Demand for solvents in the US will reach 11.8 billion pounds in 2012. Esters and alcohols will exhibit the best growth within the conventional solvents product group, though green solvents such as hydrogen peroxide and supercritical fluids will post more rapid gains.

This study analyzes the $5.5 billion US solvent industry. It presents historical demand data (1997, 2002, 2007) and forecasts for 2012 and 2017 by solvent type (conventional, green), market (e.g., manufacturing, services) and function (e.g., vehicle/carrier/thinner, antifreeze and deicers, cleaners, extraction agents).

The study also considers market environment factors, details industry structure, evaluates company market share and profiles 36 industry players, including Dow Chemical, Exxon Mobil and Lyondell Chemical.

TABLE OF CONTENTS


SECTION                                                                        PAGE

                INTRODUCTION                                                    xii

          I.    EXECUTIVE SUMMARY                                                 1

         II.    MARKET ENVIRONMENT                                                4
                General                                                           4
                Macroeconomic Outlook                                             5
                Consumer Spending                                                 9
                Manufacturing Outlook                                            11
                Demographic Trends                                               14
                Environmental & Regulatory Issues                                17
                    Air Quality Issues                                           18
                    Worker Safety Issues                                         21
                    Solvent Recycling                                            22
                    
        III.    OVERVIEW                                                         24
                General                                                          24
                Demand Outlook                                                   25
                Historical Trends                                                27
                Pricing Trends                                                   29
                International Activity                                           32
                Foreign Trade                                                    34
                
         IV.    MANUFACTURING MARKETS                                            36
                General                                                          36
                Paints & Coatings                                                38
                    Industry Overview                                            39
                    Solvents Demand                                              40
                Printing Inks                                                    43
                    Industry Overview                                            44
                    Solvents Demand                                              46
                Cleaning Products                                                49
                    Industry Overview                                            50
                    Solvents Demand                                              52
                Cosmetics & Toiletries                                           55
                    Industry Overview                                            55
                    Solvents Demand                                              58
                Adhesives & Sealants                                             60
                    Industry Overview                                            61
                    Solvents Demand                                              63
                Other Manufacturing Markets                                      65
                    Chemical Processing                                          66
                      Industry Overview                                          67
                      Solvents Demand                                            69
                    Asphalt Production                                           71
                      Industry Overview                                          71
                      Solvents Demand                                            73
                    Pharmaceuticals                                              75
                      Industry Overview                                          75
                      Solvents Demand                                            77
                    Plastics & Rubber Processing                                 80
                      Industry Overview                                          80
                      Solvents Demand                                            81
                    Metal Processing                                             83
                      Industry Overview                                          84
                      Solvents Demand                                            85
                    Electronic Components                                        87
                      Industry Overview                                          88
                      Solvents Demand                                            89
                    Food & Beverage Processing                                   91
                      Industry Overview                                          92
                      Solvents Demand                                            94
                    Agricultural Chemicals                                       96
                      Industry Overview                                          96
                      Solvents Demand                                            97
                    All Other Manufacturing                                      99
                    
          V.    SERVICE & OTHER MARKETS                                         102
                General                                                         102
                Transportation                                                  104
                    Industry Overview                                           104
                    Solvents Demand                                             106
                Construction                                                    109
                    Industry Overview                                           109
                    Solvents Demand                                             113
                Dry Cleaning & Other                                            115
                    Industry Overview                                           115
                    Solvents Demand                                             116
                    
         VI.    FUNCTIONS                                                       119
                General                                                         119
                Vehicle/Carrier/Thinner                                         121
                Antifreeze & Deicers                                            124
                Cleaners                                                        126
                Extraction Agents                                               129
                Other Functions                                                 130
                
        VII.    CONVENTIONAL SOLVENTS                                           132
                General                                                         132
                Alcohols                                                        135
                    Methanol                                                    137
                      Markets                                                   139
                      Producers                                                 140
                    Ethanol                                                     140
                      Markets                                                   143
                      Producers                                                 144
                    Isopropanol                                                 145
                      Markets                                                   146
                      Producers                                                 147
                    Other Alcohols                                              148
                      Markets                                                   150
                      Producers                                                 151
                    Market Share                                                151
                Glycols                                                         153
                    Ethylene Glycol                                             155
                      Markets                                                   156
                      Producers                                                 158                    
                    E-Series Glycol Ethers                                      158
                      Markets                                                   160
                      Producers                                                 161
                    Other Glycols                                               161
                      Markets                                                   163
                      Producers                                                 164
                    Market Share                                                164
                Hydrocarbons                                                    165
                    Markets                                                     168
                    Producers                                                   170
                Ketones                                                         171
                    Acetone                                                     173
                      Markets                                                   174
                      Producers                                                 175
                    Methyl Ethyl Ketone                                         176
                      Markets                                                   177
                      Producers                                                 178
                    Methyl Isobutyl Ketone                                      178
                      Markets                                                   180
                      Producers                                                 181
                    Other Ketones                                               181
                    Market Share                                                183
                Esters                                                          184
                    Butyl Acetate                                               186
                    Ethyl Acetate                                               187
                    Other Esters                                                189
                    Market Share                                                191
                Chlorinated Solvents                                            192
                    Methylene Chloride                                          196
                    Perchloroethylene                                           196
                    Trichloroethylene                                           198
                    Other Chlorinated Solvents                                  198
                    Markets                                                     199
                Other Conventional Solvents                                     201

                
       VIII.    GREEN SOLVENTS                                                  204
                General                                                         204
                Propylene Glycol & Related                                      207
                    Propylene Glycol                                            208
                    P-Series Glycol Ethers                                      211
                    Dipropylene Glycol                                          214
                Butanediol & Derivative Solvents                                216
                    Butanediol                                                  218
                    Gamma-Butyrolactone & Derivatives                           219
                    Tetrahydrofuran                                             222
                Soy Oil & Derivatives                                           225
                    Markets                                                     226
                    Producers                                                   228
                Terpenes                                                        228
                    Pine Oil & Derivatives                                      230
                    Orange Oil & D-Limonene                                     232
                Hydrogen Peroxide                                               234
                    Markets                                                     236
                    Producers                                                   237
                Other Green Solvents                                            237
                    Types                                                       238
                    Markets                                                     241
                    
         IX.    INDUSTRY STRUCTURE                                              243
                General                                                         243
                Market Share                                                    245
                    Dow Chemical                                                247
                    Lyondell Chemical                                           247
                    Exxon Mobil                                                 247
                    Shell Chemical                                              248
                    Eastman Chemical                                            248
                Industry Restructuring                                          248
                Competitive Strategies                                          251
                    Cooperative Agreements                                      251
                    Low Cost Leadership                                         254
                    Product Differentiation                                     254
                    Research & Development                                      255
                Marketing & Distribution                                        256
                Company Profiles                                                257
                    Arch Chemicals Incorporated                                 258
                    Archer-Daniels-Midland Company                              259
                    Arizona Chemical Company                                    261
                    Arkema SA                                                   262
                    BASF SE                                                     264
                    BP plc                                                      266
                    Celanese Corporation                                        267
                    Chevron Phillips Chemical Company LLC                       270
                    ConocoPhillips                                              272
                    Croda International plc                                     274
                    Dow Chemical Company                                        275
                    DuPont (EI) de Nemours                                      281
                    Eastman Chemical Company                                    282
                    Equistar Chemicals LP, see LyondellBasell Industries
                    Exxon Mobil Corporation                                     285
                    Flint Hills Resources LP, see Koch Industries                  
                    Florida Chemical Company Incorporated                       287
                    FMC Corporation                                             288
                    Georgia Gulf Corporation                                    289
                    Grain Processing Corporation                                290
                    Haltermann Products, see Dow Chemical Company                  
                    Huntsman Corporation                                        291
                    International Paper Company                                 293
                    International Specialty Products Incorporated               294
                    INVISTA, see Koch Industries Incorporated                      
                    Koch Industries Incorporated                                296
                    LyondellBasell Industries AF SCA                            298
                    Marathon Oil Corporation                                    304
                    MEGlobal International FZE, see Dow Chemical                   
                    Methanex Corporation                                        305
                    MGP Ingredients Incorporated                                306
                    Millennium Chemicals Incorporated, see LyondellBasell          
                    Mount Vernon Phenol, see Petroleos de Venezuela SA             
                    Occidental Petroleum Corporation                            308
                    Old World Industries Incorporated                           309
                    OXEA GmbH                                                   310
                    PD Glycol, see DuPont and LyondellBasell                       
                    Penn Specialty Chemicals Incorporated                       311
                    Petroleos de Venezuela SA                                   312
                    PPG Industries Incorporated                                 314
                    Royal Dutch Shell plc                                       316
                    Solvay SA                                                   320
                    Sunoco Incorporated                                         321
                    Total SA                                                    322
                    Uniqema North America, see Croda International plc             

                                LIST OF TABLES
                                        
TABLE NUMBER                                                                   PAGE


                SECTION I -- EXECUTIVE SUMMARY
                Summary Table                                                     3

                SECTION II -- MARKET ENVIRONMENT
           1    Macroeconomic Indicators                                          9
           2    Personal Consumption Expenditures                                11
           3    Manufacturers' Shipments                                         14
           4    Population & Households                                          17

                SECTION III -- OVERVIEW
           1    Solvents Demand by Type & Market Sector                          26
           2    Solvents Demand, 1997-2007                                       28
           3    Solvents Pricing                                                 31

                SECTION IV -- MANUFACTURING MARKETS
           1    Manufacturing Markets for Solvents                               37
           2    Paints & Coatings Shipments                                      40
           3    Paints & Coatings Market for Solvents                            43
           4    Printing Ink Shipments                                           46
           5    Printing Inks Market for Solvents                                49
           6    Cleaning Product Shipments                                       52
           7    Cleaning Products Market for Solvents                            54
           8    Cosmetics & Toiletries Supply & Demand                           58
           9    Cosmetics & Toiletries Market for Solvents                       60
          10    Adhesives & Sealants Shipments                                   63
          11    Adhesives & Sealants Market for Solvents                         64
          12    Other Manufacturing Markets for Solvents                         66
          13    Chemical Product Shipments                                       69
          14    Chemical Processing Markets for Solvents                         70
          15    Asphalt Production                                               73
          16    Asphalt Production Market for Solvents                           75
          17    Pharmaceutical Supply & Demand                                   77
          18    Pharmaceutical Market for Solvents                               79
          19    Plastics & Rubber Shipments                                      81
          20    Plastics & Rubber Market for Solvents                            83
          21    Fabricated Metal Product Shipments                               85
          22    Metal Processing Market for Solvents                             87
          23    Electronic Components Shipments                                  89
          24    Electronics Market for Solvents                                  91
          25    Food & Beverage Shipments                                        94
          26    Food & Beverage Market for Solvents                              95
          27    Agricultural Chemical Shipments                                  97
          28    Agricultural Chemicals Market for Solvents                       99
          29    All Other Manufacturing Markets for Solvents                    101

                SECTION V -- SERVICE & OTHER MARKETS
           1    Service & Other Markets for Solvents                            103
           2    Transportation Indicators                                       106
           3    Transportation Market for Solvents                              108
           4    Construction Expenditures                                       112
           5    Construction Solvents Demand                                    114
           6    Dry Cleaning Industry Overview                                  116
           7    Dry Cleaning & Other Solvents Demand                            118

                SECTION VI -- FUNCTIONS
           1    Solvents Demand by Function                                     120
           2    Vehicle/Carrier/Thinner Uses for Solvents                       124
           3    Antifreeze & Deicing Uses for Solvents                          126
           4    Cleaning Uses for Solvents                                      128
           5    Extraction Agent Uses for Solvents                              130
           6    Other Uses for Solvents                                         131

                SECTION VII -- CONVENTIONAL SOLVENTS
           1    Conventional Solvents Demand                                    133
           2    Alcohol Solvents Demand by Type                                 136
           3    Methanol Solvents Demand                                        139
           4    Ethanol Solvents Demand                                         142
           5    Isopropanol Solvents Demand                                     146
           6    Other Alcohol Solvents Demand                                   150
           7    Glycol Solvents Demand by Type                                  154
           8    Ethylene Glycol Solvents Demand                                 156
           9    E-Series Glycol Ether Solvents Demand                           160
          10    Other Glycol Solvents Demand                                    163
          11    Hydrocarbon Solvents Demand by Type                             167
          12    Hydrocarbon Solvents Demand by Market                           170
          13    Ketone Solvents Demand by Type                                  172
          14    Acetone Solvents Demand                                         174
          15    Methyl Ethyl Ketone Solvents Demand                             177
          16    Methyl Isobutyl Ketone Solvents Demand                          180
          17    Other Ketone Solvents Demand                                    182
          18    Ester Solvents Demand by Type                                   185
          19    Butyl Acetate Solvents Demand                                   187
          20    Ethyl Acetate Solvents Demand                                   189
          21    Other Ester Solvents Demand                                     191
          22    Chlorinated Solvents Demand by Type                             195
          23    Chlorinated Solvents Demand by Market                           201
          24    Other Conventional Solvents Demand by Market                    203

                SECTION VIII -- GREEN SOLVENTS
           1    Green Solvents Demand by Type                                   205
           2    Propylene Glycol & Related Solvents Demand by Type              208
           3    Propylene Glycol Solvents Demand                                211
           4    P-Series Glycol Ether Solvents Demand                           214
           5    Dipropylene Glycol Solvents Demand                              216
           6    Butanediol & Derivative Solvents Demand by Type                 218
           7    Butanediol Solvents Demand                                      219
           8    Gamma-Butyrolactone & Derivative Solvents Demand                222
           9    Tetrahydrofuran Solvents Demand                                 224
          10    Soy Oil & Derivative Solvents Demand                            226
          11    Terpene Solvents Demand by Type                                 230
          12    Pine Oil & Derivative Solvents Demand                           232
          13    Orange Oil & D-Limonene Solvents Demand                         234
          14    Hydrogen Peroxide Solvents Demand                               236
          15    Other Green Solvents Demand by Type                             240
          16    Other Green Solvents Demand by Market                           242

                SECTION IX -- INDUSTRY STRUCTURE
           1    US Solvents Sales by Company, 2007                              244
           2    Selected Acquisitions & Divestitures                            250
           3    Selected Cooperative Agreements                                 252

                                LIST OF CHARTS
                                        
CHART NUMBER                                                                   PAGE

                
                SECTION III -- OVERVIEW
           1    Solvents Demand, 1997-2007                                       29

                SECTION IV -- MANUFACTURING MARKETS
           1    Manufacturing Markets for Solvents, 2007                         38

                SECTION V -- SERVICE & OTHER MARKETS
           1    Service & Other Solvent Markets, 2007                           104

                SECTION VI -- FUNCTIONS
           1    Solvents Demand by Function, 2007                               121

                SECTION VII -- CONVENTIONAL SOLVENTS
           1    Conventional Solvents Demand: Volume Vs. Value, 2007            134
           2    Alcohol Solvents Demand by Type, 2007                           137
           3    Alcohol Solvents Market Share, 2007                             152
           4    Glycol Solvents Demand by Type, 2007                            154
           5    Glycol Solvents Market Share, 2007                              165
           6    Ketone Solvents Demand by Type, 2007                            172
           7    Ketone Solvents Market Share, 2007                              183
           8    Ester Solvents Demand by Type, 2007                             185
           9    Ester Solvents Market Share, 2007                               192
          10    Chlorinated Solvents Demand by Type, 2007                       195

                SECTION VIII -- GREEN SOLVENTS
           1    Green Solvents Demand: Volume Vs. Value, 2007                   206
                                                                                   
                SECTION IX -- INDUSTRY STRUCTURE
           1    US Solvents Market Share, 2007                                  246