmaceuticals, butanedioic acid is used to synthesize various active pharmaceutical ingredients (APIs), as well as in drug formulation processes. It also finds use in dietary supplements, thanks to its role in the Krebs cycle, contributing to cellular energy production. As the pharmaceutical sector continues to grow, especially in emerging economies, demand for succinic acid is expected to follow suit.

4. Growth of Biodegradable Polymers

The plastic pollution crisis has created a huge market for biodegradable alternatives. Succinic acid is used as a building block for polybutylene succinate (PBS), a bio-based, biodegradable polymer with applications in packaging, agricultural films, consumer goods, and textiles. With rising legislative pressures and consumer demand for sustainable packaging, the use of PBS—and consequently succinic acid—is expected to soar.

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Technological Developments in Production

Advances in biotechnology and fermentation processes have made the bio-based production of butanedioic acid more efficient and cost-effective. Companies are investing in microbial strains, such as Actinobacillus succinogenes and Escherichia coli, to increase yield and reduce production costs. Moreover, the integration of circular economy models, where agricultural or industrial waste is used as feedstock for succinic acid production, is gaining traction.

Challenges Facing the Market

1. High Production Costs of Bio-Based Succinic Acid

While environmentally favorable, the production cost of bio-based succinic acid is currently higher than its petroleum-based counterpart. This cost difference can pose challenges for widespread adoption, especially in price-sensitive markets.

2. Competition from Substitute Chemicals

Other dicarboxylic acids like adipic acid and maleic acid also serve similar purposes in industrial applications. The availability of these alternatives, often at lower costs, can limit market penetration for succinic acid.

3. Limited Commercial-Scale Production Infrastructure

Although pilot-scale and small commercial facilities exist, the lack of large-scale bio-succinic acid production infrastructure can hinder scalability and supply chain integration.

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Key Companies in the Butanedioic Acid Market Include:

  • Lubei Chemical
  • Jinan Huachang Chemical
  • Nanjing Haoheng Chemical
  • Shandong Longxing Biochem
  • Shandong Tianye Heavy Industry
  • Jiangsu Changmao Biochem
  • Shanxi Sanwei Group
  • Changzhou Yabang Chemical
  • Hangzhou Tongling Chemical
  • Daicel Chemical Industries

Opportunities for Growth

Despite these challenges, the butanedioic acid market holds immense potential. Some key opportunities include:

  • Green Packaging: Rising demand for compostable and eco-friendly packaging solutions opens new avenues for PBS and succinic acid-based materials.
  • Regulatory Support: Policies encouraging green chemicals, such as carbon credits and plastic bans, will fuel demand.
  • Expansion in Personal Care Products: Succinic acid's antimicrobial and pH-regulating properties make it a viable component in skin care, deodorants, and cosmetics.
  • Emerging Markets: Growing industrial activity in Africa, Southeast Asia, and South America provides untapped potential.

Future Outlook

The butanedioic acid market is expected to thrive in the coming decade, especially with the shift toward bio-economy and green chemistry. Innovations in production technology, favorable government policies, and increasing consumer awareness around sustainability will continue to shape market dynamics.

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