Neoteric Solvents Market Size To Reach $980.9 Million By 2030

Neoteric Solvents Market Growth & Trends

The global neoteric solvents market size is anticipated to reach USD 980.9 million by 2030, growing at a CAGR of 7.2% during the forecast period, according to a new report by Grand View Research, Inc. The demand for neoteric solvents in biomass processing is growing rapidly, driven by the global push for sustainable and green chemistry solutions. These solvents offer superior efficiency in dissolving lignocellulosic biomass, enabling the extraction of high-value bioactive compounds and improving biofuel production yields. Their compatibility with integrated biorefinery models, recyclability, and alignment with tightening environmental regulations make them attractive alternatives to conventional solvents. Rising interest in bio-based materials and circular economy initiatives further supports their expanding adoption across industrial biomass valorization sectors.

The energy and electronics segment is expected to grow at a CAGR of 8.0% during the forecast period. Neoteric solvents play an important role in the electronics sector, driven by the need for high-performance, thermally stable, and non-flammable materials for advanced batteries and miniaturized electronics. Their tunable properties support precision processes in semiconductors and flexible electronics, while regulatory and ESG pressures are accelerating the shift away from VOC-based solvents. For instance, in 2024, Proionic GmbH partnered with a European battery maker to supply ionic liquid-based electrolytes for high-voltage EV batteries, enhancing performance and safety.

In pharmaceutical and life sciences, neoteric solvents, such as deep eutectic solvents and ionic liquids, are gaining traction in processes like crystallization, extraction, purification, and synthesis as eco-friendly alternatives to volatile organic solvents, driven by green chemistry principles and regulatory pressures. Their tunable properties, low toxicity, and broad solubility make them ideal for enhancing the solubility of poorly soluble APIs and extracting plant-derived compounds. For instance, DESs like choline chloride-based systems are now being explored for safe use in cosmetic and pharmaceutical formulations.

Asia Pacific leads the neoteric solvents industry, driven by the region's rapid expansion in electronics manufacturing, semiconductors, and consumer devices, and technological advancements in semiconductor production requiring high-purity solvents for 5G, AI, and IoT applications.

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Neoteric Solvents Market Report Highlights

• Based on type, Ionic Liquids (ILs) based neoteric solvents dominated with a market share of 50.7% in 2024, driven by their negligible volatility, high thermal stability, and tunable solvation properties.

• Based on application, pharmaceutical and life sciences dominate the market in 2024, due to their biocompatibility, stability, tunable structure, and ability to enhance drug solubility. The customizable cation and anion combinations of these solvents allow for targeted applications in drug delivery and biosensors and improve the pharmacokinetic properties of therapeutic molecules.

• Based on region, Europe is expected to witness the fastest CAGR of 7.8% from 2025 to 2030, attributed to a strong push toward eco-friendly, bio-based, and biodegradable solvents in response to sustainability megatrends and growing public and investor scrutiny of the environmental impact of chemical processes. This is leading to increased adoption of green solvents derived from renewable resources, supercritical fluids, and recyclable solvent systems.

• In August 2023, Proionic GmbH introduced the HIPE-REC technology, an innovative approach for efficiently recovering and recycling distillable ionic liquids used in biomass processing. This technique utilizes carefully chosen ionic liquids together with a thin-film, high-viscosity evaporation system, addressing previous issues such as excessive energy use and contamination. As a result, it achieves over 99% recovery rates, even when dealing with highly viscous biomass mixtures.

Neoteric Solvents Market Segmentation

Grand View Research has segmented the global neoteric solvents market based on solvent type, application, and region:

Neoteric Solvent Type Outlook (Volume, Tons; Revenue, USD Million, 2018 - 2030)

• Ionic Liquids (ILs)

• Deep Eutectic Solvents

• Supercritical Fluids

• Bio-based Solvents

• Others

Neoteric Solvents Application Outlook (Volume, Tons; Revenue, USD Million, 2018 - 2030)

• Pharmaceuticals & Life Sciences

• Chemical & Industrial Processing

• Energy & Electronics

• Agriculture

• Others

Neoteric Solvents Regional Outlook (Volume, Tons; Revenue, USD Million, 2018 - 2030)

• North America

  • U.S.

  • Canada

  • Mexico

• Europe

  • Germany

  • UK

  • Italy

  • Spain

  • France

• Asia Pacific

  • China

  • India

  • Japan

  • South Korea

• Latin America

  • Brazil

  • Argentina

• Middle East & Africa

  • Saudi Arabia

  • South Africa

List of Key Players in the Neoteric Solvents Market

• BASF

• Solvionic SA

• Proionic GmbH

• Scionix Ltd

• Merck KGaA

• IoLiTec Ionic Liquids Technologies GmbH

• Tokyo Chemical Industry Co., Ltd.

• Sanyo Chemical Solutions