Bio-polybutadiene Market – Global Industry Size, Share, Trends, Opportunity, & Forecast, Segmented By Type (High Cis Polybutadiene, Lithium-Based Polybutadiene, and High Vinyl Bio Polybutadiene), By Source (liquid cracker's C4 fraction, Butane/Butene dehydrogenation, Non-food biomass, Sugar, and Glycerin), By End User (Automotive Industry, Packaging Industry, Construction & Infrastructure, Consumer Goods, and Others), By Region, Competition, 2020-2030F

Market Overview

The Global Bio-polybutadiene Market, valued at USD 0.53 Billion in 2024, is projected to experience a CAGR of 11.25% to reach USD 1.00 Billion by 2030. Bio-polybutadiene is a synthetic rubber derived from renewable biomass sources, serving as a sustainable alternative to conventional petroleum-based polybutadiene. The market's expansion is primarily driven by increasing global emphasis on environmental sustainability, supportive regulatory frameworks promoting bio-based materials, and the automotive industry's rising demand for eco-friendly tire components. According to the nova-Institute, a leading expert group on bio-based polymers, in 2024, the total production volume of bio-based polymers, a category encompassing bio-polybutadiene, reached 4.2 million tonnes.

However, a significant impediment to widespread market adoption remains the relatively higher production cost of bio-polybutadiene when compared to its petroleum-derived counterparts, presenting a key economic challenge for manufacturers and consumers alike.

Key Market Drivers

The Global Bio-polybutadiene Market is significantly influenced by stringent environmental regulations and sustainability mandates, which are compelling industries to adopt bio-based alternatives to reduce carbon footprints and reliance on fossil fuels. These regulations often include binding targets for renewable content in various products and fuels. For instance, according to the revised Renewable Energy Directive (RED II rev), published by ePURE in June 2024, a binding combined sub-target for renewable fuels of non-biological origin and advanced biofuels from Annex IX Part A is set at a minimum of 1% in 2025, rising to 5.5% by 2030 after double counting. Concurrently, the expansion of the automotive industry and sustainable tire manufacturing serves as another pivotal driver. Tire manufacturers are actively seeking bio-based materials to meet consumer demand for eco-friendly vehicles and components, as well as their own ambitious sustainability goals. According to Continental AG's announcement in June 2025, the share of renewable and recycled materials in its tire production averaged 26% in 2024, with expectations to increase by 2 to 3 percentage points by the end of 2025.

This dual pressure from regulatory bodies and key industrial consumers, particularly within the automotive sector, is accelerating innovation and investment in bio-polybutadiene production. The market is witnessing concrete steps toward commercialization and scaling of bio-based butadiene technologies. Reflecting this growth and strategic commitment, according to Synthos, as noted in a November 2024 article by Tyre Trends, the company is committed to building a bio-butadiene plant with a capacity of 40,000 metric tons per year. These developments underscore a clear trajectory towards increased adoption of bio-polybutadiene as a vital component in achieving industry-wide sustainability objectives.

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Key Market Challenges

The relatively higher production cost of bio-polybutadiene when compared to its petroleum-derived counterparts presents a significant economic challenge for manufacturers and consumers alike. This elevated cost structure directly hinders the widespread adoption and market penetration of bio-polybutadiene. Manufacturers face reduced profit margins when producing bio-based alternatives, which can limit investment in scaling up production capacities and improving technologies. This situation often necessitates higher selling prices for bio-polybutadiene products, making them less competitive in comparison to established, lower-cost fossil-based options.

The substantial scale of the conventional rubber market further exacerbates this cost disadvantage. According to the International Rubber Study Group (IRSG), over 60 million tons of natural and synthetic rubber were consumed globally in 2023, with approximately 45% allocated to automotive tire manufacturing. Against such a vast, price-sensitive market dominated by cost-effective traditional synthetic rubbers, the higher pricing of bio-polybutadiene limits its appeal, particularly in high-volume applications like tires where even minor cost differences significantly influence procurement decisions. This pricing disparity restricts market share growth and slows the transition towards sustainable rubber solutions.

Key Market Trends

The Global Bio-polybutadiene Market is experiencing significant shifts driven by innovative trends extending beyond the automotive industry's traditional focus. Two prominent trends shaping this evolution are the diversification of application areas beyond tires and the expansion of biomass feedstock diversification.

Diversification of Application Areas Beyond Tires
The bio-polybutadiene market is increasingly expanding its reach into various non-tire sectors, moving beyond its primary use in automotive tires. This trend is driven by the material's properties, such as excellent abrasion resistance, flexibility, and sustainability benefits, which make it suitable for a wider range of industrial and consumer products. For instance, bio-polypolybutadiene is finding applications in industrial belts and hoses, footwear soles, seals, gaskets, and as an impact modifier in plastics like high-impact polystyrene (HIPS) and acrylonitrile-butadiene-styrene (ABS) resins. This expansion is crucial for broadening market opportunities and reducing reliance on a single end-use sector. According to the European Rubber Journal in its November 2024 insights, the use of polybutadiene as an impact modifier for polystyrene and ABS resins has been a significant application beyond tires, highlighting the material's versatility. The demand for low-cis bio-polybutadiene, for example, is growing due to its increasing use in polymer modification and industrial rubber manufacturing.

Expanding Biomass Feedstock Diversification
The market is witnessing a critical trend toward utilizing a wider array of biomass feedstocks for bio-butadiene production. This diversification reduces reliance on specific agricultural resources, enhances supply chain resilience, and allows for the utilization of abundant, non-food competing biomass. Researchers and companies are exploring various sustainable sources, including agricultural residues, forestry waste, non-food crops, and even industrial waste gases. This approach not only addresses sustainability concerns but also helps stabilize raw material costs. In January 2024, LanzaTech announced a strategic partnership with Bridgestone Corporation to develop carbon capture-based bio-butadiene production, specifically utilizing industrial waste gases as feedstock for sustainable synthetic rubber manufacturing. This illustrates a significant move towards leveraging diverse and unconventional biomass sources, thereby strengthening the long-term viability and environmental profile of bio-polybutadiene production. According to the World Bioenergy Association's Global Bioenergy Statistics Report 2024, biomass supplied 54 EJ globally in 2021, with 85% from solid biomass, demonstrating the vast potential for diversified feedstock utilization in bio-based chemical production.

Segmental Insights

In the Global Bio-polybutadiene Market, High Cis Polybutadiene stands out as the fastest-growing segment, primarily driven by its exceptional performance characteristics and increasing adoption in critical applications. This segment's rapid expansion is attributed to its superior elasticity, resilience, and high tensile strength, which are essential for products demanding both flexibility and durability. Notably, its significant use in tire manufacturing is a key growth factor, offering enhanced traction, reduced rolling resistance, and extended tire life, contributing to improved fuel efficiency and overall vehicle performance. Furthermore, High Cis Polybutadiene offers excellent wear resistance and retains flexibility at low temperatures, making it a preferred, sustainable alternative to traditional petrochemical-based polybutadiene across various industrial sectors.

Regional Insights

Asia Pacific leads the global bio-polybutadiene market due to its robust and well-established manufacturing infrastructure for synthetic rubber, facilitating efficient production and supply. The region's significant automotive industry, particularly in countries like China, India, and Japan, drives substantial demand for bio-polybutadiene for tire manufacturing and other rubber products. This demand is further amplified by a growing regional emphasis on sustainable materials and governmental initiatives aimed at reducing carbon emissions. Moreover, rapid industrialization and competitive manufacturing costs across the Asia Pacific further underpin its market leadership, attracting considerable investment and production capabilities.

Recent Developments

• In February 2025, Zeon Corporation and The Yokohama Rubber Co., Ltd. initiated a collaboration to advance sustainable butadiene production. Their joint project, recognized by Japan's New Energy and Industrial Technology Development Organization (NEDO) as a Green Innovation Fund initiative, focuses on developing high-efficiency technology to produce butadiene from bioethanol and other plant-based renewable sources. This partnership is a strategic move to reduce the reliance on petroleum-derived raw materials in synthetic rubber manufacturing, aligning with global decarbonization goals and the increasing demand for bio-based polybutadiene in the tire industry.

• In November 2024, Bridgestone announced a breakthrough in research for a novel method of producing butadiene. The company received USD 9.3 million in federal funding to investigate the conversion of ethanol into butadiene, a crucial component for synthetic rubber used in tires. This research, conducted at a new plant in Akron, Ohio, aims to establish a more sustainable and cost-effective production process compared to traditional fossil fuel-derived methods. The pilot project seeks to assess the commercial viability and environmental impact of this ethanol-to-butadiene conversion, signaling a significant step towards a more sustainable supply chain for tire manufacturing and the broader bio-polybutadiene market.

• In March 2024, Braskem launched a new bio-based synthetic rubber production line in Brazil. This facility utilizes sugarcane-derived feedstocks to produce bio-butadiene, primarily for automotive applications. This development aligns with the growing industry demand for sustainable and eco-friendly materials, especially as the automotive sector seeks to lower its carbon footprint. The introduction of this production line supports the expansion of bio-butadiene applications, contributing to the global shift towards greener manufacturing processes in the chemical and rubber industries.

• In January 2024, Michelin, in collaboration with IFP Energies Nouvelles (IFPEN) and Axens, inaugurated the first industrial-scale demonstrator plant in France for producing bio-based butadiene. Located at Michelin's site in Bassens near Bordeaux, this facility was developed under the BioButterfly project, which aims to develop and commercialize butadiene from bioethanol derived from biomass. The plant has a production capacity of 20 to 30 metric tons per year and represents a significant advancement in establishing a bio-based synthetic elastomer industry. This initiative supports the acceleration of the bio-based butadiene sector and paves the way for the commercialization of sustainable synthetic rubber production without reliance on fossil resources.

Key Market Players

• Arlanxeo Holding BV
• Kuraray Co. Ltd.
• Global Bioenergies Group Ltd.
• Genomatica Inc.
• Michelin Corporation
• Lanxess Corporation
• Evonik Industries AG
• Arlanxeo (Saudi Aramco)
• Royal DSM BV.
• Green Biologics Inc.

Report Scope:

In this report, the Global Bio-polybutadiene Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• Bio-polybutadiene Market, By Type:

o   High Cis Polybutadiene

o   Lithium-Based Polybutadiene

o   High Vinyl Bio Polybutadiene

• Bio-polybutadiene Market, By Source:

o   Liquid cracker's C4 fraction

o   Butane/Butene dehydrogenation

o   Non-food biomass

o   Sugar

o   Glycerin

• Bio-polybutadiene Market, By End User:

o   Automotive Industry

o   Packaging Industry

o   Construction & Infrastructure

o   Consumer Goods

o   Others

• Bio-polybutadiene Market, By Region:

o   North America

§  United States

§  Canada

§  Mexico

o   Europe

§  France

§  United Kingdom

§  Italy

§  Germany

§  Spain

o   Asia Pacific

§  China

§  India

§  Japan

§  Australia

§  South Korea

o   South America

§  Brazil

§  Argentina

§  Colombia

o   Middle East & Africa

§  South Africa

§  Saudi Arabia

§  UAE

Competitive Landscape

Company Profiles: Detailed analysis of the major companies presents in the Global Bio-polybutadiene Market.

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Company Information

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