Adipic Acid Market Size & Forecast [2033]

Adipic Acid Market Overview

The Adipic Acid Market size was valued at USD 6521.07 million in 2024 and is expected to reach USD 9607.81 million by 2033, growing at a CAGR of 4.4% from 2025 to 2033.

The adipic acid market plays a critical role in the global chemical and polymer industries, driven by its widespread use in the production of nylon 6,6 and polyurethanes. As of 2024, global consumption of adipic acid reached over 3.2 million metric tons, with more than 85% used for nylon production. China accounts for nearly 38% of the total adipic acid production due to its large-scale chemical manufacturing facilities, followed by the United States at 21% and Germany at 14%.

The majority of adipic acid is manufactured through the oxidation of cyclohexane using nitric acid, which emits nitrous oxide, a potent greenhouse gas. Consequently, environmental regulations are pushing the market toward sustainable production routes, including bio-based adipic acid. In 2023, more than 100 kilotons of bio-based adipic acid were produced globally, led by companies investing in green chemistry. Major manufacturers are also expanding capacities, with new plants capable of producing over 150 kilotons annually being commissioned in Asia-Pacific. The adipic acid market is being shaped by a mix of demand for industrial polymers, environmental regulations, and advances in sustainable production methods.

Key Findings

DRIVER: Rising demand for nylon 6,6 in automotive and industrial applications.

COUNTRY/REGION: China dominates production and consumption, accounting for 38% of the global market.

SEGMENT: Nylon 6,6 remains the largest application segment with over 2.5 million metric tons consumed.

Adipic Acid Market Trends

The global adipic acid market is experiencing significant transformation as sustainability becomes a priority. In 2023, approximately 65% of the market demand came from the automotive and electronics sectors due to the increasing use of nylon-based components. Electric vehicle (EV) sales exceeded 10 million units globally, with each unit containing up to 15 kg of nylon-based polymers, significantly contributing to adipic acid demand. Furthermore, the polyurethane foam segment, driven by growth in the construction industry, accounted for over 18% of total demand. Urbanization rates in developing countries have surged above 55%, boosting the demand for insulating materials where polyurethanes are essential.

Another trend involves the integration of renewable feedstocks. Bio-based adipic acid production grew by 12% between 2022 and 2023, surpassing 100 kilotons. Key players are shifting to glucose and lignin-derived routes to reduce emissions. Additionally, manufacturers are increasingly adopting continuous process manufacturing to improve efficiency, reduce waste, and lower energy costs. Global trade flows are also evolving, with Asia-Pacific exporting over 200 kilotons annually to Europe and North America. Mergers and acquisitions are on the rise, with over 6 strategic acquisitions reported in the past 18 months, particularly in China and Germany. These developments underscore the market's shift toward sustainable practices, regional integration, and technological upgrades.

Adipic Acid Market Dynamics

Adipic acid market dynamics refer to the set of internal and external factors that influence the growth, performance, and direction of the adipic acid industry. These include demand-driving forces such as industrial applications and sustainability trends, restraining factors like environmental regulations and emission concerns, emerging opportunities in green chemistry and bio-based production, as well as ongoing challenges related to raw material volatility and global supply chain disruptions. Understanding these dynamics provides stakeholders with a comprehensive view of how the market evolves over time, facilitating informed strategic decisions.

DRIVER

Rising demand for nylon 6,6 in automotive and industrial applications.

Nylon 6,6 is a crucial polymer used in automotive parts such as air intake manifolds, radiator end tanks, and under-the-hood components. In 2023, global automotive production exceeded 90 million vehicles, with approximately 28% using nylon 6,6-based components. This demand drives the need for adipic acid, the key raw material for nylon production. Additionally, industrial sectors such as textile and electrical equipment heavily rely on nylon for durability and heat resistance. The growth of electrical vehicle manufacturing, especially in Asia-Pacific and Europe, is expected to consume over 500 kilotons of nylon annually by 2025, leading to an equivalent rise in adipic acid consumption.

RESTRAINT

Environmental concerns and regulations related to nitrous oxide emissions.

Adipic acid production primarily emits nitrous oxide (N2O), a greenhouse gas with 298 times the global warming potential of carbon dioxide. The EU Emissions Trading System (EU ETS) and the US EPA’s greenhouse gas reporting program have classified adipic acid plants as high-emission facilities. In 2023, regulations across the EU led to the decommissioning of two plants totaling 90 kilotons in annual capacity. These environmental challenges are increasing operating costs due to emission control systems and carbon offset mechanisms. The shift toward low-emission and bio-based alternatives is necessary but requires high capital investments, posing challenges to smaller manufacturers.

OPPORTUNITY

Development of bio-based adipic acid as a sustainable alternative.

Green chemistry is reshaping the adipic acid industry. In 2023, investments exceeding USD 400 million were directed toward developing bio-based adipic acid plants. Companies are leveraging fermentation-based processes using renewable feedstocks such as lignin and glucose. These bio-routes reduce nitrous oxide emissions to near-zero and decrease energy consumption by up to 30%. Pilot projects in North America and Europe are producing over 20 kilotons annually, with commercial-scale operations expected to reach 150 kilotons by 2026. This transition opens opportunities for strategic partnerships and government funding under clean energy and sustainable manufacturing programs.

CHALLENGE

Supply chain disruptions and raw material price volatility.

Adipic acid production depends on raw materials like cyclohexane and nitric acid, both of which are derived from crude oil. Between 2022 and 2023, cyclohexane prices fluctuated by over 20%, impacting production stability and cost structures. Additionally, disruptions in global logistics—particularly during the Russia-Ukraine conflict—have caused delays in supply chain networks. Transport costs increased by 15%, and several European manufacturers faced feedstock shortages, temporarily halting operations. These disruptions undermine profit margins and delay expansion plans, especially for companies reliant on consistent raw material sourcing.

Adipic Acid Market Segmentation

The adipic acid market is segmented by type and application. By type, it includes Cyclohexane Oxidation, Cyclohexene Oxidation, and Phenol Hydrogenation. By application, it is segmented into Nylon 6,6, Polyurethanes, Adipic Esters, and Others. Over 85% of the global adipic acid production is used in nylon and polyurethane applications, with growing interest in niche applications such as coatings and plasticizers.

By Type

Cyclohexane Oxidation: This is the dominant production method, accounting for nearly 92% of global adipic acid output. In 2023, over 2.9 million metric tons of adipic acid were produced using this route. It involves oxidizing cyclohexane with nitric acid, but the process emits high volumes of N2O. Despite environmental concerns, it remains widely used due to cost-efficiency and mature technology.
Cyclohexene Oxidation: A less common route, it contributed to 4% of global production in 2023, equivalent to about 130 kilotons. It uses cyclohexene and hydrogen peroxide in a more environmentally friendly method, though it’s still under development for large-scale commercialization. Pilot plants in Japan and South Korea are scaling up with annual capacities of 10–15 kilotons.
Phenol Hydrogenation: Accounting for around 4% of global production, or approximately 130 kilotons, this method utilizes phenol as a feedstock. It is considered more energy-intensive and has slower reaction kinetics, limiting its adoption. However, advancements in catalyst development are improving efficiency in select pilot facilities.

By Application

Nylon 6,6: This application accounted for over 78% of total adipic acid consumption in 2023, with more than 2.5 million metric tons utilized. The fiber is used in automotive, industrial textiles, and electronics, with demand increasing due to lightweight vehicle trends.
Polyurethanes: Consumed nearly 600 kilotons of adipic acid in 2023. The foam is used in insulation, furniture, and footwear industries. Growth in construction and home renovation has driven this segment forward.
Adipic Esters: Representing about 100 kilotons of demand, these esters are used in lubricants and plasticizers. The demand is stable, supported by industrial applications in machinery and PVC products.
Others: These include coatings, adhesives, and pharmaceuticals, accounting for roughly 50 kilotons. Specialty applications are seeing slow but steady growth, driven by innovation in formulation chemistry.

Regional Outlook For The Adipic Acid Market

The adipic acid market shows varied growth across global regions depending on industrialization levels, regulatory environments, and consumer demand trends.

North America

North America holds a significant share due to industrial demand and presence of leading producers. The United States alone accounted for nearly 700 kilotons of adipic acid consumption in 2023. Investments in bio-based routes are concentrated here, with over USD 150 million allocated in 2023 toward sustainable production facilities in Texas and Ohio.

Europe

Europe continues to lead in regulatory compliance and sustainability. Countries like Germany and Belgium contributed to over 600 kilotons in 2023. European Union’s decarbonization efforts are pushing for adoption of green chemistry, with over 20 kilotons of bio-adipic acid produced in pilot-scale plants. Emission regulations have shut down two major plants, prompting capacity reallocation.

Asia-Pacific

Asia-Pacific dominates both production and consumption. China produced over 1.3 million metric tons of adipic acid in 2023 and consumed more than 1.2 million metric tons. India and South Korea are emerging as strategic markets, collectively investing over USD 100 million in 2023 in capacity upgrades and feedstock sourcing.

Middle East & Africa

Middle East & Africa remain nascent markets but are seeing increased activity. In 2023, regional demand exceeded 120 kilotons, mainly from the UAE and South Africa. New downstream nylon processing units are planned in Saudi Arabia and Egypt, indicating future growth potential in polymer applications.

List of Top Adipic Acid Companies

Invista
Solvay
Ascend
BASF
Radici
Asahi Kasei
Lanxess
Haili
Huafon
Shenma Industrial
Hualu Hengsheng
Liaoyang Sinopec
Hongye
Tianli
Yangmei Fengxi
Zhejiang Shuyang
Kailuan Group

Invista: One of the leading global producers, Invista operates large-scale adipic acid facilities in North America and Asia. In 2023, the company produced over 900 kilotons, accounting for approximately 28% of global supply. It is actively investing in bio-based research and has patented proprietary technologies for green adipic acid production.

Ascend: With over 700 kilotons of annual production, Ascend ranks among the top suppliers. Headquartered in the United States, the company supplies adipic acid to major automotive and textile OEMs. Ascend has also announced expansion projects to boost capacity by 20% by 2026.

Investment Analysis and Opportunities

The adipic acid market is witnessing a wave of capital investments driven by the demand for sustainable production and high-performance polymers. In 2023, total capital expenditures across major producers exceeded USD 1.2 billion globally. Asia-Pacific attracted over USD 500 million in capacity expansion projects, with China alone contributing more than USD 350 million. Key investments include new manufacturing plants with 150 kiloton per year capacity, pipeline integration projects for feedstock stability, and technology upgrades for N2O abatement.

North America saw significant investments in bio-based adipic acid. A USD 120 million facility in Texas began pilot production in Q4 2023, capable of processing 25 kilotons annually using sugar-derived feedstocks. Public-private partnerships are fostering innovation, particularly under U.S. Department of Energy programs. Europe allocated more than USD 180 million to pilot plants and emission reduction systems to comply with tightening EU emission norms.

Opportunities are arising in downstream integration. Companies are entering joint ventures with nylon 6,6 producers to ensure long-term offtake agreements. Strategic partnerships with automotive OEMs and packaging firms are emerging to develop applications using high-purity adipic acid grades. Research institutions are also collaborating with industry to develop fermentation-derived adipic acid. Emerging markets like Brazil, Turkey, and Indonesia are becoming hotspots for investment due to rising polymer demand and favorable trade agreements.

New Product Development

In 2023–2024, innovations in adipic acid production and application have accelerated. Several chemical companies introduced green adipic acid variants with 90% reduced GHG emissions compared to conventional routes. These products are now being tested in automotive-grade nylon and polyurethane foam used in EV interiors. A German firm launched a lignin-based adipic acid in 2024 with production capacity of 10 kilotons, enabling broader adoption in specialty elastomers.

New catalyst systems that cut reaction time by 25% and reduce nitrous oxide formation by 60% were patented in 2023. These catalysts are now under scale-up trials in South Korea. In polyurethane segments, companies developed adipic acid derivatives with enhanced UV stability and hydrolysis resistance, gaining traction in construction coatings.

Application-level innovations include transparent nylon using high-purity adipic acid blends introduced in early 2024. These materials are designed for smartphone housings and LED panels. Additionally, pilot testing began for biodegradable polyesters incorporating adipic acid esters aimed at replacing single-use plastics. These initiatives are supported by universities and startup accelerators, with over 40 patents filed globally in the past 18 months.

Five Recent Developments

In March 2023, Invista completed the expansion of its adipic acid plant in China, adding 100 kilotons of annual capacity.
BASF in April 2023 introduced a new adipic acid grade for sustainable polyurethane applications with 70% lower emissions.
In June 2023, Solvay and a European biotech firm formed a joint venture to develop bio-based adipic acid using glucose feedstocks.
August 2023 saw the commissioning of India’s first adipic acid pilot plant producing 15 kilotons using the phenol hydrogenation route.
In February 2024, Ascend launched a transparent nylon compound using ultra-pure adipic acid for electronics applications.

Report Coverage of Adipic Acid Market

This report offers a comprehensive analysis of the global adipic acid market, detailing production processes, application segments, regional performance, and key market players. It covers over 18 leading manufacturers and evaluates regional consumption patterns across North America, Europe, Asia-Pacific, and the Middle East & Africa. The report assesses trends in technological innovation, regulatory challenges, and market demand.

Included in the coverage are production methods like cyclohexane oxidation, phenol hydrogenation, and bio-based routes. Application insights span from nylon 6,6 to polyurethanes, plasticizers, and emerging sectors like biodegradable plastics. Regional chapters detail consumption volumes, investments, and supply chain dynamics. The report integrates data from 2023–2024 and provides forecasts based on real-time developments.

The investment section includes capital allocations, expansion plans, and joint ventures, while the product development section explores recent innovations and patent activities. With 3.2 million metric tons of demand analyzed, the report supports strategic decision-making for stakeholders, from raw material suppliers to end-user manufacturers.

Through in-depth segmentation, emerging opportunities, and dynamic challenges, this market report enables stakeholders to position themselves effectively in the evolving adipic acid value chain.