Epichlorohydrin Market Outlook - Supply and Demand Analysis 2025-2034

Epichlorohydrin Market

Epichlorohydrin (ECH), an epoxide and an organochlorine compound, is largely an intermediate chemical used to manufacture epoxy resins. It is a clear, colourless liquid in its pure form. It is also utilised in the production of synthetic glycerin, surfactants, specialty chemicals for water treatment, and epichlorohydrin elastomers. The availability of both a chlorine atom and an epoxide ring in the molecule enables ECH to readily undergo different types of chemical reactions with various compounds. This versatility of ECH makes it popular as a chemical intermediate. However, it is a highly reactive chemical intermediate.

Global Supply/Demand Outlook

The global epichlorohydrin market stood at a volume of around 2,245 KT in the year 2023. The market is estimated to grow at a CAGR of 3.80% between 2025 and 2034 to reach a volume of about 3,130 KT by 2032. The key factors propelling the epichlorohydrin market are increasing demand for epoxy resins and the growing consumption of specialty chemicals for water treatment globally.

Around 86.5% of ECH produced globally is used in the production of epoxy resins, making it the leading application of the product. This segment is anticipated to remain the largest market in the forecast period as well. Economic growth in emerging countries is boosting epoxy resin consumption in paints, coatings, automotive, and construction sectors, thereby benefiting the epichlorohydrin (ECH) market. Apart from this, ECH manufacturing is shifting towards glycerin-based raw materials due to the rising demand for bio-based ECH over traditional petro-based ECH.

The global capacity of epichlorohydrin was about 3,200 KT in the year 2023. It is estimated to reach 4,000 KT by 2032. Asia Pacific holds the major share of epichlorohydrin capacities, representing around 60% of the global production capacity. Meanwhile, on country-level, China, the United States, Germany, South Korea, and Japan contribute nearly 75% to the global capacity. The plant capacity utilization of epichlorohydrin stood at 75% in 2023.

Regional Market Analysis

China is the world’s leading producer as well as consumer of ECH. There has been a growing focus on the commercialization of bio-based ECH capacity, with glycerin being the primary raw material, derived as a by-product of biodiesel production. Between 2019 and 2021, epichlorohydrin industry of mainland China expanded by more than 500 KT yearly, and around 90% of this total was obtained via the glycerin process. The glycerin-based plants are continuously witnessing improvement in operating rates as a result of the growing availability of glycerin at competitive prices and the push for more sustainable and ecologically sound processes.

Key Market Players

The top players in the epichlorohydrin market are Olin Corporation, Solvay S.A., Formosa Chemicals & Fibre Corp, Hexion Inc., Tianjin Chemsum, and Haiwan Chemical.

Olin Corporation is one of the leading epichlorohydrin producers in the world, with over 450  KT/year of capacity (which is equivalent to over 1 billion pounds/year) from two of its plants in Freeport, Texas, US, and Stade, Germany.

Other major manufacturers of epichlorohydrin are Meghmani Finechem Ltd., Spolchemie, DCM Shriram Ltd., and Nama Chemicals.

Key Questions Answered in the Report:

• What are the high-growth opportunities and markets for epichlorohydrin by application and region?

• What are the types of epichlorohydrin available by region?

• Which segments and regions are projected to grow at a faster pace and why in the epichlorohydrin market?

• What is the nameplate capacity of epichlorohydrin by region from 2018 to 2032?

• How does the plant capacity utilisation of epichlorohydrin vary by region between 2018 and 2034?

• Who are the major players in the epichlorohydrin market by capacity and region?

• What major plant shutdowns and expansions have occurred in the epichlorohydrin market in the last year and the last quarter?

• What major plant shutdowns and expansions are planned in the epichlorohydrin market over the next year and quarters?

• How did export and import dynamics of epichlorohydrin vary by region in terms of value between 2018 and 2023?

• How did export and import dynamics of epichlorohydrin vary by region in terms of volume between 2018 and 2023?

• What impacts have shutdowns, force majeure events, and plant closures had on demand and pricing of epichlorohydrin?

• What are the environmental considerations and regulatory impacts affecting the epichlorohydrin market?

• What technological innovations are having an impact on the production and application of epichlorohydrin?

• What are the key trends and innovations in the epichlorohydrin market?

• What are the challenges and opportunities faced by epichlorohydrin manufacturers?

• What are the potential risks and barriers to entry for new players in the epichlorohydrin market?

• What strategic investments and expansions have major players made in the epichlorohydrin market?

• How are geopolitical factors and international trade policies affecting the global epichlorohydrin market?

• What are the price trends for epichlorohydrin, and how are they expected to change?

• How does the supply chain of epichlorohydrin operate, and what are its key components?