Propylene Market Propelled By Growing Demand for Polypropylene |...

Propylene Market Propelled By Growing Demand for Polypropylene

Posted 2024-02-02 10:25:30

The propylene market forms the building block for polypropylene which finds wide applications in packaging, automotive, construction and various other industries due to properties like durability, flexibility and chemical resistance. Propylene is produced as a co-product of ethylene production through steam cracking of light hydrocarbons with most common derivatives being polypropylene, propylene oxide and acrylonitrile. The global Propylene Market is estimated to be valued at US$ XX billion in 2023 and is expected to exhibit a CAGR of 10% over the forecast period 2024 to 2031, as highlighted in a new report published by Coherent Market Insights.

Market key trends:
Growing demand for polypropylene: Polypropylene derived from propylene is one of the most widely used plastics globally due to its excellent physical and chemical properties. The demand for polypropylene is growing significantly across industries like packaging, automotive and construction. According to statistics, the global polypropylene market was valued at US$ 130 billion in 2021 and is expected to grow at a CAGR of 5% till 2028. This growing demand for polypropylene is poised to drive the propylene market during the forecast period.

SWOT Analysis
Strength: Propylene has a wide range of applications in key industries such as packaging, automotive, construction. Propylene derivatives are widely used in production of various plastics.

Weakness: Volatility in crude oil prices results in fluctuations in propylene prices. Strict environmental regulations regarding VOC emissions can hamper market growth to some extent.

Opportunity: Increasing demand from emerging economies of Asia Pacific due to growth in key end-use industries. Rising demand for polypropylene resins and propylene oxide from different applications.

Threats: Availability of substitutes like polyethylene can pose threat to the growth. Fluctuations in supply and demand due to overcapacity can adversely impact the prices.

Key Takeaways
The global propylene market is expected to witness high growth.

Asia Pacific region dominates the global market and is expected to maintain its leading position during the forecast period. Growing packaging and construction industries in China, India are driving the growth of propylene market in the region.

Key players operating in the propylene market are LyondellBasell Industries Holdings B.V., Exxon Mobil Corporation, China Petroleum & Chemical Corporation, The Dow Chemical Company, Royal Dutch Shell PLC. Propylene production is increasing globally supported by rising demand from industries like packaging, construction, automotive. Capacity expansions across regions by key players will further support market growth in coming years.

For More details on the topic:

https://www.insightprobing.com/propylene-market/

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