The Global Propylene Market is estimated to be valued at US$ 4.37 Bn in 2023 and is expected to exhibit a CAGR of 5.0% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Propylene is an important organic chemical used in production of polypropylene, propylene oxide and acrylonitrile. It is used in wide applications from packaging and construction to automotive industry due to its durability, versatility and lightweight properties.
Market key trends:
Propylene is primarily used in the production of polypropylene, which finds wide application in packaging, construction, automotive, and various other industries. The increasing demand from such downstream industries is expected to drive the propylene market. The high demand from the automotive industry is also augmenting market growth, with propylene being used in manufacturing of various automotive parts. Moreover, propylene derivatives are increasingly being utilized in end-use industries like electronics and healthcare owing to their non-corrosive and insulating properties.
SWOT Analysis:
Strengths: Propylene is a versatile chemical with numerous applications. It serves as an important raw material and intermediate across plastics, chemicals and several other industries.
Weaknesses: Volatility in crude oil and natural gas prices affects the pricing and supply of propylene. Dependence on a few key facilities also makes the supply prone to disruptions.
Opportunities: Growing demand from emerging economies driven by rapid industrialization and infrastructural development. Increase in shale gas production to strengthen integrated petrochemical complexes and propylene production.
Threats: Stringent regulations associated with plastic production and usage pose challenges. Substitution threat from alternative materials in certain end-use applications.
Key Takeaways:
The Global Propylene Market is expected to witness high growth, exhibiting a CAGR of 5.0% over the forecast period, due to increasing demand from diverse end-use industries such as packaging, construction, automotive, healthcare etc.
The Asia Pacific region dominated the global market in 2023 and is expected to maintain its lead throughout the forecast period. Countries such as China, India, Japan and South Korea are major contributors to the regional market growth owing to swift industrialization and increasing demand from end-use industries.
Key players operating in the propylene market are BASF SE, BP Plc., China Petroleum & Chemical Corporation, ExxonMobil Corporation, IRPC Plc., LyondellBasell Industries N.V., Reliance Industries Ltd, SABIC and The Dow Chemical Company. These players are focusing on capacity expansions and partnerships to meet the growing demand globally.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
