Propylene Oxide Market Size, Share, and Outlook, 2025 Report- By End-User (Automotive, Building & Construction, Textile & Furnishing, Chemical & Pharmaceutical, Packaging, Electronics, Others), By Application (Polyether Polyols, Propylene Glycol, Glycol E

Propylene Oxide Market Outlook

Propylene Oxide Market Size is forecast to reach $40.5 Billion in 2032 from $27 Billion in 2025, at an optimistic growth rate of 5.9% from 2025 to 2032. The robust Propylene Oxide Market growth presents potential growth opportunities for companies across the industry value chain.

The comprehensive market research report presents 12-year historic and forecast data on Propylene Oxide Market segments across 22 countries from 2021 to 2032. Key segments in the report include By End-User (Automotive, Building & Construction, Textile & Furnishing, Chemical & Pharmaceutical, Packaging, Electronics, Others), By Application (Polyether Polyols, Propylene Glycol, Glycol Ethers, Others). Over 70 tables and charts showcase findings from our latest survey report on Propylene Oxide Markets.

Propylene Oxide Market Insights, 2025: Propylene Oxide – Key Drivers and Opportunities

Propylene oxide (PO) is a versatile chemical compound primarily used in the production of polyurethane foams, propylene glycol, solvents, and plastics. It is also used in the manufacturing of pharmaceuticals, cosmetics, and agricultural chemicals.

The demand for propylene oxide is driven by the growing use of polyurethane foams in various industries, particularly in automotive, construction, and furniture manufacturing. Polyurethane is a key material in the production of insulation materials, seating, mattresses, and automotive components, with propylene oxide serving as a precursor to polyols used in foam production. As the demand for energy-efficient buildings and lightweight automotive components grows, propylene oxide consumption is expected to increase.

Another key driver is the rising demand for propylene glycol, which is produced using propylene oxide. Propylene glycol is widely used in the food, cosmetics, and pharmaceutical industries, contributing to market growth.

The growth of the agricultural industry also plays a role, as propylene oxide is used in the production of pesticides and herbicides.

Opportunities for propylene oxide include the shift toward bio-based production methods to reduce the carbon footprint of its manufacture. Sustainable production technologies could create new pathways for companies to meet the growing demand for environmentally friendly chemicals. Additionally, as polyurethane foams continue to replace traditional materials in a variety of industries, propylene oxide will play a key role in facilitating this transition.

Five Trends that will define global Propylene Oxide Market in 2025 and Beyond

A closer look at the multi-million global market for Propylene Oxide Market identifies rapidly shifting consumer preferences across categories. By focusing on growth and resilience, leading Propylene Oxide Companies are prioritizing their investments across categories, markets, and geographies. The report analyses the most important market trends shaping the new landscape to support better decisions for the long and short-term future.

What are the biggest opportunities for growth in the Propylene Oxide Industry?

The Propylene Oxide Market sector demonstrated remarkable resilience over the past year across developed and developing economies. Further, the market presents significant opportunities to leverage the existing momentum towards actions by 2032. On the other hand, recent macroeconomic developments including rising inflation and supply chain disruptions are putting pressure on companies. The chapter assists users to identify growth avenues and address business challenges to make informed commercial decisions with unique insights, data forecasts, and in-depth market analyses.

Propylene Oxide Market Segment Insights

The Propylene Oxide Industry presents strong offers across categories. The analytical report offers forecasts of Propylene Oxide Industry performance across segments and countries. Key segments in the industry include- By End-User (Automotive, Building & Construction, Textile & Furnishing, Chemical & Pharmaceutical, Packaging, Electronics, Others), By Application (Polyether Polyols, Propylene Glycol, Glycol Ethers, Others). The largest types, applications, and sales channels, fastest growing segments, and the key factors driving each of the categories are included in the report.

Forecasts of each segment across five regions are provided from 2021 through 2032 for Asia Pacific, North America, Europe, South America, Middle East, and African regions. In addition, Propylene Oxide Market size outlook is provided for 22 countries across these regions.

Propylene Oxide Industry Value Chain

The chapter identifies potential companies and their operations across the global Propylene Oxide Industry ecosystem. It assists decision-makers in evaluating global Propylene Oxide Market fundamentals, market dynamics, and disruptive trends across the value chain segments.

Scenario Analysis and Forecasts

Strategic decision-making in the Propylene Oxide Industry is multi-faceted with the increased need for planning across scenarios. The report provides forecasts across three case scenarios- low growth, reference case, and high growth cases.

Asia Pacific Propylene Oxide Market Analysis- A Promising Growth Arena for Business Expansion

As companies increasingly expand across promising Asia Pacific markets with a combined population of over 4.5 billion, the medium-to-long-term future remains robust. The presence of the fastest-growing economies such as China, India, Thailand, Indonesia, and Vietnam coupled with strengthening middle-class populations and rising disposable incomes drive the market. In particular, China and India are witnessing rapid shifts in consumer purchasing behavior. China is recovering steadily with optimistic forecasts for 2025. Further, Japanese and South Korean markets remain stable with most companies focusing on new product launches and diversification of sales channels.

The State of Europe Propylene Oxide Industry 2025- Focus on Accelerating Competitiveness

As companies opt for an integrated agenda for competitiveness, the year 2025 presents optimistic scenarios for companies across the ecosystem. With signs of economic recovery across markets, companies are increasing their investments. Europe is one of the largest markets for Propylene Oxide Market with demand from both Western Europe and Eastern European regions increasing over the medium to long-term future. Increasing omnichannel shopping amidst robust consumer demand for value purchases shapes the market outlook. The report analyses the key Propylene Oxide Market drivers and opportunities across Germany, France, the United Kingdom, Spain, Italy, Russia, and other Europe.

The US Propylene Oxide Market Insights- Executives are most excited about opportunities for the US Propylene Oxide Industry.

Easing inflation coupled with strengthening consumer sentiment is encouraging aggressive actions from the US Propylene Oxide Companies. Market players consistently focusing on innovation and pursuing new ways to create value are set to excel in 2025. In addition, the Canadian and Mexican markets offer lucrative growth pockets for manufacturers and vendors. Focus on private-brand offerings and promotions, diversified sales channels, expansion into niche segments, adoption of advanced technologies, and sustainability are widely observed across the North American Propylene Oxide Market.

Latin American Propylene Oxide Market outlook rebounds in line with economic growth.

Underlying demand remains higher among urban consumers with an optimistic economic outlook across Brazil, Argentina, Chile, and other South and Central American countries. Increased consumer spending has been reported since H2-2024 and the prospects remain strong for 2025. Aggressive ecosystem moves to create new sources of income are widely observed across markets in the region. Marketing activities focused on customer insights, operations, and support functions are quickly gaining business growth in the region.

Middle East and Africa Propylene Oxide Markets- New Opportunities for Companies Harnessing Diversity

Rapid growth in burgeoning urban locations coupled with a young and fast-growing population base is attracting new investments in the Middle East and African Propylene Oxide Markets. Designing expansion and marketing strategies to cater to the local consumer base supports the market prospects. In addition to Nigeria, Algeria, South Africa, and other markets, steady growth markets in Ethiopia, Rwanda, Ghana, Tanzania, the Democratic Republic of Congo, and others present significant prospects for companies. On the other hand, Middle Eastern Propylene Oxide Markets including the UAE, Saudi Arabia, Qatar, and Oman continue to offer lucrative pockets of growth.

Competitive Landscape- How Propylene Oxide Companies outcompete in 2025 and Beyond?

The ability to respond quickly to evolving consumer preferences and adapt businesses to niche consumer segments remains a key growth factor. The report identifies the leading companies in the industry and provides their revenue for 2024. The market shares of each company are also included in the report. Further, business profiles, SWOT analysis, and financial analysis of each company are provided in detail. Key companies analyzed in the report 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., Thyssenkrupp AG.

Propylene Oxide Market Scope and Segmentation

By End-User

Automotive

Building & Construction

Textile & Furnishing

Chemical & Pharmaceutical

Packaging

Electronics

Others

By Application

Polyether Polyols

Propylene Glycol

Glycol Ethers

Others

Countries Included-

North America- US, Canada, Mexico

Europe- Germany, France, UK, Spain, Italy, Benelux, Turkey, Russia, Rest of Europe

Asia Pacific- China, India, Japan, South Korea, South East Asia, Australia, Rest of APAC

South and Central America- Brazil, Argentina, Chile, Rest of SCA

Middle East and Africa- Saudi Arabia, the UAE, Israel, South Africa, Algeria, Nigeria, Rest of Middle East, Rest of Africa

Companies Included in the Propylene Oxide Market Research-

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.

Thyssenkrupp AG

Reasons to Buy the report

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