Squalene Market By Source (Animal-derived, Plant-derived, Biosynthetic); By Application (Cosmetics & Personal Care, Pharmaceuticals, Nutraceuticals & Functional Foods, Industrial Applications); By End User (Cosmetics Brands, Pharmaceutical Companies, Nutraceutical Manufacturers, Industrial Chemical Companies); By Geography, Segment Revenue Estimation, Forecast, 2024–2030

Introduction And Strategic Context

The Global Squalene Market will witness a robust CAGR of 8.65 % , valued at around USD 165 million in 2024, expected to appreciate and reach nearly USD 237 million by 2030, confirms Strategic Market Research.

Squalene, a naturally occurring triterpene hydrocarbon, has transformed from a niche cosmetic ingredient into a strategic bio-based compound with diverse industrial uses. Originally sourced from shark liver oil, squalene’s sustainability narrative shifted in recent years due to ethical concerns and supply constraints, fueling a transition toward plant-derived and biosynthetic alternatives.

 

From 2024 to 2030, squalene sits at the crossroads of sustainability, health, and innovation. In cosmetics, demand for “clean beauty” continues to rise. Brands leverage squalene’s emollient and skin-restoring properties to replace heavier oils and synthetic agents. Meanwhile, pharmaceutical applications are gaining traction, especially in vaccine adjuvants where squalene boosts immune response. Nutraceutical and functional food sectors are also experimenting with squalene’s antioxidant and cholesterol-lowering benefits.

 

Broader macro forces are at play. Regulatory agencies worldwide are clamping down on unsustainable marine harvesting, nudging the industry toward plant and lab-based production. Consumer consciousness around cruelty-free and vegan products is reshaping formulation strategies, particularly in personal care. At the same time, biotech advances are making biosynthetic squalene cost-competitive at industrial scale, opening new frontiers for pharmaceutical and nutraceutical use.

 

Key stakeholders in this ecosystem include:

• Cosmetic and personal care brands seeking natural, skin-compatible ingredients for premium formulations.

• Pharmaceutical manufacturers exploring squalene as a component in vaccine adjuvants or as a bioactive compound.

• Nutraceutical and functional food producers tapping into antioxidant benefits to create health-positioned products.

• Biotech firms and synthetic biology innovators developing yeast- or bacteria-derived squalene at commercial volumes.

• Environmental NGOs and regulators advocating for sustainable sourcing and traceability across supply chains.

• Investors eyeing the squalene market as a convergence point between green chemistry and high-margin specialty chemicals.

 

Market Segmentation And Forecast Scope

The squalene market is surprisingly diverse for a specialty chemical, driven by varied end uses and mounting sustainability pressures. For this analysis, we’ll structure it across four key axes:

By Source

Animal-derived Squalene Traditionally sourced from shark liver oil, animal squalene once dominated global supply. However, rising environmental regulations and ethical backlash have dramatically reduced its share. Some pharmaceutical applications still rely on shark-based squalene due to historical manufacturing processes, but the tide is turning.

Plant-derived Squalene Olives, amaranth seeds, rice bran, and other vegetable oils have become the preferred sources. Plant-based squalene is now the go-to choice for cosmetics brands focused on vegan and sustainable positioning.

Biosynthetic Squalene A fast-growing segment, driven by advances in fermentation and synthetic biology. Companies engineer yeast strains to produce squalene at scale, offering a sustainable and highly pure alternative. This segment is emerging as the strategic battleground for future growth.

In 2024, plant-derived squalene is projected to hold nearly 52% of market revenue, with biosynthetic solutions growing fastest thanks to ethical sourcing demands and technological progress.

 

By Application

Cosmetics & Personal Care By far the biggest consumer of squalene, particularly as an emollient in moisturizers, anti-aging products, and sunscreens. Clean beauty trends are accelerating demand, especially for plant-based or bio-derived versions.

Pharmaceuticals A niche but vital segment. Squalene is used in adjuvants like MF59, enhancing immune response in vaccines, including influenza and, recently, COVID-19 applications. Growing interest in new vaccines and immunotherapies is sparking fresh demand.

Nutraceuticals & Functional Foods Though smaller, this segment is gaining attention. Squalene’s antioxidant and cholesterol-lowering properties have created new opportunities in dietary supplements and health-positioned foods.

Industrial Applications A minor segment that includes uses in lubricants and specialty chemicals. Interest remains limited compared to health and beauty segments.

Currently, cosmetics & personal care account for roughly 61% of the market value in 2024, but pharmaceutical applications are projected to register the highest CAGR through 2030 due to vaccine pipeline expansions.

 

By End User

• Cosmetics and skincare brands

• Pharmaceutical manufacturers and vaccine producers

• Nutraceutical product developers

• Industrial chemical companies

Among these, cosmetics brands are the dominant buyers, both in volume and frequency of purchase. However, pharmaceutical players can quickly move the needle due to the high-value nature of adjuvant applications.

 

By Region

North America Driven by cosmetic innovation and pharmaceutical R&D. Consumers here demand sustainability certifications, shifting the market toward plant-based and bio-based squalene.

Europe A stronghold for clean beauty trends and regulatory oversight. European Union bans on shark-based squalene have accelerated the rise of plant-derived and synthetic alternatives.

Asia Pacific The fastest-growing region, fueled by expanding cosmetic markets in China, Korea, and Japan. Rising disposable incomes and shifting beauty standards are key drivers.

LAMEA (Latin America, Middle East, Africa) Still emerging, though Latin America shows potential due to the growth of natural personal care segments. However, price sensitivity can be a restraint.

Notably, Europe holds a substantial market share (~34% in 2024), but Asia Pacific is projected to post the strongest growth rate through 2030.

 

Market Trends And Innovation Landscape

Squalene may seem like a humble hydrocarbon, but it’s riding several major innovation waves. The story isn’t just about supply—it’s about how technology and shifting consumer expectations are rewriting the market playbook.

Biosynthetic Breakthroughs

Perhaps the most disruptive trend is the emergence of biosynthetic squalene . Startups and major biotech firms alike are using engineered yeast or microalgae to produce squalene at commercial scales. Compared to traditional shark or even plant sources, fermentation processes promise:

• Consistent quality and purity

• Lower environmental footprint

• Scalability to meet pharma-grade volumes

Several firms have announced pilot plants or full-scale production facilities, signaling that biosynthetic squalene is close to becoming mainstream.

An industry insider recently commented, “Biosynthetic squalene isn’t just sustainable—it’s insurance against volatility in olive harvests or regulatory crackdowns on shark oil.”

 

Vaccine Adjuvants Fuel Pharmaceutical Demand

Squalene’s role in vaccine adjuvants has gained newfound prominence after COVID-19. Adjuvant systems containing squalene improve immune response, allowing smaller antigen doses while maintaining efficacy. Global health initiatives are pushing research into new vaccines for diseases like malaria, tuberculosis, and RSV—all potential drivers for pharmaceutical-grade squalene.

However, pharmaceutical buyers demand the highest purity standards, pushing the market toward biosynthetic sources to avoid marine contamination risks.

 

Clean Beauty and Transparency

The cosmetics industry is undergoing a transparency revolution. Consumers demand to know exactly where ingredients come from—and squalene is no exception. Brands are increasingly marketing products as:

• Vegan

• Cruelty-free

• Traceable to non-animal sources

This “clean beauty” movement has made shark-derived squalene commercially toxic for many premium brands. Instead, plant-derived or biosynthetic squalene is positioned as both ethically superior and scientifically effective.

One cosmetics brand R&D lead shared, “It’s not enough to say ‘natural’ anymore. Customers want sourcing details down to the farm or the fermenter.”

 

Cost and Scale Challenges

While biosynthetic squalene is promising, costs remain higher than traditional shark or olive oil-derived versions. That’s changing as fermentation yields improve and downstream purification processes become more efficient. Industry watchers expect price parity with plant-based sources within the next 3–5 years.

 

Regulatory Shifts

Global regulatory bodies are tightening sustainability mandates:

• The EU has strict bans on shark-based squalene in cosmetics.

• Many retailers in North America have adopted internal “no-shark” policies.

• Asia Pacific regulators are beginning to scrutinize marine-derived ingredients more closely, especially in the wake of sustainability pledges.

This regulatory landscape virtually guarantees that biosynthetic or plant-based sources will dominate future growth.

 

Sustainability as a Selling Point

Squalene has also entered sustainability narratives. Compared to mineral oils or synthetic emollients, squalene’s biodegradability and low environmental impact make it appealing for brands striving to lower their carbon footprints.

 

Competitive Intelligence And Benchmarking

Despite its modest size, the squalene market features intense competition driven by sustainability pressures, pricing dynamics, and shifting customer expectations. Here’s how key players are carving out their turf:

Kemin Industries

A significant supplier of plant-derived squalene, primarily from olives. Kemin emphasizes sustainability and traceability, catering to premium personal care brands. They maintain strong European and North American partnerships and are expanding into nutraceutical applications.

Their strategy leans heavily on sustainability certifications and marketing their olive-derived squalene as a high-purity alternative for “clean beauty” formulations.

 

Amyris

A biotech pioneer in biosynthetic squalene . Amyris uses engineered yeast fermentation to produce sustainable squalene (often branded as Neossance ). Their products are widely used in cosmetics and personal care and are making inroads into pharma.

Amyris differentiates through:

• Lower carbon footprint

• High purity suitable for pharma applications

• Long-term partnerships with major beauty conglomerates

Insiders often cite Amyris as the “poster child” of sustainable squalene, though cost pressures remain a challenge.

 

Sophim

A European leader in natural oils and emollients, Sophim produces olive-derived squalene and squalane (the hydrogenated form). Their footprint is strong in Europe and increasingly in Asia.

Sophim’s edge lies in:

• Close relationships with European cosmetic formulators

• Flexible production capacity for both squalene and squalane

• Emphasis on natural origin certifications

They’re well positioned for the EU market, where regulatory and ethical demands are strictest.

 

Croda International

A large specialty chemicals player, Croda offers squalane and squalene derived from various sources, including sustainable plant oils. They’re increasingly active in the pharmaceutical space, marketing squalene for vaccine adjuvants.

Croda’s competitive strategy involves:

• Broad geographic reach

• Established pharma supply chains

• Significant investment in sustainable ingredients

Industry chatter suggests Croda is exploring partnerships with biotech firms to integrate biosynthetic squalene into their portfolio.

 

Nucelis (now part of Conagen )

Focused on fermentation-based specialty ingredients, Nucelis develops biosynthetic squalene through precision fermentation. Though smaller than Amyris, they’re regarded as an agile innovator, targeting both cosmetics and pharma markets.

Their strengths:

• Proprietary yeast strains for higher yields

• Strategic focus on high-value niches like vaccine adjuvants

• Potential for rapid scale-up due to Conagen’s larger fermentation facilities

 

SeaDragon Marine Oils

A New Zealand-based supplier of shark liver oil-derived squalene. Historically significant, SeaDragon is now under increasing pressure as regulatory bans and brand reputational risks mount.

Their presence is shrinking in cosmetics but still exists in certain pharma segments where traditional shark-derived processes persist.

To be honest, SeaDragon’s future looks precarious as biosynthetic and plant-based options gain traction.

 

Competitive Dynamics

• Biosynthetic players (Amyris, Nucelis ) are shaking up the market with sustainability and purity advantages.

• Plant-based producers ( Sophim , Kemin ) still dominate volume, particularly in cosmetics.

• Pharma-focused suppliers ( Croda ) are exploring both traditional and biosynthetic channels to secure vaccine-grade purity.

• Shark-derived producers are rapidly losing market share due to regulatory bans and brand reputation risks.

Price remains a battleground, but increasingly, the real differentiation is sustainability, traceability, and regulatory compliance—especially for pharma and high-end cosmetics.

It’s fair to say the competitive landscape isn’t a free-for-all; it’s more like a high-stakes chess game where sustainability is the queen piece.

 

Regional Landscape And Adoption Outlook

The squalene market shows sharp regional differences, driven by consumer preferences, regulatory frameworks, and manufacturing capabilities. Let’s look at how adoption stacks up worldwide:

North America

North America is a solid market for squalene, driven mainly by:

• Strong demand from premium skincare and cosmetics brands focused on sustainability.

• Pharmaceutical R&D, particularly for vaccine adjuvants, where squalene plays a crucial role.

Regulatory pressure against shark-derived squalene is intense. Many major U.S. retailers have internal bans on animal-derived ingredients, pushing manufacturers toward plant-based and biosynthetic alternatives.

One U.S. beauty executive shared, “If a supplier can’t prove non-shark sourcing, they’re off our list. Period.”

 

Europe

Europe is the heart of “clean beauty,” with:

• Stringent EU regulations banning shark-derived squalene in cosmetics.

• Strong consumer preferences for vegan and cruelty-free products.

• High concentration of cosmetic formulation houses in France, Italy, Germany, and Spain.

European pharma companies are also exploring biosynthetic squalene for adjuvants, aligning with broader sustainability targets. Overall, Europe currently accounts for about 34% of global market value.

Sophim and other European producers benefit from proximity to leading cosmetic brands, giving them a competitive edge.

 

Asia Pacific

Asia Pacific is the fastest-growing region , driven by:

• Booming cosmetics markets in China, South Korea, Japan, and Southeast Asia.

• Rising middle-class incomes fueling demand for premium skincare products.

• Local consumer interest in natural and sustainable ingredients.

However, shark-derived squalene still lingers in some lower-cost formulations due to price sensitivity and less stringent regulation in parts of the region. That said, major Asian beauty brands like Shiseido and Amorepacific are shifting decisively toward plant-based and biosynthetic sources to maintain global credibility.

A South Korean R&D manager noted, “It’s not just about sustainability—it’s about brand image. We can’t risk a scandal tied to shark products.”

 

LAMEA (Latin America, Middle East, Africa)

LAMEA represents a smaller but gradually growing slice of the market:

• Latin America has a vibrant natural cosmetics sector, but budget constraints often make shark-derived oils more tempting for low-end products.

• Middle East markets are adopting more luxury skincare brands, where sustainability credentials matter increasingly.

• Africa remains a largely untapped market outside niche personal care and pharmaceutical applications.

Overall, LAMEA adoption is held back by cost pressures and limited local production of plant-based squalene.

 

Regional Trends & White Spaces

• Europe and North America are leading the sustainability transition, with biosynthetic and plant-based squalene firmly entrenched.

• Asia Pacific is emerging as a key battleground, where consumer preferences are evolving fast, but cost remains a critical factor.

• LAMEA offers white space for future growth, particularly if local manufacturing capabilities for plant-derived squalene can be developed.

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End-User Dynamics And Use Case

The squalene market’s complexity comes from how differently it’s used across industries. It’s not just an ingredient—it’s a signal of sustainability, quality, and scientific innovation.

Cosmetic & Personal Care Brands

This group remains squalene’s largest customer base. Squalene is prized for:

• Exceptional emollient properties, making skin feel soft and smooth without greasiness.

• High oxidative stability compared to other oils.

• Compatibility with “clean beauty” claims when derived from plants or biosynthesis.

Biggest drivers:

• Clean beauty trends.

• Regulatory bans on animal-sourced ingredients.

• Marketing leverage of sustainable supply chains.

However, brands remain highly price-sensitive, especially in mass-market products. Some smaller players still look for lower-cost shark-derived alternatives despite growing ethical risks.

 

Pharmaceutical Manufacturers

Squalene’s pharmaceutical presence is modest in volume but significant in value. It’s used primarily in:

• Vaccine adjuvants (e.g., MF59 in influenza vaccines).

• Potentially as a bioactive compound for cardiovascular and anti-cancer research.

Pharma buyers demand:

• Ultra-high purity and regulatory compliance.

• Consistent, traceable supply chains—often favoring biosynthetic squalene.

With global vaccine pipelines expanding post-pandemic, pharma’s importance in the squalene market is rising.

 

Nutraceutical & Functional Food Companies

This segment taps into squalene’s:

• Antioxidant properties.

• Potential cholesterol-lowering effects.

• Marketability as a “natural” health booster.

Though still a niche, it’s a growing avenue, especially in premium dietary supplements targeting anti-aging or cardiovascular health.

 

Industrial Chemical Companies

A minor user group leveraging squalene’s lubricating and stability properties in specialty chemicals. However, high cost makes squalene unattractive for large-scale industrial use.

 

Use Case Highlight

A large European cosmetics brand was facing backlash on social media for using shark-derived squalene in several premium skin creams. Within six months, they switched entirely to biosynthetic squalene supplied by Amyris. The transition allowed them to launch a new “vegan-certified” product line, regaining customer trust and capturing a 12% sales boost in that segment. The brand’s CMO noted, “The cost increase was significant, but the brand reputation risk was bigger. This switch was non-negotiable.”

Bottom Line

• Cosmetics dominate the squalene market in volume and marketing buzz.

• Pharma, though smaller, wields outsize influence due to purity and regulatory requirements.

• Nutraceuticals are a slow-burn opportunity but could spike if more clinical benefits of squalene gain proof.

• Industrial use will remain small due to price constraints.

 

Recent Developments + Opportunities & Restraints

Recent Developments (Last 2 Years)

• Amyris announced in 2024 that it had expanded fermentation capacity for its Neossance squalene to meet rising demand from global skincare brands seeking vegan and sustainable ingredients.

• Croda International disclosed in 2023 a strategic collaboration with a major vaccine manufacturer to explore biosynthetic squalene as an alternative adjuvant ingredient for new vaccine pipelines.

• Sophim launched a new high-purity olive-derived squalene product line in 2024, explicitly targeting pharmaceutical-grade applications as regulatory demand for sustainable sources grows.

• Nucelis ( Conagen ) announced a 2023 breakthrough in engineered yeast strains capable of boosting squalene yields by 25%, potentially lowering biosynthetic production costs.
   

Opportunities

• Biosynthetic Expansion into Pharma As vaccine R&D grows, biosynthetic squalene could become a go-to adjuvant ingredient, capturing pharma business currently relying on shark-derived sources.

• Clean Beauty Momentum Consumer demand for cruelty-free, vegan-certified skincare and cosmetics keeps skyrocketing. Brands willing to pay a premium for sustainable squalene create strong pricing power for plant and bio-based suppliers.

• Emerging Markets Adoption Rising disposable income and shifting beauty norms in Asia Pacific and Latin America open fresh avenues for squalene, especially if suppliers can offer competitive pricing for sustainable options.
   

Restraints

• High Cost of Biosynthetic Production Despite technical progress, biosynthetic squalene still carries a price premium. For price-sensitive cosmetic brands, this remains a significant barrier, especially outside premium segments.
•  Regulatory Complexities in Pharma Switching squalene sources in pharmaceutical products requires rigorous testing and regulatory re-approval. This slows the uptake of biosynthetic alternatives in vaccine applications despite sustainability benefits.

 

7.1. Report Coverage Table

Report Attribute	Details
Forecast Period	2024 – 2030
Market Size Value in 2024	USD 165 Million
Revenue Forecast in 2030	USD 237 Million
Overall Growth Rate	CAGR of 8.65% (2024 – 2030)
Base Year for Estimation	2024
Historical Data	2019 – 2023
Unit	USD Million, CAGR (2024 – 2030)
Segmentation	By Source, By Application, By End User, By Geography
By Source	Animal-derived, Plant-derived, Biosynthetic
By Application	Cosmetics & Personal Care, Pharmaceuticals, Nutraceuticals & Functional Foods, Industrial Applications
By End User	Cosmetics Brands, Pharmaceutical Companies, Nutraceutical Manufacturers, Industrial Chemical Companies
By Region	North America, Europe, Asia-Pacific, Latin America, Middle East & Africa
Country Scope	U.S., UK, Germany, China, India, Japan, Brazil, etc.
Market Drivers	- Clean beauty trends and sustainable sourcing - Growth in vaccine adjuvant applications - Advancements in biosynthetic production
Customization Option	Available upon request