NEW YORK, July 24, 2024 /PRNewswire/ -- The global
propylene oxide market size is estimated to grow by USD 6.24 billion from 2024-2028, according to
Technavio. The market is estimated to grow at a CAGR of 4.72%
during the forecast period. Growing demand for polyurethane is
driving market growth, with a trend towards growth in global
automotive industry. However, environmental and regulatory concerns
poses a challenge. Key market players include Archer Daniels
Midland Co., BASF SE, Befar Group Co. Ltd., Dow Chemical Co.,
Evonik Industries AG, Indorama Ventures Public Co. Ltd., INEOS
Group Holdings SA, LyondellBasell Industries N.V., Manali
Petrochemicals Ltd., Merck and Co. Inc., Repsol SA, Sadara Chemical
Co., Shell plc, SK Chemicals Co. Ltd., Sumitomo Chemical Co. Ltd.,
Tokuyama Corp., Wanhua Chemical Group Co. Ltd., Balchem Inc., and
thyssenkrupp AG.
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Propylene Oxide
Market Scope
|
Report
Coverage
|
Details
|
Base year
|
2023
|
Historic
period
|
2018 - 2022
|
Forecast
period
|
2024-2028
|
Growth momentum &
CAGR
|
Accelerate at a CAGR of
4.72%
|
Market growth
2024-2028
|
USD 6.24
billion
|
Market
structure
|
Fragmented
|
YoY growth 2022-2023
(%)
|
4.52
|
Regional
analysis
|
APAC, North America,
Europe, Middle East and Africa, and South America
|
Performing market
contribution
|
APAC at 49%
|
Key
countries
|
US, China, Japan,
India, and Germany
|
Key companies
profiled
|
Archer Daniels Midland
Co., BASF SE, Befar Group Co. Ltd., Dow Chemical Co., Evonik
Industries AG, Indorama Ventures Public Co. Ltd., INEOS Group
Holdings SA, LyondellBasell Industries N.V., Manali Petrochemicals
Ltd., Merck and Co. Inc., Repsol SA, Sadara Chemical Co., Shell
plc, SK Chemicals Co. Ltd., Sumitomo Chemical Co. Ltd., Tokuyama
Corp., Wanhua Chemical Group Co. Ltd., Balchem Inc., and
thyssenkrupp AG
|
Market Driver
The global automotive industry's expansion significantly boosts
the demand for propylene oxide. This chemical is a crucial raw
material in producing polyurethane, extensively used in automotive
manufacturing. Polyurethane foams derived from propylene oxide are
employed in seat cushions, headrests, armrests, interior trims, and
insulation components, offering lightweight alternatives to heavier
materials without compromising strength or safety. Consumer
preference for comfortable and visually appealing automotive
interiors fuels the use of these materials. Propylene oxide's
versatility, performance, and suitability for various applications
make it an essential ingredient in the evolving automotive sector.
As automakers innovate, prioritize sustainability, and cater to
consumer demands, the demand for propylene oxide is expected to
grow, positively impacting the global propylene oxide
market.
The Propylene Oxide Market is experiencing significant growth
due to its widespread use in the production of petrochemical
products, such as polyurethanes and polyether polyols. These
materials are essential in various industries, including oil
products, refrigeration, and sealants. Propylene Oxide (PO)
derivatives, like Propylene Glycol (PG), are key components in the
manufacturing of polyurethane foam products, rigid foams, and
protective coatings. The market is driven by trends like noise
reduction, energy efficiency, and safety. PO is used in the
production of oxyfuel, which reduces energy consumption in
refineries. In the healthcare sector, PO is used in the production
of medical devices like pacemakers and short-term implants. Price
volatility is a challenge in the Propylene Oxides Market. Producers
employ pricing strategies to maintain profit margins, including the
use of alternative feedstocks like palm oil, rapeseed oil, and
soybean oil. However, safety concerns, such as respiratory tract
irritation and skin irritation, must be addressed to meet safety
standards. In conclusion, the Propylene Oxides Market is a dynamic
and growing industry, driven by the demand for petrochemical
products and the need for innovation in various sectors. Producers
must navigate price volatility, safety concerns, and regulatory
requirements to maintain profitability and meet customer
needs.
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Market Challenges
- Propylene oxide production entails processes that may generate
pollutants or hazardous by-products, necessitating strict adherence
to environmental standards and safety regulations. Compliance adds
complexity and cost to production, potentially reducing market
competitiveness. Propylene oxide is a hazardous substance,
necessitating stringent safety protocols for handling, storage, and
transportation. Waste management regulations increase operational
complexities and costs. Compliance with evolving regulations on
emissions, waste disposal, and workplace safety demands significant
investments in technology, process modifications, and employee
training, increasing production costs and potentially hindering the
growth of the global propylene oxide market.
- The Propylene Oxide market faces various challenges in
industries such as coatings, construction materials, and flexible
foams. Coatings manufacturers strive for improved comfort and
durability, while construction materials seek energy efficiency and
emissions reduction. In the automotive sector, lightweight vehicles
and fuel efficiency are key priorities. Competitive structure in
elastomers and fiber glass industries requires minimized carbon
footprint and greener processes. Fumigation and flame retardants in
furniture and hospital bedding require careful consideration for
human safety and environmental concerns. Intermediates chemicals
used in di-propylene glycol, hydrogen peroxide process, and
monopropylene glycol (MPG) production face regulatory challenges.
Manufacturing facilities must address safety concerns, including
eye irritation and inflammatory lesions. Additionally, neurological
effects and potential health hazards associated with propylene
oxide usage require ongoing research and mitigation strategies.
Industries using propylene oxide in fuel additives, such as diesel
and jet fuel, must address emissions reduction and environmental
concerns. Overall, the market must navigate these challenges while
maintaining profitability and meeting evolving customer
demands.
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Segment Overview
This propylene oxide market report extensively covers market
segmentation by
- Application
- 1.1 Polyether polyols
- 1.2 Propylene glycols
- 1.3 Glycol ethers
- 1.4 Others
- End-user
- 2.1 Automotive
- 2.2 Building and construction
- 2.3 Textile and furnishing
- 2.4 Others
- Geography
- 3.1 APAC
- 3.2 North America
- 3.3 Europe
- 3.4 Middle East and
Africa
- 3.5 South America
1.1 Polyether polyols- The production of polyether
polyols involves the reaction of propylene oxide with
polyfunctional alcohols. These polyols are widely used in the
construction industry for insulation due to their effectiveness in
enhancing energy efficiency and sustainability. In the automotive
sector, polyurethane foams derived from polyether polyols are
utilized for their lightweight and durable properties in seating
and various other components. With the expanding automotive
industry's focus on fuel efficiency and sustainability, the demand
for these materials is projected to rise. Furthermore, economic
growth in developing regions with burgeoning industrial sectors
will fuel the demand for polyurethane products, leading to
increased consumption of polyether polyols and propylene oxide.
Consequently, the global propylene oxide market is anticipated to
experience significant growth during the forecast period.
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analysis including forecast (2024-2028) and historic data
(2017-2021) - Download a Sample Report
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The global Bio-based Propylene Glycol market is witnessing
robust growth, driven by increasing demand for sustainable and
eco-friendly chemicals across industries. This shift towards
greener alternatives is expected to boost the market significantly
over the next decade. Meanwhile, the global Hydrogen Peroxide
market is also expanding, propelled by its applications in
environmental sanitation, healthcare, and industrial processes.
Both markets are benefiting from heightened awareness of
environmental issues and stricter regulations, leading to increased
adoption of bio-based and eco-friendly solutions.
Research Analysis
Propylene Oxide (PO), a colorless, flammable liquid with a sweet
odor, is a crucial intermediate chemical in the production of
various petrochemical products. It is primarily derived from
propylene in refineries through the use of steam crackers or
oxidation processes. The molecular formula for PO is C3H6O. PO is a
versatile chemical used in the production of polyurethane foam
products, including rigid and flexible foams. These foams are
widely used in industries such as automotive, bedding, furniture,
and construction. PO is also used in the production of polyethers,
propylene glycols, and polyurethanes. The manufacturing facilities
for PO production require stringent safety measures due to its
flammable nature. The production process involves the oxidation of
propylene using a catalyst, followed by the separation of PO from
the reaction mixture. Qualitative and quantitative methods are used
to analyze the properties and composition of PO and its
derivatives. The competitive structure of the PO market is
influenced by factors such as supply and demand, raw material
prices, and regulatory policies. PO is an essential ingredient in
the production of jet fuel, gasoline, diesel, and other
petrochemical products. Its role in the production of polyurethane
materials continues to grow due to their increasing demand in
various industries.
Market Research Overview
The Propylene Oxide market is a significant segment of the
chemical industry, known for its versatile applications in various
industries. This colorless, flammable liquid is primarily used as a
chemical intermediate to produce a range of products, including
adhesives and coatings, advanced polymers, and elastomers.
Propylene Oxide is derived from the oxidation of propylene using
chlorine or other oxidizing agents. Acute exposure to Propylene
Oxide can cause eye irritation, inflammatory lesions, and
neurological effects. However, its use is regulated due to its
benefits in various applications. In the automotive industry,
Propylene Oxide is used for automobile cushioning, interior
components, and battery encapsulation. It is also used in the
production of flexible foams for furniture, bedding, and
insulation. Propylene Oxide is also used as a feedstock for the
production of glycol ethers, monopropylene glycol (MPG), and
di-propylene glycol. These products find applications in various
industries, including construction materials, coatings, and as
solvents. Propylene Oxide is also used in the production of flame
retardants, fiberglass, and other advanced materials. The Propylene
Oxide market is characterized by a competitive structure, with
several players producing this chemical through various processes,
including the hydrogen peroxide process and the oxyfuel process.
The market is influenced by factors such as price volatility,
environmental concerns, and the need for greener processes. The
market is expected to grow due to the increasing demand for
energy-efficient materials, lightweight vehicles, and the need for
emissions reduction in various industries.
Table of Contents:
1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation
- Application
-
- Polyether Polyols
- Propylene Glycols
- Glycol Ethers
- Others
- End-user
-
- Automotive
- Building And Construction
- Textile And Furnishing
- Others
- Geography
-
- APAC
- North America
- Europe
- Middle East And Africa
- South America
7 Customer Landscape
8 Geographic Landscape
9 Drivers, Challenges, and Trends
10 Company Landscape
11 Company Analysis
12 Appendix
About Technavio
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changing market scenarios.
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