Global monoethylene glycol market is estimated to be valued at US$ 38.84 Billion by the end of 2030, and is expected to exhibit a CAGR of 4.7% during the forecast period (2023-2030).
Global Monoethylene Glycol Market: Growth Drivers
- Increase Demand for Polyethylene Terephthalate: Increased demand for polyethylene terephthalate (PET) resin, polyester fiber, and antifreeze is a major factor driving growth of the global monoethylene glycol market. Monoethylene glycol is also a biodegradable substance, which means it has a lower influence on aquatic life. This factor is also contributing to the global monoethylene glycol market growth. For instance as per global report in 2020, the global demand for PET was 27 million metric tons. By 2030, global PET demand is forecast to amount to 42 metric tons.
- Rising demand for monoethylene glycol for polyethylene terephthalate (PET) packaging in various commercial and industrial end-use applications: Monoethylene glycol (MEG) is a colorless, odorless, and viscous liquid that is widely used in the production of polyethylene terephthalate (PET) packaging. PET is a popular material for packaging due to its durability, transparency, and recyclability. The rising demand for PET packaging in various commercial and industrial end-use applications has led to an increase in demand for MEG.
Global Monoethylene Glycol Market: Restraints
- Fluctuation in raw material: The fluctuation in raw material costs and the availability of crude oil and other feedstock is one of the significant barriers to the expansion of the monoethylene glycol (MEG) market. Concerns about the sustainability of monoethylene glycol are influencing some end users to seek out alternatives that have better material performance than MEG.
- Counterbalance: Though the expansion of monoethylene glycol (MEG) market is being restrained due to high material costs and crude oil availability, the market for global monoethylene glycol is being driven increase in production of polyester. This is due to the fact that monoethylene glycol (MEG) is primarily used in the textile sector to produce polyester. Also, since monoethylene glycol (MEG)is a biodegradable substance, it will have less affect on the acquatic and marine animals and thus will have wide acceptance among all industries.
Figure 1. Global Monoethylene Glycol Market Share (%) , By Region, in 2022
Global Monoethylene Glycol Market: Opportunities
- Monoethylene glycol is Biodegradable product: Monoethylene glycol is a biodegradable product that has no negative effects on the environment or aquatic organisms. As a result, it is a good substitute for other products, creating opportunities for the market player in the global monoethylene glycol market. The global monoethylene glycol market is also growing, owing to increasing demand for polyethylene terephthalate (PET) and polyester in the textile and plastic industries. The expanding plastics sector has fueled demand for applications of polyethylene terephthalate (PET), and this is expected to drive the global monoethylene glycol market growth.
Global Monoethylene Glycol Market: Trends
- Emerging trends: Emerging trends that have a direct influence on market expansion include acquisitions, mergers, and product development by key players. Several key players are focused on strategies such as acquisitions and mergers to improve their position in the global monoethylene glycol market. For instance, in July 2021, ExxonMobil, an multinational oil and gas corporation, and SABIC's, a Saudi Arabian multinational chemical manufacturing company joint venture, Gulf Coast Growth Ventures, in Corpus Christi, Texas, completed construction of a monoethylene glycol (MEG) unit and two polyethylene (PE) units.
Monoethylene Glycol Market Report Coverage
||Market Size in 2022:
||US$ 26.98 Bn
|Historical Data for:
||2018 to 2021
||2023 to 2030
|Forecast Period 2023 to 2030 CAGR:
||2030 Value Projection:
||US$ 38.84 Bn
- North America: U.S. and Canada
- Latin America: Brazil, Argentina, Mexico, and Rest of Latin America
- Europe: Germany, U.K., Spain, France, Italy, Russia, and Rest of Europe
- Asia Pacific: China, India, Japan, Australia, South Korea, ASEAN, and Rest of Asia Pacific
- Middle East: GCC, Israel, and Rest of Middle East
- Africa: North Africa, Central Africa, South Africa, and Rest of Africa
- By Production Process: Gas-based, Naphtha-based, Coal-based, Methane-to-Olefins, Bio-based
- By Application: Polyester Fiber, Polyethylene Terephthalate (PET) Resins, Polyethylene Terephthalate (PET) Film, Antifreeze, Others
- By End-use Industry: Textile, Plastic & Packaging, Automotive, Others
Reliance Industries Limited, Saudi Basic Industries Corporation, BASF SE, India Glycols Limited, LyondellBasell Industries Holdings B.V., Chemtex Speciality Limited, Royal Dutch Shell PLC, Nouryon, Mitsubishi Chemical Corporation, and Eastman Chemical Company.
- Increasing demand for monoethylene glycol in the manufacturing of polyester fibers, and antifreeze
- Rising demand for monoethylene glycol for polyethylene terephthalate (PET) packaging in various commercial and industrial end-use applications
|Restraints & Challenges:
- Fluctuation in raw material costs and the availability of crude oil and other feedstock
Global Monoethylene Glycol Market - Impact of Coronavirus (COVID-19) Pandemic
The COVID-19 had a negative influence on the global monoethylene glycol market. China is the largest supplier and user of mono-ethylene glycol in Asia-Pacific, owing to the country's expanding population and urbanization, which has resulted in high demand from the textile industry. However, the supply chain has been disrupted due to the COVID-19-triggered lockdown, which hampered the global monoethylene glycol market growth. In addition, the pandemic's spread has a detrimental effect on the majority of people's overall economic circumstances. Consumer demand has fallen, and consumers are concentrating more on reducing their budgets' non-essential spending.
Global Monoethylene Glycol Market: Recent Developments
- In January 2023, RHI Magnesita announced the acquisition of a majority stake in Jinan New Emei Industries Co. Ltd., a China-based refractory manufacturer. Acquisition will allow RHI Magnesita to expand its product line in steel flow control refractories and provide extra manufacturing capacity to increase refractory supply in China and the wider East Asia area.
- In May 2022, Omya, Switzerland, acquired the distributor Prima Inter-Chem in Malaysia and Indonesia. Omya boosts and develops its ingredient and specialty chemicals distribution in these countries for the food, pharmaceutical, animal feed, and industrial markets. Omya is a global producer of industrial minerals mainly derived from calcium carbonate, Monoethylene Glycol , and perlite and a worldwide distributor of specialty chemicals.
- In April 2022, Backtrace Holdings Ltd, – a world leader in Productizing Science, launched Particle Works, a spin-out of Monoethylene Glycol Microfluidics. The official launch of this new brand took place at the LNP Formulation and Process Development Summit in Boston, MA, from the 12th to the 14th of April 2022.
Asia-Pacific region held dominant position in the global monoethylene glycol market in 2022, accounting for 78% share in terms of volume, followed by and Europe and Asia Pacific respectively.
Figure 2. Global Monoethylene Glycol Market, By Product Type, in 2022
On the basis of end-use industry, the textile segment dominated the global monoethylene glycol market in 2022, accounting for 49.4% of market revenue share, followed by plastic & packaging, automotive, and others owing to the rising adoption of monoethylene glycol due to its versatility as a chemical that is compatible with water and various organic components.
Global Monoethylene Glycol Market: Key Companies
Key Companies are Reliance Industries Limited, Saudi Basic Industries Corporation, BASF SE, India Glycols Limited, LyondellBasell Industries Holdings B.V., Chemtex Speciality Limited, Royal Dutch Shell PLC, Nouryon, Mitsubishi Chemical Corporation, and Eastman Chemical Company.
*Definition: Monoethylene glycol can be found in polyester fibers and films. It is one of the greatest products for making polyester fibers and Polyethylene Terephthalate (PET) films because of its resilience and hydrophobic qualities. Monoethylene glycol is used in various industries including construction, automotive, consumer goods, textiles, medicines, and chemical processing. Monoethylene glycol production has increased in response to the growing demand for polyester fiber in the textile industry. The global monoethylene glycol market growth is predicted to be driven by the increasing use of polyethylene terephthalate (PET) in major consumer goods products such as bottles and food containers. People's changing lifestyles and urbanization in major nations such as China, India, Brazil, and Mexico are likely to drive the demand for monoethylene glycol.