PUBLISHER: Polaris Market Research | PRODUCT CODE: 1807742
PUBLISHER: Polaris Market Research | PRODUCT CODE: 1807742
The Europe ethylene market size is expected to reach USD 54.13 billion by 2034, according to a new study by Polaris Market Research. The report "Europe Ethylene Market Size, Share, Trends, Industry Analysis Report By Feedstock (Naphtha, Ethane), By Application, By End Use, By Country - Market Forecast, 2025-2034" gives a detailed insight into current market dynamics and provides analysis on future market growth.
Ethylene is a colorless, flammable gas with a sweet odor. It is widely used as a key raw material in the petrochemical industry. Ethylene is primarily used to produce polyethylene, the most common plastic, as well as other chemicals such as ethylene oxide and ethylene glycol.
The European Union is increasingly focused on boosting domestic production of essential chemicals, including ethylene, to reduce dependence on imports and ensure supply chain resilience. Localized production is encouraged through funding, regulatory support, and sustainability incentives. Consequently, companies are expanding or upgrading their ethylene facilities within Europe. This trend ensures supply security and promotes investments in modern, eco-friendly production methods, thereby driving the growth.
European governments and companies are heavily investing in green technologies to make ethylene production cleaner and more energy-efficient. Initiatives include carbon capture, use of renewable electricity in steam crackers, and recycling-based ethylene production. Companies such as BASF, INEOS, and LyondellBasell are leading pilot projects to reduce the carbon footprint of ethylene plants. These sustainability-driven efforts meet stringent EU climate targets and improve competitiveness. Demand for low-emission and circular solutions drives innovation and investments as regulations tighten, thereby driving the growth.
In 2024, the ethane segment held the largest market share owing to its higher efficiency and cleaner combustion compared to traditional alternatives, including naphtha.
The automotive segment is projected to experience significant growth during the forecast period, fueled by rising demand for lightweight materials that support better fuel efficiency and reduced emissions.
Germany led the Europe ethylene market in 2024, supported by its strong chemical manufacturing base and a well-established automotive industry.
The ethylene market in France is expected to grow considerably during the forecast period, driven by increasing demand from key sectors such as packaging, construction, and automotive.
A few of the key players in the market are Borealis, Chevron Phillips Chemical, Dow Chemical, Equistar Chemicals, ExxonMobil, INEOS, LyondellBasell Industries, Mitsubishi Chemical, Mitsui Chemicals, Royal Dutch Shell, and SABIC.
Polaris Market Research has segmented the Europe ethylene market report on the basis of feedstock, application, end use, and country:
By Feedstock (Volume Kilotons; Revenue, USD Billion, 2020-2034)
Naphtha
Ethane
Propane
Butane
Other Feedstock
By Application Output (Volume Kilotons; Revenue, USD Billion, 2020-2034)
Polyethylene
Ethylene Oxide
Ethyl Benzene
Ethylene Dichloride
Others
By End Use (Volume Kilotons; Revenue, USD Billion, 2020-20344)
Building & Construction
Automotive
Packaging
Textiles
Agrochemicals & Agriculture
Others
By Country Outlook (Volume Kilotons; Revenue, USD Billion, 2020-2034)
Germany
France
UK
Italy
Spain
Netherlands
Russia
Rest of Europe