A highly sought-after cosmetic ingredient for its moisturizing properties, biocompatibility, and unique sensorial experience, squalane is captivating the Chinese market, which is increasingly drawn to sensorial, easy-to-apply formulations. It meets the growing demand for ethical skincare products that are both health-conscious and proven to deliver moisturizing and anti-aging benefits. With over 7,000 squalane-based products launched between 2019 and 2024, China has emerged as a key player in the global market, ranking among the top two countries in the Asia-Pacific region and the top three worldwide for new cosmetic formulations featuring squalane.
A rapidly growing market in China
China’s beauty and cosmetics market is projected to generate €38.07 billion in revenue by 2025, with a steady annual growth rate of 5.34% over the next four years, reaching €46.88 billion by 2029¹. The country is driving momentum across the entire Asia-Pacific (APAC) region: for comparison, the beauty and cosmetics markets in Japan² and South Korea ³ are expected to reach €18.61 billion and €6.07 billion respectively in 2025. China’s long-term growth potential remains strong, as the average revenue per user (ARPU) is 12 times lower than that of Japan and South Korea, despite a population of 1.408 billion people.
Market trends over the past six years highlight a sustained interest in squalane, with a sharp increase in demand in 2023 and 2024. This reflects a broader shift among Chinese consumers towards high-performance yet natural skincare solutions that are easy to apply and enhance sensorial experiences.
Both international and local brands are leveraging this growing enthusiasm by incorporating squalane into a wide range of products, including facial care, color cosmetics, and hair care. China has now become the third-largest market for new cosmetic product launches featuring squalane, trailing behind the United States and closely competing with Japan.
The brands and companies leading the Chinese squalane market
Major international cosmetic brands, which have a strong presence in the Chinese market, have long recognized and leveraged the emollient and moisturizing properties of squalane. They have incorporated it into a wide range of cosmetic products sold in China. Among these industry giants, the proportion of product references containing squalane is particularly high⁴:
- Kosé (3.1%)
- Estée Lauder (2.8%)
- LVMH (2.5%)
- L’Oréal (1.5%)
- Chanel (1.2%)
Chinese brands are increasingly turning to squalane, incorporating it into their cosmetic formulations. Three well-established local players rank among the top users of squalane in this key Asia-Pacific market:
- Hutchison Whampoa (1.4%)
- Yi Tian Shi Dai Trading (1.1%)
- Shanghai Jahwa United (0.8%)
Squalane aligns with the values of brands striving to offer ethical, eco-friendly, effective, and sensorial formulations, while promoting greater transparency in ingredient communication.
Skincare, makeup, and hair care: the fastest-growing segments
A versatile molecule, squalane is now widely used across various cosmetic categories in China. While primarily found in skincare, its adoption is also rapidly expanding in makeup and hair care. Between 2019 and 2024, its usage has seen exponential growth⁵:
- Skincare: +194.8%
- Color cosmetics: +82.6%
- Hair care: +800%
Some subcategories have recorded remarkable growth over the same period:
- Complexion makeup: +577.7%
- Hand and nail care: +355.0%
- Facial cleansers: +335.0%
- Body care: +267.3%
- Lip care: +204.2%
These figures highlight the strong demand for squalane across diverse applications, whether for moisturizing, repairing, or protective formulations.
The diversity of textures and galenic forms of squalane-based cosmetics in china
Its galenic flexibility allows for seamless integration into a wide range of products and textures. In China, squalane is available in various galenic forms :
- creams (26.0%)
- concentrated treatments (11.8%)
- lotions (9.3%)
- oils (9.2%)
- serums (5.2%)
- balms (5.0%)
- powders (4.7%)
Brands leverage this versatility to offer products that combine proven efficacy with a refined sensorial experience. These formulations cater to the expectations of Chinese consumers, who are particularly sensitive to application comfort and a non-greasy finish.
Why is squalane winning over the Chinese market?
Squalane meets the key expectations of Chinese consumers:
- A growing demand for natural and effective cosmetics, aligned with evolving consumption habits.
- A focus on hydration and skin protection, where squalane plays a crucial role due to its biocompatibility, its ability to limit transepidermal water loss, and its action in strengthening the skin barrier.
- The need for easy and quick-to-apply products, facilitated by squalane’s non-greasy feel, smooth application, and rapid absorption into the skin.
- A rising preference for sensoriality and pleasant textures, encouraging the adoption of squalane in creams, serums, and facial oils.
A growing enthusiasm for clean and sustainable ingredients, with squalane being a plant-derived, upcycled ingredient, aligning with consumer expectations for transparency and environmental commitment.
Sophim, your partner for committed cosmetics
With its rapidly growing adoption, squalane has established itself as a strategic ingredient for brands looking to enter or strengthen their presence in the Chinese market. Its integration into skincare, hair care, and makeup reflects an ever-increasing demand driven by discerning consumers seeking innovative formulations.
With Sophim, take the lead in the Chinese market by developing products that combine performance, naturality, and sensoriality. Stay ahead in this highly competitive landscape with our unique expertise in extracting squalane from olive-derived by-products, offering a high-quality, sustainable, and environmentally friendly solution.
Sophim supports your growth with a range of innovative cosmetic ingredients that are environmentally friendly and safe for human health:
- Emollients: squalane, squalene, natural silicone alternatives
- Texture agents: natural alternatives to petroleum jelly, natural cosmetic waxes, plant-based cosmetic butter
- Fixing agents: hydrogenated polyisobutene
- Organic cosmetic vegetable oils
A significant portion of our catalog is COSMOS NATURAL, COSMOS ORGANIC, NATRUE, and HALAL certified, ensuring alignment with your target market’s expectations.
Looking for a long-term partner to support the development of your next cosmetic product lines?
Contact our team by phone at (+33) 4 92 33 17 17, or send us a message online!
The brand names mentioned in this article are provided for informational purposes only. Their inclusion does not imply any commercial relationship between Sophim and these brands.
¹Source : Statista
²Source : Statista
³Source : Statista
⁴Source : GNPD Mintel
⁵Source : GNPD Mintel