|
Forecast Period
|
2024-2028
|
|
Market Size (2022)
|
USD 5.63 billion
|
|
CAGR (2023-2028)
|
5.70%
|
|
Fastest Growing Segment
|
Emollients & Moisturizers
|
|
Largest Market
|
Midwest
|
Market Overview
United States Cosmetic Chemicals Market has valued
at USD 5.63 billion in 2022 and is anticipated to grow with a CAGR of 5.70%
through 2028. United States Cosmetic Chemicals market growth is driven by
increasing demand for personal care products, Product innovation and
technological advancements, growing awareness of health and wellness, rising
disposable income and urbanization, and growing domestic demand for
functionality products like anti-aging and UV absorbing cosmetic. As per Zippia
statistics, annually peoples of the United States spend approximately USD89.7
billion on beauty products. The United States cosmetic chemicals market plays a
vital role in the formulation of cosmetic and personal care products. Cosmetic
chemicals are essential ingredients used to create various products, including
skincare items, haircare products, fragrances, and makeup. They serve multiple
purposes, such as providing texture, enhancing performance, preserving shelf
life, and delivering specific benefits like moisturization, UV protection, or
anti-aging properties. Cosmetic chemicals are necessary for formulating diverse
cosmetic products. They are used in specific proportions and combinations to create
desired textures, consistencies, and functionalities. For example, emulsifiers
are used to stabilize oil and water mixtures in creams and lotions, while
surfactants provide foaming and cleansing properties in shampoos and body
washes.
Key Market Drivers
Increasing Demand for Personal Care Products is Key
Factor Driving the United States Cosmetic Chemicals Market Growth
The increasing demand for personal care products is
a significant driver behind the growth of the United States cosmetic chemicals
market. This demand stems from various factors, including evolving beauty
trends, changing consumer preferences, and an emphasis on personal grooming and
appearance. Personal care products are the largest segment of the cosmetics
industry, with a market volume of USD 253.3 billion. They make up 44.4% of the
total market. The demand for personal care products encompasses a wide range of
categories, including skincare, haircare, fragrances, and makeup. Each category
requires specific cosmetic chemicals for formulation. For example, skincare
products may require moisturizing agents, antioxidants, or active ingredients
for targeted benefits, while haircare products may require surfactants,
conditioning agents, or styling polymers. The diverse product range fuels the
demand for a wide variety of cosmetic chemicals. Consumers are increasingly
conscious of their appearance, well-being, and self-care routines.
They seek
products that address their specific needs and preferences. This awareness has led
to a surge in demand for cosmetic products that offer targeted solutions, such
as anti-aging, sun protection, natural or organic formulations, and
cruelty-free options. The formulation of such products requires specialized
cosmetic chemicals to deliver the desired benefits, leading to increased demand
in the market. Beauty and wellness
trends play a significant role in driving the demand for personal care
products. Social media platforms, beauty influencers, and celebrities have a
considerable influence on consumer preferences and purchasing decisions. Trends
like clean beauty, K-beauty, natural ingredients, and sustainable packaging
have gained popularity. To meet these trends, cosmetic manufacturers rely on
specific cosmetic chemicals that align with these preferences and formulate
products accordingly. The cosmetics industry is highly competitive, and
companies constantly strive to innovate and introduce new products to capture
consumer attention. This drive for innovation fuels the need for novel cosmetic
chemicals that enable the development of unique and effective formulations.
Manufacturers seek cosmetic chemicals that offer enhanced performance, texture,
stability, and novel functionalities, helping them stay ahead in the market and
meet consumer demands. The demand for personal care products is not limited to
women; there is also a growing market for male grooming products. Men are
increasingly investing in skincare, haircare, and grooming products, creating
new opportunities for cosmetic manufacturers. This expansion in the male
grooming market drives the demand for cosmetic chemicals tailored to meet the
specific needs and preferences of male consumers. Therefore. Manufacturers rely
on cosmetic chemicals to create diverse and innovative formulations that cater
to the evolving needs and preferences of consumers in the personal care
industry. Hence, all the above-mentioned factor is expected to propel the
demand for United States cosmetic chemicals market growth.
Growing Domestic Demand for Functionality Cosmetic
Products is Driving the United States Cosmetic Chemicals Market Growth
The growing domestic demand for functionality
cosmetic products is a significant driver behind the growth of the United
States cosmetic chemicals market. Functionality cosmetic products refer to
those that offer specific benefits or functionalities beyond traditional
cosmetic attributes. Consumers are seeking cosmetic products that go beyond
basic aesthetics and offer additional functionalities. They are looking for
products that provide specific benefits such as anti-aging properties, sun
protection, hydration, brightening, or blemish control. These products require
the incorporation of specialized cosmetic chemicals that deliver the desired
functionalities, driving the demand in the market. Technological innovations in
the cosmetic industry have opened new avenues for functionality cosmetic
products. For example, the use of encapsulation technology allows the
controlled release of active ingredients, providing long-lasting benefits.
Nanotechnology enables the development of cosmetic chemicals with enhanced
penetration capabilities, improving the effectiveness of skincare products.
These technological advancements rely on specialized cosmetic chemicals,
thereby driving their demand in the market.
Functionality cosmetic products
often incorporate active ingredients that offer targeted benefits. These can
include antioxidants, peptides, retinol, hyaluronic acid, and botanical
extracts, among others. The formulation of products with specific
functionalities requires the use of cosmetic chemicals that enable the
stability, efficacy, and delivery of these active ingredients. The growing
demand for specialized formulations drives the need for corresponding cosmetic
chemicals. The United States has a significant market for anti-aging and
skincare products. Consumers are increasingly investing in skincare routines
and seeking products that address signs of aging, promote skin health, and
provide advanced skincare benefits. Cosmetic chemicals play a crucial role in
formulating these products with specific anti-aging and skincare
functionalities, contributing to the growth of the cosmetic chemicals market. Increasing
awareness of beauty and wellness among consumers has led to a shift towards
products that offer holistic benefits. Functional cosmetic products that
combine beauty with wellness attributes, such as natural or organic
ingredients, environmentally friendly formulations, and clean beauty concepts,
are gaining popularity. Cosmetic chemicals that align with these attributes are
in demand to create such products. Hence, the growing demand for functionality
cosmetic products is expected to propel the demand in United States cosmetic
chemicals market.
Key Market Challenges
Disruptions in Supply Chain
The United States cosmetic chemicals market has
long been a dynamic and innovative sector, contributing to the development of a
wide range of beauty and personal care products. However, amidst the ever-changing
landscape of global trade, the industry faces a significant challenge in the
form of disruptions in the supply chain. The cosmetic industry relies on a wide
array of raw materials, including natural extracts, synthetic chemicals,
fragrances, and packaging materials. Disruptions in the supply of these
materials, caused by factors such as natural disasters, geopolitical tensions,
or regulatory changes, can lead to production delays and shortages. Moreover, supply
chain disruptions can affect quality control processes, leading to compromised
product integrity. Ensuring compliance with regulatory standards becomes more
challenging when supply chain disruptions impact ingredient sourcing or
manufacturing processes. Manufacturers heavily rely on a steady supply of
cosmetic chemicals to produce formulations. Shortages or delays can disrupt
production schedules, affecting the availability of finished products in the
market.
Rising Cost for Research and Development
The United States cosmetic chemicals market has long
been a hub of innovation, driving the development of a wide array of beauty and
personal care products that cater to diverse consumer needs. However, amidst
the pursuit of breakthrough formulations and cutting-edge ingredients, the
industry faces a significant challenge such as the rising cost of research and
development (R&D). The integration of advanced technologies, such as
nanotechnology, biotechnology, and artificial intelligence, into cosmetic
R&D adds a layer of complexity and cost to the development process.
Key Market Trends
Customization and Personalization of Cosmetic
Products
Customization and personalization are emerging
trends in the cosmetic industry. Consumers seek products that are tailored to
their specific needs and preferences. Cosmetic chemicals enable the
customization of formulations, allowing manufacturers to create products that
cater to individual requirements. This customization trend leads to a higher
demand for cosmetic chemicals that support the development of personalized
functionality cosmetic products.
Globalization and E-Commerce
As the beauty and personal care industry becomes
increasingly interconnected and digitally driven, the dynamics of sourcing,
distribution, and consumer engagement are evolving. Globalization has expanded
access to a wide array of raw materials, both natural and synthetic, sourced
from different regions. This diversity enhances product formulations and allows
cosmetic manufacturers to create innovative and unique products. Improved
transportation and communication technologies facilitate the efficient movement
of cosmetic chemicals and finished products across the globe. This enables
companies to collaborate with international suppliers, manufacturers, and
distributors seamlessly. Moreover, e-commerce platforms enable cosmetic
chemical manufacturers to directly engage with consumers, sharing product
information, benefits, and usage instructions. This direct connection fosters
brand loyalty and consumer trust. E-commerce generates vast amounts of data
that can be analyzed to gain insights into consumer behavior, preferences, and
trends. This data informs product development and marketing strategies.
Segmental Insights
Type Insights
In 2022, the cosmetic
chemicals market was dominated by the Emollients & Moisturizers and is
predicted to continue expanding over the coming years. The US consumer base places a significant emphasis
on skincare products that offer hydration and nourishment. Emollients and
moisturizers address this demand by providing immediate and long-lasting
hydration, soothing dry and irritated skin, and improving overall skin texture.
Emollients and moisturizers contribute to anti-aging and anti-pollution
skincare regimens. They help fortify the skin's natural barrier, defend against
environmental stressors, and reduce the appearance of fine lines and wrinkles. Consumer
testimonials and positive word-of-mouth also contribute to the popularity and
dominance of these ingredients.
Application Insights
In 2022, the cosmetic
chemicals market was dominated by skin care segment and is predicted to
continue expanding over the coming years. Skincare has gained immense popularity due to
heightened consumer awareness about the importance of maintaining healthy and
radiant skin. Consumers are increasingly educated about skincare routines,
ingredients, and their benefits, leading to a growing demand for effective
skincare products. Skincare brands have embraced personalization and
customization, offering products tailored to individual skin types, concerns,
and goals. This approach resonates with consumers seeking personalized
solutions for their unique skincare needs.
Regional Insights
The Midwest region has established itself as the
leader in the United States Cosmetic Chemicals Market. The Midwest is renowned for its robust
manufacturing and industrial foundation. The presence of significant cosmetic
chemical manufacturers, suppliers, or production facilities in this region can
greatly impact its market influence. The Midwest's central location within the
country and well-developed transportation infrastructure facilitates efficient
supply chain logistics, enabling the movement of raw materials and finished
products to various parts of the nation. The region hosting significant
cosmetic industry trade shows and events could attract attention and contribute
to its perceived prominence in the market.
Recent Developments
- Givaudan has announced that it will acquire a portfolio of major
cosmetic ingredients from Amyris and is expected to close in the second half of
2023. The acquisition will help Givaudan to meet the growing demand for
sustainable and natural ingredients and expand its reach into new markets.
- In 2023, Evonik has acquired the cosmetic delivery company Infinitec
Activos and is expected to close in July 2023. The acquisition will boost
Evonik's system solutions portfolio, to focus on the development and production
of novel active delivery systems for cosmetic active ingredient applications.
- In 2021, Ashland completed the acquisition of the personal care business
of Schülke & Mayr GmbH, a portfolio company of EQT on valuation of USD
280.7 million. The acquisition of Schülke & Mayr's personal care business
strengthens Ashland's consumer business portfolio and enhances the company's
specialty additives position and also expands Ashland's biotechnology and
microbiology technical competencies.
Key Market Players
- BASF Corporation
- The Dow Chemical Company
- Stepan Company
- AkzoNobel Surface Chemistry LLC
- Croda, Inc.
- Clariant Corporation
- Solvay USA, Inc.
- Evonik Corporation
- Ashland, Inc.
- Wacker Chemicals Corporation
|
By
Type
|
By
Application
|
By
Region
|
- Emollients & Moisturizers
- Surfactants
- Specialty Additives
- Others
|
- Skin Care
- Hair Care
- Color Cosmetics
- Toiletries
- Oral Care
- Others
|
- Northeast
- Midwest
- South
- West
|
Report
Scope:
In this
report, the United States Cosmetic Chemicals Market has been segmented into the
following categories, in addition to the industry trends which have also been
detailed below:
·
United States Cosmetic Chemicals Market, By Type:
o
Emollients
& Moisturizers
o
Surfactants
o
Specialty
Additives
o
Others
·
United States Cosmetic Chemicals Market, By Application:
o
Skin
Care
o
Hair
Care
o
Color
Cosmetics
o
Toiletries
o
Oral
Care
o
Others
·
United States Cosmetic Chemicals Market, By Region:
o
Northeast
o
Midwest
o
South
o
West
Competitive Landscape
Company Profiles: Detailed analysis of the major companies
present in the United States Cosmetic Chemicals Market.
Available Customizations:
United States Cosmetic Chemicals Market report with
the given market data, Tech Sci Research offers customizations according to a
company's specific needs. The following customization options are available for
the report:
Company Information
- Detailed analysis and
profiling of additional market players (up to five).
United States Cosmetic Chemicals Market is an
upcoming report to be released soon. If you wish an early delivery of this
report or want to confirm the date of release, please contact us at [email protected]