by The global petroleum liquid feedstock market is a crucial part of the petrochemical industry as it provides necessary raw materials used for manufacturing various petrochemical products. Petroleum liquid feedstock find ubiquitous applications in sectors including transportation, construction, healthcare, packaging, and consumer goods. The versatility of liquid hydrocarbon feedstock in producing petrochemical intermediates and final products has accelerated their demand worldwide.
The Global Petroleum Liquid Feedstock Market is estimated to be valued at US$ 327.09 Bn in 2024 and is expected to exhibit a CAGR of 4.5% over the forecast period 2024 to 2031.
Petroleum liquid feedstock comprise refined petroleum products like naphtha, gas oils, and atmospheric & vacuum gas oils, which are converted into petrochemical intermediates and materials through various catalytic and thermal cracking processes. The easy availability and relative abundance of liquid hydrocarbons from crude oil make them highly economical for producing chemicals. Rapid industrialization and increasing consumption of petrochemical commodities have augmented the consumption of liquid feedstock globally.
Key Takeaways
Key players operating in the Petroleum Liquid Feedstock market are ExxonMobil Corporation, Chevron Phillips Chemical Company, China National Petroleum Corporation (CNPC), Royal Dutch Shell, BP plc (British Petroleum), Sinopec (China Petroleum & Chemical Corporation), TotalEnergies SE, Lukoil, Eni S.p.A., ConocoPhillips, Marathon Petroleum Corporation, Valero Energy Corporation, Repsol S.A., Petróleo Brasileiro S.A. (Petrobras), Phillips 66, HollyFrontier Corporation, Indian Oil Corporation Limited, PetroChina Company Limited, EOG Resources, Inc., and Occidental Petroleum Corporation.
The rising Petroleum Liquid Feedstock Market Demand for polyethylene and aromatics from end-use industries is driving higher consumption of petroleum liquid feedstock. Countries across Asia Pacific and Middle East & Africa are witnessing new refinery projects and capacity expansions of existing refineries to cater to the growing feedstock demand.
Major petrochemical companies are actively pursuing global expansion strategies through mergers & acquisitions, joint ventures, and greenfield projects. This will help them establish integrated value chains and secure long-term access to liquid feedstock supply worldwide.
Market Key Trends
The petroleum liquid feedstock market is witnessing rising demand for versatile feedstock options that can produce multiple classes of petrochemical intermediates and materials. Companies are investing in cost-effective production technologies like fluid catalytic cracking (FCC) and hydrocracking that allow refineries to maximize the yields of valuable petrochemical feedstock from crude oil. Petroleum refiners are also strategically upgrading their capabilities to co-process bio-based feeds with crude oil and yield renewable feedstock alternatives. This helps boost petrochemical output while reduced carbon footprint.
Porter’s Analysis
Threat of new entrants: The Petroleum Liquid Feedstock Market Analysis requires huge capital investment and R&D efforts which acts as a barrier for new companies.
Bargaining power of buyers: Buyers have moderate bargaining power due to the presence of numerous regional and global suppliers in this market.
Bargaining power of suppliers: A few major companies control the supply in this market, giving them strong bargaining power over buyers.
Threat of new substitutes: Limited threat from substitutes as petroleum liquid feedstock has few alternatives that match its performance.
Competitive rivalry: Intense competition exists among the top players to gain greater market share through product differentiation and expansion.
Geographical Regions
North America accounts for the largest market share currently due to high demand and massive oil reserves in countries like US and Canada. Asia Pacific is expected to be the fastest growing region on account of rising energy needs of populous nations such as China and India.
The Middle East region holds major crude oil and natural gas reserves globally. Countries like Saudi Arabia, Iran and UAE dominate the petroleum liquid feedstock supply and exports to other parts of the world.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
About Author - Money Singh
Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemicals and materials, defense and aerospace, consumer goods, etc. LinkedIn Profile
