Propylene or propene (C3H6) is a colorless, non-toxic, extremely flammable fuel gas with a Petroleum like pungent smell and under pressure becomes liquid. Global Propylene market witnessed a demand of around 95 million tons in 2020 and anticipated to grow at a significant rate with a healthy CAGR of 5.41% until 2030. Most of Propylene produced globally is consumed in manufacturing Polypropylene. Polypropylene Glycol has a wide range of applications in Cosmetics & Personal Care, Food & Beverage, Pharmaceuticals, Building & Construction and Automotive. Isopropyl Alcohol is another Propylene derivative owing to its antibacterial properties used in making sterilizers, disinfectants as well as antiseptic soaps and lotions. It is a petrochemical derivative related to health hazards and rigorous safety standards linked to its production and transportation are expected as major challenges in market growth.
Polypropylene demand is expected to boost through 2030 owing to rapid industrialization, urbanization, and large consumer base in the region. The boom in the Automotive sector coupled with the rapid growth in the Construction sector is likely to enhance the demand in APAC. In the first half of 2020, the unprecedented outbreak of COVID-19 across the globe led to nationwide lockdowns and disruption in the functioning of several manufacturing plants. Propylene is identified as a versatile commodity and Polypropylene production holds the major demand share of the global market. Its other derivatives such as propylene oxide, acrylic acid, acetone, IPA, polypropylene glycol, cumene etc. have a wide range of applications in numerous industries and are also going to boost Propylene demand in the forecast period. North America and Europe are expected to grow significantly in the upcoming years due to the presence of chemical industries as well as sources of raw materials (Shale Gas).