July 17, 2024

Automotive Tyres is fastest growing segment fueling the growth of the global Butadiene Market

Market Overview:

Butadiene is an important chemical building block that is used to produce synthetic rubber and plastics. It is used to manufacture styrene-butadiene rubber for tires, latex for dipped goods, ABS resins, nitrile rubber and SB latex. It provides strength, flexibility and durability to the finished products.

Market key trends:

One of the key trends in the butadiene market is the shift towards green butadiene production methods. Conventional production via steam cracking of naphtha or gas oil feedstock is energy intensive and emits greenhouse gases. Companies are investing in bio-based and recyclable routes for butadiene production that rely on renewable feedstocks like ethanol and fatty acids. For instance, Genomatica has developed a bio-based process to produce butadiene from renewable feedstocks like sugar using engineered bacteria. Switching to more sustainable production methods will help reduce emissions and dependence on fossil fuels in the long run.

Segment Analysis
The global butadiene market is segmented by type, application, and region. Based on type, the market is divided into extraction based and recyclable. The extraction based sub-segment currently dominates the market, accounting for over 60% share. This is because extraction based butadiene has lower production costs and is readily available commercially.

Key Takeaways

The Global Butadiene Market Demand  is expected to witness high growth, exhibiting CAGR of 3.6% over the forecast period, due to increasing demand for butadiene from tire and rubber industries.

Regional analysis
Asia Pacific currently dominates the global butadiene market with over 35% share and is expected to witness fastest growth due to presence of emerging economies like China and India where the demand for tires and rubber products is increasing rapidly.

Key players
Key players operating in the butadiene market are BASF SE, Braskem, China Petroleum & Chemical Corporation, Dow, Evonik Industries AG, Exxon Mobil Corporation, Formosa Plastics Corporation, INEOS, JSR, Corporation, LG Chem, LOTTE CHEMICAL TITAN HOLDING BERHAD, LyondellBasell Industries Holdings BV, Reliance Industries Limited., Repsol, Royal Dutch Shell Plc, SABIC, TPC Group, and China National Petroleum Corporation.

Note:

  1. Source: Coherent Market Insights, Public sources, Desk research

   2. We have leveraged AI tools to mine information and compile it