Ethylene Market Trends

Growth Drivers

• High Increase in Labor Force – Based on data from 181 nations, the average labor force in 2021 was 19.85 million. China had the biggest number of inhabitants at 792.08 million. The growing working population and labor force, supported by increasing investment in various industrial sectors throughout the world has created a massive need for packaged meals and refreshments, which is expected to propel the market for ethylene during the forecast period.

• Increasing Demand for Packaged Foods & Beverages – Foods that are natural, of excellent quality, barely processed or unprocessed, free of preservatives, and with a longer shelf life are in higher demand. The containers and packaging of such municipal solid waste led to 83 billion tons of generation in 2018.

• Rise in Demand for Polyethylene – The most popular plastic in the world is polyethylene (PE). The exported value of polymers of ethylene in 2021 was 101,964,787.

• Elevating the Automobile Industry – The automotive industry is made up of a diverse range of businesses and institutions engaged in the creation, improvement, production, marketing, and sale of automobiles. The number of sales of automobile vehicles in 2021 includes 66 million units.

• Rising Construction Sector– It was noticed that in 2021, the market size of the American construction industry was estimated to be over 2 trillion dollars, and in the following year, it is anticipated to grow even more.

Challenges

• Strict Policies Formed by the Government
• Use of Petroleum-Based Products - Events that have the potential to obstruct the flow of oil and petroleum products to market, such as geopolitical and weather-related occurrences, can have an impact on the prices of both crude oil and petroleum products. These kinds of occurrences may result in actual disruptions or breed concern over future supply or demand, which can increase price volatility.
• Decrease in the Resources of Raw Materials