Global Isobutene Market Worth USD 40.39 Billion By 2030 | CAGR of 4.71%

Introduction

The global market for isobutene was valued at USD 26.69 billion in 2021, and it is anticipated to reach USD 40.39 billion by 2030 at a CAGR of 4.71%.

Isobutene is a liquid that is colorless, flammable, and derived from crude oil. Mainly, isobutene or isobutylene is used to make polybutylene (butyl rubber) and as an intermediary in the synthesis of methyl tert-butyl ether. These goods are frequently used in hot melt adhesives, compounding, masterbatches, plastic packaging, electrical insulation, compression packaging, and wires and cables, among other specialist applications.

The chemical's broad application breadth spans various industries, including the automotive, aerospace, and pharmaceutical sectors, making it a hydrocarbon of significant industrial importance. It is created through the catalytic cracking of methyl tert-butyl ether and the separation of refinery gases.

Additionally, isobutene is employed in various industries, including rubber, plastics, fuel additives, medicines, and agriculture. Based on end-user, the isobutene market is divided into the automotive, pharmaceutical, aerospace, cosmetics, and other sectors. The automotive industry dominates the isobutene market.

Market Dynamics

• Synthetic rubber demand drives the isobutene market

Isoprene and isobutylene are both constituents of butyl rubber. It's the only elastomer that is gas and water-resistant. At room temperature, the elastic material dampens as well. Biocompatible resists alkaline and acidic substances, heat, weathering, and ageing.

Butyl rubber's low vapour and gas permeability makes it ideal for tubeless tires, inner tubes, glove-box gloves, and sports-ball bladders. It's used to waterproof ponds and tanks. It's also used as a roof patch and window sealant. Poly-isobutylene is used in oil and fuel additives and machining lubricant demisting agents.

Its widespread use has driven corporations to invest in technology, introduce products, expand operations, and grow the market. Sibur and Reliance Industries Ltd. opened a 120,000-ton butyl rubber facility in Jamnagar, India, in February 2020.

• Bio-based additives will boost the isobutene market

In addition to being a green fuel additive, bio-based isobutene can also be used to produce industrial chemicals. Approximately half of all species are capable of producing the enzyme. Isooctane might be used to avoid engine problems. There is a possibility that this fuel could be used to replace the MBTE gasoline additive.

Global Bioenergies and SkyNRG certified a bio-isobutene feedstock and conversion process to produce sustainable aviation fuel in April 2018. The businesses seek to add Global Bioenergies' isobutene-based SAF to jet fuel specification ASTM D7566.

Global Bioenergies combined artificial biocatalysts with natural enzymes to produce isobutene. New metabolic routes leading to isobutene involve non-natural mechanisms, unlike traditional ones.

Bio-based production technology is being ramped up. A pilot plant producing 10 tons/year of oxidation-grade isobutene has been running at Pomacle, France, since 2014. A demo unit producing 100 tons/year of polymer-grade isobutene just began operations at the Leuna refinery in Germany.

Regional Analysis of the Global Isobutene Market

The global market for isobutene is divided into North America, Asia-Pacific, Europe, Central & South America, and the Middle East & Africa.

Due to the significant need for isobutylene from the automotive and aerospace industries, North America and Europe are predicted to account for most of the market's demand. However, the economic outlook for the Asia Pacific is very positive and is expected to show strong growth during the analyzed period. China is considered the leading consumer and producer of isobutylene in the Asia Pacific region, driving demand for the substance.

However, due to the rising demand from China, the Asia Pacific region has the best development possibilities for the isobutene market. Another significant isobutene producer around the globe is China. A sizable portion of the world's isobutene demand comes from Japan. Although MTBE has been outlawed in a few nations, including the U.S. and Japan, its demand has increased in South America and the Middle East, notwithstanding worries about the potential of groundwater contamination and air pollution.

Key Highlights

• The global market Isobutene was valued at USD 26.69 billion in 2021, and it is anticipated to reach USD 40.39 billion by 2030 at a CAGR of 4.71%.
• The global market for isobutene is divided into three parts based on product type, application and region. Further, the market is bifurcated into Ethyl Tert-butyl Ether (ETBE) and Methyl Tert-butyl Ether (MTBE) based on product type. The MTBE segment held the largest market share.
• The market can be broken down into Automotive, Pharmaceuticals, Aerospace, Antioxidants, and Others based on application. The Automotive sector has the highest market share in the global market.
• The market is broken down into Asia-Pacific, North America, Europe, Central & South America, and the Middle East & Africa. North America and Europe make up the majority of the demand for isobutene.

Competitive Players

Competitive Analysis of the Global Isobutene Market

Some key players contributing majorly to the global isobutene market are Yuhua Group, Sumitomo Chemical Co., Ltd., Weifang Binhai Petro-Chem Co., Ltd., TPC Group, Exxon Mobil Corporation, Nizhnekamskneftekhim, Enterprise Products Partners, China Petroleum & Chemical Corporation, SINOPEC Beijing Yanshan Company, Yuhuang Chemical Inc, Zoucheng Qifa Chemical Co., Ltd., LyondellBasell Industries N.V.l, SONGWON Industrial Group, Qixiang Electron Science & Technology Co., Ltd., and Evonik Industries AG.

Recent Developments

Recent Developments in Some of the Key Players

• In March 2022, the construction of ExxonMobil's Baytown, Texas, integrated petrochemical complex's new linear alpha olefins (LAO) manufacturing unit is expected to be operational by mid-2023.
• In May 2022, to build a new tert-butyl acrylate facility and expand existing facilities in China, BASF and Sinopec have broken ground.
• In March 2022, Evonik spent millions of euros to boost production capacity for isobutene derivatives at its Marl plant.

Segmentation

Global isobutene Market: Segmentation

By Product Type

• Ethyl Tert-butyl Ether (ETBE)
• Methyl Tert-butyl Ether (MTBE)

By Application

• Automotive
• Aerospace
• Antioxidants
• Pharmaceuticals
• Others

By Region

• North America
• Europe
• Asia-Pacific
• Central & South America
• The Middle East & Africa