What is driving the structural shift in China's propanol market toward high-purity grades?

What is driving the structural shift in China's propanol market toward high-purity grades?
China's propanol industry is splitting into two very different markets. Industrial-grade product is oversupplied, with utilization around 60-72% and prices under pressure. High-purity electronic-grade material is the opposite: certification barriers are steep, requiring compliance with strict limits on metal ions, particles, moisture, organic impurities and conductivity, so few producers can enter. The payoff is real. Global electronic-grade isopropanol sales reached USD 2.74 billion in 2024 and are forecast to hit USD 4.23 billion by 2031, a 6.4% CAGR. Semiconductor fabs consume roughly 2.5 tons per 10,000 12-inch wafers, and lithium battery electrolyte purification uses about 0.8 tons per GWh. Domestic players including Jianye Microelectronics and Xinhua Chemical are adding electronic-grade capacity, but the shortage persists.