Global Perchloroethylene Market Growth, Share, Size, Trends and Forecast (2025 - 2031)

The Global Perchloroethylene Market has been segmented by Type, Application, End Use, and Geography, offering a comprehensive analysis of the industry’s growth drivers and trends. In terms of type, perchloroethylene is commonly found in its pure form and as a mixture with other solvents. The pure form is widely used for cleaning and degreasing purposes, while mixtures are often utilized in applications where a less aggressive solvent is required. The high solubility and excellent degreasing properties of perchloroethylene make it a preferred choice for industrial cleaning and metalworking applications. The market for pure perchloroethylene is expected to grow steadily due to its continued use in dry cleaning and automotive maintenance.

The application segment of the perchloroethylene market includes dry cleaning, degreasing, chemical formulations, and others. Dry cleaning remains one of the largest applications for perchloroethylene, as it is a highly effective solvent for removing oils, grease, and dirt from delicate fabrics without damaging them. Additionally, in the automotive and manufacturing sectors, perchloroethylene is used as a degreaser to clean metal parts and machinery, particularly in precision engineering. Its role in chemical formulations, such as in the production of adhesives, paints, and coatings, is also growing, as perchloroethylene helps dissolve and mix various chemical compounds efficiently.

Geographically, the market is segmented into regions like North America, Europe, Asia-Pacific, Latin America, and the Middle East and Africa. North America and Europe currently lead the market due to the high demand for perchloroethylene in dry cleaning and industrial applications, coupled with stringent environmental regulations. However, the Asia-Pacific region is expected to witness the fastest growth, driven by increasing industrialization, urbanization, and rising demand for cleaning and degreasing solutions in manufacturing and automotive sectors. As regulations around the use of perchloroethylene tighten due to environmental concerns, the market is also seeing a shift toward alternative solvents and more eco-friendly formulations.

Global Perchloroethylene Segment Analysis

In this report, the Global Perchloroethylene Market has been segmented by Type, Application, End Use, and Geography.

Global Perchloroethylene Market, Segmentation by Geography

In this report, the Global Perchloroethylene Market has been segmented by Geography into five regions; North America, Europe, Asia Pacific, Middle East and Africa, and Latin America.

Global Perchloroethylene Market Share (%), by Geographical Region, 2024

North America, particularly the United States, is one of the largest markets for perchloroethylene due to its significant industrial and commercial sectors. The demand for PCE in this region is driven by its extensive use in automotive, aerospace, and dry cleaning applications. The automotive and aerospace industries, which rely heavily on PCE for degreasing and cleaning parts, are key contributors to the region’s market growth. Additionally, PCE is widely used in dry cleaning, which remains a popular service despite growing competition from eco-friendly alternatives.

Europe is another prominent market for perchloroethylene, particularly in countries like Germany, the United Kingdom, France, and Italy. The region is home to a large number of industrial manufacturers, automotive companies, and aerospace manufacturers that use PCE for cleaning, degreasing, and other applications. The dry cleaning industry in Europe also remains significant, although it is experiencing a decline in favor of more environmentally friendly and biodegradable solutions.

One of the primary challenges in Europe is the stringent regulatory framework surrounding PCE. The European Union has imposed numerous restrictions on the use of perchloroethylene due to its environmental impact, leading to the search for alternative solvents and cleaning agents. As such, the market growth in Europe is somewhat limited by these regulations. However, innovation in cleaner production methods, such as the development of safer PCE formulations or substitutes, continues to provide opportunities for market players.

The Asia Pacific (APAC) region is expected to witness the highest growth rate in the global perchloroethylene market due to rapid industrialization, urbanization, and growing automotive and aerospace sectors in countries such as China, India, Japan, and South Korea. The demand for PCE in industrial cleaning, degreasing, dry cleaning, and the manufacture of fluoropolymers is on the rise as these industries expand in the region. The Middle East and Africa (MEA) region is a relatively smaller market for perchloroethylene, but it is experiencing growth driven by industrial applications in the oil & gas, automotive, and manufacturing sectors. The demand for PCE in cleaning, degreasing, and cooling agents is increasing as industries such as oil refining, petrochemicals, and automotive manufacturing expand in countries like Saudi Arabia, the UAE, and South Africa.

Latin America represents a moderate but steady growth market for perchloroethylene. Countries like Brazil, Mexico, Argentina, and Chile are witnessing increased industrialization, which drives demand for PCE in industrial cleaning, degreasing, and automotive applications. The demand for PCE in dry cleaning also remains relevant in large urban areas, where the middle class is growing, and disposable incomes are rising.

The Latin American market, however, faces some challenges in terms of regulatory standards and competition from cheaper, locally produced alternatives. In many countries, environmental regulations are not as stringent as in North America or Europe, but this could change as international pressure on sustainability grows. The growing automotive and aerospace sectors in Brazil and Mexico contribute significantly to the PCE demand, although there is increasing interest in alternative solvents due to their environmental and health benefits.

This report provides an in depth analysis of various factors that impact the dynamics of Global Perchloroethylene Market. These factors include; Market Drivers, Restraints and Opportunities Analysis.

Drivers, Restraints and Opportunity Analysis

Drivers

• Growth of dry cleaning applications globally.
• Rising industrialization and urbanization in emerging economies.

• Expanding use of PCE in aerospace and defense sectors -The expanding use of perchloroethylene in the aerospace and defense sectors is one of the key drivers of the global PCE market. Aerospace manufacturing involves the production and maintenance of complex equipment, including aircraft and spacecraft, where stringent performance and safety standards are critical. Perchloroethylene is widely used in degreasing and cleaning components of aircraft engines, parts, and assemblies. Its ability to efficiently remove oil, grease, and other contaminants from metal surfaces is vital in ensuring the durability and safety of aerospace components.

  In the defense sector, PCE plays a significant role in maintaining the functionality of military vehicles, machinery, and weaponry, all of which require rigorous cleaning and degreasing procedures to operate effectively in challenging environments. As both the aerospace and defense industries continue to expand globally, driven by increasing government defense budgets and a growing need for advanced technologies, the demand for high-performance solvents like perchloroethylene will continue to rise. This trend represents a substantial opportunity for growth in the PCE market, particularly in countries with a strong presence in aerospace and defense, such as the United States, China, and Russia.

Restraints

• Volatile prices of raw materials.
• Health and safety risks associated with perchloroethylene.

• Limited adoption in eco-friendly and sustainable applications - The limited adoption of perchloroethylene in eco-friendly and sustainable applications presents a significant restraint to market growth. Perchloroethylene has long been considered a hazardous chemical, particularly because it is classified as a volatile organic compound (VOC), which contributes to air pollution and has potential health risks, including neurotoxicity and carcinogenic effects with prolonged exposure. Environmental concerns over its use have led to regulatory restrictions, particularly in developed markets, where governments are increasingly enforcing stricter standards for chemical emissions.

  As a result, many industries are looking for alternative, more sustainable cleaning agents that offer similar or better performance without the negative environmental impact. For instance, the growing adoption of biodegradable and non-toxic cleaning solutions in the dry cleaning industry is posing a challenge to the widespread use of PCE. Manufacturers are investing in developing more sustainable alternatives, such as liquid CO2-based cleaners, that can provide the same benefits with lower environmental footprints. This shift in consumer preferences towards eco-friendly products is likely to slow the growth of the perchloroethylene market unless companies can adapt to these changing demands by innovating with safer and more sustainable production methods.

Opportunities

• Growing demand for perchloroethylene in emerging markets.
• Innovation in PCE formulations for new applications.

• Rising demand for high-performance cleaning agents in industrial sectors - The growing demand for high-performance cleaning agents in various industrial sectors represents a significant opportunity for the perchloroethylene market. As industries such as automotive, aerospace, and manufacturing continue to advance, the need for efficient and effective degreasing and cleaning solutions becomes even more critical. Industrial cleaning applications require solvents that can remove tough contaminants like oil, grease, and resins, ensuring that machinery, equipment, and parts remain in optimal working condition.

  Perchloroethylene is well-suited to meet these industrial cleaning demands due to its strong solvency power and ability to work effectively under a wide range of temperatures and conditions. As industries focus on improving their operational efficiency and reducing downtime, the demand for high-performance cleaning agents like PCE is expected to rise. Furthermore, the growing trend of automation and precision manufacturing, especially in the automotive and aerospace sectors, will continue to drive the need for specialized cleaning solutions, presenting ample growth opportunities for the perchloroethylene market in industrial applications.

Key players in the Global Perchloroethylene Market include:

• Occidental Chemical
• Olin Corporation
• Westlake Chemical Corporation
• The DOW Chemical Company
• Banner Chemicals Group
• ACE Geosynthetics Enterprise Co, Ltd
• Aicello Chemical Co, Ltd
• AGC Kanto
• Denka Chemicals GmbH
• Paari Chem Resources LLP
• Befar Group
• LUXI Dongyue Group
• Xinlong Group Zhejiang
• Juhua Wuxi Yangshi
• Chemical Dakang
• SINOCHEM LANTIAN

In this report, the profile of each market player provides following information:

• Company Overview and Product Portfolio
• Key Developments
• Financial Overview
• Strategies
• Company SWOT Analysis