Azelaic Acid Market Size, Share, and Growth Analysis, By Type (Industrial Grades, Pharmaceutical Grades, and GMP Pharmaceutical Grades), By Application (Plastics, Lubricants, Electronics, Pharmaceuticals and Cosmetics, and Others), Regional Insights and Forecast From 2025 To 2035

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AZELAIC ACID MARKET REPORT OVERVIEW

The global azelaic acid market size at USD 240.7 billion in 2025 and is projected to reach USD 258 billion in 2026, growing further to USD 482.4 billion by 2035 at an estimated CAGR of 7.2% from 2026 to 2035.

In the market study, our analysts have considered azelaic acid market players such as Emery Oleochemicals, Matrica SpA, BASF, Croda Sipo, Ninghai Zhonglong, Jiangsu Senxuan, Nantong Hengxing Electronic Materials, Shandong Clearwill, Hubei Tuochu and Others

Azelaic acid is a naturally occurring dicarboxylic acid that has been used in the treatment of acne, rosacea, and hyperpigmentation. It is derived from grains such as wheat, rye, and barley. It works by inhibiting the growth of acne-causing bacteria, reducing inflammation, and helping to unclog pores. It also has a skin-lightening effect that can help reduce the appearance of hyperpigmentation and melasma.

Azelaic acid is available in both prescription and over-the-counter formulations. It is usually applied topically as a cream, gel, or foam. Side effects may include mild burning, stinging, itching, and dryness or peeling of the skin. It is important to avoid using this acid on broken or irritated skin and to use sunscreen when exposed to sunlight as it may increase sensitivity to UV rays. As with any medication, it is important to consult a healthcare provider before using the chemical.

KEY FINDINGS

COVID-19 IMPACT

Supply Chain Disruption Hampered Market Growth

The global COVID-19 pandemic has been unprecedented and staggering, with the market experiencing higher-than-anticipated demand across all regions compared to pre-pandemic levels. The sudden rise in CAGR is attributable to the market's growth and demand returning to pre-pandemic levels once the pandemic is over.

The COVID-19 pandemic has significantly impacted the global economy and affected various industries, including the skincare industry. While the pandemic has increased demand for certain skincare products, such as hand sanitizers and face masks, the market for other skincare products has been affected. In the case of chemicals, there have been reports of shortages and delays in the supply chain due to disruptions in manufacturing and shipping caused by the pandemic. The demand for azelaic acid-based products has also increased, particularly as more people have been struggling with skin issues due to stress and other factors related to the pandemic. It works by inhibiting the growth of acne-causing bacteria, reducing inflammation, and helping to unclog pores. It also has a skin-lightening effect that can help reduce the appearance of hyperpigmentation and melasma.

LATEST TRENDS

Rising Awareness About Benefits Associated with the Product to Boost Market Growth

Azelaic acid is derived from natural sources such as wheat, rye, and barley, making it an attractive ingredient for consumers seeking natural and organic skincare products. additionally, it helps in skin conditions such as acne, rosacea, and hyperpigmentation are becoming more common, driving demand for products, that can help to address these issues. Growing awareness about the benefits associated with this acid is estimated to augment azelaic acid market growth.

• According to a government innovation body, a continuous flow process for azelaic acid achieved 80–100% conversion efficiency from oleic acid, delivering product purity of over 99% in pilot-scale production.
• As per a national medical administration source, new testing methods for azelaic acid and its salts in cosmetics are being integrated into safety standards, enhancing regulatory compliance and quality control across cosmetic formulations.

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AZELAIC ACID MARKET SEGMENTATION

By Type

By type, the market is segmented into industrial grades, pharmaceutical grades, and GMP pharmaceutical grades.

• Industrial Grade: Industrial grade materials are designed for robust applications where high durability and performance are essential. They meet broad quality standards suitable for manufacturing, construction, and engineering processes.
• Pharmaceutical Grade: Pharmaceutical grade substances adhere to stringent purity and quality standards set by pharmacopeias. They ensure safety, consistency, and efficacy for use in drug formulation and medical applications.
• GMP Pharmaceutical Grade: GMP pharmaceutical grade products are manufactured under strict Good Manufacturing Practice guidelines. This ensures every batch maintains the highest standards of purity, safety, and regulatory compliance.

By Application

Based on application, the market is classified into plastics, lubricants, electronics, pharmaceuticals and cosmetics, and others.

• 1. Plastics: Plastics revolutionized modern manufacturing with their versatility and durability. From packaging to automotive parts, they have become an indispensable part of daily life.
• 2. Lubricants: Lubricants reduce friction and wear, ensuring machines run smoothly and efficiently. They play a vital role in extending the lifespan of engines and industrial equipment.
• 3. Electronics: Electronics power the digital age, connecting people and automating countless processes. Continuous innovation in this field drives smarter, faster, and more efficient technologies.
• 4. Pharmaceuticals and Cosmetics: Pharmaceuticals and cosmetics blend science and care to enhance health and beauty. They improve quality of life, promoting wellness and self-confidence globally.
• 5. Others: This category includes diverse materials and innovations that don’t fit the norm but still shape industries. From advanced composites to niche chemicals, they fuel progress across sectors.

DRIVING FACTORS

Growing Adoption of Organic Skincare to Boost the Chemical Demand

The growing interest in natural and organic skincare products. Consumers are becoming more aware of the potential risks associated with synthetic skincare products and are seeking out natural and organic alternatives. The increasing prevalence of skin conditions is also driving growth in the market. Skin conditions such as rosacea, hyperpigmentation, and melasma are becoming more common, and azelaic acid has been shown to be an effective treatment for these conditions. As the prevalence of these conditions continues to grow, the demand for acid-based products is likely to increase.

• According to a government source, the inclusion of mandatory testing protocols for azelaic acid in cosmetics is increasing compliance-based demand among manufacturers, influencing over 70% of cosmetic producers to reformulate products to meet new standards.
• As per a therapeutic goods authority, azelaic acid demonstrates clinically significant improvement in skin conditions such as acne and hyperpigmentation, with studies showing reductions of up to 65% in acne lesion count following topical application.

Applications of the Chemical in Pharmaceutical and Food Industries to Surge Growth

Another growth factor for the azelaic acid market is the increasing adoption of such acids in the pharmaceutical industry. It is used not only in skincare products but also in treating other medical conditions, such as rosacea and hyperpigmentation. The pharmaceutical industry is expected to experience significant growth due to the increasing prevalence of these conditions, which is estimated to increase the demand for acid-based products. It is also used as a food preservative, driving growth in the food industry. 

RESTRAINING FACTORS

Presence of Alternatives to Distract Growth in the Market

The availability of alternative treatments for skin conditions such as acne, rosacea, and hyperpigmentation, is anticipated to restrict the azelaic acid market growth. While it has been shown to be effective in treating these conditions, other treatments may be more convenient or cost-effective for some consumers. For example, over-the-counter treatments such as benzoyl peroxide and salicylic acid are commonly used to treat acne, and prescription treatments such as topical antibiotics or retinoid are also available.

• According to a regulatory authority, maximum allowable concentration for azelaic acid in cosmetics is limited to 14%, as higher concentrations have shown increased skin irritation potential in more than 20% of tested individuals.
• Based on regional cosmetic directives, azelaic acid is restricted in certain formulations, affecting roughly 15% of product registrations in those jurisdictions due to safety classifications.
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AZELAIC ACID MARKET REGIONAL INSIGHTS

Growing Cases of Skin Condition to Boost Major Growth in North America

North America is expected to hold approximately 40% of the azelaic acid market share, with United States being a major contributor to market growth. The region's growth is driven by factors such as the increasing prevalence of skin conditions such as acne and rosacea, the growing interest in natural and organic skincare, and major market players.

Europe is another significant market, with countries such as Germany, France, and the United Kingdom driving growth. The growth in Europe is driven by factors such as the increasing demand for natural and organic skincare products, rising awareness of the benefits of the chemical for skin health, and major pharmaceutical companies in the region.

KEY INDUSTRY PLAYERS

Key Companies to Emphasis On the Development of Advanced Technology

Key market players are focused on strengthening their presence by adopting advanced technologies. The competitors are adopting strategies to gain mergers and acquisitions in the global market. Major players of the market are emphasis on gaining collaborations, mergers, and acquisitions is increasing among leading players. The major market players are striving to maintain partnerships with other key players in the same industry. Gaining partnerships with other companies will develop a strong consumer base in the global market. The key competitors are adopting organic and inorganic growth strategies to surge their market share in the global market. 

• Emery Oleochemicals: According to industry data, the company contributes around 34% of global industrial-grade azelaic acid output, with an estimated capacity utilization of 78% across its plants.
• Matrica SpA: As per industry reports, Matrica accounts for roughly 30% of pharmaceutical-grade azelaic acid supply, maintaining production efficiency levels above 90% due to advanced bio-based processing systems.

List of Top Azelaic Acid Companies

• Emery Oleochemicals (U.S.)
• Matrica SpA (Italy)
• BASF (Germany)
• Croda Sipo (China)
• Ninghai Zhonglong (China)
• Jiangsu Senxuan (China)
• Nantong Hengxing Electronic Materials (China)
• Shandong Clearwill (China)
• Hubei Tuochu (China)

REPORT COVERAGE

The market research study offers thorough information on numerous market aspects. The growth drivers, restraints, geographical analysis, competitive environment, and challenges are a few of them. Additionally, it provides an analytical analysis of market trends and projections for various factors to show potential investment areas. The market is objectively assessed to determine its financial viability. The report's data was compiled using a variety of primary and secondary sources.