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Emerging Trends to Drive Ethylene-Petrochemicals Market Growth at 5.1% CAGR Through 2029

08-19-2025 07:55 AM CET | Chemicals & Materials

Press release from: The Business Research Company

Ethylene-Petrochemicals Market

Ethylene-Petrochemicals Market

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Ethylene-Petrochemicals Market Size Growth Forecast: What to Expect by 2025?
In recent years, the ethylene-petrochemicals market has experienced consistent growth. Forecasts predict it will expand from $110.44 billion in 2024 to $115.87 billion in 2025, with a compound annual growth rate (CAGR) of 4.9%. The growth seen in the historical period is largely due to a surge in demand for plastics and other petrochemicals, coupled with a growing population and urbanization. Other contributing factors include rising disposable incomes, greater awareness of ethylene-petrochemicals' advantages, the availability of feedstock, and overall economic growth.

How Will the Ethylene-Petrochemicals Market Size Evolve and Grow by 2029?
The dimension of the ethylene-petrochemicals market is projected to experience robust expansion in the forthcoming years, escalating to an estimated $141.34 billion in 2029 with a 5.1% Compound Annual Growth Rate (CAGR). Factors that contribute to the development during the projected period include a surge in industrialization, an increase in the need for eco-friendly ethylene-petrochemicals, and the rising popularity of bio-based ethylene-petrochemicals. Further contributing factors are lifestyle modifications among consumers, an upswing in the production of consumer goods, and demand stemming from the automotive sector. Dominant trends within the anticipated period encompass a shift towards utilizing renewable resources, concentration on environmental sustainability, the implementation of circular economy strategies, usage of bio-based and renewable ethylene, advancement towards digitalization and industry 4.0, and the emergence of green petrochemicals.

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What Drivers Are Propelling the Growth of Ethylene-Petrochemicals Market Forward?
The ethylene-petrochemicals market is expected to grow, driven by the increasing demand for polythene products. Polythene products, made from a flexible plastic polymer known as polyethylene, are used in a variety of goods, including toys, packaging, containers, and other household items. The escalating demand is influenced by factors like the expansion of the packaging industry, customer convenience, and the affordability and resilience of the material. Ethylene-petrochemicals play a vital role in promoting the demand for polythene products since they serve as the primary raw material in the production of polyethylene, which allows for affordable and large-scale manufacturing. For example, data from ChemPMC, a boutique consulting firm based in the U.S, stated that in March 2024, the consumption of LDPE in the U.S. and Canada hit 2.5 million metric tons in 2023, with polyethylene operating rates in North America rising from 81% in 2022 to 85% the subsequent year. Hence, the growth in demand for polythene products is fueling the market for ethylene-petrochemicals.

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Which Emerging Trends Are Transforming the Ethylene-Petrochemicals Market in 2025?
Leading businesses in the ethylene petrochemical market are prioritizing the development of groundbreaking technology like the Integrated Olefin Suite (IOS) to maintain their market standing. The Integrated Olefin Suite is essentially a structure or complex within the petrochemical sector that is engineered to manufacture olefins, a group of hydrocarbons that include ethylene and propylene. As an example, in March 2022, Honeywell International Inc., a U.S. manufacturing corporation that offers innovative solutions for energy, safety, and security, introduced IOS technologies to enhance the production of ethylene from naphtha crackers. The IOS comprises numerous technologies that can increase ethylene yield, improve the quality of naphtha cracker feeds, and minimize the creation of less valuable byproducts. This can elevate competitiveness and escalate the profitability of naphtha cracking processes.

What Are the Key Segments in the Ethylene-Petrochemicals Market?
The ethylene-petrochemicals market covered in this report is segmented -

1) By Feedstock: Naphtha, Ethane, Propane, Butane, Other Feedstocks
2) By Application: Polyethylene, Ethylene Oxide, Ethylene Benzene, Ethylene Dichloride, Vinyl Acetate, Alpha Olefins
3) By End User Industry: Packaging, Automotive, Construction, Agrochemical, Textile

Subsegments:
1) By Naphtha: Light Naphtha, Heavy Naphtha
2) By Ethane: Natural Gas Ethane, Ethane From Oil Refining
3) By Propane: Propane From Natural Gas, Propane From Oil Refining
4) By Butane: Normal Butane, Isobutane
5) By Other Feedstocks: Coal, Biomass, Other Hydrocarbon Sources

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Who Are the Key Players Shaping the Ethylene-Petrochemicals Market's Competitive Landscape?
Major companies operating in the ethylene-petrochemicals market include Akzo Nobel NV, BASF SE, Borealis AG, Chevron Phillips Chemical Company LLC, China Petrochemical Corporation, Clariant International Ltd., Dow Chemical Company, Equistar Chemicals LP, Exxon Mobil Corporation, Huntsman Corporation, Ineos Group Limited, LG Chem Ltd., Lonza Group, LyondellBasell Industries NV, Mitsubishi Chemical Corporation, Mitsui Chemicals Inc., National Iranian Petrochemical, NOVA Chemicals Corporation, Royal Dutch Shell plc, Sasol Limited, Saudi Arabia's Basic Industries Corporation, Showa Denko KK, SINOPEC Shanghai Petrochemical Co. Ltd., National Petrochemical Company, Tosoh Corporation, TotalEnergies SE, Formosa Plastics Corporation, PetroChina Company Limited, BP plc, Reliance Industries Limited, Lotte Chemical Corporation, Sumitomo Chemical Co. Ltd., Braskem SA, PTT Global Chemical PCL, Westlake Corporation, Eastman Chemical Company, Air Products and Chemicals Inc., Evonik Industries AG

What Geographic Markets Are Powering Growth in the Ethylene-Petrochemicals Market?
Asia-Pacific was the largest region in the ethylene-petrochemicals market in 2023. Middle East was the second-largest region in the global ethylene-petrochemicals market. The regions covered in the ethylene-petrochemicals market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, and Africa.

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