my country’s neopentyl glycol (NPG) production capacity continues to expand and the industry’s localization process accelerates

​​ ​​Neopentyl glycol (NPG), also known as 2,2-dimethyl-1,3-propanediol, has a molecular formula of C5H12O2 and is an organic compound. Neopentyl glycol appears as a white crystalline solid, odorless, and is easily soluble in lower alcohols, lower ketones, ethers, water and aromatic compounds. Neopentyl glycol has the characteristics of weather resistance, hygroscopicity and chemical resistance, and is widely used in surfactants, plasticizers, synthetic resins, medicine and other fields.

The synthesis methods of neopentyl glycol include hydrogenation method and sodium formate method. The hydrogenation method refers to using formaldehyde and isobutyraldehyde as the main raw materials, producing hydroxypivalaldehyde through condensation reaction, and then hydrogenating and reducing it to obtain neopentyl glycol; the sodium formate method refers to using isobutyraldehyde and isobutyraldehyde under the action of an alkali catalyst. Formaldehyde undergoes a condensation reaction in the temperature range of 30-35°C, and then undergoes distillation, extraction, cooling, separation and other processes to obtain the finished product. The hydrogenation method has the advantages of less by-products, high yield of finished products, low raw material consumption, and low production cost, and is the mainstream synthesis method of neopentyl glycol.

Isobutyraldehyde is the raw material for neopentyl glycol and accounts for the main production cost. Isobutyraldehyde is an organic compound that appears as a colorless and transparent liquid. As an important organic chemical raw material, it is widely used in the production of antioxidants, neopentyl glycol, isobutyric acid and other products. In recent years, affected by the epidemic, the overall supply of isobutyraldehyde in my country has exceeded demand, driving the market price of neopentyl glycol to continue to rise.

​​​​Neopentyl glycol is mainly used in surfactants, plasticizers, synthetic resins, medicine and other fields. In the field of synthetic resins, neopentyl glycol can be used to produce polyester resins, alkyd resins, unsaturated polyester resins, etc.; in the pharmaceutical field, neopentyl glycol is the main raw material for the production of the analgesic ibuprofen. Benefiting from the accelerated development of downstream industries, my country’s neopentyl glycol production capacity has rapidly expanded and output has continued to grow. According to the “2023-2028 China Neopentyl Glycol (NPG) Industry Market In-depth Research and Development Prospects Forecast Report》shows that my country’s neopentyl glycol production capacity will reach 593,000 tons in 2022, a year-on-year increase of 13.6%.

There are many neopentyl glycol manufacturers in my country, and the market competition is fierce. Satellite Chemical, China Resources Materials, Wanhua Chemical, Huachang Chemical, Shenjian Co., Ltd., Baichuan Co., Ltd., Guanghua Co., Ltd. are the main producers of neopentyl glycol in my country. In the early stages of industry development, my country’s neopentyl glycol market was dominated by overseas companies, including Germany’s BASF Group, South Korea’s LG Group, and Japan’s Mitsubishi Group. As local companies continue to make breakthroughs in production technology, my country’s neopentyl glycol localization process continues to accelerate.

Industry analysts said that neopentyl glycol has a wide range of uses and strong market demand. In recent years, with the continuous breakthroughs in my country’s production technology, neopentyl glycol production capacity has continued to expand and output has continued to grow. In terms of market competition, there are many neopentyl glycol manufacturers in my country, and the competitiveness of local companies is constantly increasing, and they are expected to gain a say in the global market in the future.