Propylene Oxide Market: Global Industry Analysis and Forecast (2024-2030)

Global Propylene Oxide Market size was valued at USD 25.84 Bn in 2023 and is expected to reach USD 39.12 Bn by 2030, at a CAGR of 6.1 %.

Propylene Oxide Market Overview

Propylene oxide (PO) is a highly versatile chemical compound in the chemical industry. With the molecular formula of C3H6O. It appears as a clear colorless volatile liquid with an ethereal odor. The Flashpoint, Boiling point and Density of Propylene Oxide are -35 °F, 95 °F and Density of 6.9 lb./gal respectively. Propylene oxide is used in the production of polyethers (the primary component of polyurethane foams) and propylene glycol. The report includes historical data, current and future trends, competitive environment of the Propylene Oxide industry. The bottom-up approach was used to estimate the market size. Qualitative and quantitative methods are used for the analysis of the data of the Propylene Oxide market. For a deeper knowledge of Propylene Oxide market penetration, competitive structure, pricing and demand analysis are included in the report.Propylene Oxide MarketTo know about the Research Methodology :- Request Free Sample Report

Propylene Oxide Market Dynamics

Drivers Increasing Demand for Polyurethane to Boost the Propylene Oxide Market Growth Polyurethane is used in flexible and rigid foams, elastomers, coatings, sealants, and fibers production. These applications find broad use in the construction, automotive, furniture, packaging, footwear, and electronics industries. The diverse applications of polyurethane increase the demand for the Propylene Oxide which drives the Propylene Oxide Market growth. Polyurethane foams, especially in rigid insulation form, provide excellent thermal insulation properties. They have a high strength-to-weight ratio and this makes them largely preferable for energy efficiency as well as weight reduction applications. The increasing demand for energy-efficient materials in refrigeration, construction and transportation sectors fuels the Propylene Oxide Market growth. Polyurethane foams are known for their cushioning and comfort properties. To enhance comfort levels, they are used in mattresses, bedding and automotive seating. Polyurethane materials reach strict safety and flammability standards, making them a preferable choice in several applications. The focus on consumer comfort, safety, and regulatory compliance increases the Propylene Oxide demand. Rapid urbanization, population growth and infrastructure development are fuelling the demand for construction materials. Polyurethane-based products including insulation sealants, materials and adhesives are used in construction activities. The investment in infrastructure projects and urban development by counties led to an increase in the Propylene Oxide demand. Growing Automotive Industry to Fuel the Propylene Oxide Market Growth The automotive industry is growingly emphasizing light-weighting vehicles to minimize emissions and improve fuel efficiency. Propylene oxide-derived polyurethane foams are lightweight materials that provide excellent insulation and cushioning properties. They are used in insulation, automotive seating, interiors and other components. The lightweight materials contribute to fuel efficiency improvements and consent with stricter emission regulations and this results in to increase in the demand for Propylene Oxide. Comfort and safety are essential components for automotive consumers and manufacturers. Polyurethane foams offer preferable comfort and vibration-dampening characteristics. By reducing noise and vibrations and enhancing comfort in the seats, they contribute to improving the overall driving experience. Adhesives and coatings made of polyurethane offer strong bonding and protective properties, assuring the long-term dependability of automobile parts. The growth in the electric vehicle market is a substantial driver for the propylene oxide market growth. Electric vehicles used polyurethane-based materials for battery encapsulation, thermal management and interior components. As the increase in demand for electric vehicles, there is an increase in the demand for propylene oxide-derived polyurethane materials increases to help the propylene oxide industry grow. Propylene Oxide Market Trend Increasing Shift towards Propylene Oxide Derivatives Polyurethanes are the primary applications of propylene oxide derivatives. The increasing demand for end-use products in the automotive chemical industries has led to an increase in the demand for propylene oxide derivatives. Propylene oxide derivatives provide superior properties and functionalities that make them preferable for several applications. For instance, propylene glycol (PG) is utilized as a humectant, solvent and antifreeze agent in food and beverage, pharmaceuticals, cosmetics, and personal care industries. Polyether polyols another propylene oxide derivative, are imperative in the production of flexible and rigid polyurethane foams with superior insulation and cushioning properties. The versatility and performance of these derivatives boost the adoption of Propylene Oxide in different industries. The propylene oxide market has witnessed a growing interest to develop sustainable and environmentally friendly alternatives to traditional production processes. The new advanced technologies such as the PO/SM (Propylene Oxide/Styrene Monomer) and HPPO (Hydrogen Peroxide to Propylene Oxide) processes provide benefits including reduced energy consumption, lower greenhouse gas emissions, and minimized carbon footprint comparing conventional methods. This shift towards greener processes contributes to the demand for propylene oxide derivatives. Consumers are becoming aware of the materials used in the products they purchase, with a rising focus on environmental and sustainability concerns. This awareness creates a demand for sustainable and eco-friendly products, which integrate propylene oxide derivatives. To develop greener and more sustainable products, the Manufacturers are responding to this consumer demand by using propylene oxide derivatives, which drive the Propylene Oxide Market growth. Propylene Oxide Market Restraint Price Volatility and Fluctuating Feedstock Costs to Restraint the Propylene Oxide Market Growth Fluctuating feedstock costs, particularly for propylene, directly affect the production costs of propylene oxide. When feedstock prices increase, it puts pressure on manufacturers to absorb the higher costs. In a competitive market, it has not always been possible to pass on the cost increases entirely, which has restrained profit margins for manufacturers and suppliers. The volatility in price and fluctuating feedstock costs make it challenging for market participants to create stable pricing strategies. Rapid changes in feedstock costs have resulted in immediate price adjustments, which have been impacting customer relationships and market competitiveness. This uncertainty in pricing has also made it difficult for buyers to manage their own costs, which potentially affects the demand for propylene oxide. The fluctuation in feedstock costs has impacted the competitive dynamics of the propylene oxide market. Companies with lower production costs or integrated upstream operations (including propylene production) have competitive benefits during high feedstock cost periods. This has resulted in market mergers, with less efficient producers facing challenges to maintain competitiveness.

Propylene Oxide Market Segment Analysis

Based on Production Method, the market is segmented into the Propylene Oxidation and Chlorohydrin Processes. The propylene Oxidation production method held the Propylene Oxide Market in 2023 and is expected to have the highest CAGR over the forecast period. Propylene Oxidation provides higher conversion rates and selectivity in propylene oxide production. This aids a larger proportion of the propylene feedstock is efficiently converted into propylene oxide, leading to higher yields and improved overall process efficiency. Propylene Oxidation is typically introduced as a more environmentally friendly production method compared to alternative processes including the Chlorohydrin Process. It produces fewer by-products and waste materials and the associated environmental impact is minimized. This aligns with the growing emphasis on eco-friendly and sustainability practices, making Propylene Oxidation a preferable choice for propylene oxide production. The advancements in catalyst technologies and process optimization have improved the performance and efficiency of the Propylene Oxidation process. Ongoing research and development activities have resulted in the development of innovative catalyst systems and improved reaction conditions, enhancing the competitiveness of Propylene Oxidation in the Propylene Oxide industry. Propylene Oxidation is a scalable process that allows manufacturers to adjust production levels to meet varying demands. The process has been easily accommodated to various production capacities, making it flexible to market requirements. This scalability as well as flexibility add to the attractiveness of Propylene Oxidation and drive the Propylene Oxide Market growth. Based on Application, the market is categorized into Polyether Polyols, Propylene Glycol, Glycol Ethers and Others. Polyether Polyols dominate the Market with the largest Propylene Oxide market share. Polyether polyols derived from propylene oxide have an extensive range of applications across several industries. Polyether Polyols are used in polyurethane foams production, which is utilized in the automotive, furniture, insulation and bedding sectors. Due to their adaptability and versatility, Polyether polyols are selective for a variety of polyurethane foam types including flexible foams, rigid foams and specialty foams. The demand for polyurethane foams has been constantly growing due to their desirable properties including cushioning, insulation, durability and versatility, across multiple industries. The automotive industry relies increasingly on polyurethane foams for insulation, interior seating and soundproofing. The uses polyurethane foams are used in the construction sector for insulation, adhesives, and sealants. Also, the furniture industry used them for cushions. The increasing demand for polyurethane foams fuels the demand for propylene oxide which boost the Propylene Oxide Market growth. The research and development activities have resulted in advancements in the performance of polyether polyols. Manufacturers have been capable to develop polyether polyols with improved properties including enhanced flexibility, fire resistance and environmental sustainability. These innovations led to the Propylene Oxide industry expansion and drive the market growth.

Propylene Oxide Market Regional Insights

Asia Pacific dominated the largest Propylene Oxide Market share and is expected to continue its dominance over the forecast period. Developing economies such as China and India have substantiated rapid urbanization and industrialization resulting in increasing demand for propylene oxide. The region has a substantial population such as a growing middle-class population. This demographic shift has led to increasing consumption of products that use propylene oxide derivatives such as polyurethanes and propylene glycols. The regional large consumer base creates a huge demand evolve for propylene oxide products. Asia Pacific has become a manufacturing hub for several industries such as chemicals and plastics. The region provides benefits including the availability of raw materials, lower labor costs and supportive government policies and appealing investments in propylene oxide production facilities. The presence of well-established manufacturing infrastructure and supply chain networks drives the regional Propylene Oxide Market growth. The increasing demand for propylene oxide and its derivatives from several end-use industries including automotive, construction, packaging and textiles. The robust growth in these industries translates into higher demand for propylene oxide products, which boosts regional the Propylene Oxide industry. The regional governments have implemented favorable initiatives and policies to encourage industrial growth and attract investments in the chemical industry. These policies, along with investments in research and development and infrastructure development, have supported the propylene oxide industry growth in the region.

Propylene Oxide Market Propylene Oxide Market Competitive Landscape

The competitive analysis of the Propylene Oxide Market includes the Market size, growth rate and key trends. The report provides information about the Key companies, such as their size, Propylene Oxide market share, and geographic presence. The report provides such type of competitive landscape of all Propylene Oxide Key Players to assist new market entrants. The report provides such type of competitive landscape of all Key Players to assist new market entrants. The report offers Competitive benchmarking of the Propylene Oxide industry through the Market revenue, share and size of the key players. Some of the key players are Dow Inc. (US) , LyondellBasell Industries Holdings B.V. (Netherlands), Shell PLC (Netherlands), BASF SE (Germany), SKC Company (South Korea), AGC Inc. (Japan), Repsol (Spain), Sumitomo Chemical Co., Ltd.(Japan), Indorama Ventures Public Company(Thailand), INEOS Oxide(Switzerland), Jishen Chemical Industry Co., (China) and Others. In 2023, LyondellBasell differentiated Polyethylene (PE) technology selected for the PetroChina Guangxi complex: The company announced that PetroChina Guangxi Petrochemical Company have licensed the LyondellBasell polyethylene technology at their facility. The newly licensed technology is comprised of the LyondellBasell leading high-pressure Lupotech process technology which has been used for both a 100 kiloton per year (KTA) Autoclave and a 300 KTA Tubular line. Also, the leading polypropylene (PP) process technology contains more than 33 million tons of licensed capacity. It is the technology of choice, making with globally allowed quality grades featuring leading monomer yield and investment costs.Propylene Oxide MarketIn addition, Shell chemicals (Royal Dutch Shell) companies are leading propylene oxide players and its principal derivatives - polyether polyols and propylene glycols. Foams in furniture and car seats, artificial sports tracks and aircraft de-icers, etc., are some of the many ultimate applications of propylene oxide.

Propylene Oxide Market Scope: Inquire Before Buying

Global Propylene Oxide Market
Report Coverage Details
Base Year: 2023 Forecast Period: 2024-2030
Historical Data: 2018 to 2023 Market Size in 2023: US $ 25.84 Bn.
Forecast Period 2024 to 2030 CAGR: 6.1% Market Size in 2030: US $ 39.12 Bn.
Segments Covered: by Production Method Propylene Oxidation Chlorohydrin Process
by Application Polyether Polyols Propylene Glycol Glycol Ethers Others
by End User Automotive Construction Packaging Furniture and Bedding Electronics Pharmaceuticals Personal Care

Global Propylene Oxide Market, by Region

North America (United States, Canada and Mexico) Europe (UK, France, Germany, Italy, Spain, Sweden, Austria and Rest of Europe) Asia Pacific (China, South Korea, Japan, India, Australia, Indonesia, Malaysia, Vietnam, Taiwan, Bangladesh, Pakistan and Rest of APAC) Middle East and Africa (South Africa, GCC, Egypt, Nigeria and Rest of ME&A) South America (Brazil, Argentina Rest of South America)

Propylene Oxide Market, Key Players are

1. Dow Inc. (US) 2. LyondellBasell Industries Holdings B.V. (Netherlands) 3. Shell PLC (Netherlands) 4. BASF SE (Germany) 5. SKC Company (South Korea) 6. AGC Inc. (Japan) 7. Repsol (Spain) 8. Sumitomo Chemical Co., Ltd.(Japan) 9. Indorama Ventures Public Company(Thailand) 10. INEOS Oxide(Switzerland) 11. Jishen Chemical Industry Co., (China) 12. Manali Petrochemicals(India) 13. Tianjin Dagu Chemical Co., Ltd.(China) 14. PJSC Nizhenekamskneftekhim (Russia) 15. PCC Rokita(Poland) 16. Wudi XXINYUE Chemical Co., Ltd (China) 17. Oltchim S.A. (Ukraine) 18. Wanhua Chemical Group Co. Ltd.(China) 19. S-OIL Corporation(South Korea) 20. Tokyo Chemical Industry Co., Ltd.(Japan) 21. Befar group (China) 22. Merck KGaA(Germany) Frequently Asked Questions: 1] What is the growth rate of the Global Propylene Oxide Market? Ans. The Global Propylene Oxide Market is growing at a significant rate of 6.1 % during the forecast period. 2] Which region is expected to dominate the Global Propylene Oxide Market? Ans. Asia Pacific is expected to dominate the Propylene Oxide Market during the forecast period. 3] What is the expected Global Propylene Oxide Market size by 2030? Ans. The Propylene Oxide Market size is expected to reach USD 39.12 Bn by 2030. 4] Which are the top players in the Global Propylene Oxide Market? Ans. The major top players in the Global Propylene Oxide Market areDow Inc. (US) , LyondellBasell Industries Holdings B.V. (Netherlands), Shell PLC (Netherlands), BASF SE (Germany), SKC Company (South Korea), AGC Inc. (Japan), Repsol (Spain), Sumitomo Chemical Co., Ltd.(Japan), Indorama Ventures Public Company(Thailand), INEOS Oxide(Switzerland), Jishen Chemical Industry Co., (China) and Others. 5] What are the factors driving the Global Propylene Oxide Market growth? Ans. Increasing demand for polyurethane and the growing automotive industry are expected to drive market growth during the forecast period.
1. Propylene Oxide Market: Research Methodology 2. Propylene Oxide Market: Executive Summary 3. Propylene Oxide Market: Competitive Landscape 3.1. MMR Competition Matrix 3.2. Competitive Landscape 3.3. Key Players Benchmarking 3.4. Market Structure 3.4.1. Market Leaders 3.4.2. Market Followers 3.4.3. Emerging Players 3.5. Consolidation of the Market 4. Propylene Oxide Market: Dynamics 4.1. Market Trends by Region 4.1.1. North America 4.1.2. Europe 4.1.3. Asia Pacific 4.1.4. Middle East and Africa 4.1.5. South America 4.2. Market Drivers by Region 4.2.1. North America 4.2.2. Europe 4.2.3. Asia Pacific 4.2.4. Middle East and Africa 4.2.5. South America 4.3. Market Restraints 4.4. Market Opportunities 4.5. Market Challenges 4.6. PORTER’s Five Forces Analysis 4.7. PESTLE Analysis 4.8. Value Chain Analysis 4.9. Regulatory Landscape by Region 4.9.1. North America 4.9.2. Europe 4.9.3. Asia Pacific 4.9.4. Middle East and Africa 4.9.5. South America 5. Propylene Oxide Market Size and Forecast by Segments (by Value USD and Volume Units ) 5.1. Propylene Oxide Market Size and Forecast, by Production Method (2023-2030) 5.1.1. Propylene Oxidation 5.1.2. Chlorohydrin Process 5.2. Propylene Oxide Market Size and Forecast, by Application 2023-2030) 5.2.1. Polyether Polyols 5.2.2. Propylene Glycol 5.2.3. Glycol Ethers 5.2.4. Others 5.3. Propylene Oxide Market Size and Forecast, by End User (2023-2030) 5.3.1. Automotive 5.3.2. Construction 5.3.3. Packaging 5.3.4. Furniture and Bedding 5.3.5. Electronics 5.3.6. Pharmaceuticals 5.3.7. Personal Care 5.4. Propylene Oxide Market Size and Forecast, by Region (2023-2030) 5.4.1. North America 5.4.2. Europe 5.4.3. Asia Pacific 5.4.4. Middle East and Africa 5.4.5. South America 6. North America Propylene Oxide Market Size and Forecast by Segments (by Value USD and Volume Units ) 6.1. North America Propylene Oxide Market Size and Forecast, by Production Method (2023-2030) 6.1.1. Propylene Oxidation 6.1.2. Chlorohydrin Process 6.2. North America Propylene Oxide Market Size and Forecast, by Application 2023-2030) 6.2.1. Polyether Polyols 6.2.2. Propylene Glycol 6.2.3. Glycol Ethers 6.2.4. Others 6.3. North America Propylene Oxide Market Size and Forecast, by End User (2023-2030) 6.3.1. Automotive 6.3.2. Construction 6.3.3. Packaging 6.3.4. Furniture and Bedding 6.3.5. Electronics 6.3.6. Pharmaceuticals 6.3.7. Personal Care 6.4. North America Propylene Oxide Market Size and Forecast, by Country (2023-2030) 6.4.1. United States 6.4.2. Canada 6.4.3. Mexico 7. Europe Propylene Oxide Market Size and Forecast by Segments (by Value USD and Volume Units ) 7.1. Europe Propylene Oxide Market Size and Forecast, by Production Method (2023-2030) 7.1.1. Propylene Oxidation 7.1.2. Chlorohydrin Process 7.2. Europe Propylene Oxide Market Size and Forecast, by Application 2023-2030) 7.2.1. Polyether Polyols 7.2.2. Propylene Glycol 7.2.3. Glycol Ethers 7.2.4. Others 7.3. Europe Propylene Oxide Market Size and Forecast, by End User (2023-2030) 7.3.1. Automotive 7.3.2. Construction 7.3.3. Packaging 7.3.4. Furniture and Bedding 7.3.5. Electronics 7.3.6. Pharmaceuticals 7.3.7. Personal Care 7.4. Europe Propylene Oxide Market Size and Forecast, by Country (2023-2030) 7.4.1. UK 7.4.2. France 7.4.3. Germany 7.4.4. Italy 7.4.5. Spain 7.4.6. Sweden 7.4.7. Austria 7.4.8. Rest of Europe 8. Asia Pacific Propylene Oxide Market Size and Forecast by Segments (by Value USD and Volume Units ) 8.1. Asia Pacific Propylene Oxide Market Size and Forecast, by Production Method (2023-2030) 8.1.1. Propylene Oxidation 8.1.2. Chlorohydrin Process 8.2. Asia Pacific Propylene Oxide Market Size and Forecast, by Application 2023-2030) 8.2.1. Polyether Polyols 8.2.2. Propylene Glycol 8.2.3. Glycol Ethers 8.2.4. Others 8.3. Asia Pacific Propylene Oxide Market Size and Forecast, by End User (2023-2030) 8.3.1. Automotive 8.3.2. Construction 8.3.3. Packaging 8.3.4. Furniture and Bedding 8.3.5. Electronics 8.3.6. Pharmaceuticals 8.3.7. Personal Care 8.4. Asia Pacific Propylene Oxide Market Size and Forecast, by Country (2023-2030) 8.4.1. China 8.4.2. S Korea 8.4.3. Japan 8.4.4. India 8.4.5. Australia 8.4.6. Indonesia 8.4.7. Malaysia 8.4.8. Vietnam 8.4.9. Taiwan 8.4.10. Bangladesh 8.4.11. Pakistan 8.4.12. Rest of Asia Pacific 9. Middle East and Africa Propylene Oxide Market Size and Forecast by Segments (by Value USD and Volume Units ) 9.1. Middle East and Africa Propylene Oxide Market Size and Forecast, by Production Method (2023-2030) 9.1.1. Propylene Oxidation 9.1.2. Chlorohydrin Process 9.2. Middle East and Africa Propylene Oxide Market Size and Forecast, by Application 2023-2030) 9.2.1. Polyether Polyols 9.2.2. Propylene Glycol 9.2.3. Glycol Ethers 9.2.4. Others 9.3. Middle East and Africa Propylene Oxide Market Size and Forecast, by End User (2023-2030) 9.3.1. Automotive 9.3.2. Construction 9.3.3. Packaging 9.3.4. Furniture and Bedding 9.3.5. Electronics 9.3.6. Pharmaceuticals 9.3.7. Personal Care 9.4. Middle East and Africa Propylene Oxide Market Size and Forecast, by Country (2023-2030) 9.4.1. South Africa 9.4.2. GCC 9.4.3. Egypt 9.4.4. Nigeria 9.4.5. Rest of ME&A 10. South America Propylene Oxide Market Size and Forecast by Segments (by Value USD and Volume Units ) 10.1. South America Propylene Oxide Market Size and Forecast, by Production Method (2023-2030) 10.1.1. Propylene Oxidation 10.1.2. Chlorohydrin Process 10.2. South America Propylene Oxide Market Size and Forecast, by Application 2023-2030) 10.2.1. Polyether Polyols 10.2.2. Propylene Glycol 10.2.3. Glycol Ethers 10.2.4. Others 10.3. South America Propylene Oxide Market Size and Forecast, by End User (2023-2030) 10.3.1. Automotive 10.3.2. Construction 10.3.3. Packaging 10.3.4. Furniture and Bedding 10.3.5. Electronics 10.3.6. Pharmaceuticals 10.3.7. Personal Care 10.4. South America Propylene Oxide Market Size and Forecast, by Country (2023-2030) 10.4.1. Brazil 10.4.2. Argentina 10.4.3. Rest of South America 11. Company Profile: Key players 11.1. Dow Inc.(US) 11.1.1. Company Overview 11.1.2. Financial Overview 11.1.3. Business Portfolio 11.1.4. SWOT Analysis 11.1.5. Business Strategy 11.1.6. Recent Developments 11.2. Dow Inc. (US) 11.3. LyondellBasell Industries Holdings B.V. (Netherlands) 11.4. Shell PLC (Netherlands) 11.5. BASF SE (Germany) 11.6. SKC Company (South Korea) 11.7. AGC Inc. (Japan) 11.8. Repsol (Spain) 11.9. Sumitomo Chemical Co., Ltd.(Japan) 11.10. Indorama Ventures Public Company(Thailand) 11.11. INEOS Oxide(Switzerland) 11.12. Jishen Chemical Industry Co., (China) 11.13. Manali Petrochemicals(India) 11.14. Tianjin Dagu Chemical Co., Ltd.(China) 11.15. PJSC Nizhenekamskneftekhim (Russia) 11.16. PCC Rokita(Poland) 11.17. Wudi XXINYUE Chemical Co., Ltd (China) 11.18. Oltchim S.A. (Ukraine) 11.19. Wanhua Chemical Group Co. Ltd.(China) 11.20. S-OIL Corporation(South Korea) 11.21. Tokyo Chemical Industry Co., Ltd.(Japan) 11.22. Befar group (China) 11.23. Merck KGaA(Germany) 12. Key Findings 13. Industry Recommendation

About This Report

Report ID 2515
Category Material & Chemical
Published Date February 2024
Updated Date
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