Propylene Glycol Category Intelligence
- Global Capacity–Demand Analysis
- Global Trade Dynamics
- Regional Market Snapshot-North America, Europe, Asia
- Cost Structure Analysis
Production Size North America
Production Size Europe
Production Size Asia Pacific (APAC)
Propylene Glycol Market Trends
Category Intelligence on Propylene Glycol covers the following
- Information relating to market, supply, cost, and pricing analysis
- Hard to find data on cost and TCO models, supplier details, and performance benchmarks
- Macroeconomic and regional trends impacting cost, supply, and other market dynamics
- Category-specific negotiation and sourcing advice
Table of contents
- Propylene Glycol Executive Summary
- Category Updates
- Global Market Outlook
- Supply Market Outlook
- Demand Market Outlook
- Industry Best Practice
- Propylene Glycol Market Analysis
- Global Market Size
- Global Capacity Demand Analysis
- Global Demand by Application
- Global Market Outlook
- Global Trade Dynamics
- Global Imports
- Global Exports
- Regional Market Outlook (North America, Europe, APAC)
- Supply Demand Trends and Outlook
- Trade Dynamics
- Propylene Glycol Industry Analysis
- Industry Outlook (North America, Europe, APAC)
- Drivers and Constraints for the Industry
- Market Events and Innovations
- Porterâ€™s Five Forces Analysis
- Propylene Glycol Cost and Pricing Analysis
- Cost and Price Analysis (North America, Europe, APAC)
- Cost Structure Analysis
- Cost Drivers
- Propylene Glycol Supplier Analysis
- Key Global and Regional Suppliers
- Key Supplierâ€™s Capability Analysis
- Capacity Available Capacity
- Product Portfolio
- Geographical Footprint
- Supplier Market Share: Global
- Detailed Profiling of Top Five Global Suppliers
- SWOT Analysis for the Top Five Global Suppliers
- Propylene Glycol Industry Best Practices
- Contract Pricing Structures
- Engagement Models
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Propylene Glycol Global Outlook
- The global market is estimated to grow at a CAGR of 4.4 percent during 2017–2022, with the demand likely to reach 3 MMT by the end of 2022
- Demand for UPR (which goes into construction, transportation, marine industries as a reinforced plastic and fiberglass composites) is expected to grow at a CAGR of 5–6 percent from 2016 to 2021
- North America holds 28 percent of the supply market share, EU 27 percent, and at APAC 40 percent.
- USA is the largest market propylene glycol supplier in the market with a net export surplus of 51 KMT/year as of 2016.
- Raw material is the largest driver of propylene glycol cost.
- The propylene glycol price index depends on its primary feedstock, propylene and glycerine prices.
Demand Market Outlook
- Globally, high demand for bio-based PG is noticed from the pharma and CPG industries
- The capacity share of bio-based PG will increase from approx. 6 percent (currently) to 15 percent
- PG growth rates in Europe will be lower (CAGR a of 3 – 4 percent) compared to other regions during 2017 – 2022, due to mature downstream markets
Industry Best Practices
- Large-volume buyers usually prefer buying via contract across all the three major regions
- Among small-volume buyers, CPG players opt for contracts, due to the need for high-quality pharma grade MPG, while non-CPG small-volume buyers can buy in the spot market
- Regional sourcing is preferred in Europe, owing to REACH regulation on PG, while both global and regional sourcing are followed in North America and Europe
Global Market Size
- The global PG market is expected to exceed $4.5 billion by 2022
- Bio-based PG is expected to grow faster than conventional PO-based PG, as a result of its high usage in pharma industries in the North American and European markets to ensure lower level of toxicity to the environment
- Key applications driving the PG growth are heat transfer fluids, fragrance, cosmetics and personal care sectors
Global Capacity–Demand Analysis
- Capacity–demand gap is expected to narrow down by 2020, if no further new plants or capacity expansions take place, resulting in supply issues
- Increase in buying interest for bio-based PG, globally, will help in mitigating volatility in PG prices, which is greatly influenced by upstream energy prices
Propylene Glycol Market Outlook
- Currently, the US is the largest market for PG, followed by China and Germany
- Asia represents almost 43 percent of the global PG consumption, with China being the major consumer
- Global capacity–demand gap is expected to narrow down by 2020, if no further new plants or capacity expansions take place, resulting in supply issues
- Globally, about 6 percent of PG is produced through biofuel route, made of glycerine (soybean or canola seeds in the US) or sorbitol (corn, based in China)
- Bio-based PG production would result in capacity expansions across China, France, and the US
Propylene Glycol Market Overview
- Europe and the US are considered to be relatively mature in the bio-based propylene glycol market
- Key regions that will drive the future market of propylene glycol would be China, followed by the US and Germany
- The Asian region with high downstream demand from the construction, automotive, and homecare industries is expected to be the major driver of PG up to 2022
- European downstream markets are more mature as compared to the Asian region and will not witness high-demand growth rates.
- The strict environmental regulations in Europe are a constraint for the propylene glycol market.
- Global Bio-Chem (China) had commercialized this process, using corn as a feedstock to produce corn-based biochemical products. However; they had temporarily stopped their production in 2016 & 2017 due to lesser profitability amidst lower crude oil prices.
Why You Should Buy This Report
- This report offers an in-depth coverage of trade dynamics, supply-demand trends and major industry events in global and regional markets.
- The report gives details on the recent innovations in the propylene glycol industry like advancement in bio-based PG that is likely to result in capacity addition in the coming years, due to its high growth rate.
- It gives a breakdown of the cost structure analysis and factors affecting the propylene glycol market price.
- The report gives an exhaustive supplier profile and a SWOT analysis on key suppliers like BASF, Shell and Ineos Oxide.
Propylene Glycol Market Frequently Asked Questions
- What is the expected market growth for the propylene glycol market?
- The global propylene glycol market is estimated to grow at a CAGR of 4.4 percent until 2022, with the demand likely to reach 3 MMT by the end of 2022. The demand for unsaturated polyester resins or UPR which are used in construction, transportation, and marine industries is projected to grow at a CAGR of 5-6 percent until 2021 as per Beroe’s propylene glycol market report.
- How is the market share of propylene glycol distributed across the global market?
- North America holds 28 percent of the supply market share, the EU holds 27 percent, and the APAC region holds 40 percent.
- Who are the major suppliers of propylene glycol in the global market?
- The major suppliers of propylene glycol are Dow Chemicals, LyondellBasell, Ineos Oxide, Shell, and BASF.
- What is the global market outlook for propylene glycol?
- The global propylene glycol market size is expected to exceed $4.5 billion by 2022. Due to the high usage of bio-based PG in pharma industries in the North American and European markets, their growth is faster than conventional PO-based PG. Besides, bio-based PG also ensures a lower level of toxicity to the environment.
- What are the key applications of propylene glycol responsible for driving the growth of the market?
- The key applications driving the PG growth are heat transfer fluids, fragrance, cosmetics, and personal care sectors.