The global palmitic acid market size reached USD 447.8 million in 2024 and is estimated to grow at a compound annual growth rate (CAGR) of 3.5% from 2025 to 2032, reaching USD 569.4 million by 2032. The growth is primarily driven by the increasing use of palmitic acid in cosmetics, soaps, detergents, lubricants, surfactants, and industrial chemicals. Its ability to enhance texture, provide moisturizing properties, and act as a stabilizing and emulsifying agent makes it a key ingredient in personal care and household formulations.
Palmitic acid is extensively used in surfactant and soap manufacturing for its hardness and moisturizing benefits. It is often hydrogenated to produce cetyl alcohol, which serves as a base material for detergents and creams. Rising demand for personal hygiene products and the expansion of the cosmetic industry, driven by urbanization and rising disposable incomes, particularly in Asia Pacific and Europe, are contributing significantly to market expansion.
Growing global awareness about skincare and increasing consumption of natural-based cosmetic and personal care products have encouraged manufacturers to invest in bio-based fatty acids derived from plant oils such as palm and coconut. Furthermore, the use of palmitic acid in grease and lubricant formulations, due to its excellent lubricating and stabilizing properties, continues to expand across automotive, textile, and industrial applications.
The soaps and detergents segment dominated the market in 2024, accounting for over 48% of total revenue. The product’s strong cleansing, foaming, and water-binding properties make it an essential ingredient in bar soaps, shampoos, laundry detergents, and dishwashing liquids. In soap production, it acts as a hardening and thickening agent, improving lather quality and helping maintain the shape of the bar.
In detergents, palmitic acid functions as a surfactant and emulsifier, breaking up dirt, grease, and oils from fabrics and hard surfaces. It also enhances formulation stability and prevents separation during use and storage. The demand for palmitic acid-based detergents is rising due to increased household cleaning awareness and growth of the FMCG sector in emerging economies.
The product also finds applications in the paint and coatings sector, serving as a dispersant that enhances viscosity control and UV protection. Its use in greases and lubricants is another major contributor to market momentum. Palmitic acid functions as a vital component in lubricants due to its water resistance and corrosion protection capabilities, making it suitable for machinery operating in humid or outdoor environments. The automotive sector’s continued expansion is likely to further support this segment.
Europe dominated the global palmitic acid market, accounting for 34.2% of total revenue in 2024. The region’s dominance is largely due to high production of personal care items, cosmetics, and household cleaning products. Major producers such as BASF SE, Emery Oleochemicals, and Akzo Nobel N.V. have established sustainable production systems across the region. Increasing preference for palm-based bio ingredients and renewable feedstock aligns with the EU’s regulations on sustainable oleochemical sourcing.
According to Cosmetics Europe, the continent remains one of the two largest global markets for cosmetics and personal care products. Countries including France, Germany, Italy, the U.K., and Spain collectively represent substantial demand for premium skincare and haircare applications using naturally derived fatty acids. The regional focus on sustainability and consumer preference for vegan and cruelty-free cosmetics continues to reinforce market strength.
Asia Pacific is projected to witness the fastest growth, registering a CAGR of around 3.6% through 2032. Rising populations in India, China, Indonesia, and Malaysia, coupled with growing disposable incomes, are contributing to higher consumption of soaps, detergents, and cosmetics. The strong palm oil manufacturing base in the region also provides low-cost raw materials for palmitic acid production. North America and Latin America are likewise exhibiting healthy growth due to increased consumption of lubricants and industrial greases in manufacturing sectors.
In 2025, Kao Chemicals expanded its bio-based palmitic acid product line to strengthen its presence in sustainable personal care formulations. Similarly, KLK OLEO announced strategic investments in green production facilities across Southeast Asia to produce high-purity fatty acids for oleochemical and cosmetic applications. The shift toward renewable raw materials continues to characterize recent market advancements.
The global palmitic acid market remains moderately competitive with a mix of multinational and regional manufacturers. Key industry players focus on sustainable sourcing, refining technologies, and product innovation to strengthen their foothold. Strategic partnerships, mergers, and increased R&D investments targeting bio-based fatty acid optimization mark recent industry developments.
In January 2025, Emery Oleochemicals announced capacity expansion at its Malaysian plant to improve fatty acid output and meet growing demand from personal care applications. Similarly, BASF SE commercialized enhanced production lines using renewable palm oil derivatives certified under sustainable forestry programs.
| Report Attribute | Details |
| Market size value in 2024 | USD 447.8 million |
| Revenue forecast in 2032 | USD 569.4 million |
| Growth rate | CAGR of 3.5% from 2025 to 2032 |
| Base year for estimation | 2024 |
| Historical data | 2020 – 2023 |
| Forecast period | 2025 – 2032 |
| Quantitative units | Revenue in USD million, volume in kilotons, CAGR from 2025 to 2032 |
| Report coverage | Revenue forecast, market analysis, competitors’ strategies, growth drivers, and emerging trends |
| Segments covered | End-use, Region |
| Regional scope | North America; Europe; Asia Pacific; Central & South America; Middle East & Africa |
| Country scope | U.S.; Canada; Mexico; Germany; U.K.; France; Italy; China; India; Japan; Brazil; Argentina; South Africa; Saudi Arabia |
| Key companies profiled | ADM; Akzo Nobel N.V.; BASF SE; Emery Oleochemicals; Vantage Specialty Chemicals; KLK OLEO; IOI Oleochemicals; Acme Synthetic Chemicals; Kao Chemicals |
This report provides a forecast of revenues and volume growth across major regions and end-use industries from 2020 to 2032. The market is segmented as follows:
What is the size of the palmitic acid market in 2025?
The global palmitic acid market is estimated at USD 462.9 million in 2025 and is projected to reach USD 569.4 million by 2032.
What is the expected growth rate of the palmitic acid market?
The market is expected to expand at a CAGR of 3.5% from 2025 to 2032, driven by growing use in soaps, detergents, and cosmetic formulations.
Which end-use segment dominates the market?
The soaps and detergents segment leads the market with over 48% revenue share in 2024 due to the extensive application of palmitic acid as a surfactant and foaming agent.
Who are the major players in the palmitic acid market?
Key participants include BASF SE, Emery Oleochemicals, ADM, KLK OLEO, IOI Oleochemicals, and Kao Chemicals.
What factors are driving global palmitic acid market growth?
Major factors include rising demand for personal care and household products, growing inclination toward bio-based ingredients, and the increasing application of palmitic acid in lubricants and coatings.
