Isobutanol is expected to perceive significant demand as an alternative to conventional fuel. The high demand of isobutanol is attributed to its increasing demand as an alternative for ethanol in gasoline (mainly due to the high energy density of isobutanol).
Isobutanol is widely used in the production of isobutyl acetate. The demand for isobutyl acetate is growing, owing to its acceptance in the various consumer product industries, such as food processing industry and lacquer. In the recent years, the demand of isobutyl acetate has also increased from paint and coating industries, owing to the stringent regulation towards the production of environment friendly paint and coating, mainly in western countries. The rising demand of isobutyl acetate is expected to boost the global isobutanol market during the forecast period.
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Isobutanol is a transparent and chemically inert liquid, which has a characteristic odor. Isobutanol forms a homogeneous solvent in nature and it can be easily used with majority of solvents, such as alcohols, aromatic hydrocarbons, aldehydes, ketones, ethers, glycols and aliphatic hydrocarbons. However, its solubility with water is limited in comparison to other common solvents. Some of the important applications of isobutanol are found in textile, solvent (coatings/cleaners), de-icing fluids, Intermediate for ethers and ester, anti-inhibitors in engine oils, floor polishes, additive in gasoline, flotation agents, agricultural chemical intermediate and others
Isobutanol also contains key constituents, which is found in many other chemicals such as, isobutyl ester, p-xylene, and isobutanol. Transportation, cosmetics, oil & gas, and paints & coatings are some of the major application market of isobutanol. The ongoing surge in urbanization and strengthening infrastructural development projects in tier2 and tier3 cities in developing countries such as India, China, and Brazil are expected to boost the demand of paints and coating, which in-turn are expected to increase the demand of isobutanol during the forecast period. The development of bio-based isobutanol is expected to be one of the major drivers for the isobutanol market during the forecast period, as new product development in the isobutanol market is the key competitive advantage among the major players.
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Based on various applications, the global isobutanol market can be segmented as Oil and Gas, Paint and coating, Cosmetics, Food processing, De-icing fluids, Textile and others. Based on the various end use of isobutanol, the market can be broadly segmented as Isobutyl ester, P-xylene, Isobutanol, Isobutyl and others.
Asia Pacific is the largest market of Isobutanol in 2014, attributed to the demand of isobutanol from food processing and paints and coating industry in this region. The surging urbanization and strengthening infrastructural project in tier II and tier III cities of India and China has boosted the demand of isobutanol in this region. Asia-Pacific is still the fastest growing isobutanol market, which has attributed to the high demand for automotive paints and coating from China, India and South-East Asian countries.
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