Petroleum Liquid Feedstock Market Forecasts to 2030 – Global Analysis By Product Type (Benzene, Ethylene and Other Product Types), Type (Gas Oil, Heavy Naphtha and Other Types), Application and By Geography

Petroleum Liquid Feedstock Market Forecasts to 2030 – Global Analysis By Product Type (Benzene, Ethylene and Other Product Types), Type (Gas Oil, Heavy Naphtha and Other Types), Application and By GeographyAccording to Stratistics MRC, the Global Petroleum Liquid Feedstock Market is accounted for $313 billion in 2023 and is expected to reach $476 billion by 2030 growing at a CAGR of 6.2% during the forecast period. A feedstock is a raw material that is utilized in an industrial process to create a useful product. A number of petrochemicals are produced using natural gas liquids and naphtha, which is a by-product of the refining of crude oil. The production of petroleum liquid feedstock involves refining oil, coal, and wood to obtain a mixture of highly unstable and flammable hydrocarbons. They are referred to as oil, coal, and wood naphtha, respectively. Diesel, industrial solvents, fuels, and gasoline are generally made from naphtha. Chemical feedstocks made from refined or partially refined petroleum fraction are mostly used to make chemicals, synthetic rubber, and a range of polymers.

According to the Energy Information Administration (EIA), proven crude oil reserves increased to 367 million barrels in 2019. The extensive shale resource development and the expanding use of data analytics to boost drilling and production are also anticipated to hasten the adoption of oil & gas analytics.

Market Dynamics:

Driver:

Recent innovations in petrochemical and refinery technology

Recent innovations in petrochemical and refining technologies have made it easier for market participants to meet their production goals at the lowest possible cost. These cutting-edge technologies increase efficiency while also consuming less energy. They also assist in the processing of distinctive crude oil and the development of higher-quality final goods. For instance, numerous petroleum refineries are increasingly using cutting-edge analytical and control technologies to boost product output.

Restraint:

Environmental impact

Due to its numerous uses, the petroleum industry has a significant and wide-ranging impact on the environment. Natural gas and crude oil are significant energy and raw material sources that support numerous aspects of contemporary life and the economy. Their supply has multiplied over the last 150 years to meet the demands of a rapidly expanding human population, ingenuity, and consumerism. Large amounts of toxic and non-toxic waste are created during the extraction, processing, and transportation of oil and gas. Market by-products including volatile organic compounds, nitrogen and sulphur compounds, and spilled oil can dangerously damage the air, water, and soil when improperly controlled. Market emissions of greenhouse gases like carbon dioxide (CO2) and methane, as well as microparticulate aerosols like black carbon, worsen impacts like climate change, ocean acidification, and sea level rise thus hindering the growth of the market.

Opportunity:

Growing automotive workforce

Since petroleum liquid feedstock is predominantly utilized in the production of gasoline and motor fuels, the expansion of the vehicle fleet is anticipated to result in a significant increase in demand. Globally, auto sales are rising steadily in Asia-Pacific, Europe and this is projected to fuel demand for petroleum liquid feedstock in these countries. The production and processing of aromatics is one of the primary uses of petroleum liquid feedsStock. Due to their usage as feedstock for numerous products, aromatics are increasingly in demand in the chemical and other end-use sectors.

Threat:

Volatility in global crude oil prices

The volatility in the price of crude oil, which has a significant impact on the pricing of petroleum products like naphtha, is one of the major obstacles to the growth of the worldwide petroleum liquid feedstock business. These businesses are forced to terminate or delay oil and gas E&P projects due to falling crude oil prices. The US's increased shale oil output increased the world's supply of crude oil and decreased imports into the nation. Since the price at which crude oil is sold is controlled by the market, even if production costs are essentially fixed by the manufacturers, downstream companies are negatively impacted when crude oil prices change.

Covid-19 Impact

The COVID-19 outbreak has had a detrimental effect on the market for petroleum liquid feedstock. It is preventing economic growth. Due to the sharp decline in energy demand during lockdowns, the oil and gas sector has also been harmed. However, it is anticipated that the petroleum liquid feedstock industry would soon benefit as the energy demand picks up after the lockdowns. Due to decreasing demand in the first quarter of 2020 as a result of the COVID-19 outbreak, the oil and gas sector has experienced a setback. The market's value chain has been impacted by social distancing measures, which has interrupted transportation services. The corona virus has interfered with the supply and demand markets.

The ethylene segment is expected to be the largest during the forecast period

The ethylene segment is estimated to have a lucrative growth, due to several industrial processes employ ethylene as a starting element. It is a by-product of petroleum liquid feedstock. It is extensively used in the chemical industry to make polymers. The market for chemicals has grown significantly in recent years. Chemicals play a crucial role in the economic growth of developing nations like India. Chemicals are vital, but they have significant negative consequences on both human health and the environment.

The gasoline segment is expected to have the highest CAGR during the forecast period

The gasoline segment is anticipated to witness the highest CAGR growth during the forecast period, owing to its transparency makes it suitable for use as fuel in spark-ignited internal combustion engines. This fuel is made of the organic compounds that result from the fractional distillation of petroleum. Additionally, it has a number of compounds that raise its quality of gasoline is assessed using the octane rating. Different octane ratings exist. Leaded gasoline, which manufacturers once used to increase octane, is now forbidden because it poses a health risk.

Region with largest share:

North America is projected to hold the largest market share during the forecast period owing to the growth of sectors dependent on petroleum, North America currently holds the top spot in the global market for petroleum liquid feedstock. The expansion results in a rise in petroleum demand liquid feedstock available there. State programs and federal mandates persisted in the United States to encourage the use of bio fuels, yet they still account for a very modest share of the nation's total supply of liquid fuels for transportation. U.S. usage of diesel fuel, this includes biomass-based diesel, and is anticipated to rise

Region with highest CAGR:

Asia Pacific is projected to have the highest CAGR over the forecast period, due to rising demand from a variety of heavy industries, including transportation and shipping, the Asia Pacific region is the one where the global market for petroleum liquid feedstock is increasing at the highest rate. India and China have seen sharp increases in the demand for oil and gas products and their by-products, opening up enormous opportunities in the market for petroleum liquid feedstock which is driving the growth of the market.

Key players in the market

Some of the key players profiled in the Petroleum Liquid Feedstock Market include Exxon Mobil Corporation, Total S.A, Idemitsu Kosan Co., Ltd, China Petroleum and Chemical Corporation, Reliance Industries, Chevron Phillips Chemical Company, China National Petroleum Corporation, Royal Dutch Shell plc, British Petroleum, Flint Hills Resources, Shell, YPF, Saudi Arabian Oil Co., and BP Plc

Key Developments:

In July 2023, Exxon Mobil Corporation announced that it has entered into a definitive agreement to acquire Denbury Inc an experienced developer of carbon capture, utilization and storage (CCS) solutions and enhanced oil recovery.

In July 2023, Chevron Phillips Chemical deepens collaboration with Nexus Circular, securing contracted long-term supply of advanced recycled plastic feedstocks from new facility, Chevron Phillips Chemical helps accelerate the circular economy for plastics by aligning with Nexus Circular’s.

In June 2023, ExxonMobil signs carbon capture agreement with Nucor Corporation, reaching 5 MTA milestones, ExxonMobil Low Carbon Solutions’ newest carbon capture and storage agreement with Nucor Corporation, one of North America’s largest steel producers – demonstrates our continued momentum in helping industrial customers reduce emissions.

Product Types Covered:
• Benzene
• Ethylene
• Hexane
• Naphthalene
• Propylene
• Other Product Types

Types Covered:
• Gas Oil
• Heavy Naphtha
• Light Naphtha
• Other Types

Applications Covered:
• Cleaning Fluids
• Gasoline
• Industrial Solvents
• Other Applications

Regions Covered:
• North America
US
Canada
Mexico
• Europe
Germany
UK
Italy
France
Spain
Rest of Europe
• Asia Pacific
Japan
China
India
Australia
New Zealand
South Korea
Rest of Asia Pacific
• South America
Argentina
Brazil
Chile
Rest of South America
• Middle East & Africa
Saudi Arabia
UAE
Qatar
South Africa
Rest of Middle East & Africa

What our report offers:
- Market share assessments for the regional and country-level segments
- Strategic recommendations for the new entrants
- Covers Market data for the years 2021, 2022, 2023, 2026, and 2030
- Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
- Strategic recommendations in key business segments based on the market estimations
- Competitive landscaping mapping the key common trends
- Company profiling with detailed strategies, financials, and recent developments
- Supply chain trends mapping the latest technological advancements