Increasing usage of polymers like methanol in varied end-use industries such as automotive industry and packaging industries is anticipated to drive the global petrochemical market growth.
The Global Petrochemicals Market was Valued at USD 463.1 Billion in 2020, and it is Expected to Reach USD 656.0 Billion By 2027, With a CAGR Of 5.1%, During The Forecast Period 2021-2027.
The global petrochemicals market is rising with the CAGR 5.1% during the forecast period. The market is witnessing such an exponential drift due to the surging demand from various end use industries, which includes aerospace, automobiles, constructions and building, beverages and food, agriculture, electricals and electronics, and healthcare. Additionally, as oil and gas industry is responsible for manufacturing of as much as 99% of the total plastic, the global petrochemical is expected to experience a surging market during the forecast period. Expected drop in the crude oil prices is likely to provide a boom to the global petrochemicals market.
In the current scenario, the rising environmental issues and concerns regarding the production of petrochemicals has a major role in changing many of the manufacturing processes and other industrial processes which may contribute in a climate change. However, increasing environmental concerns regarding the use of single use plastics and its negative impact on the environment is likely to hamper the demand for plastic products in varied key industries therefore; the growth of the industry may hamper during the forecast period.
Gas feedstock had been the reason for an exponential profit making for numerous companies’ operating in both developing regions such as China, The Middle East, and Africa and the developed regions such as North America. Moreover, there is an expectation of demand drop from the developed regions in the upcoming years owing to which, diverse companies currently operating in the petrochemical market are likely to change their value-creation strategies.
Petrochemicals are a crucial component of products utilized in day-to-day lives. Petrochemicals are a type of chemical compounds that are generally derived from petroleum and other hydrocarbons, which are collected from natural gas and crude oil. Petrochemicals are also an indispensable part of the chemical industry, as demand for synthetic materials is surging across the globe, the usage of petrochemicals in the chemical sector is also anticipated to grow at a huge pace. Petrochemicals are furthermore, employed in the production of various products, which are applied in various end-use industries. Petrochemical commodities are broadly used in the manufacturing of numerous materials, including coatings, paints, thermal insulation, and adhesives. These materials are employed widely in the building & construction sector as well.