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

Global 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).

The growing demand for ethylene and its derivatives, which are used in a variety of industries, including construction materials, automobile parts, and packaging materials. Natural gas prices and petrochemical industry supply and demand dynamics have a major impact on ethane prices. Rising shale gas production, particularly in the US, has led to greater exports and production of ethane.

The increased production rate of ethylene is a major contributor to the growth of the ethane market due to its diverse range of end uses in numerous sectors of use. For instance, ethylene is a required building block ingredient for the creation of resins and plastics, according to study conducted by the University of South Carolina that's been published in September 2021.

However, the release of significant quantities of ethane gas will lead to a decrease in the amount of oxygen in the environment, according to research done by the New Jersey State of Health and Executive Services. Since then, it is anticipated that the implementation of standards and unique needs for the manufacturing of ethane gas will restrain the growth of the ethane market CAGR during in the anticipated year. increasing need for ethane and other natural gas liquids as a source of energy for the manufacture of chemicals. Increasing demand for bioplastics and other renewable alternatives for petrochemical-based materials could be the consequence of increasing interest in sustainable and renewable materials.

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