The localization rate of photoresist continues to increase, driving the development of propylene glycol methyl ether acetate (PGMEA) industry

Propylene glycol methyl ether acetate (PGMEA), also known as propylene glycol monomethyl ether acetate, is a high-grade solvent. It has both non-polar and polar parts in the same molecule, so it is not suitable for non-polar substances. and polar substances have certain solubility. As a low-toxic advanced industrial solvent, PGMEA is currently used in inks, coatings, textile dyes, paints and other fields, and the industry has developed to a certain extent.

As far as the specific application market is concerned, inks and coatings currently have high demand for PGMEA and are the main application areas. In recent years, my country’s ink and coating industry has developed steadily, and PGMEA has been relatively stable in this field. PGMEA is mainly used as a solvent in the field of photolithography machines, and its content in photoresist reaches more than 80%. With the rapid development of the electronics industry, my country has conducted in-depth research on photoresists, and has achieved partial domestic substitution in LCD photoresists, PCB photoresists and semiconductor photoresists, which is conducive to the development of the PGMEA industry.

According to the “China Propylene Glycol Methyl Ether Acetate (PGMEA) Industry Application Market Demand and Development Opportunities Research Report 2021-2026” released by the Industrial Research Center shows that driven by the development of coatings, photoresist and other industries, my country’s PGMEA production capacity continues to rise, growing to 390,000 tons in 2019, with an output of approximately 250,000 tons, becoming the world’s largest PGMEA producing country, with output accounting for the world’s largest About 35% of total output. On the demand side, my country’s apparent consumption of PGMEA in 2019 was approximately 260,000 tons, and supply and demand tended to be balanced. According to the current development status of the PGMEA industry, it is expected that my country’s PGMEA production capacity will continue to grow, reaching 550,000 tons in 2024, with an output of approximately 360,000 tons.

Globally, the PGMEA industry is in a stable development trend, and the market size is growing slowly. In 2020, the global PGMEA market size will be approximately US$150 million. It is expected that the market size will reach US$220 million by 2025, with a compound annual growth rate of about 8%.

my country’s PGMEA production capacity is mainly concentrated in East China and South China. The production capacity in East China accounts for a relatively high proportion, about 36%. The production companies include Baichuan Co., Ltd., Ruijia Chemical, Yida Chemical, Warren, Dana International, etc. In the global market, PGMEA manufacturers include Dow Chemical, Shell Chemical Company, LyondellBasell Industries, Eastman Chemical, etc. The above four companies account for more than half of the global market share.

Industry analysts said that PGMEA, as a high-grade solvent, has a wide range of applications. However, with the slowdown of the global coatings and ink industry , PGMEA market demand remains stable, and market supply and demand are basically balanced. In the domestic market, photoresist is the main demand growth driver for PGMEA. With the increase in the localization rate of photoresist in my country in recent years, the PGMEA industry has developed rapidly. In terms of production, my country has become a major producer of PGMEA and has excess production capacity. However, benefiting from the development of the photoresist industry, new production capacity will appear in the next few years, and competition in the PGMEA market will become increasingly fierce.