The global Petrochemical Market was valued at USD 419.4 billion in 2015. Rise in demand of petrochemical from end use industries such as consumer goods and manufacturing along with favourable government regulations specifically in Asia Pacific is expected to fuel the market growth over the forecast period.
Petrochemicals are important to products used in day to day life. Petrochemicals are mainly utilized as chemical building blocks in a lot of materials and applications. Propylene, ethylene, benzene are widely used in various end use industries such as plastics, rubber, electronics and packaging.Major industries such as automobiles, chemicals, textile and packaging have shifted their manufacturing base from western countries to countries in Asia Pacific such as India, China, Thailand and Indonesia owing to low labour cost and favourable government regulations. This is expected to drive growth for the market.
Large amount of money spent on construction in Asia Pacific region for developing commercial and residential building is projected to drive growth for the industry. Product applications in construction industry include manufacturing of adhesive, concrete, fibres, resins and plastics. These materials require products such as polyurethane, polyethylene, methanol and styrene. Moreover, with high construction spending particularly in emerging markets of Latin America and Asia Pacific for building non-residential buildings such as institutions and offices are expected to fuel growth over the forecast period. Rise in demand of derived products such as insulation materials and synthetic rubber owing to properties such as durability, flexibility, light weight and strength are expected to drive growth for the industry. Insulation materials are made up of polyethylene and polyurethane and are used in fuel tank manufacturing. Synthetic rubber is used in tire manufacturing.
Full Research Report On Global Petrochemical Market Analysis available at: https://www.millioninsights.com/industry-reports/petrochemical-market
Furthermore, with capacity additions made in Middle Eastern countries such as UAE and Saudi Arabia, the region is expected to cater to rising demand for petrochemicals emerging from regions such as Asia Pacific. Middle Eastern countries benefit from low feedstock prices used for production. India and China due to its proximity to Middle East and relatively subsidized price of feedstock, import nearly 70% of their total demand from these countries. However, with the shift in preference towards bio-based chemicals along with strict government regulations is projected to hinder market growth. With rise in shale gas exploration in countries such as China, Canada and US is projected to provide lucrative opportunities to industry players.
Ethylene was valued over USD 140 billion in 2014 and emerged was the largest product segment. High demand for polymers such as PVC and Polyethylene from the plastic industry for polymers is projected to drive demand over the forecast period. Rising shale gas exploration is projected to be a key driving factor for market penetration. Propylene is projected to grow at a CAGR of over 3.7% during the forecast period. It accounted for over 15% of the total volume in 2014. Rise in demand for propylene derivative along with adoption of lighter steam cracker is projected to fuel market growth. Propylene is used for production of other propylene derivatives such as ispropanol, cumene, acrylic acid and propylene oxide along with copolymerization of propylene.
Methanol is projected to be the fastest growing product segment at a CAGR of over 7.5% over the forecast period. Methanol is widely used in manufacture of biodiesel which is safe, biodegradable and helps reduce air pollution as compared to other fuels. Moreover, with supporting government initiatives aimed at reducing global carbon footprint is projected to augment biodiesel demand which in turn is projected to fuel market growth.
China had a valuation of over USD 120 billion in 2014 and hence was the largest regional market. It is expected to witness strong growth owing to a strong demand from end use industries including packaging, construction and transportation. Growing commercialization and rapid industrialization is expected fuel growth.
With major players shifting their manufacturing bases to China owing to the conducive business environment. Some of the major domestic players in China are CNPC and SINOPEC. Rest of Asia is estimated to grow at a CAGR of over 9% during the forecast period. With increase in population base along with booming industrial sector in aforementioned countries, the market is expected to witness substantial growth.
North America accounted for over 13% of the total market volume in 2014. With high shale gas exploration activities in Canada and US, the region is projected to witness substantial growth. Growing demand of Benzene and Xylene from end-use industries such as lamination and packaging is expected to fuel growth for the industry over the forecast period.
Petrochemical market is highly fragmented. Small companies are been acquired by large companies to expand their manufacturing base. More and more manufacturing units have shifted their manufacturing units to Middle East and Asia Pacific owing to low labour cost and favourable government regulations.
The market is highly fragmented. Domestic companies are been acquired by large companies to expand their manufacturing base. There is a shift of manufacturing units to Asia Pacific and the Middle East owing to favourable government regulations and low labour costs. Some of the major players operating in the market include The Dow Chemical Company, BASF, Chevron Corporation and ExxonMobil.
Some of the other prominent manufactures include China Petroleum & Chemical Corporation (SINOPEC), INEOS Group Ltd., E.I. DuPont de Nemours & Company, LyndollBasell Industries Inc., BDR Thermea Group, China National Petroleum Corporation, Royal Dutch Shell PLC, and SABIC.
Request for Free Sample at: https://www.millioninsights.com/industry-reports/petrochemical-market/request-sample
Global petrochemicals outlook by product (Volume, Million Tons; Revenue, USD Billion; 2014 – 2025)
Petrochemicals outlook by region (Volume, Million Tons; Revenue, USD Billion; 2014 – 2025)
• North America
• Asia Pacific
• Rest of Asia
• Middle East
• Latin America
Related Reports of this Category available at Million Insights: https://www.millioninsights.com/industry/chemicals-and-materials
About Million Insights
Million Insights, is a distributor of market research reports, published by premium publishers only. We have a comprehensive market place that will enable you to compare data points, before you make a purchase. Enabling informed buying is our motto and we strive hard to ensure that our clients get to browse through multiple samples, prior to an investment. Service flexibility & the fastest response time are two pillars, on which our business model is founded. Our market research report store, includes in-depth reports, from across various industry verticals, such as healthcare, technology, chemicals, food & beverages, consumer goods, material science & automotive.
For More Information: www.millioninsights.com
Company Name: Million Insights
Contact Person: Ryan Manuel
Email: Send Email
Address:Office No. 302, 3rd Floor, Manikchand Galleria, Model Colony, Shivaji Nagar