Dimethyl Carbonate Market- Global Industry Size, Share, Trends, Opportunity, and Forecast, Segmented By Grade (Industrial Grade, Battery Grade, Pharmaceutical Grade, Others), By Method of Preparation (Phosgenation of Methanol, Oxidative Carbonylation of Methanol, Transesterification of Urea, Direct Synthesis from CO2 & Methanol), By Application (Polycarbonate, Solvents, Reagents, Others), By End Use (Plastics, Paint & Coatings, Pharmaceuticals, Batteries, Agrochemicals, Others), By Region and Competition 2020-2030F

Market Overview

The Global Dimethyl Carbonate Market was valued at USD 1.55 billion in 2024 and is expected to reach USD 2.03 billion by 2030 with a CAGR of 4.51% during the forecast period.  The global dimethyl carbonate (DMC) market is experiencing steady growth, driven by its increasing applications across multiple industries, particularly in automotive, construction, and electronics. Dimethyl carbonate is an environmentally friendly chemical compound known for its low toxicity and biodegradable nature, making it a preferred alternative to conventional solvents and reagents. Its role as a versatile intermediate in the synthesis of polycarbonates, lithium-ion battery electrolytes, pharmaceuticals, and agrochemicals has positioned it as a key material in the transition toward sustainable industrial processes. One of the primary growth drivers for the market is the rising demand for polycarbonates, which are widely used in the automotive and electronics sectors. Polycarbonates produced using dimethyl carbonate offer superior strength, heat resistance, and transparency, making them suitable for applications such as automotive glazing, electrical components, and consumer electronics. Additionally, the expansion of the electric vehicle (EV) industry is significantly boosting demand for DMC, as it is an essential electrolyte solvent in lithium-ion batteries. With the global shift toward clean energy and green mobility, this application is expected to remain a major contributor to market growth.

Another important factor supporting market expansion is the growing emphasis on green chemistry and sustainable manufacturing. Dimethyl carbonate serves as a non-phosgene substitute in the production of polycarbonates, addressing environmental concerns associated with toxic raw materials. Moreover, regulatory frameworks in regions such as Europe and North America are encouraging the adoption of eco-friendly chemicals, further strengthening the position of DMC in global markets. In the Asia-Pacific region, particularly in China and India, rapid industrialization and investments in chemical manufacturing are driving consumption, supported by strong demand from construction, electronics, and automotive industries. In 2021, the price of one metric ton of battery-grade lithium carbonate in China stood at more than USD 43,700.

On the supply side, leading manufacturers are focusing on capacity expansions, process innovations, and strategic collaborations to strengthen their market presence. Key players are also investing in research and development to improve production efficiency and expand application areas for dimethyl carbonate. The market, however, faces certain challenges such as price fluctuations of raw materials, complex production processes, and competition from alternative chemicals. Despite these hurdles, ongoing advancements in production technologies and the growing adoption of DMC in energy storage and sustainable chemicals are expected to provide strong growth opportunities. For instance, In November 2021, Tangshan Chaoyang Chemical Co. Ltd. announced an investment of USD 93 million to expand its DMC production capacity.

Key Market Drivers

 Growth in the Automotive and Electronics Industries

The global dimethyl carbonate (DMC) market is witnessing robust growth, primarily fueled by the rapid expansion of the automotive and electronics industries. DMC, a versatile organic compound, is increasingly recognized for its applications as a green solvent, an intermediate in chemical synthesis, and a critical component in the production of advanced materials. Its eco-friendly profile, combined with its functionality across multiple industrial segments, positions it as a preferred choice for manufacturers striving to align with sustainable and high-performance production processes.

In the automotive sector, the growing shift toward electric vehicles (EVs) and high-performance batteries is significantly boosting demand for dimethyl carbonate. DMC is widely used as a key electrolyte solvent in lithium-ion batteries, which form the backbone of EVs, hybrid vehicles, and consumer electronics. The surge in global EV adoption, driven by stricter emission regulations, government incentives, and consumer preference for sustainable mobility solutions, is directly translating into higher consumption of DMC. Furthermore, its application in producing polycarbonate—a lightweight, durable material used in automotive interiors, headlamps, and safety equipment—is further strengthening its role in modern vehicle manufacturing. For instance, according to the Global EV Outlook 2022, consumers spent USD 250 billion on electric vehicle purchases in 2021, a 65% increase over 2021. Furthermore, Global sales of electric cars have kept rising strongly in 2022, with 2 million sold in the first quarter, up 75% from the same period in 2021.

Similarly, the electronics industry is emerging as another critical growth engine for the global dimethyl carbonate market. Rising consumer demand for smartphones, laptops, wearables, and energy storage devices has accelerated the need for high-capacity lithium-ion batteries, thereby expanding the consumption of DMC as a solvent. Moreover, polycarbonate derived from DMC finds extensive usage in electronics casings, optical storage media, and display panels, as manufacturers increasingly seek lightweight, heat-resistant, and transparent materials. The continuous innovation in electronic devices and the ongoing transition toward 5G-enabled smart technologies are expected to sustain this upward trend in DMC demand.

Adding to its growth momentum, the versatility of dimethyl carbonate is also gaining traction in coatings, paints, adhesives, and pharmaceutical applications. However, the automotive and electronics industries remain the leading demand centers, accounting for a major share of global consumption. With sustainability and energy efficiency becoming central to both industries, the importance of DMC as a safer, low-toxicity alternative to conventional solvents and chemical intermediates is only expected to increase.

The strong expansion of the automotive and electronics sectors is reshaping the growth trajectory of the global dimethyl carbonate market. As electric mobility, advanced electronics, and high-performance materials continue to evolve, the demand for DMC will remain on an upward trajectory. Manufacturers investing in capacity expansion and technological innovation stand to benefit the most from this accelerating market trend, further reinforcing the strategic importance of DMC in the global industrial landscape.

Rising Demand for Polycarbonate Production

The global Dimethyl Carbonate (DMC) market is witnessing robust growth, primarily fueled by the rising demand for polycarbonate production. Polycarbonate, a high-performance thermoplastic polymer, is extensively used in industries such as automotive, electronics, construction, and consumer goods due to its durability, transparency, and heat resistance. As industries increasingly prioritize lightweight, durable, and versatile materials, polycarbonate consumption has surged, directly driving the demand for DMC, a critical raw material in its manufacturing process.

Dimethyl carbonate serves as an eco-friendly carbonylation agent and is widely recognized as a safer and more sustainable alternative to phosgene-based production methods. In polycarbonate synthesis, DMC acts as an essential intermediate that ensures high-quality polymer production while reducing the environmental footprint. With global emphasis on sustainable chemical processes, the shift from traditional toxic raw materials to greener options like DMC is accelerating, further strengthening its market position. The automotive sector is a key growth driver, as manufacturers increasingly adopt polycarbonate to replace metals and glass in components such as headlamp lenses, windows, and lightweight structural parts. The demand for fuel efficiency and reduced carbon emissions has made lightweighting a top priority, boosting polycarbonate applications and, consequently, DMC consumption. Similarly, the electronics industry’s growing reliance on durable and heat-resistant materials for smartphones, laptops, and other devices is enhancing polycarbonate adoption, thereby supporting steady DMC demand.

The construction and infrastructure sector has emerged as another significant contributor. Polycarbonate sheets are extensively used in roofing, glazing, and insulation due to their transparency and impact resistance. As urbanization and infrastructure projects expand globally, demand for such materials is increasing, creating a ripple effect on DMC consumption. Moreover, the growing focus on green chemistry and regulatory support for sustainable practices are reinforcing the importance of dimethyl carbonate. Its lower toxicity, biodegradability, and versatility make it an attractive choice not only in polycarbonate production but also in other applications such as solvents, lithium-ion battery electrolytes, and pharmaceuticals. However, polycarbonate remains the largest and most influential demand segment, cementing DMC’s role in the global market growth trajectory. The global dimethyl carbonate market is expected to expand steadily, with polycarbonate production continuing to dominate demand. As industries align with sustainability goals and invest in advanced manufacturing processes, the role of DMC as a critical, eco-friendly intermediate will become increasingly central to the growth of multiple end-use sectors.

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Key Market Challenges

High Raw-Material Volatility

One of the foremost challenges is raw material price volatility. DMC production relies heavily on methanol and carbon monoxide, both of which are influenced by crude oil price fluctuations and supply chain disruptions. Any instability in these inputs directly affects production costs, making pricing inconsistent and reducing profit margins for manufacturers. This unpredictability creates challenges for long-term supply agreements and contracts with end-users in industries such as automotive and electronics.

Key Market Trends

Technological Advancements

The global dimethyl carbonate (DMC) market is witnessing strong growth, largely fueled by rapid technological advancements that are transforming both production processes and application areas. Dimethyl carbonate, a versatile organic compound, is widely used as a solvent, methylating agent, and an intermediate in chemical synthesis. With industries moving toward greener alternatives and high-performance materials, new technologies are playing a crucial role in expanding the scope of DMC across multiple sectors, including automotive, electronics, and pharmaceuticals. One of the key technological drivers in the market is the advancement in environmentally friendly production processes. Traditional methods of manufacturing DMC often involved hazardous substances such as phosgene, posing significant risks to both human health and the environment. However, the development of non-phosgene routes, including oxidative carbonylation and transesterification methods, has revolutionized DMC production. These processes reduce emissions, enhance safety, and improve cost-efficiency, making them increasingly attractive for large-scale industrial adoption. Such innovations not only strengthen sustainability credentials but also align with global regulatory frameworks promoting low-carbon and eco-friendly chemical production.

Technological advancements are also enhancing the performance characteristics of DMC in downstream applications. In the automotive sector, dimethyl carbonate is emerging as a preferred electrolyte solvent for lithium-ion batteries, a field experiencing exponential demand with the rise of electric vehicles (EVs). Research into advanced electrolyte formulations using DMC is enabling better energy density, longer cycle life, and improved safety of batteries, directly supporting the rapid transition toward clean mobility. Similarly, in the coatings and adhesives industry, advancements in formulation technologies are driving the use of DMC as a low-toxicity, biodegradable solvent, replacing traditional petrochemical-based solvents. Furthermore, innovation in chemical engineering is expanding DMC’s role as a sustainable feedstock in polycarbonate production. The conventional use of phosgene in polycarbonate manufacturing is being replaced by DMC-based processes, which provide a cleaner and safer alternative. With the global demand for lightweight and durable plastics in electronics, construction, and packaging on the rise, these technological improvements are positioning DMC as a key enabler of next-generation materials.

In addition, the pharmaceutical industry is benefiting from advancements in catalytic processes that enable the efficient use of DMC as a methylating agent in drug synthesis. The adoption of greener chemistry principles is driving the replacement of more hazardous reagents, and DMC is increasingly being recognized as a cost-effective, sustainable, and versatile substitute. Rising technological advancements are creating new opportunities and reshaping the competitive landscape of the global dimethyl carbonate market. By enabling safer, cleaner, and more efficient production and expanding application potential across diverse industries, these innovations are establishing DMC as a strategic chemical for the future. As industries continue to invest in sustainability and high-performance solutions, the demand for technologically advanced DMC is expected to grow significantly in the years ahead.

Segmental Insights

Grade Insights

Based on the grade, the Pharmaceutical Grade segment has emerged as the fastest-growing segment in the Global Dimethyl Carbonate Market in 2024, due to its expanding applications in the production of active pharmaceutical ingredients (APIs), drug intermediates, and excipients. Pharmaceutical grade DMC offers high purity, low toxicity, and excellent solvent properties, making it an ideal choice for synthesizing high-value compounds in the pharmaceutical sector. The rising demand for cleaner, safer, and environmentally friendly solvents is driving manufacturers to shift toward DMC as a sustainable alternative to traditional solvents such as phosgene and dimethyl sulfate. Furthermore, the growth of the global pharmaceutical industry, fueled by increasing healthcare expenditures, rising prevalence of chronic diseases, and rapid drug innovation, is significantly boosting demand for pharmaceutical grade DMC. Stringent regulatory emphasis on the use of green chemistry in drug production also supports this trend, positioning pharmaceutical grade DMC as a preferred and fast-expanding market segment.

Application Insights

Based on Application, the Polycarbonate segment has emerged as the fastest-growing segment in the Global Dimethyl Carbonate Market in 2024, primarily due to the rising demand for lightweight, durable, and versatile materials across multiple industries. Polycarbonates, produced using DMC as a key intermediate, are widely utilized in automotive, construction, electrical, and consumer electronics applications owing to their excellent transparency, thermal resistance, and impact strength. The automotive sector, in particular, is driving growth as manufacturers increasingly adopt polycarbonate to reduce vehicle weight and enhance fuel efficiency, supporting global sustainability and emission-reduction targets. Additionally, the expanding electronics industry, fueled by rising consumer demand for smartphones, laptops, and other devices, is creating significant demand for polycarbonate-based components. The growing focus on renewable and environmentally friendly raw materials has further strengthened the use of DMC in polycarbonate production, as it provides a safer, phosgene-free alternative, thereby accelerating market growth in 2024.

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Regional Insights

Asia Pacific has emerged as the fastest-growing region in the Global Dimethyl Carbonate Market in 2024 primarily due to rapid industrial expansion, strong demand from key end-use industries, and supportive government initiatives. The region’s booming automotive and electronics sectors, particularly in China, India, Japan, and South Korea, are fueling demand for DMC as a key raw material in lithium-ion batteries, polycarbonate plastics, and solvents. The accelerating adoption of electric vehicles (EVs) and renewable energy storage solutions has further amplified consumption, given DMC’s critical role as an electrolyte solvent in lithium-ion batteries. Additionally, favorable government policies promoting green chemistry and sustainable raw materials have encouraged industries to shift toward DMC as an eco-friendly alternative to traditional solvents and carbonylating agents. Expanding chemical manufacturing capabilities, lower production costs, and abundant availability of raw materials in Asia Pacific are further strengthening the region’s position as the fastest-growing market globally. Asahi Kasei Corp. commercialized a process to manufacture polycarbonate (PC) using CO₂ as main feedstock.

Recent Development

• In February 2025, UBE Corporation hosted a groundbreaking ceremony for its new dimethyl carbonate (DMC) and ethyl methyl carbonate (EMC) facility in Louisiana, United States.
• In November 2024, Jiangsu Sailboat Petrochemical (Sailboat) commenced commercial operations at its new carbonates plant in Lianyungang, Jiangsu Province, China. The facility employs technology licensed from Asahi Kasei to manufacture high-purity ethylene carbonate (EC) and dimethyl carbonate (DMC), utilizing carbon dioxide (CO₂) as a primary feedstock. Both products serve as key electrolyte solvents for lithium-ion batteries used in electric vehicles.
• In December 2023, Hualu Hengsheng commenced full-scale operations at its newly developed high-end solvent facility. A key highlight of this project is the large-scale production of dimethyl carbonate (DMC), supported by two new plants with a combined annual capacity of 600,000 tons. Backed by an investment of approximately USD 144 million, this expansion enhances Hualu Hengsheng’s competitiveness by broadening its product portfolio and reinforcing its presence in the battery materials sector. By supplying battery-grade DMC at scale, the company is strategically positioning itself as a leading player in the global lithium-ion battery supply chain.
• In February 2022, Lotte Chemical unveiled a strategic investment of approximately USD 502 million to strengthen its specialty materials portfolio, with an emphasis on battery-related chemicals and sustainability-focused technologies. As part of this initiative, the company plans to establish a new production facility in Daesan, South Korea, dedicated to manufacturing high-purity ethylene carbonate (EC) and dimethyl carbonate (DMC)—critical organic solvents used in lithium-ion battery electrolytes. The investment also encompasses the development of a carbon capture and utilization (CCU) facility capable of capturing and liquefying 200,000 tons of CO₂ annually. The captured CO₂ will be integrated into the production of EC and DMC, while also serving as a raw material for semiconductor cleaning solutions.

Key Market Players

• UBE Industries LTD.
• Shandong Shida Shenghua Chemical Group Co. Ltd.
• KOWA American Corporation
• Qingdao Aspirit Chemical Co. Ltd.
• Shandong Haike Chemical Industry Group Co. Ltd.
• Shandong Depu Chemical Industry Science & Technology Co. Ltd.
• Dongying City Longxing Chemical Co. Ltd.
• Shandong Feiyang Chemical Co. Ltd.
• Alfa Aesar
• Hefei TNJ Chemical Industry Co. Ltd.

Report Scope

In this report, global dimethyl carbonate market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• Dimethyl Carbonate Market, By Grade:
• Industrial Grade
• Battery Grade
• Pharmaceutical Grade
• Others
• Dimethyl Carbonate Market, By Method of Preparation:
• Phosgenation of Methanol
• Oxidative Carbonylation of Methanol
• Transesterification of Urea
• Direct Synthesis from CO₂ & Methanol
• Dimethyl Carbonate Market, By Application:
• Polycarbonate
• Solvents
• Reagents
• Others
• Dimethyl Carbonate Market, By End Use:
• Plastics
• Paint & Coatings
• Pharmaceuticals
• Batteries
• Agrochemicals
• Others
• Dimethyl Carbonate Market, By Region:
• North America
• United States
• Mexico
• Canada
• Europe
• France
• Germany
• United Kingdom
• Spain
• Italy
• Netherlands
• Russia
• Asia-Pacific
• China
• India
• South Korea
• Japan
• Taiwan
• Thailand
• South America
• Brazil
• Argentina
• Middle East & Africa
• South Africa
• Saudi Arabia
• UAE
• Israel

Competitive landscape

Company Profiles: Detailed analysis of the major companies present in Global Dimethyl Carbonate Market.

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Company Information

• Detailed analysis and profiling of additional market players (up to five).

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