Oil Refining Market Size, Share, Growth Analysis, By complexity(topping, conversion, and deep conversion), By Product type(light distillates, middle distillates, fuel oil, and others), By Region - Industry Forecast 2024-2031

Global Oil Refining Market size was valued at USD 1490.28 billion in 2021 and is poised to grow from USD 1651.27 billion in 2022 to USD 3751.5 billion by 2030, growing at a CAGR of 5% in the forecast period (2023-2030).

Oil refining is the industrial process of transforming and refining crude oil into commercially useful products such as diesel, jet fuel, liquefied petroleum gas, gasoline, asphalt base, and fuel oils, among others. These products are widely used as transportation fuel, electricity generation, heating, and road paving. Oil refining is used to remove impurities in crude oil like phosphatides, colour bodies, tocopherols, hydrocarbons, free fatty acids, odour, as well as to improve the colour of the oil. Distillation is the first and most fundamental step in the refining process, in which crude oil is heated to extremely high temperatures in order to separate various types of hydrocarbons, followed by several other processes such as cracking, reforming, post-treatment, and refining products.

The demand for oil refining is being driven primarily by increased investment in the construction, expansion, and upgrading of refineries in order to meet rising petroleum product demand and TO reduce dependence on imported refined petroleum products. Furthermore, government regulations governing carbon emissions, as well as a positive outlook for the aviation and road transportation sectors, are boosting demand for refined products. the rapid industrialization and urbanisation, combined with population growth in developing economies like China and India, resulted in an increase in demand for passenger and commercial vehicles. Because of the growing number of vehicles in these countries, the demand for gasoline and gas oil has increased significantly. As a result, new oil refineries are being built in these countries to meet the growing demand for petroleum and diesel.

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