Product Code: 66298
The market for butane is expected to grow at a CAGR of over 4% during the forecast period of 2019 - 2024. Major factors driving the market studied are the growing demand from the automobile and petrochemical industries. Increasing research & development in the field of renewable sources is expected to affect the growth of the market studied.
- The increasing use of butane in power generation is likely to act as an opportunity in the future.
- Asia-Pacific dominated the market across the globe with the largest consumption coming from China and India.
Key Market Trends
LPG is one of the fastest growing segment
- Butane is a highly flammable, colorless, and easily liquefied gas. Butane is a fossil fuel and is used in homes, on farms, in industry, transportation, etc.
- Butane is used as, LPG, refrigerant, lighters, and aerosols. Butane is also used to fuel the cutting torches and other equipment. Due to its ability to efficiently compress, gas canisters are an excellent choice for storing butane.
- The application of butane in the LPG is expected to increase the market of butane in the forecast period.
- LPG burns better than diesel or petrol, therefore, making it a topmost use as the fuels for vehicles. It is also used as a chemical feedstock, domestic fuel, industrial fuel (in solution heating processes), and in agriculture (in drying processes).
- LPG is also used in centralized heating solutions both for domestic as well as industrial premises. Some other industries which rely mostly on LPG are food processing industries and paper industries. It is also used to produce electrical energy by running turbines.
- It has a lesser damaging impact on the atmosphere and the environment and is more energy efficient.
- The paper industry as well as the food processing industry is also one of the top most industries which rely heavily on LPG. It has also a major role in the plastic industry and is even used in making explosives.
- Perceiving the enormous scope of butane in numerous applications the butane market is expected to grow during the forecast period.
Asia-Pacific Region to Dominate the Market
- Asia-Pacific dominated the global market share in 2018. It is the dominant region in the automobile industry. Automakers have invested hugely in developing diverse automobiles that run on alternative fuels; some of them are gasoline (Iso-butane), CNG, and, etc.
- These advanced technology vehicles are being introduced for sale at a rapid rate. Different technologies are being introduced and the automakers are developing a range of automobiles that run on different fuels.
- With growing transportation activities and the increasing need for clean fuel sources in countries such as China and Japan, the usage of butane is increasing in the region.
- China is the global leader in automotive production. The total number of vehicles produced in China, in 2018 was 27,809,196 units. The total number of vehicles produced in Japan was 9,728,528 units in 2018.
- From the abovementioned factors, it is understood that the consumption of butane as a fuel is expected to rapidly increase in the Asia-Pacific region during the forecast period.
The global butane market is highly fragmented in nature. The major companies include ExxonMobil, BP, Royal Dutch Shell, Merck, etc.
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Table of Contents
- 1.1 Study Deliverables
- 1.2 Study Assumptions
- 1.3 Scope of the Study
2 RESEARCH METHODOLOGY
3 EXECUTIVE SUMMARY
4 MARKET DYNAMICS
- 4.1 Drivers
- 4.1.1 Increase in Demand of Butane in Automobile Industry
- 4.1.2 Rising Demand in Petrochemical Industry
- 4.1.3 Increasing Demand from Metal Working and Construction Industry
- 4.2 Restraints
- 4.2.1 Increasing Research & Development in the Field of Renewable Sources
- 4.2.2 Other Restraints
- 4.3 Industry Value-Chain Analysis
- 4.4 Porters 5 Force Analysis
- 4.4.1 Bargaining Power of Suppliers
- 4.4.2 Bargaining Power of Consumers
- 4.4.3 Threat of New Entrants
- 4.4.4 Threat of Substitute Products and Services
- 4.4.5 Degree of Competition
5 MARKET SEGMENTATION
- 5.1 End-user Industry
- 5.1.1 Transportation
- 5.1.2 Residential
- 5.1.3 Agriculture
- 5.1.4 Refrigerant
- 5.1.5 Industrial
- 5.1.6 Others
- 5.2 Application
- 5.2.1 Liquid Petroleum Gas (LPG)
- 5.2.2 Refineries
- 5.2.3 Petro Chemicals
- 5.2.4 Others
- 5.3 Geography
- 5.3.1 Asia-Pacific
- 126.96.36.199 China
- 188.8.131.52 India
- 184.108.40.206 Japan
- 220.127.116.11 South Korea
- 18.104.22.168 Rest of Asia-Pacific
- 5.3.2 North America
- 22.214.171.124 United States
- 126.96.36.199 Canada
- 188.8.131.52 Mexico
- 5.3.3 Europe
- 184.108.40.206 Germany
- 220.127.116.11 United Kingdom
- 18.104.22.168 Italy
- 22.214.171.124 France
- 126.96.36.199 Rest of Europe
- 5.3.4 South America
- 188.8.131.52 Brazil
- 184.108.40.206 Argentina
- 220.127.116.11 Rest of South America
- 5.3.5 Middle East & Africa
- 18.104.22.168 Saudi Arabia
- 22.214.171.124 South Africa
- 126.96.36.199 Rest of Middle East & Africa
6 COMPETITIVE LANDSCAPE
- 6.1 Mergers & Acquisitions, Joint Ventures, Collaborations, and Agreements
- 6.2 Market Share Analysis**
- 6.3 Strategies Adopted by Leading Players
- 6.4 Company Profiles
- 6.4.1 BP
- 6.4.2 Chevron Corporation
- 6.4.3 China Petroleum & Chemical Corporation
- 6.4.4 ConocoPhillips
- 6.4.5 DowDuPont
- 6.4.6 Exxon Mobil Corporation
- 6.4.7 Linde
- 6.4.8 Merck KGaA
- 6.4.9 Royal Dutch Shell
- 6.4.10 Sika AG
- 6.4.11 Sinopec
- 6.4.12 Total
7 MARKET OPPORTUNITIES AND FUTURE TRENDS
- 7.1 Increase in Usage of Butane in Power Generation
- 7.2 Alternative to Conventional Fuels in Marine Industry