Ethylene Oxide Market Analysis

Global Ethylene Oxide Market Overview

The ethylene oxide market is projected to register a CAGR of 3.50% from 2022 to 2030 Ethylene oxide is also referred to as oxirane. A common industrial chemical, ethylene oxide, is a colorless, combustible gas or liquid. Ethylene oxide is used for a wide variety of purposes, mainly in emissaries, non-consumer chemicals, and numerous consumer items. The ethylene oxide market size is expected to reach approximately USD 39500 million by 2030. In order to create additional chemicals like ethylene glycol, surface active agents, ethanol amines, glycol ethers, polyols, and so forth, ethylene oxide is mostly used. It is widely used as a fumigant in spices as well as a sterilant in medical equipment and gadgets. The product can be used in a variety of applications, including textiles, food and drink, medical devices, cosmetics, solvents, detergents, antifreeze, and medical devices. One of the key reasons anticipated to propel the expansion of the ethylene oxide market in the projected period is the rising demand for ethylene glycol in a variety of applications, especially in PET resins, polyester fibers, and antifreeze for engines.

COVID-19 Impact Analysis

COVID-19 had a negative effect on the market for ethylene oxide in 2020. The COVID-19 epidemic has had a huge effect on the personal care market. Despite the industry's restructuring to produce hand sanitizers and cleaning products, there has been a large decline in sales. Sales in China's personal care and cosmetics sector in February 2020 were down by over 80% from the same month in 2019. The year-over-year loss was down to almost 20% in March.

Ethylene Oxide Market Dynamics

Polyester fiber, which is majorly used in seat belts, and coated fabrics, conveyor belt fabrics, is made primarily from ethylene oxide. The increase of the ethylene oxide manufacturing capacity will be emphasized by the quickly expanding automotive and industrial markets. The market for ethylene oxide is being boosted by a change in consumer tastes toward a better lifestyle in the growing economies of Asia Pacific, particularly in China and India. The market for ethylene oxide is being propelled by a growth in demand for PET bottles from the packaging sector. Notably, PET bottles are produced using half of the world's ethylene oxide production. Packaging industry growth is accelerating as consumer tastes for packaged food, and beverage items change. Demand for PET bottles is rising as consumers become more aware of premium beverage brands with healthier ingredients, which will help the market to expand during the projected period.

Market Drivers

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  Use in various applications

  
  

One of the key factors driving the expansion of the market for ethylene oxide is the fact that ethylene oxide is primarily used to make ethylene glycol, which is utilized in a variety of products such as pet resins, polyester fibers, and engine antifreeze, among other things. Due to their longer shelf lives and convenience, pet resins, a product made with ethylene oxide, are utilized extensively in the packaged food and beverage sector. Furthermore, as the packaging industry expands and consumer demand for packaged food and beverages rises, pet resin demand will rise as well, which in turn will boost the demand for and development of the market for ethylene oxide. Additionally, the growing consumer awareness of plastic waste is probably going to boost the need for pet resins. The market is also projected to expand due to the increased demand for and usage of detergents, home and industrial cleansers, and laundry softeners.

Market Restraints

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  The increasing toxicity of ethylene oxide and rising health concerns

  
  

The market for ethylene oxide growth could be hampered during the forecast period by ethylene oxide, a highly poisonous chemical that is extremely harmful to human health. People are searching for derivatives in which ethylene oxide is not used or is not present in any way because everyone is becoming more concerned about their health and the use of ethylene oxide is very toxic. As a result, these growing health concerns may act as a restraint to the growth of the market for ethylene oxide. The development of the market for ethylene oxide will continue to be somewhat constrained as long as sufficient results are not obtained from the numerous research and development efforts being made to make ethylene oxide materials environmentally friendly.

Market Opportunities

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  Development in R&D activities to make ethylene oxide consumer friendly

  
  

Increased demand for ethylene oxide is being supported by growing demand, increasing investments, and expanding infrastructure in major textile and other industry-producing nations across the world. The market for ethylene oxide is experiencing strong expansion owing to the expanding textile and apparel sector, favorable demographics, and a shift in consumer preference toward branded goods.

Ethylene Oxide Market Segmentation

Product Insight

Based on product, the ethylene oxide market segmentation has been divided into ethylene glycol, ethoxylates, glycol ethers, ethanolamines, polyethylene glycol, and polyether polyols. The ethylene oxide market growth was prominently high under the ethylene glycol segment held a major share in 2021. One of the major drivers of market growth is the increase in demand for antifreeze in nations that are situated in sub-temperate and temperate climates. It is included in pharmaceutical formulations to address gastrointestinal issues. Over the course of the forecast period, demand for ethylene glycol is predicted to grow owing to the rising cases of irritable bowel syndromes and other bowel-related problems in geriatric patients.

Global Ethylene Oxide Market Share, by Region, 2021 (%)Ethylene Oxide Market Overview, by Region

By region, the ethylene oxide market has been divided into North America, Europe, Asia-Pacific, and the Rest of the World. Asia Pacific accounted for the most extensive market share. North America will exhibit the highest CAGR during the forecast period.

Asia Pacific

Asia Pacific dominated the market for ethylene oxide share in 2021. The rapidly expanding industrial base and rising per capita income in developing nations like India, China, Japan, and Thailand are factors that contribute to the growth of the market. The younger generation's growing use of packaged goods and beverages is another factor driving this market for ethylene oxide expansion in this area. The rise in demand for end-use sectors like the cosmetics and personal care industries and others is driving the market over the forecast period.

North America

North America accounted for the second-largest market share in the market for ethylene oxide in 2021. The element driving this market's expansion in the North American continent is the rising need for skin and hair care products. Due to the growing elderly population, rising healthcare costs, and improving healthcare industry in the region, the regional market for ethylene oxide will also experience great growth throughout the projection period.

Ethylene Oxide Market Competitive Landscape

The market includes tier-1, tier-2, and local players. The key market participants generally pursue the new market for ethylene oxide categories. In manufacturing, specialized robots programmed for a particular work environment are generally preferable to the crash barrier systems. Investment is anticipated to strengthen the company's leadership in sterile packaging solutions. Furthermore, In April 2022, in partnership with the Agency for Development of Pharmaceutical Industry (ADPI) under the Health Ministry of Uzbekistan and Ayu Pharm LLC, surgical latex gloves were first produced in Kyrgyzstan.

Key players in the ethylene oxide market research include AKZO NOBEL N.V. (NETHERLANDS), BASF SE (GERMANY), CHINA PETROCHEMICAL CORPORATION (CHINA), CLARIANT (SWITZERLAND), DOWDUPONT (US), EXXON MOBIL CORPORATION (US), HUNTSMAN CORPORATION (US), INEOS (UK), LYONDELLBASELL INDUSTRIES HOLDINGS, B.V. (NETHERLANDS), ROYAL DUTCH SHELL PLC (NETHERLANDS), SABIC (SAUDI ARABIA), THE LINDE GROUP (US), and among others.

Scope of the Ethylene Oxide Market Report

Product Outlook

• Ethylene Glycol


• Ethoxylates


• Ethanolamines


• Glycol Ethers


• Polyethylene Glycol


• Polyether Polyols

Region Outlook

• North America
  
  
  
  • US
  
  
  • Canada
  
  
  • Mexico
  
  
  
  


• Europe
  
  
  
  • UK
  
  
  • Germany
  
  
  • France
  
  
  • Italy
  
  
  • Spain
  
  
  • Rest of Europe
  
  
  
  


• Asia-Pacific
  
  
  
  • China
  
  
  • India
  
  
  • Japan
  
  
  • Australia and New Zealand
  
  
  • Rest of Asia-Pacific
  
  
  
  


• Rest of the World
  
  
  
  • South America
  
  
  • Middle East
  
  
  • Africa
  
  
  
  

Objectives of the Study

The objectives of the study are summarized in 5 stages. They are as mentioned below:

Ethylene Oxide Market Forecast & Size:

To identify and estimate the market size for the ethylene oxide market report segmented by product by value (in US dollars). Also, to understand the consumption/ demand created by consumers of  ethylene oxide market forecast between 2022 and 2030

Market Landscape and Trends:

To identify the ethylene oxide market growth and infer the drivers, restraints, opportunities, and challenges.

Market Influencing Factors:

To find out the factors which are affecting the  ethylene oxide market size

Impact of COVID-19:

To identify and understand the various factors involved in the market affected by the pandemic

Company Profiling:

To provide a detailed insight into the major companies operating in the market. The profiling will include the financial health of the company in the past 2-3 years with segmental and regional revenue breakup, product offering, recent developments, SWOT analysis, and key strategies.

Intended Audience

• Ethylene oxide producers


• Raw material suppliers


• Retailers, wholesalers, and distributors


• Governments, associations, and industrial bodies


• Investors and trade experts