The global Adipic Acid Market was valued at USD 6,342.0 million in 2023 and is projected to grow from USD 6,656.4 million in 2024 to USD 9,629.8 million by 2031, exhibiting a compound annual growth rate (CAGR) of 5.42% during the forecast period, according to Kings Research. Adipic acid is a white, fine particulate synthetic dicarboxylic acid and a key building block in nylon production. It is a crucial raw material for polymers, coatings, plasticizers and detergents, and is derived mainly from cyclohexane, with a smaller portion produced from phenol.
Market Overview
Notable growth is driven by rising automotive production and an expanding construction industry. Increased demand for engineered plastics in vehicles and the growing use of nylon 6,6 in insulation materials and carpets are further propelling the market. Adipic acid is valued for enhancing durability, flexibility and overall performance, and is used across automotive, textiles, packaging and construction.
Sustainability is changing how it is made. Manufacturers are developing bio-based production methods to lower carbon emissions and reduce dependence on fossil fuels, with advances in fermentation and bio-catalysis accelerating the transition. In November 2024, BASF’s Monomers Division obtained ISCC PLUS certification for its Polyamide 6 plant in Shanghai, enabling it to supply biomass-balanced and Ccycled PA6 along with PA6/6.6 copolymer. Adipic acid is also used in lightweight materials for automotive applications, which supports global initiatives to improve energy efficiency and reduce fuel consumption.
Key Highlights from the Report
- The market was valued at USD 6,342.0 million in 2023 and is projected to grow at a 5.42% CAGR from 2024 to 2031.
- Asia Pacific held a 48.90% share in 2023, valued at USD 3,101.2 million.
- The standard adipic acid segment generated USD 3,875.0 million in revenue in 2023 and is projected to reach USD 5,695.6 million by 2031.
- The nylon 6,6 fiber segment is expected to reach USD 5,237.2 million by 2031.
- Asia Pacific is anticipated to grow at a CAGR of 6.02%, with a projected value of USD 4,949.3 million in 2031.
Market Driver: Expansion of the Packaging Industry
The expanding packaging industry supports adipic acid demand through its role in high-performance materials such as nylon 6,6 and polyurethane. Durable, lightweight and flexible packaging for food and beverage, pharmaceuticals and consumer goods requires dependable raw materials, and robust packaging materials help ensure product safety and longevity across modern supply chains. A growing emphasis on recyclable packaging adds momentum, positioning adipic acid as a component in innovative and more environmentally considerate solutions. India’s paper and pulp industry, for example, attracted USD 1.73 billion in foreign direct investment from April 2000 to June 2024, reflecting investor confidence in the packaging sector.
Market Challenge: Stringent Environmental Regulations
Adipic acid production is associated with greenhouse gas emissions, and regulations that limit emissions, waste and production practices raise compliance costs and reduce operational flexibility. To respond, companies are adopting advanced low-emission or bio-based manufacturing processes, integrating carbon capture and utilization technologies and aligning business strategies with sustainability goals, which also strengthens regulatory compliance and market leadership.
Market Trend: Sustainable Production and Bio-Based Alternatives
Traditional petrochemical production is under pressure to become cleaner. Bio-based adipic acid, sourced from renewable materials such as plant sugars, is a viable alternative that supports sustainability objectives and meets consumer demand for eco-friendly products. Leading stakeholders are investing in R&D to improve yields and reduce costs, which are needed for scalable and economically feasible production. In November 2024, Toray Industries signed a memorandum of understanding with PTT Global Chemical to jointly explore mass-production technology for adipic acid derived from non-edible biomass.
Segmentation Analysis
By type: Standard adipic acid earned USD 3,875.0 million in 2023 owing to its broad use in nylon 6,6 production, polyurethane applications and as a plasticizer in flexible PVC. High purity adipic acid serves more demanding specifications.
By application: Nylon 6,6 fiber held a 56.24% share in 2023. These fibers are widely used in aerospace and automotive applications thanks to durability and a high strength-to-weight ratio, as well as in industrial products such as nets, ropes and conveyor belts. Nylon 6,6 resin, polyurethane and adipate esters complete the application mix.
Regional Analysis
Asia Pacific accounted for around 48.90% of the market in 2023, valued at USD 3,101.2 million. Rapid industrialization in developing economies has made the region a global manufacturing hub, helped by lower production costs, a skilled labor force and favorable government policies. Governments are offering incentives to encourage green technologies and industrial biotechnology. Growth in the textile and apparel industries in India, China, Bangladesh and Vietnam boosts demand for nylon fibers and, in turn, for adipic acid.
Europe is anticipated to grow at the fastest CAGR of 5.63% through the projection period, supported by an expanding automotive industry and a strong emphasis on sustainability. Advancements in green technology, growth in recyclable packaging and ongoing R&D investment in bio-based adipic acid are shaping the regional landscape.
Regulatory Landscape
In the United States, the EPA regulates greenhouse gas emissions from major stationary sources under the Clean Air Act, requiring Title V operating permits for existing sources emitting more than 100,000 tons of CO2e annually. In Europe, REACH (Regulation (EC) No. 1907/2006) governs the registration, evaluation, authorization and restriction of chemicals, supported by related classification rules and updates. In China, the National Health Commission regulates the use of adipic acid in food contact materials, including through approvals issued under its 2022 notices.
Competitive Landscape
The market features both established corporations and emerging participants. Companies are investing in R&D and capacity expansion and pursuing new product launches, collaborations, expansions and mergers and acquisitions. Several key players are adopting bio-based process technologies and alternative feedstocks. In March 2023, BASF achieved ISCC+ certification for its Onsan and Yeosu facilities in Korea, with Onsan certified for the production of adipic acid and polyamide 6.6.
Key companies profiled include Ascend Performance Materials, Asahi Kasei, BASF, Domo Chemicals, INVISTA, LANXESS, Radici Partecipazioni, Solvay, UBE Corporation, Tokyo Chemical Industry, Graham Chemical, Otto Chemie, Tangshan Zhonghao Chemical, Tian Li High & New Tech and Sumitomo Chemical.
Recent Developments
- December 2023: Ascend Performance Materials launched a thermal reduction unit at its Pensacola, Florida facility, intended to cut about 98% of greenhouse gas emissions from adipic acid production at the site, in line with its 2030 Vision.
- April 2023: LANXESS announced plans to invest in innovative adipic acid production technologies to improve sustainability and production efficiency.
Strategic Insights and Opportunities
Kings Research identifies several themes that will shape competition. Emissions abatement is one of the most immediate. Production of adipic acid can generate nitrous oxide, a potent greenhouse gas, and investment in thermal reduction and similar technologies shows that large reductions are achievable. Producers that complete these investments can meet customer sustainability targets, reduce regulatory exposure and strengthen their reputation with automotive and textile customers who monitor supply chain emissions.
Bio-based production is another focus. Routes based on plant sugars or non-edible biomass could reduce dependence on petrochemical feedstocks, though commercial scale depends on yield, cost and process stability. Collaboration between chemical makers, biotechnology firms and downstream users is likely to accelerate progress, and certification schemes such as ISCC PLUS give producers a way to market biomass-balanced products using existing assets.
Downstream demand offers further opportunities. In automotive, engineered nylon supports weight reduction and under-the-hood performance; in construction, it appears in insulation and carpet; and in packaging, it contributes to strong, flexible films and materials. Polyurethane and adipate esters provide diversification beyond nylon. Regionally, Asia Pacific’s scale gives producers there a cost advantage, while Europe’s emphasis on sustainability and regulatory standards rewards low-carbon products. Companies that secure feedstock, control emissions and maintain close relationships with nylon producers and compounders are best placed to benefit from steady demand growth through the forecast period.
Outlook
Kings Research expects demand to remain anchored in nylon 6,6 for automotive, textile and industrial uses, with polyurethane and packaging applications adding breadth. The most important variable is how quickly producers can cut emissions and commercialize bio-based routes at competitive cost. Companies combining abatement technology, certified sustainable supply and proximity to Asia Pacific’s manufacturing base are positioned to hold advantage as regulatory scrutiny and customer sustainability requirements intensify through 2031.
About Kings Research
Kings Research is a market research and consulting firm that publishes syndicated reports and custom studies across healthcare, chemicals, materials, energy, technology and consumer sectors. Its reports combine quantitative market sizing with analysis of drivers, challenges, trends, regulation and competitive strategy to support business decisions.
Media Contact: Kings Research | 5348 Vegas Dr. Suite 305, Las Vegas, NV 89108 | [email protected]
