Benzene & Benzene Derivatives Market - Forecast(2023 - 2028)

Benzene & Benzene Derivatives Market size is forecast to reach $XX million by 2025, after growing at a CAGR of 7.9% during 2020-2025. The key factor driving the global market growth is the augmenting demand for benzene in the production of various useful derivatives such as ethylbenzene, cumene, phenol, styrene, nitrobenzene, Aniline, and so on. In addition, growing phenol and styrenic polymer consumption in plastic and resin processing is expected to proliferate the demand for benzene in the coming years. Increasing demand for methylene diphenyl diisocyanate (MDI) in the production of polyurethane foams is likely to create opportunities for the market players in the furniture and construction industries during the forecast period. Additionally, ethylbenzene is widely used as an anti-knocking agent whose demand is expected to increase in the coming years. 

The report: “Benzene & Benzene Derivatives Market– Forecast (2020-2025)”, by IndustryARC, covers an in-depth analysis of the following segments of the Benzene & Benzene Derivatives Industry. 

By Derivative: Ethybenzene and Styrene, Cumene, Phenol and Acetone, Cyclohexane, Alkyl Benzene, Nitrobenzene and Aniline, Chlorobenzene, Maleic Anhydride and others.

By Processing Methods: Alkylation, Hydrogenation, Nitration, Oxidation, Chlorination and others.

By Raw Material: Naphtha, Toluene, Ethylene, Bio-mass and others.

By Production Methods: Cracking Crude Oil, Catalytic reforming of Naphtha, Dealkylation of Toluene, Recovery from Ethylene plant Pyrolysis Gasoline (PG), Coke oven, Selective toluene Disproportionation and others.

By End Use Industry: Agrochemical Industry, Rubbers and Plastics Industry, Oil and Gas Industry, Tobacco industry, Adhesives and Sealants Industry, Pharmaceutical Industry, Petrochemical Industry and others.

By Geography: North America, South America, Europe, APAC, and RoW.

Cumene held the largest share in the benzene and benzene derivatives market in 2019, owning to the growing demand for phenol and acetone. The emerging construction and automotive industries are driving demand for styrene polymers, which is driving ethylbenzene demand at a remarkable rate. Isopropyl benzene is commonly used to manufacture phenols and their derivatives. Phenol resins, caprolactam, bisphenol A, and alkyl phenols are some of the phenol derivatives produced with the help of cumene. Bisphenol A is the main phenol derivative that is often used to manufacture polycarbonate and epoxy resins. For use in the automotive industry, polycarbonate resins are blended with glass and metals. Cumene-based polycarbonate derived from Bisphenol A finds its use in protection and architectural outlets.

Asia Pacific held the largest share in the benzene & benzene derivatives market in 2019 up to 32%. Consumption patterns in Asia Pacific are showing upward trend owing to shift of manufacturing facilities to China and India due to availability of cheap labor and raw material. Rising demand from automobile, coatings, textiles and other industries is expected to drive the benzene & its derivatives market in Asia Pacific. In addition, increasing production capacities in specialty chemicals are expected to fuel the market growth. According to the International Congress and Convention Association (ICCA), Asia Pacific chemical industry contributed a total of $2.6 trillion to the total GDP in 2017, of which $1.5 trillion GDP was in China alone. According to OICA, in 2018 the automotive production in India, Thailand, Indonesia and Malaysia has increased up to 5174645, 2167694, 1343714 and 564800, i.e., 8.0%, 9.0%, 10.3% and 12.2% higher than previous year due to rising per capita income of the individuals which further led to massive demand for benzene and its derivatives in APAC region. 

Ethylbenzene is a colorless liquid that is highly inflammable with an aromatic odor. It is used primarily in the production of styrene. Styrene is used in the manufacture of various products, such as polystyrene, acrylonitrile-butadiene-styrene (ABS), resins of styrene-acrylonitrile (SAN), elastomers of styrene-butadiene, latex and resins of unsaturated polyester. In various products such as televisions, IT equipment, disposable medical products such as test kits, consumer devices such as portable speakers, cassette tape and others, Styrene Polymers are used. In the Middle East and Asia-Pacific, demand for styrene is continuously increasing, owing to the increased demand for rubber tires in both regions. Apart from styrene, ethylbenzene is also used as a solvent in fuels and as an intermediate for other chemical applications. These applications are likely to support the demand for and growth of ethyl benzene. The increasing number of applications of styrene, such as in general-purpose polystyrene, EPS, and ABS, are also contributing to increased market growth.

One of the major challenges faced by the Benzene and Its Derivatives market is the dependency on crude oil for its production. In the present economic scenario, the crude oil prices have increased and in general the crude oil prices are extremely volatile which is major constrain on the Benzene and its derivatives market as their cost is directly affected by the fluctuations. According to, BP Statistical Review of World Energy, in the recent year there is been an increase in the price volatility of crude oil, such as the crude oil price decreased from $98.95 in 2014 to $52.39 in 2015 and increased from $43.73 in 2016 to $71.31 in 2018. Another major challenge in this industry is the hazardous nature of Benzene. Benzene is highly flammable and has a low flashpoint which makes it explosive. It also poses carcinogenic, mutagenic and toxic properties for humans in case of contact or inhalation. Therefore, these factors are affecting benzene & its derivatives market growth.

Technology launches, acquisitions and R&D activities are key strategies adopted by players in the Benzene & Benzene Derivatives Market. In 2019, the market of Benzene & Benzene Derivatives Market has been consolidated by the top five players accounting for xx% of the share. Major players in the Benzene & Benzene Derivatives market includes ExxonMobil Corporation, JX Holdings, CNPC, Total S.A., Saudi Basic Industries Corporation, Royal Dutch Shell plc. Dow Chemical Company, and BASF SE, among others.