White oil market seen hitting $3.1 billion by 2031

Allied Market Research says the global white oil market is set to grow from $2.2 billion in 2021 to $3.1 billion by 2031, led by demand from plastic, polymer and pharmaceutical uses. Asia-Pacific held the biggest share in 2021 and is forecast to stay the fastest-growing region.

Why it matters: - White oil is used in plastic and polymer manufacturing, pharmaceuticals, food products, personal care and textiles, so the market’s growth tracks broad industrial and consumer demand. - The market’s projected rise to $3.1 billion by 2031 signals steady demand even as high production costs remain a restraint. - Plastic packaging and pharmaceutical production are among the end markets likely to benefit most.

What happened: - Allied Market Research projected the global white oil market will reach $3.1 billion by 2031, up from $2.2 billion in 2021. - The report puts the forecast period growth rate at 3.7%. - The study covers white oil by grade and by application across 2021-2031. - The full sample pages are available online.

The details: - The plastic and polymer manufacturing sector is the main growth driver for white oil demand. - White oil is used in making materials such as polystyrene and polyolefins. - Higher production costs could slow market expansion. - Rising packaged food demand is increasing the need for plastic packaging, which supports white oil use. - The pharmaceutical grade segment held nearly three-fifths of global revenue in 2021. - Pharmaceutical grade is forecast to grow at a 3.9% CAGR through 2031. - Growth in that segment is linked to chronic disease prevalence, higher pharmaceutical output and stronger research and development spending. - The pharmaceuticals application segment accounted for about one-third of the market in 2021. - Pharmaceuticals use is projected to grow at a 4.1% CAGR during the forecast period. - Higher healthcare spending in developed and emerging economies is supporting demand for pharmaceutical formulations. - Asia-Pacific held nearly 50% of global revenue in 2021. - Asia-Pacific is forecast to grow at a 4.1% CAGR between 2021 and 2031. - Rapid industrialization, expanding pharmaceutical manufacturing and rising consumer awareness of personal care, beauty and grooming products are supporting regional growth.

Between the lines: - The report points to white oil as a niche ingredient with exposure to several high-volume markets, which can help stabilize demand. - The fastest growth is concentrated in pharmaceuticals, suggesting the market is becoming more tied to regulated, higher-value applications. - Asia-Pacific’s lead shows the market is following manufacturing capacity and consumer-product growth rather than mature Western demand.

What's next: - Allied Market Research expects companies to keep competing through partnerships, collaborations, mergers, acquisitions and product expansion. - Key market players include Asian Oil Company, Lanxess, Royal Dutch Shell Plc, TotalEnergies, Nandan Petrochem Ltd., Savita, Castrol Limited, Lodha Petro, Sonneborn LLC, Exxon Mobil Corporation, Renkert Oil, Eastman Chemical Company, Adinath Chemicals, Chevron USA Inc. and China Petroleum & Chemical Corporation (Sinopec). - Companies seeking more data and graphs can access the purchase options page.

The bottom line: - White oil demand is on track to rise steadily through 2031, with plastics, pharmaceuticals and Asia-Pacific doing most of the heavy lifting.