Butane Market Size, Share, Growth Analysis, By Type(Isobutane, and N-butane.), By Application(Liquefied petroleum gas LPG, petrochemicals, refinery, and others), By Region - Industry Forecast 2024-2031

Global Butane Market size was USD 108.43 billion in 2022 and is projected to rise from USD 112.88 billion in 2023 to reach USD 155.67 billion by 2031, by exhibiting a CAGR of 4.10% during the forecast period (2024-2031).

Butane is generally used as a mixture of isomers in a variety of applications. There are two types of isomers n-butane and isobutane mixture of these two isomers. Butane is a colorless, flammable and easily liquefied gas. It is heavier than the air with a density of approximately 575 kg per cubic meters at 15 degree Celsius. Butane has a boiling point of approximately -1 degrees Celsius, while its flash point is approximately -40 degrees Celsius. Butanes are removed from gas processing plants that are found near crude oil or natural gas reserves. Butane can also be used as a byproduct of crude oil production and refining. Butanes are also produced as a by-product of crude oil refining in a refinery. The crude oil removed from the reservoir is sent to refineries to be processed into various end products such as gasoline, diesel, jet fuel, lubes, etc. Crude oil is processed in a fractionating tower, and various products are recovered from the tower at different temperature levels. These temperature levels are also known as crude cuts. The demand for butane is on the increase, as verification by its increasing use in the automotive and petrochemical industries. This trend is expected to continue even during the forecast period. Butane is mainly used as LPG in residential and commercial purposes for heating and cooking purposes. The demand for butane will increase in the coming years due to increasing use of butane in power generation.

US Butane Market is poised to grow at a sustainable CAGR for the next forecast year.