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Organic Chemical Manufacturing in the US - Market Research Report (2015-2030)

Jullian Guirguis Jullian Guirguis New York, United States Last Updated: September 2025 NAICS 32519

Revenue

$160.8bn

2025

$160.8bn

Past 5-Year Growth

Profit

$XX.Xbn

Employees

83,959

Businesses

1,113

Wages

$X.Xbn

Organic Chemical Manufacturing in the US industry analysis

Operating at the intersection of raw material supply volatility and downstream industrial demand, the Organic Chemical Manufacturing industry is defined by its deep integration into manufacturing, consumer products, agriculture and pharmaceuticals. Advancements in automation, petrochemical processing and sustainability initiatives, including the increasingly stringent adoption of green chemistry, have directly shaped both cost structures and product innovation cycles. A critical pivot emerged with renewed infrastructure investment and the rising prevalence of specialty intermediates, including ethylene oxide derivatives and surfactants. This shift recalibrated supplier priorities and aligned capital allocation toward efficiency, compliance and higher-margin product lines. 

Trends and Insights

  • The industry has seen revenue growth over the past five years. Expansion has been notable despite market fluctuations affecting specific product categories like synthetic organic alcohols and flavor materials.
  • Canada's retaliatory tariff on US goods might reduce demand for US exports. As Canada is a key buyer, organic chemicals could be notably impacted. The US-Canada trade bond might face further fragmentation amid rising costs.
  • The Southeast and Great Lakes regions comprise a substantial portion of industry operations because of their proximity to raw materials and major market access. These areas provide logistical advantages critical to efficient supply chain management for organic chemical manufacturing.
  • The industry is marked by low concentration levels, which influence competitive strategies centered around innovation and pricing. To attract customers, companies focus on developing new synthetic organic compounds and improving cost efficiency.
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Industry Statistics and Trends

Market size and recent performance (2015-2030)

Industry revenue has grown at a CAGR of 6.5 % over the past five years, to reach an estimated $160.8bn in 2025.

Trends and Insights

Ethanol production reached record levels despite oversupply pressures and price volatility

  • According to the US EIA, ethanol production in July 2024 surpassed 1.05 million barrels per day, the highest since 2018. The surge followed a wave of capacity expansions enabled by low corn and natural gas costs. However, this boom in supply, unmatched by demand, introduced oversupply risks and added margin pressure for producers, especially smaller firms with higher cost structures.
  • Additional trends and insights available with purchase
Organic Chemical Manufacturing in the US
Revenue (2015-2030)
IBISWorld Logo Source: IBISWorld

Industry outlook (2025-2030)

Market size is projected to grow over the next five years.

Trends and Insights

Advanced recycling and circular feedstocks will transform chemical sourcing and waste streams

  • According to the American Chemistry Council (ACC), advanced recycling will become a central pillar of organic chemical manufacturing by 2030, enabling the breakdown of waste plastics into reusable chemical feedstocks. As regulatory pressures mount to reduce landfill waste, this innovation offers a path to both environmental compliance and reduced feedstock cost volatility in commodity chemical markets.

Biggest companies in the Organic Chemical Manufacturing in the US

Company
Market Share (%)
2025
Revenue ($m)
2025
Profit ($m)
2025
Profit Margin (%)
2025
Royal Dutch Shell Plc
14,135.5
1,920.5
13.6
Dow Inc.
7,393.5
186.4
2.5

To view the market share and analysis for all 2 top companies in this industry, view purchase options.

Products & Services Segmentation

Organic Chemical Manufacturing in the US
Products & Services
IBISWorld Logo Source: IBISWorld

Industry revenue is measured across several distinct product and services lines, including Ethyl alcohol, Cyclic crudes, coal tar, wood chemical and intermediate products and All other basic organic chemical products. Ethyl alcohol is the largest segment of the Organic Chemical Manufacturing in the US.

Trends and Insights

Ethyl alcohol maintains strong share as demand consolidates in core end-markets

  • Ethyl alcohol, valued primarily for use as a solvent and biofuel additive, remains integral across pharmaceuticals, food processing and chemical synthesis. Demand gains have concentrated around rising biofuel blending mandates and persistent pharmaceutical needs. Over the past five years, ethyl alcohol's revenue share has exhibited limited fluctuation as regulatory policy and end-market stability underpin consistent consumption volumes.
  • More insights available in the full report

Table of Contents

About this industry

Industry definition

This industry manufactures basic organic chemicals (other than petrochemicals), industrial gases and synthetic dyes and pigments. Key product groups include gum and wood products, cyclic crudes and intermediates, ethyl alcohol and other basic organic chemicals. These products are predominantly intermediates that are used as raw material inputs by other manufacturing industries in the production of downstream products.

What's included in this industry?

Products and services covered in the Organic Chemical Manufacturing industry in the United States include Ethyl alcohol, Cyclic crudes, coal tar, wood chemical and intermediate products, All other basic organic chemical products, Fatty acids, Synthetic organic alcohols, Synthetic flavor and perfume materials and Bulk pesticides.

Companies

Companies covered in the Organic Chemical Manufacturing industry in the United States include Royal Dutch Shell Plc and Dow Inc.

Purchase this report to view all 2 major companies in this industry.

Related Terms

Related terms covered in the Organic Chemical Manufacturing industry in the United States include feedstock, vinyl acetate monomer (vam), ethyl alcohol, co-product and captive use product.

Industry Code

NAICS 2017

NAICS 32519 - Organic Chemical Manufacturing in the US

Performance

Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.

Analyst insights

The industry has seen revenue growth over the past five years. Expansion has been notable despite market fluctuations affecting specific product categories like synthetic org...

In this chapter (4)

  • Current Performance
  • Outlook
  • Volatility
  • Life Cycle

Key metrics

  • Annual Revenue, Recent Growth, Forecast, Revenue Volatility
  • Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
  • Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
  • Total Profit, Profit Margin, Profit per Business

Charts

  • Revenue, including historical (2015-2024) and forecast (2025-2030)
  • Employees, including historical (2015-2024) and forecast (2025-2030)
  • Businesses, including historical (2015-2024) and forecast (2025-2030)
  • Profit, including historical (2015-2025)
  • Industry Volatility vs. Revenue Growth
  • Industry Life Cycle

Detailed analysis

  • Trends in supply, demand and current events that are driving current industry performance
  • Expected trends, economic factors and ongoing events that drive the industry's outlook
  • Key success factors for businesses to overcome volatility
  • How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.

Products and Markets

Learn about an industry's products and services, markets and trends in international trade.

Analyst insight

Canada's retaliatory tariff on US goods might reduce demand for US exports. As Canada is a key buyer, organic chemicals could be notably impacted. The US-Canada trade bond mi...

In this chapter

  • Products & Services
  • Major Markets
  • International Trade

Key metrics

  • Largest market segment and value in 2025
  • Product innovation level
  • Total imports, level and trend
  • Total exports, level and trend
  • Trade Balance

Charts

  • Products & services segmentation in 2025
  • Major market segmentation in 2025
  • International trade, including imports by country and exports by country

Detailed analysis

  • Trends impacting the recent performance of the industry's various segments
  • Innovations in the industry's product or service offering, specialization or delivery method
  • Key factors that successful businesses consider in their offerings
  • Buying segments and key trends influencing demand for industry products and services
  • Recent trends in import and export volumes, country of origin or destination, and expected future trends

Geographic Breakdown

Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.

Analyst insights

The Southeast and Great Lakes regions comprise a substantial portion of industry operations because of their proximity to raw materials and major market access. These areas p...

In this chapter (1)

  • Business Locations

Charts

  • Share of revenue, establishment, wages and employment in each state
  • Share of population compared to establishments in each region in 2025

Tables

  • Number and share of establishments in each state in 2025
  • Number and share of revenue each state accounts for in 2025
  • Number and share of wages each state accounts for in 2025
  • Number and share of employees in each state in 2025

Detailed analysis

  • Geographic spread of the industry across North America, and trends associated with changes in the business landscape
  • Key success factors for businesses to use location to their advantage

Competitive Forces

Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.

Analyst insights

The industry is marked by low concentration levels, which influence competitive strategies centered around innovation and pricing. To attract customers, companies focus on de...

In this chapter (4)

  • Concentration
  • Barriers to Entry
  • Substitutes
  • Buyer & Supplier Analysis

Key metrics

  • Industry concentration level
  • Industry competition level and trend
  • Barriers to entry level and trend
  • Substitutes level and trend
  • Buyer power level and trend
  • Supplier power level and trend

Charts

  • Market share concentration among the top 4 suppliers from 2020-2025
  • Supply chain including upstream supplying industries and downstream buying industries, flow chart

Detailed analysis

  • Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
  • Key success factors for businesses to manage the competitive environment of the industry.
  • Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
  • Key success factors for potential entrants to overcome barriers to entry.
  • Competitive threats from potential substitutes for the industry’s own products and services.
  • Key success factors for how successful businesses can compete with substitutes.
  • Advantages that buyers have to keep favorable purchasing conditions.
  • Advantages that suppliers have to maintain favorable selling conditions.
  • Key success factors for how businesses can navigate buyer and supplier power.

Companies

Learn about the performance of the top companies in the industry.

Analyst insights

Smaller companies find opportunities to thrive with low market concentration by targeting niche and underserved markets. This fragmentation allows them to capitalize on speci...

In this chapter

  • Market Share Concentration
  • Companies
  • Company Spotlights

Charts

  • Industry market share by company in 2021 through 2025
  • Major companies in the industry, including market share, revenue, profit and profit margin in 2025
  • Overview of Royal Dutch Shell Plc's performance by revenue, market share and profit margin from 2019 through 2025
  • Overview of Dow Inc.'s performance by revenue, market share and profit margin from 2019 through 2025

Detailed analysis

  • Description and key data for Royal Dutch Shell Plc, and factors influencing its performance in the industry
  • Description and key data for Dow Inc., and factors influencing its performance in the industry

External Environment

Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.   

Analyst insights

Toxic Substances Control Act (TSCA) reforms have significantly raised industry compliance requirements. Under these reforms, stricter safety evaluations and reporting obligat...

In this chapter

  • External Drivers
  • Regulation & Policy
  • Assistance

Key metrics

  • Regulation & policy level and trend
  • Assistance level and trend

Charts

  • Regulation & Policy historical data and forecast (2015-2030) 
  • Assistance historical data and forecast (2015-2030) 

Detailed analysis

  • Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
  • Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
  • Key governmental and non-governmental groups or policies that may provide some relief for industry operators.

Financial Benchmarks

View average costs for industry operators and compare financial data against an industry's financial benchmarks over time. 

Analyst insights

Purchases dominate cost structures owing to the necessity for a continuous supply of raw materials. Raw material price fluctuations directly impact cost management within the...

In this chapter

  • Cost Structure
  • Financial Ratios
  • Key Ratios

Key metrics

  • Profit margin, and how it compares to the sector-wide margin
  • Average wages, and how it compares to the sector-wide average wage
  • Largest cost component as a percentage of revenue
  • Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio

Charts

  • Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2025
  • Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2025
  • Investment vs. share of economy

Data tables

  • Industry Multiples (2018-2023)
  • Industry Tax Structure (2018-2023)
  • Income Statement (2018-2023)
  • Balance Sheet (2018-2023)
  • Liquidity Ratios (2018-2023)
  • Coverage Ratios (2018-2023)
  • Leverage Ratios  (2018-2023)
  • Operating Ratios (2018-2023)
  • Cash Flow & Debt Service Ratios (2015-2030)
  • Revenue per Employee (2015-2030)
  • Revenue per Enterprise (2015-2030)
  • Employees per Establishment (2015-2030)
  • Employees per Enterprise (2015-2030)
  • Average Wage (2015-2030)
  • Wages/Revenue (2015-2030)
  • Establishments per Enterprise (2015-2030)
  • IVA/Revenue (2015-2030)
  • Imports/Demand (2015-2030)
  • Exports/Revenue (2015-2030)

Detailed analysis

  • Trends in the cost component for industry operators and their impact on industry costs and profitability 

Key Statistics

Industry Data

Data Tables

Including values and annual change:

  • Revenue (2015-2030)
  • IVA (2015-2030)
  • Establishments (2015-2030)
  • Enterprises (2015-2030)
  • Employment (2015-2030)
  • Exports (2015-2030)
  • Imports (2015-2030)
  • Wages (2015-2030)

Top Questions Answered

Unlock comprehensive answers and precise data upon purchase. View purchase options.

What is the market size of the Organic Chemical Manufacturing industry in the United States in 2025?

The market size of the Organic Chemical Manufacturing industry in the United States is $160.8bn in 2025.

How many businesses are there in the Organic Chemical Manufacturing industry in the United States in 2025?

There are 1,113 businesses in the Organic Chemical Manufacturing industry in the United States, which has grown at a CAGR of 0.1 % between 2020 and 2025.

How may import tariffs affect the Organic Chemical Manufacturing industry in the United States?

The Organic Chemical Manufacturing industry in the United States is likely to be impacted by import tariffs with imports accounting for a moderate share of industry revenue.

How may export tariffs affect the Organic Chemical Manufacturing industry in the United States?

The Organic Chemical Manufacturing industry in the United States is likely to be significantly impacted by export tariffs with exports accounting for a high share of industry revenue.

Has the Organic Chemical Manufacturing industry in the United States grown or declined over the past 5 years?

The market size of the Organic Chemical Manufacturing industry in the United States has been growing at a CAGR of 6.5 % between 2020 and 2025.

What is the forecast growth of the Organic Chemical Manufacturing industry in the United States over the next 5 years?

Over the next five years, the Organic Chemical Manufacturing industry in the United States is expected to grow.

What are the biggest companies in the Organic Chemical Manufacturing industry in the United States?

The biggest companies operating in the Organic Chemical Manufacturing industry in the United States are Royal Dutch Shell Plc and Dow Inc.

What does the Organic Chemical Manufacturing industry in the United States include?

Ethyl alcohol and Cyclic crudes, coal tar, wood chemical and intermediate products are part of the Organic Chemical Manufacturing industry in the United States.

Which companies have the highest market share in the Organic Chemical Manufacturing industry in the United States?

The company holding the most market share in the Organic Chemical Manufacturing industry in the United States is Royal Dutch Shell Plc.

How competitive is the Organic Chemical Manufacturing industry in the United States?

The level of competition is high and steady in the Organic Chemical Manufacturing industry in the United States.

Methodology

How are IBISWorld reports created?

IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.

Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.

IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.

What data sources do IBISWorld analysts use?

Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.

Key data sources in the US include: 

  • US Census Bureau
  • US Bureau of Labor Statistics
  • US International Trade Commission

Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.

These sources include:

  • Industry and trade associations
  • Industry federations or regulators
  • Major industry players annual or quarterly filings

Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.

How does IBISWorld forecast its data?

IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.

IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.

Learn more about our methodology and data sourcing on the Help Center.

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