The global petrochemicals market size was valued at USD 619.28 billion in 2023 and is expected to grow at a compound annual growth rate (CAGR) of 7.3% from 2024 to 2030. The demand for the product is attributed to an increase in the demand for downstream products from various end-use industries such as construction, pharmaceuticals, and automotive, which is a major factor driving the growth. Petrochemical is a vital component for many industrial processes and hence forms the backbone of an industrial economy. Some of the products derived from petrochemicals include tires, industrial oil, detergents, plastics, etc. Basic plastic derived from the product act as a building block in the manufacturing of consumer goods.

End-use industries evaluate the quality of products supplied from time to time and establish procurement agreements with suppliers to purchase petrochemical derivatives in bulk and ensure their stable and seasonal supply. An increasing number of product suppliers in petrochemicals market in U.S. has resulted in the high bargaining power of the buyers. The industry is significantly affected by the prices of crude oil as it is a basic raw material used for the manufacturing of the product. The volatility in the prices and supply of crude oil has affected the production cost of petrochemicals, which, in turn, makes their production process costly. Factors such as the growing inclination of consumers in developed and developing regions toward environment-friendly products and the volatile prices of raw materials of petrochemicals are likely to hamper the market growth in the coming years.

Gather more insights about the market drivers, restrains and growth of the Global petrochemicals market

Petrochemicals Market Segments Highlights:

• Ethylene dominated the market with revenue share of more than 40.0% in 2023. This is attributed to the increasing demand for ethylene from various industries such as construction, packaging, and transportation.
• The methanol segment is predicted to witness the highest CAGR of 8.9% over the forecasted period. Methanol is used as a feedstock for producing acetic acid and formaldehyde, which are used in foams, adhesives, foams, solvents, plywood subfloors, and windshield washer fluids.
• Butadiene was the second-largest product segment in 2023 and accounted for more than 14.0% of the revenue share. It is majorly utilized as a chemical intermediate and a monomer during the production of polymers such as styrene-butadiene rubber (SBR), Polybutadiene Rubber (PBR), Polychloroprene (PBR), and Nitrile Rubber (NR).
• Asia Pacific region dominated the petrochemicals market size with a share of more than 51.0% in 2023. This is attributed to the flourishing chemicals industry and the increase in polymer consumption.
• The petrochemicals market in India is witnessing robust growth, driven by the country's expanding industrial and manufacturing sectors and substantial investments in capacity expansions and technology upgrades by leading players.
• Europe is anticipated to witness a CAGR of 6.8% over the forecasted period. This is attributed due to the ongoing recovery of the overall manufacturing sector from the global pandemic in Europe coupled with the addition to oil & gas capacity in the region is anticipated to drive the industry’s growth.

Browse through Grand View Research's Petrochemicals Industry Research Reports.

• Fracking Chemicals And Fluids Market: The global fracking chemicals and fluids market size was valued at USD35.81 billion in 2023 and is projected to grow at a CAGR of 6.7% from 2024 to 2030.
• Automotive Engine Oil Market: The global automotive engine oil market size was valued at USD 41.2 billion in 2023 and is projected to grow at a CAGR of 3.7% from 2024 to 2030.

Petrochemicals Market Segmentation

Grand View Research has segmented the global petrochemical market report on the basis of Product, and region

Petrochemicals Product Outlook (Volume, Million Tons; Revenue, USD Billion, 2018 - 2030)

• Ethylene
  • Polyethylene
  • Ethylene oxide
  • EDC
  • Ethyl benzene
  • Others
• Propylene
  • Polypropylene
  • Propylene oxide
  • Acrylonitrile
  • Cumene
  • Acrylic acid
  • Isopropanol
  • Other
• Butadiene
  • SB Rubber
  • Butadiene rubber
  • ABS
  • SB latex
  • Others
• Benzene
  • Ethyl benzene
  • Phenol/cumene
  • Cyclohexane
  • Nitrobenzene
  • Alkyl benzene
  • Other
• Xylene
• Toluene
  • Solvents
  • TDI
  • Others
• Methanol
  • Formaldehyde
  • Gasoline
  • Acetic acid
  • MTBE
  • Dimethyl ether
  • MTO/MTP
  • Other

Petrochemicals Regional Outlook (Volume, Million Tons; Revenue, USD Billion, 2018 - 2030)

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East
• Africa

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