Propylene Oxide Market Forecasts to 2028 – Global Analysis By Manufacturing Process (TBA Co-Product Process, Styrene Monomer Process), Application (Propylene Glycols, Polyether Polyols), End User (Textile & Furnishing, Packaging) and By Geography

Propylene Oxide Market Forecasts to 2028 – Global Analysis By Manufacturing Process (TBA Co-Product Process, Styrene Monomer Process), Application (Propylene Glycols, Polyether Polyols), End User (Textile & Furnishing, Packaging) and By Geography

According to Stratistics MRC, the Global Propylene Oxide Market is accounted for $23.36 billion in 2021 and is expected to reach $39.00 billion by 2028 growing at a CAGR of 7.6% during the forecast period. Propylene oxide is colourless volatile liquid with an odor similar to ether, and is produced on a large scale industrially. Propylene oxides are generally utilized in the food industry to retain freshness and eliminate bacterial attacks. It is used to manufacture flexible foams for furniture, bedding, carpet underlay, and seat cushioning in automotive applications; and polyurethanes to produce rigid foams for thermal insulation in the construction industry, packaging & commercial refrigeration.

The global demand for propylene was estimated to be 114 million tons in 2019. Propylene demand was forecast to increase by roughly two percent in 2020 to 116 million tons, while production capacity was forecast to rise to 132 million tons. Propylene is a petrochemical that is used to make polypropylene - a thermoplastic polymer. Polypropylene is the second-most widely produced commodity plastic (after polyethylene). In 2019, the global market for polypropylene was worth $126.03 billion. Revenues are expected to exceed US$145 billion by 2019. The sales of this material are forecast to grow at a rate of 5.8% per year until 2021.

Market Dynamics:

Driver:

Increase utilization of propylene across several end-user industries

It is used across numerous end-user industries such as construction, automotive and significant others. Moreover, the construction activities and the demand for energy-efficient buildings across developing countries have also increased. The increasing demand for the food industry in terms of preservation is considered as the major driver. The propylene oxide is used in pasteurizing raw almonds and in protecting the other nuts. In the building & construction industry, there is a growing focus on constructing energy-efficient buildings, which has led to an increase in the demand for this material. Whether it is rigid foams used as sandwich elements for new constructions, and insulation blocks, or spray foam for energetic modernization, polyurethane foams are the key to modern energy management.

Restraint:

Harmful effects

Acute exposure of humans and animals to propylene oxide has caused eye and respiratory tract irritation. Dermal contact, even with dilute solutions, has caused skin irritation and necrosis in humans. Propylene oxide is also a mild central nervous system (CNS) depressant in humans. The toxicity of propylene oxide is considered the major restraint to market growth. Some of the usually known side effects on humans while exposed to acute propylene oxide are considered the major restraints of propylene oxide market growth.

Opportunity:

Increasing demand in medical equipment

The growing utilization of polyurethane in medical equipment is expected to create ample opportunity for market growth. The increasing demand for medical devices across the globe accompanied by the increasing investment in the health care sector is expected to stimulate the overall growth of the market. For instance, polyurethane is utilized in pacemakers, medical garments, hospital bedding, and short-term implants.

Threat:

Availability of substitute & scarcity of petroleum

The low-priced substitute available in the market is one of the biggest challenges for the growth of the market. Moreover, the limitations executed by the government because of the associated environmental concerns and petroleum feedstock are considered the major source for deriving polyurethane foams. The increasing scarcity of petroleum in the future is hindering the overall growth of the market.

Chlorohydrin Process segment is expected to be the largest during the forecast period

Chlorohydrin Process segment is expected to be the largest during the forecast period. The Chlorohydrins process is the oldest production process and it is the most widely used process for the industrial production of propylene oxide. Propylene chlorohydrin is an isomer that is colorless and soluble in organic solvents. The compound is formed from the reaction of the aqueous solution of chlorine with propene. Propylene chlorohydrin is then treated with lime to obtain propylene oxide.

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

The Automotive segment is expected to have the highest CAGR during the forecast period, as propylene oxide is used as a solvent for manufacturing carpets, car seats, sealants, and insulators. Also, the automotive industry is measured as the major end-user of it. The hydraulic fluid in the braking systems in automobiles uses propylene oxide is manufactured using it. They are also used as the de-icing agent in airplanes. Additionally, the increasing investment in the automotive industries across the globe is offering lucrative opportunities for the overall growth of the market.

Region with highest share:

The Asia Pacific is projected to hold the highest market share, as the demand for the construction and housing industry has been increasing across the province. The growing population and the continuous demand for the improvement in infrastructure across the Asia-pacific region are considered as the major factors that increase the market demand, owing to tremendous growth in various end-use industries including furniture, automotive, and construction. The high availability of raw materials including propylene in China and India will promote market growth. Furthermore, the growing manufacturing base for the product in China will fuel growth over the forecast period.

Region with highest CAGR:

North America is projected to have the highest CAGR, due to the growing automotive and electronics sectors. Moreover, technological advancements by several players in the U.S., Mexico, and Canada will augment demand as a result of the growing construction sector, high disposable income, and advanced living standards in the province over the forecast period are some of the factors motivating the market growth.

Key players in the market:

Some of the key players profiled in the Propylene Oxide Market include Tokuyama Corporation, Sumitomo Chemicals Co., SKC, Saudi Arabia Basic Industries Corporation, Royal Dutch Shell ,Repsol, Manali Petrochemical Limited, Lyondellbasell Industries Holding, Ineos Group Limited, Huntsman International, DOW Chemical Company, BASF SE, Balchem, Asahi Glass Co. Indorama Ventures Public Company Ltd.

Key developments:

In December 2019: Sumitomo Chemical Co., Ltd. Announced that it has completed the construction of two catalyst manufacturing lines in its Chiba Works location (Ichihara, Chiba) to fulfill the demand for polypropylene and propylene oxide, and to enhance their chemical business.

In January 2020: Indorama Ventures Public Company Ltd. acquired Integrated Oxides and Derivatives businesses/assets from Huntsman Corporation US Ethylene oxide, propylene oxide, glycols, ethanolamines, surfactants, Linear Alkylbenzene (LAB), and Methyl Tertiary–butyl Ether are among the major products manufactured by the acquired company.

In January 2021: LyondellBasell Industries Holdings B.V. partnered with Sinopec by forming a 50/50 joint venture called Ningbo ZRCC LyondellBasell New Material Company Limited, which will construct a new propylene oxide and styrene monomer (SM) facility. Both combined companies will serve China's rapidly expanding market.

Manufacturing Processes Covered:
• TBA Co-Product Process
• Styrene Monomer Process
• Hydrogen Peroxide Process
• Cumene-based Process
• Chlorohydrin Process

Applications Covered:
• Propylene Glycols
• Polyether Polyols
• Glycol Ethers
• Other Applications

End Users Covered:
• Textile & Furnishing
• Packaging
• Electronics
• Building & Construction
• Automotive
• Chemical & Pharmaceutical
• Other End Users

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 2020, 2021, 2022, 2025 and 2028
- 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

Free Customization Offerings:
All the customers of this report will be entitled to receive one of the following free customization options:
• Company Profiling
Comprehensive profiling of additional market players (up to 3)
SWOT Analysis of key players (up to 3)
• Regional Segmentation
Market estimations, Forecasts and CAGR of any prominent country as per the client's interest (Note: Depends on feasibility check)
• Competitive Benchmarking
Benchmarking of key players based on product portfolio, geographical presence, and strategic alliances