The Global Toluene Market Size was valued at USD 22.09 billion in 2021. The market is projected to grow USD 35.23 billion in 2030, at a CAGR of 5.98 %. Toluene could be a clear water insoluble hydrocarbon solvent that possesses aromatic, benzene-like smell, and could be a highly volatile flammable liquid. it's produced from petroleum and tar, and is employed as a solvent within the manufacturing of other organic chemicals, like benzene, xylene, and toluene diisocyanate. Additionally, it's used as a solvent in paints, thinners, adhesives, and inks.
 

Increasing potential applications of toluene in several end-use sectors like drugs, blending, cosmetic nail products, pesticides & fertilizers manufacturing, and others, has surged the usage of toluene across various important applications. This might act jointly of the key drivers for the expansion of the toluene market during the forecast period. additionally, paints & coating industry is anticipated to register a gentle rate of growth as a result of increasing demand from automotive, consumer goods, and construction sector where toluene is widely used as a solvent for thinning paints, enamels, varnishes and alkyd resins. This factor is predicted to spice up the expansion of the toluene market.
 

Derivative Type Outlook

However, the costs of toluene are increasing over the past few years, because the supplies are tightened thanks to production issues. Moreover, toluene is seasonal in nature, but is taken into account expensive, because the prices are continuously rising. This restrains the manufacturers with less investment potential to enter into the toluene market. This could hamper the expansion of the toluene market. Moreover, implementation of stringent regulations toward volatile organic compounds (VOCs) limits the employment of toluene in various end-use sectors, which is anticipated to hamper the market growth within the future.
 

Application Outlook

On the contrary, technological advancements and increasing R&D activities have surged the assembly of toluene from shale gas at very low costs. This has led both the manufacturers and consumers become more linear toward using shale gas-based toluene for various end-use applications. This factor is anticipated to supply new opportunity within the global toluene market.
 

Regional Outlook

The Asia-Pacific toluene market size is projected to grow at the best CAGR of 5.8% during the forecast period and accounted for 46.2% of toluene market share in 2020. this can be attributed to increasing applications of toluene is sectors like paint, electronic, healthcare, automotive, cleaning industry, cosmetics, textiles, et al. within the Asia-Pacific region. Moreover, the strong demand for toluene in countries like China, India, Japan, and Korea, thanks to different developing application segments has attracted the key players to expand or enter within the region.
 

 Key Companies & Recent Developments

The global toluene market research is finished supported derivative type, application, production process, and region. Counting on derivative type, the market is split into benzene & xylene, toluene diisocynates, gasoline additives, and others. By application, it's fragmented into drugs, dyes, blending, cosmetic nail products, and others. Supported on production, it's classified into reformate processes, pygas processes, coke/coal processes, and styrene processes. Region-wise, the market is analyzed across North America, Europe, Asia-Pacific, and LAMEA.
 

The major companies profiled during this report include BASF SE, Chevron Phillips Chemical Company LLC, Dhanlaxami Organics & Chemicals, ExxonMobil Corporation, Kakdiya Chemicals, LyondellBasell Industries Holdings B.V., Mitsubishi Chemicals Corporation, Mitsui Chemicals, Pon Pure Chemicals and Valero Energy.
 

Key Market Segments

By Derivative Type

• Benzene & Xylene
• Toluene Diisocynates
• Gasoline Additives
• Others

By Application

• Drugs
• Dyes
• Blending
• Cosmetic Nail Products
• Others

By Production Process

• Reformate Processes
• Pygas Processes
• Coke/coal Processes
• Styrene Processes