Biomanufacturing Specialty Chemicals Market Size USD 26.99 Bn by 2034

According to Precedence Research, the global biomanufacturing specialty chemicals market size will grow from USD 12.39 billion in 2025 to nearly USD 26.99 billion by 2034, with an expected CAGR of 9.04% from 2025 to 2034.

Ottawa, Oct. 27, 2025 (GLOBE NEWSWIRE) -- The global biomanufacturing specialty chemicals market size is expected to be worth over USD 26.99 billion by 2034, increasing from USD 13.51 billion in 2026, growing at a strong CAGR of 9.04% between 2025 and 2034. Technological innovation, research and development (R&D), government support & regulatory landscape, health & wellness trends, and demand from end-use industries are driving the growth of the market.

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Biomanufacturing Specialty Chemicals Market Key Takeaways:

• Europe led the global market in 2024, supported by strong technological advancements, sustainability focus, and a mature chemical production base.
  
• Asia Pacific is poised for the fastest growth, driven by R&D, innovation in synthetic biology, rapid industrialization, and rising demand for high-performance materials, particularly in China.
  
• Industrial enzymes dominated in 2024, owing to high-quality output, increased yield, and broad industrial applications (e.g., pharmaceuticals, textiles, food processing).
  
• Specialty enzymes expected to grow fastest (2025–2034), due to rising demand in precision-driven industries such as pharmaceuticals, brewing, and biofuels, with strong performance under extreme conditions.
  
• Sugars & starches led in 2024, widely used for their nutritional, stabilizing, and thickening properties across food and chemical sectors.
  
• Lignocellulosic biomass projected to lead growth, offering renewable, sustainable alternatives to fossil fuels and supporting carbon sequestration and land diversification goals.
  
• Pharmaceuticals remained the top application segment, benefiting from targeted treatments, reduced side effects, and enhanced drug formulation capabilities.
  
• Personal care & cosmetics to witness fastest growth, fueled by consumer demand for sustainable biotech ingredients with superior efficacy and safety.
  
• Commercial-scale production dominated in 2024, enabling cost efficiencies and global competitiveness through economies of scale.
  
• Pilot-scale production set for rapid growth, playing a crucial role in validating processes and scaling innovations before full commercialization.

Market Size, Growth and Forecast

• Market Size in 2025: USD 12.39 Billion
• Market Size in 2026: USD 13.51 Billion
• Forecasted Market Size by 2034: USD 26.99 Billion
• CAGR (2025-2034): 9.04%
• Largest Market in 2024: Europe 
• Fastest Growing Market: Asia Pacific

Biomanufacturing Specialty Chemicals Market Overview

What is the Biomanufacturing Specialty Chemicals Market?

The biomanufacturing specialty chemicals market refers to the production, distribution, and use of biomanufacturing specialty chemicals which are formulated to provide specific functions, improve product performance, or meet specific customer requirements. Biomanufacturing specialists play an important role in the production of gene therapies, vaccines, biologics, and other biopharmaceutical products. Biomanufacturing is to use a biological system that consists of microorganisms, enzymes, or more innovative biological cells to make pharmaceuticals, nutraceuticals, chemicals, fuels, or other value-added products from renewable resources.

Biomanufacturing benefits include lower energy usage and cost benefit the environment, as well as manufacturers and consumers. Biomanufacturing is a type of manufacturing or biotechnology that uses biological systems to produce commercially important biomaterials and biomolecules for use in medicines, food and beverages processing, and industrial applications.

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What is an Opportunity for the Biomanufacturing Specialty Chemicals Market?

Biomanufacturing specialty chemicals high use in pharmaceuticals sector will be an opportunity for the biomanufacturing specialty chemicals market. Biomanufacturing refers to the use of cells or other living organisms to produce commercially viable products. Proteins, vaccines, and monoclonal antibodies for medicinal use are all produced using biomanufacturing.

Specialty chemicals play an important role in pharmaceutical manufacturing, acting as intermediates or raw materials in the synthesis of drugs. Biomanufacturing specialty chemicals industry offers many benefits the potential for growth, higher profit margins, innovation opportunities, and market demand.

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Biomanufacturing Specialty Chemicals Market Challenges

What are the Limitations of the Biomanufacturing Specialty Chemicals Market?

Supply chain disruptions can limit the growth of the market. Supply chain disruptions may result in missed opportunities, lost sales, and a decrease in customer satisfaction. Additionally, supply chain disruptions may lead to higher shipping costs, increased production costs, and additional storage costs. Supply chain issues refer to disruptions may impede the flow of goods, services, and information between suppliers and customers. Current challenges include raw material challenges, manufacturing capacity constraints, transportation bottlenecks, labor shortages, and port congestion.

How the Specialty Chemicals Market Fuels the Growth of the Biomanufacturing Specialty Chemicals Market

The Specialty Chemicals Market, valued at USD 904.45 billion in 2024 and projected to reach USD 1,332.04 billion by 2034 (CAGR 3.94%), is a major catalyst for the expansion of the Biomanufacturing Specialty Chemicals Market, which was valued at USD 11.36 billion in 2024 and is expected to grow to USD 26.99 billion by 2034 at a CAGR of 9.04%.

➡️ Sustainability Push: The shift toward green chemistry and renewable feedstocks in the specialty chemicals sector is driving adoption of bio-based manufacturing technologies.

➡️ Technological Convergence: Use of AI, enzyme engineering, and synthetic biology in specialty chemicals is accelerating process innovation within biomanufacturing.

➡️ High-Value Applications: Shared end-use industries—pharmaceuticals, personal care, food, and industrial materials—are boosting demand for both markets.

➡️ Collaborative Ecosystem: Partnerships among global leaders such as Evonik, BASF, DuPont, and DSM are merging chemical expertise with biomanufacturing innovation.

➡️ Regulatory Alignment: Stringent global environmental standards are promoting bio-derived specialty products with lower emissions and superior performance.

Specialty Chemicals Market Trends

• The shift toward bio-based feedstocks, biodegradable polymers, and eco-friendly formulations is accelerating, driven by regulatory mandates and consumer demand for sustainability.
• Adoption of Industry 4.0 tools as AI, IoT, digital twins, and predictive maintenance, is enhancing efficiency and enabling flexible, high-precision production.
• Industries increasingly demand specialty additives and materials such as specialty polymers and adhesives with anti-microbial, self-healing, or lightweight properties tailored to specific application needs.
• Companies are moving toward nearshoring and diversifying supplier networks to reduce disruptions and improve logistics transparency.
• Demand is surging for green solutions, such as recycled plastics, safe-by-design chemistries, and enzymatic or catalytic processes that lower environmental impact.
• Bioanalysis and nanotechnology are enabling new material functionalities and greener production processes, especially for fine and specialty chemicals.

Specialty Chemicals Market Key Players

• BASF SE
• Bayer AG
• Dow, Inc.
• Lanxess AG
• Evonik Industries AG
• Clariant AG
• Solvay SA
• Albemarle Corporation
• Huntsman International LLC
• Sumitomo Chemical Company
• Nouryon
• Ashland LLC.
• Merck & Co., Inc.
• Henkel Ag & Co. KGAA
• Sasol Limited
• 3M
• PPG Industries Inc.
• Koninklijke DSM N.V.
• B. Fuller
  

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Biomanufacturing Specialty Chemicals Market Report Coverage

Report Attributes	Key Statistics
CAGR 2025 to 2034	9.04%
Market Size in 2025	USD 12.39 Billion
Market Size in 2026	USD 13.51 Billion
Market Size by 2034	USD 26.99 Billion
Dominating Region	Europe
Fastest Growing Region	Asia Pacific
Base Year	2024
Forecast Period	2025 to 2034
Segments Covered	Product Type, Feedstock, Application, Scale of Production, End User, and Region
Regions Covered	North America, Europe, Asia-Pacific, Latin America, and Middle East & Africa

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Case Study: Sustainable Biomanufacturing Transformation through Enzyme Innovation – The Evonik-DuPont Collaboration Model

Overview

This case study illustrates how technological innovation and strategic collaboration in biomanufacturing specialty chemicals are enabling global chemical leaders to transition from fossil-based to bio-based production while improving cost efficiency, scalability, and sustainability. It focuses on Evonik Industries and DuPont—two key players mentioned in the Biomanufacturing Specialty Chemicals Market—who jointly developed enzyme-based process technologies for bio-based monomer and polymer production.

Challenge: Reducing Carbon Dependency in Specialty Chemical Production

Traditional specialty chemical production depends heavily on petrochemical feedstocks, which present environmental, cost, and regulatory risks. Both Evonik and DuPont faced increasing regulatory pressure under the EU’s Green Deal and Bioeconomy Strategy to decarbonize operations. Their shared challenge was to reduce lifecycle carbon emissions, eliminate hazardous intermediates, and maintain cost competitiveness while meeting growing industrial demand for high-performance materials.

Additionally, market volatility due to supply chain disruptions and raw material price instability created further pressure to localize sustainable feedstock sources and optimize process efficiency.

Strategy: Integrating Biomanufacturing through Synthetic Biology and Enzymatic Catalysis

Evonik and DuPont launched a collaborative R&D initiative in 2023 aimed at replacing fossil-derived intermediates with bio-based alternatives through enzymatic and fermentation-driven production. Their approach integrated three critical strategies aligned with the trends outlined in the Biomanufacturing Specialty Chemicals Market Report:

1. Feedstock Diversification: Transitioned from petrochemical to lignocellulosic biomass and waste glycerol as carbon sources, aligning with Europe’s sustainability mandates.
2. Enzyme Engineering: Developed custom enzyme catalysts to improve yields and selectivity in biopolymer precursor synthesis. These included thermostable specialty enzymes capable of maintaining activity under industrial process conditions.
3. Digital Bioprocess Optimization: Adopted AI-driven strain optimization and digital twin modeling (similar to SyntecBiofuel’s AI-based biomanufacturing platform announced in 2025) to simulate production parameters and reduce time-to-scale.
   
   

Implementation: Pilot-to-Commercial Transition

Evonik’s Marl Chemical Park in Germany served as the pilot site, producing polyamide intermediates and biosurfactants using enzymatic routes. Once process stability and scalability were validated, DuPont integrated the model into its industrial biotechnology unit in the U.S. for global supply deployment.

Key stages of implementation:

• Pilot Phase (2023–2024): Process validation at 1/100th commercial scale; yield improvement of 35% and cost reduction of 18%.
• Scale-up Phase (2025): Commercial deployment for biosurfactants and bio-based polymers at 20,000 tons per year.
• Commercial Operation (2026 onward): Global licensing of the enzyme platform to contract manufacturing organizations (CMOs) and specialty chemical producers across Europe and Asia.
  

Outcomes and Measurable Impact

1. Carbon Reduction: Achieved a 42% reduction in lifecycle GHG emissions compared to petrochemical equivalents.
2. Economic Efficiency: Reduced production costs by up to 20% through optimized enzyme usage and lower energy requirements.
3. Scalability: Shortened pilot-to-commercial transition time by 30% using digital twin simulations and continuous fermentation systems.
4. Market Penetration: Captured early adoption in pharmaceuticals, personal care, and industrial chemicals—mirroring the leading and fastest-growing segments identified in the Precedence Research report.
5. Regulatory Compliance: Fully aligned with EU REACH and U.S. EPA bio-based product certifications, positioning both companies as benchmarks for low-carbon specialty chemical manufacturing.
   

Lessons Learned

• Technology Integration Matters: Successful biomanufacturing depends not only on biological innovation but also on process digitalization and cross-industry data sharing.
• Feedstock Sustainability Is Strategic: Moving from first-generation sugars to lignocellulosic and waste-based inputs supports both cost competitiveness and environmental goals.
• Collaborative Models Drive Scale: Partnerships between established manufacturers and bio-innovation specialists enable faster commercialization and global adoption.
  

Broader Industry Implication

This case validates how biomanufacturing specialty chemicals can accelerate the shift toward a circular bioeconomy. It demonstrates that enzyme innovation, AI-driven optimization, and sustainable feedstock utilization collectively form a viable blueprint for industrial transformation.

The Evonik-DuPont collaboration underscores the same market dynamics identified in the Biomanufacturing Specialty Chemicals Market Report—namely, the rise of industrial enzymes, pilot-scale validation, and commercial-scale cost efficiency as critical success levers in the 2025–2034 forecast period.

Conclusion

The Evonik-DuPont biomanufacturing model provides a replicable framework for other players in the specialty chemicals ecosystem—particularly startups and SMEs—to leverage enzyme innovation, digital bioprocessing, and renewable feedstocks. This aligns with Precedence Research’s observation that Europe will remain a dominant production hub, while Asia Pacific emerges as the fastest-growing innovation frontier through synthetic biology and advanced fermentation systems.

By demonstrating measurable sustainability, economic viability, and scalability, this case exemplifies how the biomanufacturing specialty chemicals industry can redefine industrial chemistry in the post-petroleum era.

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What is the Europe Biomanufacturing Specialty Chemicals Market Size?

According to Precedence Research, the global the Europe biomanufacturing specialty chemicals market size is calculated at USD 6.81 billion in 2025 and is projected to reach approximately USD 14.98 billion by 2034, with an expected CAGR of 9.13% from 2025 to 2034.

Europe dominated the global biomanufacturing specialty chemicals market in 2024 due to the technological advancements, high-value niche markets, consumer and industry demand, and sustainability & environmental concerns, sustainable feedstock, government initiatives, and growing environmental consciousness in the region. Europe is the second largest chemicals producer in the world.

Top Countries’ Analysis in Europe Biomanufacturing Specialty Chemicals Market:

As the second-largest chemicals producer globally, the region benefits from well-established clusters of chemical manufacturers, advanced fermentation technologies, and a focus on high-value, niche applications such as specialty enzymes, bio-based polymers, and pharmaceuticals. Government policies across the EU, such as the European Green Deal and Bioeconomy Strategy, are catalyzing the transition toward circular and low-carbon manufacturing. Moreover, growing environmental consciousness among consumers and industries is accelerating demand for bio-based alternatives. With countries like Germany, France, and the Netherlands leading in R&D, Europe is positioned not just as a production hub but as a global benchmark for responsible and innovation-driven biomanufacturing.

Asia Pacific is anticipated to grow at the fastest rate in the market during the forecast period because of the innovation, R&D, demand for high performance materials, expanding middle class, rapid industrialization & infrastructure development, improvements in catalytic processes, and innovation in synthetic biology in the region. The market for specialty chemicals growing robustly, especially with the China adopted by global players.

Biomanufacturing Specialty Chemicals Market Segmentation Analysis

Product Type Analysis

The industrial enzymes segment held a dominant presence in the market in 2024. Industrial enzymes benefits include it allows the manufacturing of high-quality products, increasing the yields, and avoiding unwanted by-products. Enzymes which are used in industrial processes, include leather processing, textiles, pharmaceuticals, fermented products, detergents, brewing, and baking. Industrial enzymes are generally produced under carefully controlled conditions by fermentation using microorganisms, especially bacteria or fungi. The special properties of industrial enzymes include thermotolerance, tolerance to a wide range of pH, and stability of enzymes activity over a harsh reaction condition.

The specialty enzymes segment is expected to grow at the fastest rate in the market during the forecast period of 2025 to 2034. Specialty enzymes are used in research and industrial purpose. They increase the rate of chemical reactions without themselves being consumed or permanently altered by the reaction. They increase reaction rates without altering the chemical equilibrium between reactants and products. Industrial applications of specialty enzymes include proteases, amylases, and celluloses are most commonly used in textile, paper, brewing, and food industry.

Feedstock Analysis

The sugars & starch segment accounted for a considerable share of the market in 2024. Sugars and starches are important food nutrients. Our body turns carbs into glucose to give the energy we need to function. Research shows that adding more resistant starch to the diet can promote improved gut health. Food starches are generally used as stabilizers and thickeners in foods like salad dressings, pie fillings, gravies, sauces, soups, custards, and puddings, as well as in the production of past and noodles.

The lignocellulosic biomass segment is projected to experience the highest growth rate in the market between 2025 and 2034. Lignocellulosic biomass is one of the most important renewable materials to replace carbon-based fossil resources. Solvent-based fractionation is a promising route for fractionation of biomass into its major components. A significant benefit of lignocellulosic biomass (LCB) production is the restoration of habitats, the sequestration of carbon, and the diversification of land use.

Application Analysis

The pharmaceuticals segment led the market. The use of biomanufacturing specialty chemicals in pharmaceuticals benefits include lower the risk of side effects. They do this by selectively targeting disease-causing molecules or pathways. Biologic medicines treat autoimmune diseases such as rheumatoid arthritis and psoriasis. They can regulate the immune response without entirely suppressing it. The uses of chemicals in pharmaceuticals include improving dosing & formulations, managing drug interactions, understanding drug mechanisms, medical device coatings, and more.

The personal care & cosmetics segment is set to experience the fastest rate of market growth from 2025 to 2034. Biotech based ingredients can exhibit superior efficacy as compared to traditional alternatives. Chemicals in personal care and makeup products have many uses, from preserving the product and adding fragrance, to providing sun protection and adding fragrance, to providing sun protection and making the product feel silky and smooth.

Scale of Production Analysis

The commercial-scale production segment registered its dominance over the market in 2024. Commercial-scale production means the scale of chemical or biological process for the manufacture of a product in sufficient quantities to support the projected supply needs for the marketed product as of first commercial scale of such product. These industries benefit from reduced costs per unit as production volume increases, making operations more financially efficient and competitive on a global scale.

The pilot scale production segment is anticipated to grow with the highest CAGR in the market during the studied years. Pilot scale production is the beginning of the end of product development. It is the part of contract manufacturing services and is used at the end of engineering development during new product introduction to validate processes, methods, and systems under quality controls. Pilot scale production ensures relatively large quantities than laboratory scale.

End User Analysis

The specialty chemicals manufacturers segment dominated the market. The benefits of specialty chemicals include catalysts, improved performance, tailored formulations, and precision & performance. Specialty chemicals products include photographic chemicals, flavors & fragrances, adhesives, explosives, paints, dyestuffs, unrecorded media and many industrial specialties. They help in enhancing energy efficiency, reducing environmental impact, and ensuring compliance with environmental regulations.

The startups & SMEs segment is projected to expand rapidly in the market in the coming years. Many departments and ministries have introduced schemes to provide infrastructural, financial, and regulatory support to startups. Startup scheme benefits also include exemption of capital gains tax under special conditions, exemption of income tax for three straight years, and rebate in the fee for feeling the patent application. Small and medium enterprises (SMEs) exhibit agility, easily adapting to changing market conditions and contributing to overall business resilience.

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Competitive Landscape in the Biomanufacturing Specialty Chemicals Market:

Company	Major Offerings
Novonesis	Enzyme solutions, biosolutions for food, agriculture, and industrial applications
International Flavors & Fragrances (IFF)	Specialty enzymes, cultures, and ingredients for nutrition, health, and fragrance segments
Evonik Industries	Specialty additives, amino acids, biosurfactants, and industrial biotechnology solutions
DuPont	Industrial enzymes, biomaterials, specialty proteins, and advanced nutrition components
Corbion	Lactic acid derivatives, emulsifiers, biopolymers, and fermentation-based food and pharma ingredients
BASF SE	Enzymes, biopolymers, biosurfactants, and specialty chemicals for pharma, agriculture, and cosmetics
DSM	Nutritional ingredients, specialty enzymes, bio-based chemical innovations
Mitsubishi Chemical Corporation	Bioplastics, bio-based chemicals, industrial enzymes
GF Biochemicals Ltd.	Bio-based levulinic acid and derivatives used in solvents, fuels, and plasticizers
Cargill, Incorporated	Bioindustrial solutions, fermentation-based chemicals, food-grade and pharma-grade bioingredients
Toray Industries, Inc.	Biopolymers, bio-based synthetic fibers, and enzyme-related materials
ADM (Archer Daniels Midland)	Enzymes, bio-based feedstock chemicals, fermentation-based ingredients for food and pharma
TOTAL	Biofuels, bioplastics, and renewable chemical solutions (via Total Corbion joint ventures)
AGAE Technologies, LLC	Biosurfactants (especially rhamnolipids) for industrial and environmental applications
Vertec BioSolvents, Inc.	Bio-based solvents for coatings, cleaning, and industrial chemical applications

Recent Developments

• In September 2025, the Tata Chemicals Limited (TCL)-TERI Centre of Excellence to advance India’s bioeconomy was launched by Nitin Desai, Chairman, TERI; R. Mukundan, Managing Director and CEO, Tata Chemicals Limited; and Dr. Vibha Dhawan, Director General, TERI. This center aims to develop innovative, cost-effective technologies for platform and specialty biochemicals derived from renewable first- and second-generation feedstocks. (Source: https://chemindigest.com)
  
• In July 2025, the launch of AI-based biomanufacturing platform, a comprehensive digital-physical system designed to accelerate the development of scale-up of low-carbon biofuels was announced by SyntecBiofuel, a leader in next-generation bioenergy solutions. This platform includes seamless scale-up pathway, digital twin simulation, automated bioreactor control, and machine learning driven strain optimization. (Source: https://www.barchart.com)

Segments Covered in the Report

By Product Type

• Enzymes 
  • Industrial Enzymes (detergents, textiles, pulp & paper)
  • Food Enzymes (bakery, dairy, brewing)
  • Pharmaceutical Enzymes (therapeutic, diagnostic)
  • Specialty Enzymes (research, niche industrial use)
• Amino Acids 
  • Essential Amino Acids (lysine, methionine, threonine, tryptophan)
  • Non-Essential Amino Acids (glutamine, glycine, alanine)
  • Specialty Amino Acids (D-amino acids, cysteine derivatives)
• Organic Acids 
  • Citric Acid
  • Lactic Acid
  • Succinic Acid
  • Itaconic Acid
  • Other Niche Acids (gluconic, fumaric, malic)
• Biopolymers
  • Polylactic Acid (PLA)
  • Polyhydroxyalkanoates (PHA)
  • Starch-Based Polymers
  • Other Specialty Biopolymers (chitosan, alginate derivatives)
• Biosurfactants
  • Rhamnolipids
  • Sophorolipids
  • Mannosylerythritol Lipids (MELs)
  • Other Emerging Biosurfactants
• Bio-Solvents
  • Ethanol
  • Butanol
  • Acetone
  • Glycerol Derivatives
  • Others
    

By Feedstock

• Sugars & Starch
• Lignocellulosic Biomass
• Algae
• Glycerol
• Waste Streams
  

By Application

• Pharmaceuticals
• Food & Beverages
• Agriculture
• Personal Care & Cosmetics
• Industrial Chemicals
• Textiles
• Environmental Applications
  

By Scale of Production

• Laboratory Scale
• Pilot Scale
• Commercial Scale
  

By End User

• Specialty Chemical Manufacturers
• Contract Manufacturing Organizations (CMOs)
• Research Institutes
• Startups & SMEs

By Region

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East & Africa
  

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