Squalene Market - Global Forecast 2025-2030

The Squalene Market size was estimated at USD 161.06 million in 2024 and expected to reach USD 173.47 million in 2025, at a CAGR 7.56% to reach USD 249.52 million by 2030.

Squalene has emerged as a vital component across diverse industries, from cosmetics and personal care to pharmaceuticals and nutraceuticals, owing to its remarkable emollient and antioxidant properties. Its molecular structure enables superior skin compatibility and enhanced product stability, positioning squalene at the forefront of high-value formulations. Historically derived from shark liver oil-a practice that has raised substantial ethical and environmental concerns-the industry is now witnessing a pronounced shift toward alternative sources that prioritize sustainability and traceability.

In response to both regulatory pressures and evolving consumer preferences, plant-derived and synthetic squalene are gaining prominence as viable substitutes. Olive oil, palm oil, and sugarcane have emerged as key feedstocks for plant-based extraction processes, while advances in biotechnology and synthetic biology are enabling cost-effective production at scale. These developments are catalyzing a renaissance in squalene supply chains, where traditional extraction methods intersect with cutting-edge innovation to meet the dual imperatives of performance and responsibility.

As the global market adapts to these transformative pressures, stakeholders must navigate a complex web of sourcing options, regulatory frameworks, and consumer expectations. This report provides a concise yet authoritative overview of the critical factors shaping the squalene landscape, equipping decision-makers with the insights needed to capitalize on emerging trends and mitigate evolving risks.

The squalene market is experiencing a fundamental transformation driven by heightened consumer awareness and sustainability mandates. Cruelty-free certifications and the ethical implications of marine biodiversity loss have galvanized brands to re-evaluate traditional sourcing strategies. Consequently, plant-derived alternatives have transitioned from niche offerings to mainstream solutions, encouraging investments in green extraction technologies and agricultural partnerships.

Simultaneously, synthetic squalene production has advanced through microbial fermentation and enzymatic conversion techniques. Biotechnology startups and incumbent chemical manufacturers alike are leveraging genetic engineering and precision fermentation to optimize yield, reduce resource intensity, and ensure batch-to-batch consistency. These innovations are not only reducing reliance on animal-derived sources but also unlocking new application opportunities by offering tailored molecular purity and functionalization options.

Regulatory landscapes are evolving in parallel, with governments implementing stricter guidelines on shark conservation and mandating transparent supply chain traceability. These policies are reinforcing the transition toward regulated plant and synthetic sources, while encouraging collaborative R&D initiatives among industry consortia, academic institutions, and non-governmental organizations. The convergence of policy, technology, and consumer demand thus defines the current phase of transformative shifts in the squalene domain.

Beginning in early April 2025, the United States government enacted a sweeping reciprocal tariff regime affecting nearly all imported goods, including specialty chemicals and ingredients critical to squalene production. A baseline global tariff of 10% was imposed on April 5, 2025, encompassing active pharmaceutical ingredients, cosmetic emulsifiers, and other biotechnology feedstocks. In addition to the baseline rate, selected trading partners faced elevated duties: European Union countries were subject to a 20% tariff, while Japan incurred a 24% rate, reflecting calculated reciprocal measures tied to bilateral trade imbalances.

While the framework targeted broad categories, the administration delineated a comprehensive list of exemptions to alleviate pressures on key domestic industries. Major polymers such as polyethylene and polypropylene, as well as numerous pharmaceutical products, were classified as exempt under Annex II of the executive order gazette. Natural plant-derived oils used in cosmetics formulations-such as olive oil emulsifiers-were explicitly excluded from tariff application, offering relief to segments of the squalene supply chain that depend on plant sources.

However, shark liver oil, which remains unlisted among the exempt classes, continues to face full reciprocal duties. The absence of exemption for animal-derived oils means that suppliers depending on shark-sourced squalene must absorb or pass through the additional levies imposed under the new tariff schedule. This differential treatment underscores the strategic advantage of plant-based and synthetic alternatives in mitigating cost volatility associated with tariff exposure.

Beyond the headline rates, the tariff regime has introduced ancillary compliance challenges. Importers must navigate revised customs classification protocols and enhanced documentation requirements to qualify for exemptions. Furthermore, de minimis entry thresholds for Canada, Mexico, and China remain temporarily intact under Section 321 provisions but are slated for removal once full implementation phases commence, adding uncertainty to near-term logistics planning.

Early industry responses have highlighted cascading impacts on cost structures and supply chain resilience. Preliminary analyses indicate average cost increases of 8 to 15% for selected chemical intermediates, driven by the direct pass-through of tariff expenses as well as ancillary costs for insurance and freight. Margin compression is especially acute for contract-manufactured and toll-processed squalene products, where legacy pricing agreements may lack flexible escalation clauses. Anticipated longer lead times and inventory front-loading further compound operational complexities, prompting stakeholders to explore alternative sourcing geographies and strategic stockpiling measures.

The squalene market’s foundational structure can be comprehensively understood by examining its sources, which span plant-derived feedstocks, shark liver oil, and synthetic manufacturing routes. Within plant-based origins, olive oil, palm oil, and sugarcane have emerged as primary agricultural inputs, each offering distinct cost profiles and extraction efficiencies. Shark liver oil continues to serve traditional segments due to its high native squalene concentration, although environmental scrutiny has prompted a gradual decline in its prominence. Synthetic pathways, leveraging microbial fermentation or chemical synthesis, provide an engineered alternative capable of delivering consistent purity and scalability.

Application-centric dynamics further underscore the versatility of squalene. In cosmetics and personal care, squalene performs vital functions in haircare, makeup, and skincare, contributing to product texture, moisturization, and antioxidant protection. The food and beverage sector utilizes squalene to fortify functional foods and ingredients in functional drinks, while the nutraceutical market incorporates it into dietary supplements, specialized functional food formulations, and sports nutrition products. Pharmaceutical applications encompass both antioxidant therapy and advanced drug delivery systems, where squalene’s biocompatibility and lipophilic profile enhance therapeutic efficacy.

Form and purity grade segmentation reveal critical distinctions that influence formulation design and end-use suitability. Liquid squalene predominates in emulsified systems, whereas powdered variants cater to applications requiring enhanced handling properties or extended shelf life. Purity grades span analytical, cosmetic, food, and pharmaceutical classifications, each governed by stringent quality benchmarks and regulatory standards that dictate allowable impurities, particle size distributions, and testing protocols.

The distribution channel framework shapes go-to-market strategies, as well. Offline retail, encompassing pharmacies, drugstores, and specialty stores, offers direct-to-consumer visibility and regulatory compliance assurances. Online retail, through brand websites and e-commerce platforms, caters to digitally native audiences seeking transparency, rapid delivery, and subscription models. These channels collectively influence product accessibility, branding narratives, and consumer engagement strategies across the squalene ecosystem.

The Americas region is characterized by a robust demand for high-performance squalene in pharmaceuticals and personal care, underpinned by advanced manufacturing infrastructure and strong investment in biotechnology. The United States, in particular, maintains leadership in clinical research and vaccine development, driving consistent off-take of squalene-based adjuvants. Latin American markets, while smaller in absolute volume, exhibit growing interest in natural and clean-label personal care formulations, signaling opportunities for plant-derived squalene sourced from regional agricultural hubs.

In Europe, Middle East & Africa, stringent regulatory frameworks and consumer preference for sustainably sourced ingredients define market dynamics. The European Union’s Habitat Directive and CITES regulations have curtailed shark-sourced squalene imports, accelerating the adoption of certified plant-based options. The Middle East presents nascent demand for luxury cosmetics and nutraceutical supplements, whereas African markets offer both emerging sourcing potential-particularly in palm and sugarcane cultivation-and logistical challenges that necessitate targeted investment in processing capabilities.

Asia-Pacific stands as both a critical supply base and a rapidly expanding consumption market. Southeast Asian nations, especially Indonesia and Malaysia, dominate palm-derived squalene extraction, benefiting from established oil palm plantations. China and India are significant consumers, driven by burgeoning personal care industries and vaccine production capacities. Concurrently, regulatory pressure on shark fishing in Pacific island nations has intensified stakeholder collaboration on sustainable harvest protocols and traceability systems. This confluence of production scale and end-market growth underscores Asia-Pacific’s central role in the global squalene value chain.

A diverse mix of multinational corporations and innovative newcomers shapes the competitive landscape of the squalene market. Croda International has leveraged its expertise in specialty emulsifiers to expand its plant-derived squalene portfolio, integrating olive oil–based processes with proprietary extraction technologies. Evonik has partnered with leading biotechnology firms to scale precision fermentation platforms for synthetic squalene, targeting pharmaceutical-grade applications with stringent quality requirements.

SEPPIC, a subsidiary of Air Liquide, has focused on developing high-purity, cosmetic-grade squalene through sustainable sourcing agreements with palm and sugarcane growers. Meanwhile, Amyris has commercialized yeast-derived squalene using synthetic biology, positioning itself as a key supplier for luxury skincare and high-performance formulations. Major chemical companies such as BASF and Merck KGaA maintain strategic investments in both upstream agriculture and downstream formulation capabilities to offer integrated solutions across purity grades and application segments.

Emerging players like Maroon Biotech and Squalix Biotech are disrupting traditional supply models by emphasizing circular economy principles and full-chain traceability. These companies are pioneering blockchain-enabled tracking systems to verify sustainable sourcing commitments, while simultaneously advancing novel biocatalytic extraction methods. Collectively, these key industry actors are driving innovation, forging partnerships, and setting new benchmarks for quality, sustainability, and regulatory compliance.

To capitalize on evolving market dynamics, industry leaders should prioritize diversification of squalene sources by balancing plant-based and synthetic production routes. Investing in precision fermentation capabilities can mitigate geopolitical risks and tariff exposures while ensuring consistent supply and purity.

Strategic collaboration with agricultural partners and cultivation initiatives will improve the traceability and sustainability of plant-derived feedstocks. By establishing transparent supplier networks and adhering to internationally recognized certification frameworks, companies can reinforce consumer trust and pre-empt regulatory disruptions.

Enhancing supply chain resilience through proactive inventory management and agile logistics planning is essential in the face of unpredictable tariff regimes and potential de minimis threshold changes. Scenario-based supply mapping and dynamic contract structures can enable rapid response to cost fluctuations and trade policy shifts.

Innovation in product differentiation-such as co-formulation synergies, targeted delivery systems, and tailored purity grades-will drive premium positioning in competitive end-uses. Engaging in co-development partnerships with downstream brands can accelerate time-to-market and secure long-term offtake agreements.

This analysis integrates a rigorous research methodology that combines both secondary and primary data collection. An extensive review of trade regulations, tariff schedules, and industry publications formed the foundation of the secondary research phase, ensuring a comprehensive understanding of policy impacts and market evolutions.

Primary research included in-depth interviews with supply chain executives, R&D leaders, and regulatory experts to validate findings and gather qualitative insights. Detailed segmentation matrices were developed using internal databases and industry consortium reports, enabling nuanced comparisons across source types, applications, and geographic regions.

Quantitative data were supplemented by customs-trade analytics and price trend monitoring to assess the implications of the 2025 tariff regime on cost structures. All findings were triangulated through cross-referencing multiple information sources and subjected to peer review by subject matter experts to ensure accuracy and reliability.

Through this executive summary, we have highlighted the critical shifts shaping the squalene market, from evolving ethical imperatives and technological breakthroughs to complex trade policy challenges. Understanding the interplay among diverse source platforms, application demands, and regional dynamics is essential for stakeholders to remain competitive and resource-efficient.

As regulatory frameworks continue to tighten around animal-derived ingredients and global tariff landscapes evolve, the strategic pivot toward sustainable plant-based and synthetic squalene will define long-term success. Companies that embrace supply chain transparency, invest in innovation, and deploy agile operational strategies are best positioned to capitalize on emerging opportunities.

Ultimately, the squalene market offers a compelling scenario where performance-driven applications intersect with ethical and environmental stewardship. Stakeholders equipped with the insights and recommendations outlined here can navigate uncertainties, mitigate risks, and forge a path toward sustainable, profitability-driven growth.

For tailored insights and bespoke guidance on navigating the dynamic squalene landscape, we invite you to collaborate directly with Ketan Rohom, Associate Director, Sales & Marketing. By engaging in a personalized discussion, you will unlock deeper strategic understanding and immediate access to the full breadth of our market intelligence.

Securing your copy of this comprehensive squalene market research report will empower your organization to make data-driven decisions that anticipate supply chain shifts, leverage emerging opportunities, and fortify your competitive advantage in this rapidly evolving market space.