PROPYLENE OXIDE MARKET ANALYSIS

Propylene Oxide MarketSize and Trends

Propylene Oxide Market outlook:

• Propylene oxide market in Asia Pacific region is gaining significant traction, owing to the high demand for propylene oxide from end-use industries. The demand for propylene has substantially increased due to new developments in infrastructure, construction, and automotive industry. China, India, Japan, and South Korea are the economies majorly contributing to growth of propylene oxide. The reduction in taxes for the small engine car section in China has resulted in the increased sale of cars, in turn fueling growth of the market for propylene oxide. According to China Association of Automobile Manufacturers (CAAM), China witnessed a year on year growth of 6.2% during 2016 - 2017.
• Production of automobiles is expected to grow over the forecast period, owing to presence of leading automotive companies in North America such as Ford, General motors, and Fiat. Moreover, New Building Canada Fund has targeted an investment of US$ 10 billion over a 10 year period i.e. 2014-24 to build public infrastructure.
• Propylene is the major raw material for production of propylene oxide, which is produced from crude oil. Demand for propylene oxide in the Middle East is growing, owing to rampant growth of the construction and oil and gas industries. Moreover, new investments in Qatar and Saudi Arabia for the FIFA world cup 2022 is expected to substantially increase construction of hotels, stadiums, malls, and public infrastructure. This in turn, is expected to boost growth of the propylene oxide market.