The global butane market outlook is expected to reach USD 74.53 billion by 2027, exhibiting a CAGR of 4.4% during the forecast period. The rapidly increasing demand for residential LPG in developing countries will boost the growth of the market during the forecast period, states Fortune Business Insights, in a report, titled “Butane Market Size, Share & COVID-19 Impact Analysis, By Application (Residential & Commercial, Industrial, Engine Fuel, Refinery, Chemical Feedstock, and Others), and Regional Forecast, 2020-2027.” The market size stood at USD 59.85 billion in 2019.
The occurrence of coronavirus has exerted massive economic stress on sectors in various countries. We understand that this health emergency has negatively impacted various sectors across the globe. Rising support from governments and several companies can help in the fight against this highly infectious virus. There are some industries that are struggling and some are thriving. More or less, nearly every sector is estimated to be impacted by this pandemic.
High Adoption and Consumption of Liquefied Cylinders to Augment Growth
The surging demand for LPG for various applications will spur opportunities for the market. The increasing government subsidies for the consumption of liquefied cylinders in developing countries will aid the expansion of the market for Butane. For instance, the Indian Government launched Pradhan Mantri Ujjwala Yojana which is aimed to provide LPG connection in the untapped regions. Furthermore, the booming hospitability industry coupled with high disposable income in emerging nations will have a tremendous impact on the market. Besides, the growing consumption of LPG especially in the residential sector for cooking will improve the prospects of the market in the future.
Heavy Demand for Shale Gas to Contribute Growth in North America
The market in Europe is expected to hold the largest share in the global market during the forecast period owing to the supply of natural gas in the region. The high consumption of Butane in Russia because of low prices coupled with the availability of fossil fuels will boost the growth of the market in Europe in the forthcoming years. The ongoing gas pipeline project between Germany and Russia will contribute positively to the market. Turkey consumes large quantities of Butane as engine fuel due to increased efficiency and low prices. Turkey accounts for a high share in the global market. The market in North America is expected to expand radically during the forecast period owing to the increased production of shale gas. The favorable government policies will contribute significantly to the growth of the market in the region. The Middle East & Africa are expected to rise tremendously owing to the growing consumption of LPG in the region.
Browse Butane Market research Report Summary: https://www.fortunebusinessinsights.com/industry-reports/butanes-market-100763
List of Top Companies Profiled in the Butane Market are:
- Exxon Mobil Corporation (Irving, United States)
- British Petroleum Plc (London, United Kingdom)
- Total S.A. (Paris, France)
- Royal Dutch Shell (The Hague, Netherlands)
- Air Liquide (Paris, France)
- China Petroleum & Chemical Corporation (Sinopec) (Beijing, China)
- China National Petroleum Corporation (CNPC) (Beijing, China)
- Conocophillips (Houston, United States)
- Indian Oil Corporation Ltd. (New Delhi, India)
- Bharat Petroleum Corporation Limited (Mumbai, India)
Owing to its Environment-friendly Nature, LPG is Projected to Witness High Demand
The global butane market is segmented based on applications into LPG, petrochemicals, and refinery. Among all applications, the LPG segment is likely to witness the highest growth due to the favorable government subsidies. LPG is being increasingly used as an alternative to combustible fuel and coal.
LPG allows reduced gas emission and the same efficacy as fuel or coal. Furthermore, LPG is cheaper than petroleum and other gases, thereby leading to increased adoption across the world. The use of LPG is not just limited to automobiles; it is also used widely in the residential and industrial sectors. LPG is used as a petrochemical feedstock for generating other produce.