China Green Chemicals Market Overview, 2029

A green wave is sweeping through the chemical industry in the heart of China, redefine the ideas about production, consumption, and environmental stewardship. The Chinese green chemicals market entered a boom since sustainability became a concern across various industrial sectors. China is one of the biggest producers and consumers of chemicals around the world and nowadays she addresses more and more eco-friendly options for the same, such as bio-based chemicals, biodegradable plastics, and renewable solvents. Green chemicals are extracted from sources such as plants, algae, and other bio-waste, and are less hazardous throughout their life cycle. The market is currently dominated by the industrial base and robust research abilities in Eastern China. Cities like Shanghai and Beijing are at the forefront of innovation in green chemistry. On the other hand, the west of China is slowly emerging as a key production base, supported by governmental incentives and lower operational costs. Chinese chemical-technology capabilities are growing very fast. Many instances have been there where Chinese companies have come neck to neck with Western counterparts. One in the field of petrochemicals is Wanhua Chemical, which developed its own methylene-diphenyl-diisocyanate (MDI) technology. Wanhua is now the world's largest MDI producer in what had historically been a close-knit sector dominated by a handful of Western companies because of the challenging technology-entry barriers for isocyanates chemistry. Another example is Kingfa Science & Technology, which began as a supplier of lower-end products, such as plastics for TV-set cases, but has now become an engineering-resin supplier to the top auto OEMs. Kingfa is also one of the world's few manufactures of high-tech engineering resins, including polyether ether ketone and polyamide 10T. The competitive landscape for China's green chemicals market has a balanced mix of legacy chemical giants as well as innovative startups. Key players in the industry, including BASF SE, DuPont, Green Biologics, and Corbion, are also investing in R&D to expand sustainable product portfolios. The rest can be seen from the strategic intentions regarding carbon-emissions reductions and reaching carbon neutrality in 2060. The "Green Manufacturing" and "Circular Economy" frameworks are highly integral to seeking green technologies at the firm level.

According to the research report "China Green Chemicals Market Overview, 2029," published by Bonafide Research, the China Green Chemicals market is anticipated to grow at more than 10% CAGR from 2024 to 2029.These policies do not only urge firms to invest green in chemicals but also favorably regulate the ecosystem for sustainable practice across industries. Regulation is the most dominating fact about China in the green chemicals market. National policies, for instance, have examples such as the "13th Five-Year Plan for Ecological and Environmental Protection," which has clear objectives on pollution reduction and facilitation of sustainable technologies. Standards and certifications on products with requirements on bio-based and biodegradable are important in ensuring quality, boosting consumer confidence, and entering a new market. The Chinese Chemical Society (CCS) was founded by Chinese chemists of their own accord for the purpose of uniting Chinese chemists at home and abroad to promote the development of chemistry in China. The CCS has established 32 science and technology awards, including the Chinese Chemical Society Youth Chemistry Award. Themed 'Green Chemistry for Carbon Neutrality and Sustainable Development', to provide a broad platform for relevant stakeholders in academia, research, industry, NGOs, policy makers, and society to share ideas through exchange of information to promote green chemistry, carbon neutrality, and sustainable development. Green chemicals market growth is expected, but there are challenges and risks associated with this 'green' growth. Fluctuating raw material prices and competition from traditional chemical producers could lead to volatility in the market and reduce profit margins. Underdeveloped collection and recycling infrastructure of biodegradable products also exists.

Some of the major segments that fall in China Green Chemicals market are bio alcohols, bio organic acids, bio ketones, bio polymers, and bio solvents respectively. All these, in their own rights, make a unique contribution to the environmental and economic makeup of the country. Bio Alcohols is one of the major areas that have been focused by the Chinese green chemicals sector. The country is one of the world's biggest suppliers of bioethanol. It is mostly extracted from corn and sugarcane. For example, the Jilin province was starting initiatives for bioethanol from agricultural waste, which supported renewable sources of energy but also supported regional farmers. So the Chinese government has targeted its aggressive plans for biofuel driven by a share of renewable energy in total consumption. Bio Organic Acids Another key commodity in the Chinese green chemicals market is bio organic acids. These are lactic acid and citric acid by fermentation. This feedstock-derived succinic acid is produced by companies like Shandong Landian Biological Technology for use as a food preservative and in biodegradable plastics. The Chinese government is working to make the industry involved in this much more efficient to gain wider industrial uses. Bio ketones start gaining crucial importance as intermediates in organic synthesis in the green chemicals sector of China. Institutes conducting researches into ways of making bio ketones from agricultural wastes and other biomass sources are now underway. This is generally consistent with national policy since circular economy practices are encouraged and dependence on petroleum-based chemicals is limited.

Bio Polymers are the new alternatives that emerge as alternatives due to their biodegradable nature, while lowering the environmental impact that common plastics have. PLA, derived from corn starch, is increasingly utilized in various applications for packaging and consumer goods. Companies such as NatureWorks now have partnering agreements with Chinese producers, increasing the output of PLA to meet the growing demand in the marketplace for green packaging solutions. Bio Solvents are more environmentally friendly, less toxic and in demand gradually. They go to industries involving paints, coatings, and cleaning products. Chinese manufacturers gradually increase their use of bio-based solvents produced from feedstocks derived from agriculture, in cooperation with the global move toward safer chemical solutions. Except for the most significant types, other types of products such as biogas and specialty chemicals acquired by biomass are very important in China's increase in the production of green chemicals. Innovations in research with the help of the government for sustainable practices, coupled with increasing awareness about environmental issues, puts at an advantageous position.

China is a locale that rapidly adapts green chemicals markets, as industries increasingly shift to be more sustainable as well as eco-friendly. Markets in this market include packaging, healthcare, pharmaceuticals and personal care products, construction, food and beverages, paints and coatings, and automotive. Packaging holds the edge of most adopting sustainable materials. Companies like Guangzhou Qineng Packaging Materials Co., Ltd. also produce biodegradable food containers out of sugarcane bagasse, sugar by-products that can substitute the plastics being left behind. Such innovations not only decrease plastic waste but offer a cheaper alternative to the commonly used food packaging materials. Similar policies have already been promulgated in China to induce a nationwide usage of green packaging, such as the "Plastic Ban," which aims to eliminate single-use plastics by 2025. This concept helps China's health-care industry produce drugs that are safe for the patients to use. For example, Sichuan Vinylon Works developed disinfectants that did not harm human beings or the environment yet were more potent in killing dangerous bacteria than those that could kill humans and the environment. The shift will help the nation stick to the ideology of healthy care while totally reducing harmful medical wastes. The pharmaceutical and personal care products sector has Chinese brands reformulating their products to get rid of chemicals that cause harm. One of the main cosmetic companies, Shanghai Jahwa United Co., Ltd. has come out with a series of organic skincare products based on natural ingredients and sustainable sourcing. Demand for China for green and ethical products will be burgeoning.



In low-VOC paints and green building materials, the construction industry is embracing green chemicals. Another example is the collaboration of the global chemical company BASF with Chinese companies to produce eco-friendly concrete technologies that use recycled content, reducing carbon emissions associated with traditional construction activities. Chinese companies in the food and beverages sector adopt compostable packaging and organic ingredients. In this category, an example is Wahaha Group, a major beverage manufacturer that developed plant-based bottles made from corn starch, which sets a pattern of commitment to sustainable production while responding to health-conscious consumers. China's paints and coatings industry is also changing since Nippon Paint offered low-VOC paints that enhance indoor air quality in a specific space. In so doing, the products address residential as well as commercial markets looking to build healthier environments and support the country's efforts to fight air pollution. In the automotive industry, the companies in China are now using bio-based materials even when producing vehicles. A giant automobile manufacturing company in China, SAIC Motor Corporation Limited, is now using recycled plastics in its car interiors for sustainability and improving vehicle performances.

Considered in this report
• Historic year: 2018
• Base year: 2023
• Estimated year: 2024
• Forecast year: 2029

Aspects covered in this report
• Green Chemicals market Outlook with its value and forecast along with its segments
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

By Product Type
• Bio Alcohols
• Bio Organic Acids
• Bio Ketones
• Bio Polymers
• Bio Solvents
• Others Product Types

By Applications
• Packaging
• Healthcare
• Pharmaceuticals & Personal Care Products
• Construction
• Food & Beverages
• Paints & Coatings
• Automotive
• Other Applications

The approach of the report:
This report consists of a combined approach of primary and secondary research. Initially, secondary research was used to get an understanding of the market and list the companies that are present in it. The secondary research consists of third-party sources such as press releases, annual reports of companies, and government-generated reports and databases. After gathering the data from secondary sources, primary research was conducted by conducting telephone interviews with the leading players about how the market is functioning and then conducting trade calls with dealers and distributors of the market. Post this; we have started making primary calls to consumers by equally segmenting them in regional aspects, tier aspects, age group, and gender. Once we have primary data with us, we can start verifying the details obtained from secondary sources.

Intended audience
This report can be useful to industry consultants, manufacturers, suppliers, associations, and organizations related to the Green Chemicals industry, government bodies, and other stakeholders to align their market-centric strategies. In addition to marketing and presentations, it will also increase competitive knowledge about the industry.