U.S. Palm Oil Market Summary

The U.S. palm oil market size was estimated at USD 2.02 billion in 2024 and is projected to grow at a CAGR of 8.4% from 2025 to 2030. Market expansion is being driven by the rising demand from diverse industries, including food and beverage, biofuel, energy, personal care, and cosmetics. The market is highly competitive due to the presence of a large number of small, medium, and large players. Companies compete through large-scale production capacities, strong distribution networks, superior product quality, and the adoption of innovative strategies such as sustainability certifications, mergers, acquisitions, and partnerships to strengthen market positioning.

Palm oil remains one of the most widely consumed vegetable oils in the U.S., used across a broad range of packaged food products that are commonly available in supermarkets and convenience stores. Its popularity is linked to its ability to impart a smooth texture, shiny appearance, and creamy taste, making it a preferred ingredient in items such as ice cream, margarine, chocolates, and cookies. Beyond its role in enhancing sensory attributes, palm oil demand is supported by its neutral taste, desirable melting points, health benefits, and versatile applications in cooking oils, frying fats, confectionery, spreads, dietary supplements, and condiments.

Key Market Trends & Insights

• A significant factor influencing growth is the diversification of product portfolios and the increasing consumer demand for organic, sustainable, and plant-based products. Palm oil has become an essential raw material for manufacturers aligning with clean-label and eco-friendly product trends. While the personal care and cosmetics segment has long been established as a steady demand base for palm oil, the biofuel sector represents an emerging growth area. With ongoing technological innovations, the biofuel application of palm oil is expected to expand considerably during the forecast period, contributing to the sector’s overall development.
• The food and beverage segment dominated the market with a share of 68.9% in 2024. This dominance can be attributed to the widespread use of palm oil in numerous food applications and the continuous expansion of product portfolios in the industry that rely on palm oil as a key raw material. Its ability to enhance taste, texture, and shelf life ensures strong consumer acceptance and high utilization rates by manufacturers.
• The crude palm oil segment held the largest share of 82.3% in 2024. This segment benefits from its primary end-use application in the food and beverage sector, where it is valued for its nutritional properties, particularly its Vitamin A content. The presence of this vitamin gives crude palm oil an added advantage over refined or processed alternatives, making it highly desirable for edible applications and nutritional product formulations.
• The demand for palm kernel oil (PKO) in the U.S. is steadily increasing, supported by its versatility and wide range of applications across industries. In the food sector, PKO is used extensively in chocolates, ice creams, baked goods, and other confectionery items due to its stability and ability to improve product texture. In addition, PKO has growing use in cosmetics, personal care formulations, and industrial applications, further strengthening its role as a complementary product to crude palm oil in the overall U.S. market.

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Market Size & Forecast

• 2024 Market Size: USD 2.02 billion
• 2030 Projected Market Size: USD 3.36 billion
• CAGR (2025 - 2030): 8.4%

Key Companies & Market Share Insights

Some key players operating in the market include Wilmar International Ltd. and ADM.

• Archer Daniels Midland Company (ADM) is a global leader in agricultural origination, processing, and human and animal nutrition. Founded in 1902, ADM connects crops to markets on six continents, transforming agricultural products into ingredients and solutions for food, beverages, health and wellness, and animal feed. With a vast network of processing plants, grain elevators, and transportation assets, ADM provides many products and services, including plant-based proteins, sweeteners, oils, flours, animal feed ingredients, and biofuels. The company is committed to sustainability and innovation, working with farmers and customers to develop solutions that meet the world's growing demand for food and nutrition.
• Wilmar International Ltd. is one of the world's largest agribusiness companies, engaged in cultivating, processing, and trading palm oil and other agricultural products. Founded in 1991 and headquartered in Singapore, Wilmar operates an integrated business model spanning the entire value chain, from upstream plantation management to downstream processing, branding, and distribution. The company's operations include oil palm cultivation, edible oil refining, consumer product manufacturing, and trading a wide range of agricultural commodities. Wilmar has a significant presence in Southeast Asia, Africa, and South America and is a major global market player. While facing scrutiny regarding sustainability practices, Wilmar has committed to no deforestation, peat, or exploitation (NDPE) policies.

Key Players

• ADM
• Wilmar International Ltd.
• Cargill
• Colonial Chemical
• CIRANDA
• PK Chem Industries Ltd
• GreenChem Industries, LLC
• Agrolane
• Mehsom Corpl

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Conclusion

The U.S. palm oil market is expected to experience strong growth, supported by its extensive use in food, beverage, personal care, and emerging biofuel applications. Crude palm oil dominates due to its widespread acceptance in edible products, while palm kernel oil is gaining popularity across food and non-food sectors. With increasing consumer focus on sustainability, organic ingredients, and plant-based diets, manufacturers are diversifying portfolios to cater to evolving preferences. Additionally, technological innovations and regulatory support for biofuels will further enhance market opportunities. Overall, palm oil is set to remain a critical ingredient, driving industry growth in the years ahead.