The top 15 petrochemicals market was valued at 497.1 Mn Tons in 2020, according to Petrochemicals Market Report, by Product Type (Ethylene, Propylene, Benzene, Xylene, Toluene, Methanol, and Others), by Application (Paints and Coatings, Solvents, Polymers, Adhesives and Sealants, and Others (Surfactants, Dyes, etc.)), by End-use Industry (Aerospace, Agriculture, Automotive, Building & Construction, Consumer & Industrial Goods, Electrical & Electronics, and Others (Packaging, etc.)), and by Region (North America, Latin America, Asia Pacific, Europe, and Middle East, and Africa), published by Coherent Market Insights.
The top 15 petrochemicals market is expected to surpass 656.0 Mn Tons by 2027, exhibiting a CAGR of 4.1% during the forecast period (2021-2027). Petrochemicals are omnipresent, with their usage increasing across our countless, daily life applications. Increasing demand for methanol for industrial applications like manufacturing formaldehyde, API formulations, dyes & intermediates, petrochemicals, etc. and its growing adoption as a clean-burning fuel in transports are likely to spur the petrochemicals demand over the forecast period. Growing demand for petrochemical products used in plastic packaging for food and other commercial products such as polyethylene and polystyrene (aromatics) due to their inexpensive, lightweight and high-performance characteristics is expected to propel the market growth in the coming years. Excellent barrier properties which allow food to remain fresh for longer durations are expanding the scope of polyethylene plastics over other packaging materials, thereby increasing the petrochemicals consumption across the globe.
To know the latest trends and insights prevalent in this market, click the link below:
Browse 50 market data tables* and 45 figures* on "Petrochemicals Market” - Forecast to 2027.
Key Trends and Analysis of the top 15 Petrochemicals Market:
- Among region, the petrochemicals market is expected to grow significantly in the Asia Pacific region due to the rise in globalization of the petrochemical industry. Among all the countries, China & India dominated the basic polymers market in 2020 in terms of volume, closely followed by Japan.
- On the basis of application, rapid growth in the building & construction industry is a key driver of the petrochemicals market. The number of new housings is on the rise in developing countries, indicating a positive overall trend in the construction sector.
- On the basis of product type, ethylene is primarily employed in the production of ethylene oxide, ethyl-benzene, and ethylene dichloride, which are used in building & construction and packaging industries. Growth in production of methanol is directly associated with its increasing usage in olefins (MTO) and gasoline blending processes. Other petrochemicals such as butadiene, benzene, toluene, xylene, vinyls, and styrene also account for a vital share of the petrochemicals market.
Key Takeaways of the Market:
- New materials are often used as building blocks for product development and technology breakthroughs in the electrical & electronics industry. Modern electrical & electronics industry is highly dependent on petrochemical products for the manufacture of electrical and electronic goods. Everyday appliances such as CD players, telephones, radios, computers, and televisions are manufactured on a large scale with the assistance of the petrochemicals industry.
- Petrochemicals have become the most significant element in our daily lives and have entirely revolutionized the electronics sector by making some of the most important scientific inventions. The petrochemicals industry has proved to be extremely beneficial for the electronics industry.
- Properties such as flexibility in designing, lightweight, and durability have popularized the use of petrochemical composites in automobiles. Parts of the body, tires, interiors, dashboard, etc. are made out of petrochemical intermediates. The automobile industry has been transformed with the increase in usage of petrochemical-based composite materials.
- Major players operating in the top 15 petrochemicals market include Chevron Phillips Chemical Company LLC, BASF SE, ExxonMobil, Shell Chemical Company, TotalEnergies SE, Sumitomo Chemical Co. Ltd., Reliance Industries Limited, Indian Oil Corporation, Bharat Petroleum Corporation Limited, and SABIC
Top 15 Petrochemicals Market - Impact of Coronavirus (Covid-19) Pandemic
- The outbreak of the COVID-19 dented the petrochemicals industry, rendering the global industrial production. The impact of the coronavirus on petrochemical demand was irregular across value chains, with automotive and construction applications seeing particularly steep declines, and packaging demand (especially in food, sanitary products, and medical applications) remaining robust. Reasons for the latter include stockpiling, a surge in delivery services, and increased healthcare-focused activity all in response to the pandemic. The biggest impact was on demand of downstream derivatives such as clothing and automotive which crashed to historic lows in short term. Unprecedented crash in upstream crude oil as an outcome of the historic oil-price further hurt the overall refinery run rates. In longer terms, it is anticipated that decline in the petrochemicals demand as several economies ramp up their refining capacities and invest in latest manufacturing technologies would further accelerate the market growth over the forecast period.