Oxalic Acid Market By Product Type (Anhydrous Oxalic Acid, Dihydrate Oxalic Acid), By Process (Glucose-Based Process, Oxidation Of Carbohydrates, Ethylene Glycol Oxidation, Coal-Based Synthesis, Electrochemical Process, Bio-Based Fermentation Process), By Application (Cleaning & Bleaching Agent, Metal Treatment, Pharmaceuticals, Rare Earth Separation, Textile & Leather, Agriculture), By End-User (Chemical, Pharmaceutical, Textile, Electronics, Agriculture, Automotive), Global Market Size, Segmental analysis, Regional Overview, Company share analysis, Leading Company Profiles And Market Forecast, 2025 – 2035

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Industry Outlook

The Oxalic Acid market accounted for USD 636.80 Million in 2024 and USD 668.07 Million in 2025 is expected to reach USD 1078.92 Million by 2035, growing at a CAGR of around 4.91% between 2025 and 2035. The Oxalic Acid Market involves the production of powerful organic acid commonly applied as a bleaching, cleaning, and metal treating reagent in the pharmaceutical, textile, and electronic industries. It is important in the separation of rare earth elements, rusting, and the purification of dyes.

The market is set to experience moderate but stable growth with the increasing demand for environmentally friendly cleaning products and with improvements in rare earth processing. The growth in industrialization in developing economies and the use in battery recycling and agriculture is likely to promote market growth further. The shift towards bio-based oxalic acid production can also be conditioned by sustainability trends.

Industry Experts Opinion

Oxalic acid has significant potential in green chemistry due to its role in metal cleaning and rare earth extraction. However, its production still relies heavily on fossil-based processes. The industry must shift towards bio-based synthesis routes, such as fermentation of sugars, to make it truly sustainable."

• Dr. John Warner, President, Warner Babcock Institute for Green Chemistry

Report Scope:

Market Dynamics

Rising demand from the pharmaceutical and textile industries boosts global oxalic acid consumption and production capacity.

The Oxalic Acid Market is experiencing high growth on the back of growing demand in the pharmaceutical and textile industries. Oxalic acid is a common purifying agent in the pharmaceutical manufacture of numerous active ingredients as well as intermediates. It is important in sterilization and high-purity manufacturing processes. In the textile industry, at the same time, oxalic acid is applied in the bleaching and removal of dyes, since it is a strong reducing and acidic compound.  As the world witnesses the growth of healthcare services and the fashion manufacturing industry, the demand for oxalic acid is expected to increase continually.

The growing industrial establishments and cheap production centers are making emerging economies like India, China, and Southeast Asia big consumers. Moreover, drug manufacturing is also favorable due to the pharmaceutical innovation and the increased disease burden, thus driving the demand for oxalic acid. According to Eurostat, imports of oxalic acid from PRC and India accounted for about 17 % of the Union market in the review investigation period compared to 16 % during the previous expiry review. In absolute terms, imports decreased from 7,969 tons during the original investigation period to 1,658 tons in the last expiry review and further to 1,565 tons in the current RIP.

Growth in rare earth metal processing enhances industrial usage of oxalic acid in separation applications.

A key factor influencing the Oxalic Acid Market is the growing demand for rare earth metals in electronics, clean energy sources, and defense technologies. Oxalic acid is an essential precipitating reagent employed in the separation of rare earth elements, and it is highly selective and pure. As the world focuses on renewable energy, electric cars, and high-tech electronics, the mining and processing of rare earths is gaining increasing pace. To minimize the dependence on imports, on geopolitical hotspots, countries are investing in local rare earth value chains.

This increases the use of oxalic acid during the separation and purification processes of production. In addition, more environmentally friendly processing methods that prefer oxalic acid-based processing to more toxic reagents are being implemented. This has opened new growth opportunities for the manufacturers of oxalic acid. Oxalic acid is also used in innovations of hydrometallurgy and solvent extraction. With the increasing need for rare earths, the importance of the market to achieve the purity and sustainability standard desired by the end industries also increases.

Toxicity and handling hazards restrict widespread use and pose challenges to worker safety and compliance.

Although oxalic acid is industrially useful, it is toxic and has serious handling hazards, which restrict its use to a smaller market in the Oxalic Acid Market. It is a very corrosive and poisonous chemical that may lead to skin burns, respiratory problems, and even organ damage when exposed to it. This requires high standards of safety in manufacturing, storage, and transport. Special handling equipment and protective measures drive up the cost of operation and the burden of regulation. Due to this, several small-scale industries either quit using oxalic acid or use it sparingly.

The strict environmental safety and occupational safety standards of various countries, such as North America and Europe, also limit the market penetration. It has serious health and environmental effects in case of any unwanted spillage or misuse. These issues limit its use in industries that are consumer-facing or unregulated. On the one hand, the industrial users are sufficiently equipped to deal with these hazards; on the other hand, the risks involved still serve as an impediment. So, toxicity is one of the essential limiting factors of the broader development of the market.

Shift toward bio-based production opens sustainable growth avenues in oxalic acid manufacturing processes.

The trend of growing attention towards bio-based and green chemistry methods of production is one of the greatest opportunities for the Oxalic Acid Market. Conventional chemical synthesis methods usually use toxic intermediates or release toxic byproducts, leading to the development of greener alternatives. Recently, biotechnology has allowed the synthesis of oxalic acid by microbial fermentation or plant feedstocks. Such bio-based processes are substantially more environmentally friendly, which can appeal to companies trying to gain green certifications and ESG objectives.

Bio-derived chemicals are in increasing demand as the pressure mounts on chemical companies to cut back on carbon emissions and hazardous waste by regulations all over the world. Eco-friendly industries also find use in bio-based oxalic acid, e.g., natural textile industries and organic farming. R&D and pilot-scale production investments are also already being made in other regions, such as Europe and Asia-Pacific. Such advances have the potential to transform the competitiveness of the market, making low-impact, cost-efficient production a reality, which can subsequently meet future sustainability regulations.

Expansion in battery recycling boosts oxalic acid demand for metal extraction and purification processes.

The recycling of batteries has taken a large thrust globally due to the demand for sustainable energy solutions, and this is a major opportunity that the Oxalic Acid Market can take advantage of. In spent batteries, oxalic acid is applied in the leaching and recovery of useful metals such as lithium, cobalt, and nickel. Due to the increasing popularity of electric vehicles (EVs), portable electronics, and renewable storage systems, the necessity to recycle and reuse battery materials has emerged at a rapid pace. Oxalic acid provides a safe and effective method of metallic recuperation, particularly when compared with the more forceful inorganic acids.

This property of forming stable metal oxalates makes it a good candidate for selective recovery. The demand is also driving up investments in giant battery recycling factories by countries that have adopted the circular economy model. Besides, new avenues of growth are being presented by governments in the form of incentives and policy support for e-waste recycling. The future battery supply chain will make the market a key facilitator of green technology and sustainability of resources in the future.

Segment Analysis

Based on the product type, the Oxalic Acid Market is classified as Anhydrous Oxalic Acid, Dihydrate Oxalic Acid. Dihydrate Oxalic Acid is becoming the leading segment. It is more frequently used because this form is stable, easily soluble, and economical in several industrial processes like textile bleaching, cleaning metals, and pharmaceuticals. Its abundance, as well as ready storage, makes it the choice of large-scale manufacturing processes. Conversely, anhydrous oxalic acid finds its application mainly in specialized procedures that involve water-sensitive reactions, restricting its applications. The versatility and safer handling character of the dihydrate form is likely to continue its domination in the future.

Based on the application, the Oxalic Acid Market is classified into Glucose-Based Process, Oxidation of Carbohydrates, Ethylene Glycol Oxidation, Coal-Based Synthesis, Electrochemical Process, and Bio-Based Fermentation Process. Coal-Based Synthesis is currently the one which has currently the biggest market share. It is still predominant because of the low production costs of production and the prevalence of raw materials mostly in countries such as China and India. Nevertheless, the industries are responding to the environmental issues and growing demand for sustainable processes, which are encouraging them to attempt to use bio-based fermentation and glucose-based processes. Such cleaner alternatives are rising in the developed regions but have not achieved commercial scale. With increasing regulations, slow movement towards environment-friendly processes is anticipated, but coal-based synthesis would probably dominate in the short run.

Regional Analysis

The Asia-Pacific Oxalic Acid Market holds the largest share because of the high demand for the product by the industries of various countries such as China, India, and Japan. China, especially, is both the largest producer and consumer due to its robust textile industry, pharmaceutical industry, as well as rare earth processing industries. The area has been endowed with a high level of raw materials, cheap production factors, and a huge manufacturing sector. Moreover, chemical processing and exports are also supported by the government, which stimulates the growth of the market. The dominance of the region is anticipated to persist owing to the rapid industrialization, as well as the growth in end-use segments. The long-term growth is also backed by increasing demand for oxalic acid in agriculture and electronics. The manufacturers of this region are also targeting to increase their export capacity in response to the demand in the world.

The North American Oxalic Acid Market is projected to grow faster due to the augmenting use in battery recycling, rare earth isolation, and green cleaning reagents. Sustainable technologies and the practices of the circular economy are being invested in the U.S., and this trend directly increases oxalic acid consumption. Environmental regulations that are increasingly demanding and a move toward bio-based production of chemicals are also favorable to market acceleration. Also, R&D efforts and government support of green chemistry give an extra impetus. With the trend in industries to adopt cleaner alternatives, North America is set to experience a massive increase in the usage of oxalic acid. Increasing awareness regarding safer industrial chemicals is prompting demand. Firms are also considering localizing their production to minimize imports.  

Competitive Landscape

Oxalic Acid Market is slightly fragmented with the existence of global as well as regional competitors who are competing based on pricing, quality, and production capacity. Major players are Oxaquim S.A., Ube Industries Ltd., Indian Oxalate Ltd., Clariant AG, Punjab Chemicals, and Shandong Fengyuan Chemical Co. Ltd. These players are concentrating on increasing their production capacities and intensifying distribution channels, particularly in Asia-Pacific. In reaction to the environmental issues, many firms are investing in R&D to come up with bio-based and greener synthesis methods. The common methods of improving market presence include the formation of strategic collaborations, mergers, and long-term supply contracts.

The Chinese manufacturers are already at the volume production stage, given the cost and easy access to raw materials. But western firms are making inroads with high-purity and specialty-grade oxalic acid to serve niche uses. The move towards sustainable chemistry is also influencing international companies to resort to greener technologies in their production. The major differentiators in this competitive market continue to be innovation, regulatory compliance, and sustainability.

Oxalic Acid Market, Company Shares Analysis, 2024

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Recent Developments:

• In April 2024, Oxaquim (Spain) announced the development of a new bio-based oxalic acid production method aimed at significantly reducing carbon emissions. This innovation aligns with the company’s sustainability goals and responds to growing global demand for eco-friendly chemical manufacturing.

Report Coverage:

By Product Type

• Anhydrous Oxalic Acid
• Dihydrate Oxalic Acid

By Process

• Glucose-based Process
• Oxidation of Carbohydrates
• Ethylene Glycol Oxidation
• Coal-based Synthesis
• Electrochemical Process
• Bio-based Fermentation Process

By Application

• Cleaning & Bleaching Agent
• Metal Treatment
• Pharmaceuticals
• Rare Earth Separation
• Textile & Leather
• Agriculture

By End-User

• Chemical
• Pharmaceutical
• Textile
• Electronics
• Agriculture

• Automotive

By Region

North America

• U.S.
• Canada

Europe

• U.K.
• France
• Germany
• Italy
• Spain
• Rest of Europe

Asia Pacific

• China
• Japan
• India
• Australia
• South Korea
• Singapore
• Rest of Asia Pacific

Latin America

• Brazil
• Argentina
• Mexico
• Rest of Latin America

Middle East & Africa

• GCC Countries
• South Africa
• Rest of Middle East & Africa

List of Companies:

• Oxaquim S.A.
• Clariant International Ltd.
• Indian Oxalate Ltd.
• UBE Industries Ltd.
• Shijiazhuang Taihe Chemical Co., Ltd.
• Mudanjiang Fengda Chemicals Corp.
• Star Oxochem Pvt. Ltd.
• Merck KGaA
• Avantor, Inc.
• Radiant Indus Chem Pvt. Ltd.
• Sichuan Golden Elephant Sincerity Chemical Co., Ltd.
• Zhengzhou Research Institute of Chemical Industry Co., Ltd.
• Alfa Aesar
• Gujarat Alkalies and Chemicals Ltd. (GACL)
• Tianjin JiHong Chemical Co., Ltd.

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