Ethane Market Size, Share, Growth Analysis, By Production(Natural Gas Separation and Refinery By-Product), By Application(Ethylene Synthesis, Acetic Acid Synthesis, Refrigerant, Others), By Distribution Channel(Online and Offline), By End User(Packaging, Automotive & Transportation, Construction, Electrical & Electronics), By Region - Industry Forecast 2024-2031

Ethane Market size was valued at USD 12.8 billion in 2021 and is poised to grow from USD 13.28024678 billion in 2022 to USD 17.83099394 billion by 2030, growing at a CAGR of 4% in the forecast period (2023-2030).

Leading market players are making substantial investments on R&D to expand the range of products they offer, which will lead to future growth of the ethane market. Market participants are engaging in a broad range of strategic activities to improve their presence in addition to key industry changes such new product releases, contractual agreements, mergers and acquisitions, increased investments, and collaboration with other organizations. Competitors in the ethane industry must offer relatively affordable products if they want to grow and survive in an ever brutal and competitive landscape. 'Royal Dutch Shell', 'ExxonMobil Corporation', 'BP plc', 'Chevron Corporation', 'Total SE', 'SABIC', 'LyondellBasell Industries Holdings B.V.', 'EQUATE Petrochemical Company', 'China National Petroleum Corporation (CNPC)', 'Dow Chemical Company', 'Sasol Limited', 'INEOS Group Holdings S.A.', 'Saudi Aramco', 'PTT Chemical Public Company Limited', 'Occidental Petroleum Corporation', 'Eni SpA', 'Qatar Petroleum', 'Abu Dhabi National Oil Company (ADNOC)', 'Formosa Petrochemical Corporation', 'Reliance Industries Limited'

Ethane is an essential feedstock for the production of ethylene, which is used to produce a wide range of products such plastics, textiles, and chemicals. It is expected that increasing ethylene consumption will boost ethane demand.

The fact of ethylene can be used for a wide range of uses in numerous industries implies that the growth of the ethane market is significantly influenced by the increased production rate of ethylene. According to research from the University of South Carolina that was published in September 2021, for instance, ethylene is a vital building block ingredient for the creation of resins and plastics. With an annual production rate of around 200 million tons, more ethylene than any other organic chemical is generated. The main use of ethane is to create ethylene, which is then used by the petrochemical sector for manufacturing a variety of intermediate goods, such as plastics, natural gas, uses for power generation, and others. The United States' consumption of ethane has increased as a result of expanding production and low raw material costs. These components are projected to be one of the main drivers advancing the industry. So, the significant ethane gas leak will lead less oxygen to be available in the environment, according to a study published by the New Jersey Department of Health and Senior Services. Since then, it is anticipated that the adoption of standards and specific requirements for the production of ethane gas will restrain the growth of the ethane market CAGR during the projection year.

The ethane market is expected to grow at the fastest CAGR during 2022 to 2030 in Asia-Pacific. Due to favorable investment policies, affordable labor, and low manufacturing prices, the Asia-Pacific region has quickly industrialized, all of which have had a significant effect on the development of the region's ethane market. The packaging, automotive, transportation, building and construction, electrical and electronics, and healthcare industries just are a handful of the industries and users that are significantly boosting the demand for ethane. Moreover, the Asia-Pacific ethane market in India grew at the highest rate, while the market in China have had largest market share.