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United States Cosmetic Ingredients Market 2025: Industry Developments, Future Growth, Share & Industry Insights | Croda International, Evonik Industries, Clariant AG, Dow Chemical
Cosmetic Ingredients Market - DataM Intelligence
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Industry Recent Developments 2025:
✅ 28 May 2025: e.l.f. Beauty agreed to acquire beauty brand rhode (Hailey Bieber) a headline acquisition that signals large beauty players buying high-growth, ingredient-forward DTC brands to accelerate R&D and premium SKUs.
✅ 07 May 2025: Private-equity firm Astorg signed a definitive agreement to acquire a majority stake in biotech ingredient house Solabia clear PE interest in biotech actives and ingredient platforms.
✅ 14 May 2025: Shiseido announced an absorption-type merger with subsidiary ETWAS (effective July 1, 2025) as part of its "Action Plan 2025-2026" example of incumbents reorganizing R&D/ingredient/brand operations in 2025.
✅ Apr 2025 (In-Cosmetics Global, April 2025): Trade shows (In-Cosmetics Global and regional editions) were dominated by biotech actives, upcycled botanicals, HA innovations and sustainability-first opacifiers/emulsifiers the event reporting made these trends visible across supplier launches.
✅ 19 Mar 2025: Givaudan Active Beauty launched EvernitylTM (marine, upcycled macroalgae active) an example of 2025 launches that combine upcycling + high-performing anti-age claims.
✅ 02 Apr 2025: Givaudan Active Beauty unveiled PrimalHyalTM UltraReverse marketed as an ultra-small, sustainable hyaluronic acid variant designed for deep cell-level / "well-ageing" benefits.
✅ 03 Apr 2025: BASF Personal Care announced multiple natural-based ingredient launches (e.g., Verdessence® Maize, Lamesoft® OP Plus and new betaine Dehyton® PK45 GA/RA) part of a strong 2025 push on sustainable, naturally-derived actives and sensorial polymers.
✅ 08 Apr 2025: Croda used In-Cosmetics Global to launch neurocosmetic ingredient ZenakineTM (neuroactive approach to stress-affected skin) and other innovation zone reveals Croda's 2025 activity emphasized neurocosmetics and bond-multiplier hair solutions.
✅ 11 Apr 2025: Croda also promoted KeraBioTM K31 (hair bond multiplier category) at in-cosmetics Global 2025, 2025 saw ingredient suppliers expanding into high-value hair repair actives.
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Regional Market Share:
➠ North America holds a significant share of the cosmetic ingredients market, accounting for around 25-28% of the global industry. The region's market strength is driven by high consumer spending on premium skincare, widespread adoption of clean beauty products, and strong regulatory standards that promote the use of safe, high-quality ingredients. The presence of major beauty brands and active R&D investments further support steady market growth.
➠ Europe remains the leading region with approximately 30-32% share, supported by one of the world's most stringent cosmetic regulatory frameworks under the EU Cosmetic Regulation. This ensures strong demand for compliant, high-purity, and innovative ingredients. Europe's mature beauty market, high preference for natural and organic products, and strong manufacturing base for specialty cosmetic actives contribute to its dominant position.
➠ Asia-Pacific represents the fastest-growing region with an expanding share of roughly 32-35%. The growth is powered by dynamic beauty trends such as K-Beauty and J-Beauty, rising disposable incomes, and increasing beauty consciousness in major markets like China, India, South Korea, and Japan. The region is also a major hub for large-scale ingredient production, driving both consumption and manufacturing growth.
Market Growth Drivers:
✅ Rising Adoption of Natural & Clean Beauty Products
Consumers are opting for plant-derived, sustainable, and eco-friendly cosmetic formulations, pushing suppliers to innovate with botanical actives, natural antioxidants, and bio-fermented ingredients.
✅ Growing Demand for Anti-Aging & Functional Skin Care
An increase in premature aging concerns, pollution exposure, and lifestyle factors is boosting demand for functional actives such as peptides, ceramides, hyaluronic acid, retinoids, and niacinamide.
✅ Rapid Expansion of Personal Care & Beauty Industries
The global beauty industry's shift toward premium and personalized products-including serums, boosters, and targeted skincare-is increasing the need for advanced, high-purity cosmetic ingredients.
✅ Technological Advancements in Ingredient Processing
Innovation in biotechnology, microencapsulation, nanotechnology, and green chemistry enables more stable, effective, and safe ingredients, supporting new product formulations.
✅ Growth of Men's Grooming & K-Beauty/J-Beauty Trends
Emerging consumer segments and beauty trends across Asian markets are driving high demand for multifunctional active ingredients, brightening agents, and unique botanical extracts.
Segments Covered in the Cosmetic Ingredients Market:
By Ingredients Type (Synthetic, Natural)
By Product Type (Surfactant, Emollient, Polymer, Oleo-chemical, Botanical Extract, Rheology Modifier, Preservatives, Antioxidant, Emulsifier & Stabilizer, Others)
By Functionality (Cleansing Agents & Foamers, Aroma, Moisturizing, Specialty, Others)
By End-user (Skin Care, Oral Care, Hair Care, Body Care)
Regional Analysis for Cosmetic Ingredients Market:
⇥ North America (U.S., Canada, Mexico)
⇥ Europe (U.K., Italy, Germany, Russia, France, Spain, The Netherlands and Rest of Europe)
⇥ Asia-Pacific (India, Japan, China, South Korea, Australia, Indonesia Rest of Asia Pacific)
⇥ South America (Colombia, Brazil, Argentina, Rest of South America)
⇥ Middle East & Africa (Saudi Arabia, U.A.E., South Africa, Rest of Middle East & Africa)
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Major Key Players: BASF SE, Croda International Plc, Evonik Industries AG, Clariant AG, Dow Chemical Company, Symrise AG, Ashland Global Holdings Inc., SEPPIC, Lubrizol Corporation and Brenntag.
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