Enjoy complimentary customisation on priority with our Enterprise License!
The butadiene market share is expected to increase by USD 10.77 billion from 2021 to 2026, and the market's growth momentum will accelerate at a CAGR of 6.15%.
This butadiene market research report provides valuable insights on the post COVID-19 impact on the market, which will help companies evaluate their business approaches. Furthermore, this report extensively covers butadiene market segmentation by derivative type (polybutadiene rubber, styrene-butadiene rubber, acrylonitrile butadiene styrene resins, styrene-butadiene latex, and others) and geography (APAC, Europe, North America, South America, and MEA). The butadiene market report also offers information on several market vendors, including BASF SE, Braskem SA, China National Petroleum Corp., Dow Inc., Evonik Industries AG, Exxon Mobil Corp., Formosa Petrochemical Corp, INEOS Group Holdings SA, Royal Dutch Shell Plc, and TPC Group among others.
Download the Free Report Sample to Unlock the Butadiene Market Size for the Forecast Period and Other Important Statistics
The increasing demand from the automotive industry is notably driving the butadiene market growth, although factors such as regulations imposed on the emission of toxic fumes may impede market growth. Our research analysts have studied the historical data and deduced the key market drivers and the COVID-19 pandemic impact on the butadiene industry. The holistic analysis of the drivers will help in deducing end goals and refining marketing strategies to gain a competitive edge.
Key Butadiene Market Driver
One of the key factors driving the global butadiene market growth is the increasing demand from the automotive industry. An upsurge in the price of natural rubber has impelled tire manufacturers to widely replace the product with synthetic rubber, in which SBR is one of the least expensive products. Furthermore, the global market for automotive is expected to grow during the forecast period owing to the increase in the demand for lightweight and fuel-efficient vehicles. The high demand for passenger vehicles is expected due to the improved economic outlook in developed countries, such as the US, and developing countries, such as China and India due to the increase in the middle-class population, high disposable incomes, and a rise in the employed population. Thus, the increasing demand for vehicles and the increase in the popularity of butadiene in the production of tires and non-tire components are driving the growth of the global butadiene market.
Key Butadiene Market Trend
Rising demand for bio-based feedstock is another key factor driving the global butadiene market growth. The development of renewable chemicals for the production of rubber is growing rapidly on the grounds of achieving sustainability. High prices and the indefinite supply of petroleum raw materials and natural rubber have further accelerated the adoption of renewable feedstock for the production of synthetic rubber. Key vendors in the SBR market such as Gevo, Amyris, and Genomatica are focusing on producing synthetic rubber from bio-based raw materials such as sugar, glycerin, and other plant-based raw materials. They are entering partnerships with industrial biotech firms to advance the commercial production of bio-based rubber raw materials. Thus, the intermittent focus of the major market players to achieve cost-effectiveness and sustainability through the development of bio-based feedstock will certainly impact the growth of the global butadiene market during the forecast period.
Key Butadiene Market Challenge
One of the key challenges to the global butadiene market growth is the regulations imposed on the emission of toxic fumes. A typical butadiene plant might emit around 6-22 pounds of volatile organic compound (VOC) for 1 ton of product. Tire rubber crumb comprises a wide range of organic chemicals and heavy metals that can be volatile, emit toxins in the atmosphere, or blend with percolating rainwater, posing a probable risk to human health and the environment. Hence, regulatory agencies, such as the Environmental Protection Agency (EPA), have issued certain guidelines and regulatory control to the production of butadiene. For instance, EPA has issued national emission standards for hazardous air pollutants for new and current sources at rubber tire production facilities. Thus, stringent laws on the use of butadiene is expected to impede the growth of the global butadiene market during the forecast period.
This butadiene market analysis report also provides detailed information on other upcoming trends and challenges that will have a far-reaching effect on the market growth. The actionable insights on the trends and challenges will help companies evaluate and develop growth strategies for 2022-2026.
Technavio categorizes the global butadiene market as a part of the global diversified chemicals market. Our research report has extensively covered external factors influencing the parent market growth potential in the coming years, which will determine the levels of growth of the butadiene market during the forecast period.
The report analyzes the market's competitive landscape and offers information on several market vendors, including:
This statistical study of the butadiene market encompasses successful business strategies deployed by the key vendors. The butadiene market is fragmented and the vendors are deploying organic and inorganic growth strategies to compete in the market.
BASF SE - The company offers high purity butadiene which obtained from butadiene extraction technology
To make the most of the opportunities and recover from post COVID-19 impact, market vendors should focus more on the growth prospects in the fast-growing segments, while maintaining their positions in the slow-growing segments.
The butadiene market forecast report offers in-depth insights into key vendor profiles. The profiles include information on the production, sustainability, and prospects of the leading companies.
Our report provides extensive information on the value chain analysis for the butadiene market, which vendors can leverage to gain a competitive advantage during the forecast period. The end-to-end understanding of the value chains is essential in profit margin optimization and evaluation of business strategies. The data available in our value chain analysis segment can help vendors drive costs and enhance customer services during the forecast period.
The value chain of the global diversified chemicals market includes the following core components:
The report has further elucidated on other innovative approaches being followed by manufacturers to ensure a sustainable market presence.
For more insights on the market share of various regions Request for a FREE sample now!
57% of the market's growth will originate from APAC during the forecast period. China, India, and Japan are the key markets for butadiene in APAC. Market growth in APAC will be faster than the growth of the market in other regions.
The presence of a large number of manufacturing industries in emerging economies such as China will facilitate the butadiene market growth in APAC over the forecast period. This market research report entails detailed information on the competitive intelligence, marketing gaps, and regional opportunities in store for vendors, which will assist in creating efficient business plans.
COVID Impact and Recovery Analysis
The outbreak of COVID-19 hampered the growth of the regional butadiene market. The manufacturing industry in the region has been highly affected by the restrictions imposed to control the spread of the pandemic, as production units have been closed or the production process has been halted. This had a negative impact on the growth of the regional butadiene market in 2020. However, the lifting of lockdowns in several countries and large-scale vaccination drives resulted in increased economic activities in 2021. Several governments across the region also announced stimulus packages, modified a few policies, and launched schemes to aid businesses and revive the economy. Such funding provided by governments in APAC for the support of small and medium-sized enterprises (SMEs) is expected to drive the growth of the regional market during the forecast period.
To gain further insights on the market contribution of various segments Request for a FREE sample
The butadiene market share growth by the polybutadiene rubber segment will be significant during the forecast period. The wide application of PBR in the manufacturing of tire treads for commercial and passenger vehicles, automotive components, covers for pneumatic and water hoses, golf balls, footwear, industrial parts, rubber isolators and casters, inner tubes of hoses for sandblasting, conveyor belts, shoe soles, and polystyrene modifiers is expected to support the growth in this segment.
This report provides an accurate prediction of the contribution of all the segments to the growth of the butadiene market size and actionable market insights on post COVID-19 impact on each segment.
Styrene Butadiene (SB) Latex market - The market share is expected to increase by USD 1.15 billion from 2021 to 2026, and the market's growth momentum will accelerate at a CAGR of 3.04%.
Butadiene Market Scope |
|
Report Coverage |
Details |
Page number |
120 |
Base year |
2021 |
Forecast period |
2022-2026 |
Growth momentum & CAGR |
Accelerate at a CAGR of 6.15% |
Market growth 2022-2026 |
$ 10.77 billion |
Market structure |
Fragmented |
YoY growth (%) |
5.90 |
Regional analysis |
APAC, Europe, North America, South America, and MEA |
Performing market contribution |
APAC at 57% |
Key consumer countries |
China, US, India, Germany, and Japan |
Competitive landscape |
Leading companies, Competitive strategies, Consumer engagement scope |
Key companies profiled |
BASF SE, Braskem SA, China National Petroleum Corp., Dow Inc., Evonik Industries AG, Exxon Mobil Corp., Formosa Petrochemical Corp, INEOS Group Holdings SA, Royal Dutch Shell Plc, and TPC Group |
Market dynamics |
Parent market analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, Market condition analysis for the forecast period |
Customization purview |
If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized. |
We can help! Our analysts can customize this report to meet your requirements. Get in touch
Get lifetime access to our
Technavio Insights
Cookie Policy
The Site uses cookies to record users' preferences in relation to the functionality of accessibility. We, our Affiliates, and our Vendors may store and access cookies on a device, and process personal data including unique identifiers sent by a device, to personalise content, tailor, and report on advertising and to analyse our traffic. By clicking “I’m fine with this”, you are allowing the use of these cookies. Please refer to the help guide of your browser for further information on cookies, including how to disable them. Review our Privacy & Cookie Notice.