Butylenes Market Size

Increasing production of various petrochemical products and production of various plastic materials, including polyethylene and polypropylene is driving the market growth

Market CAGR for Butylenes is being driven by the Increasing production of various petrochemical products and production of various plastic materials, including polyethylene and polypropylene. Butylenes play a crucial role in the production of various petrochemical products, and according to the International Energy Agency (IEA), the increasing demand for petrochemicals is projected to be a significant driver of oil consumption growth. By 2030, petrochemicals are expected to account for over one-third of the growth in oil demand, and this share is anticipated to rise to nearly half by 2050, surpassing sectors like trucks, aviation, and shipping.

Additionally, the petrochemicals industry is poised to consume an extra 56 billion cubic meters of natural gas by 2030, equivalent to roughly half of Canada's current total gas consumption. Furthermore, butylenes serve as essential feedstocks for the production of critical chemicals like butadiene, used in the manufacturing of synthetic rubber, and methyl tert-butyl ether (MTBE), an additive that enhances the octane rating of gasoline. The demand for these downstream products significantly influences and propels the butylene market forward.

Additionally, butylenes find extensive use in the production of various plastic materials, including polyethylene and polypropylene. The packaging industry in India is of particular significance, ranking as the country's fifth-largest sector and experiencing rapid growth. Over recent years, the packaging industry has been at the forefront of technological advancements and innovation in India, contributing value to diverse manufacturing sectors, including agriculture and the fast-moving consumer goods (FMCG) segments.

According to data from the Indian Institute of Packaging (IIP), packaging consumption in India has increased by an impressive 200% over the past decade, rising from 4.3 kilograms per person per annum (pppa) in FY10 to 8.6 kg pppa in FY20. Despite this substantial growth, there is still substantial room for expansion in the Indian packaging industry when compared to more developed regions across the globe. As the packaging industry relies on butylenes for various applications, the growing demand for both flexible and rigid packaging materials directly contributes to the dynamics of the butylenes market.

As a result, it is anticipated that throughout the projection period, demand for the Butylenes Market will increase due to the Increasing production of various petrochemical products and production of various plastic materials, including polyethylene and polypropylene. Thus, driving the Butylenes Market revenue.

April 2024: Clariant, a firm specializing in sustainable chemicals, has recently introduced its newest catalyst, CATOFIN 312, which is used for propane dehydrogenation. The latest catalyst offers enhanced selectivity and a lifespan that is extended by up to 20%. Due to its enhanced efficiency, a standard 600 KTA PDH facility has the potential to generate an extra $20 million in profits throughout the lifespan of the catalyst. This offers clients a highly attractive opportunity to optimize their returns. CATOFIN is a catalyst technology that is in the forefront globally in the production of olefins, including propylene, isobutylene, and butylene/butadiene.

CATOFIN technology has been selected for various PDH facilities globally because to its exceptional productivity and strong reliability. The CATOFIN method integrates Clariant's customized catalysts and Heat Generating Material (HGM) with Lummus's sophisticated technology, making it one of the rapidly expanding technologies for propylene production. Since 2017, CATOFIN has been chosen for 40 new projects globally.

The Global Butylenes Market Industry experiences a notable increase in demand for petrochemicals, which serve as essential building blocks for various products. As industries such as automotive, packaging, and textiles expand, the need for butylenes, a key feedstock, rises. In 2024, the market is projected to reach 36.3 USD Billion, driven by the growing applications of butylenes in producing synthetic rubber and plastics. This trend suggests a robust growth trajectory, with the market expected to reach 54.3 USD Billion by 2035, indicating a compound annual growth rate of 3.73% from 2025 to 2035.

Leading market players are investing heavily in research and development to expand their product lines, which will help the Butylenes market, grow even more. Market participants are also undertaking a variety of strategic activities to expand their footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, the Butylenes industry must offer cost-effective items.

Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the Butylenes industry to benefit clients and increase the market sector. In recent years, the Butylenes industry has offered some of the most significant advantages to the petrochemical and plastics sectors. Major players in the Butylenes Market, including — Dow Chemical, BASF, DuPont, Mitsui Chemicals, and GE are attempting to increase market demand by investing in research and development operations.

Dow Chemical a company specializing in materials science, conducts its operations through its wholly-owned subsidiary, The Dow Chemical Co. (TDCC). Dow's product portfolio encompasses plastics, performance materials, coatings, silicones, and industrial intermediates. The company provides an array of products and solutions to customers in segments such as packaging, infrastructure, mobility, and consumer care. Dow's products are utilized in diverse industries, including home and personal care, durable goods, adhesives and sealants, coatings, as well as food and specialty packaging. The company maintains a presence, with operations spanning Latin America, Asia Pacific, North America, Europe, the Middle East, and Africa.

Dow is headquartered in Midland, Michigan, USA.

BASF is a chemical company primarily engaged in the production, marketing, and sales of a diverse range of chemicals, plastics, crop protection products, and performance products. Its product portfolio includes a wide array of items such as solvents, adhesives, surfactants, fuel additives, electronic chemicals, pigments, paints, food additives, fungicides, and herbicides. BASF caters to numerous industries, including construction, furniture and wood, agriculture, electronics and electrical, paints and coatings, automotive, home care, nutrition, chemicals, and more. The company actively conducts research and development in collaboration with customers, scientists, and partners.

It operates an extensive network of manufacturing facilities across the globe, maintaining a strong presence in regions such as Europe, Asia Pacific, South America, Africa, the Middle East, and North America. BASF is headquartered in Ludwigshafen, Germany.