PUBLISHER: Roots Analysis | PRODUCT CODE: 1803909
PUBLISHER: Roots Analysis | PRODUCT CODE: 1803909
As per Roots Analysis, the global ethane market size is estimated to grow from USD 13.87 billion in the current year to USD 21.45 billion by 2035, at a CAGR of 4.04% during the forecast period, till 2035.
The opportunity for ethane market has been distributed across the following segments:
Type of Production Method
Type of Application
End-User
Type of Distribution Channel
Geographical Regions
Ethane Market: Growth and Trends
The global ethane market has emerged for several reasons, one of which is its capability to produce specialized and customized products tailored for distinct industry requirements. Ethane plays a vital role in industrialization, as it is utilized in various sectors to create products such as plastics, solvents, and detergents. Moreover, ethane exhibits certain characteristics like combustion and cracking, which further increase its usefulness in industry.
It is important to mention that the properties of ethane can be adjusted through various processing techniques, such as steam cracking, to enhance yield and performance for specific uses. Significantly, ethane is employed across multiple industries, including energy, manufacturing, and transportation, making it a foundational element of contemporary industrialization. Additionally, with ongoing technological progress and development, the demand for ethane is projected to rise, propelled by its contribution to sustainable energy solutions and innovative chemical processes.
The ethane sector is consistently evolving, fueled by innovation and advancements in technology. This transformation has facilitated the development of ethane and polyurethane as more efficient and high-performance materials. Furthermore, recent innovations such as non-oxidative dehydrogenation (EDH) and dehydroaromatization (EDA) are emerging as promising techniques that offer superior selectivity for valuable products when compared to traditional thermal cracking methods.
Another notable advancement is the growing development of the bio-based ethane market, which addresses concerns about environmental sustainability, such as the dehydration of bio-based ethanol or bio-ethanol sourced from feedstocks like corn and sugarcane. Due to these ongoing initiatives, the ethane market is expected to experience significant growth during the forecast period.
Ethane Market: Key Segments
Based on type of production method, the global ethane market is segmented into natural gas separation, refinery by-products, and others. According to our estimates, currently, the natural gas separation segment captures the majority share of the market.
This growth can be attributed to its strong dependence on extracting ethane from natural gas. The rising demand for ethylene and its derivatives, which are sourced from ethane, fuels the need for ethane obtained through natural gas separation.
However, the market for refinery by-products is expected to grow at a higher CAGR during the forecast period, due to the growing need for sustainable and renewable materials, like bioplastics, that can be manufactured from ethane produced as a by-product of refining processes.
Based on type of application, the ethane market is segmented into acetic acid production, ethylene production, and refrigerants. According to our estimates, currently, the ethylene production segment captures the majority of the market. This growth can be attributed to the increasing demand for ethylene, which is fueled by its uses in industries like food safety and agriculture, as well as cost-effective manufacturing and the efficiency of ethylene production.
Based on end-user, the ethane market is segmented into automotive and transportation, construction, electrical & electronics, packaging and others. According to our estimates, currently, the automotive and transportation segment captures the majority share of the market. This is due to its strong demand for ethane, especially because it serves as a cleaner alternative fuel and is crucial in the production of ethylene, which plays a vital role in numerous automotive uses.
However, the market for packaging segment is expected to grow at a higher CAGR during the forecast period. Key factors driving this growth include the increasing need for ethylene, which is vital for manufacturing a range of plastics utilized in food safety and storage solutions.
Based on type of distribution channel, the ethane market is segmented into offline and online. According to our estimates, currently, the offline segment captures the majority share of the market, due to its capacity to create personal connections with customers, thereby fostering loyalty.
However, the online sector is expected to grow at a higher CAGR during the forecast period. This can be attributed to the increasing use of smart devices and widespread internet connectivity, which improve product visibility and accessibility, enabling consumers to conveniently purchase ethane and its derivatives online.
Based on geographical regions, the ethane market is segmented into North America, Europe, Asia, Latin America, Middle East and North Africa, and the rest of the world. According to our estimates, currently, Asia-Pacific captures the majority share of the market. This can be attributed to the rising demand for ethane in various industries such as automotive, furniture, and electronics, especially in emerging economies like China and India.
However, North America is expected to witness a relatively higher CAGR during the forecast period, driven by increasing consumer awareness and a transition toward sustainable materials.
Ethane Market: Research Coverage
The report on the ethane market features insights on various sections, including:
Key Questions Answered in this Report
Reasons to Buy this Report
Additional Benefits