Alpha Olefins Market Size Projected to Generate a Revenue of $8,172.3 Mn by 2031Download Sample Reports Overview
The Global Alpha Olefins Market Size is predicted to be valued at $ 8,172.3 million by 2031, surging from $ 4,062.2 million in 2021, at a noteworthy CAGR of 7.5%.
Impact Analysis of COVID-19 on the Alpha Olefins Market
The COVID-19 pandemic has led to severe disruptions that have affected the demand, supply, import-export, and availability of alpha olefins across end-use industries. Alpha olefins are widely used across chemicals, automotive, packaging, and other sectors. For instance, in the automotive industry, it is used as lubricant and polyethylene, which is widely used in automobile industry for manufacturing various automobile spare parts. However, the automotive industry was worst hit during the pandemic, as sales of automotive vehicles were drastically reduced. This has influenced the need for alpha olefins in the automobile sector. The import-export restrictions, delays in the availability of raw materials, and travel restrictions led to supply chain disruptions in the alpha olefins industry. All these factors have negatively affected the alpha olefins market growth during the pandemic.
Global Alpha Olefins Market Analysis
The family of chemical substances known as alkenes, which all contain the double-bond functional group, is simply referred to as the olefin family. Double bonds are found on the first or alpha carbon atom in the carbon chains of the family of unbranched alkenes referred to as linear alpha olefins. Alfa olefins are a flexible feedstock that may be used to make a wide range of consumer and industrial items. The manufacturing of various polymers, the production of surfactants, and the development of synthetic lubricants all regularly utilize these compounds as co-monomers. These uses account for about 84% of all alpha-olefin consumption worldwide. Furthermore, olefins are employed in drilling, plasticizing, and alcohol production. Thus, a wide range of applications in different industries like chemical and automotive is expected to drive global alpha olefins market opportunity in the forecast time period.
The expensive process used to manufacture the component is thought to be the main market constraint for the growth of alpha olefins market share. Furthermore, the growing environmental concerns regarding the use of polyethylene and the rise in use of low grade and low-cost lubricants in automotive industry is going to hamper the alpha olefins market growth in projected time frame.
Natural linear alpha olefin polymers, known as poly alpha olefins, are used as the building blocks for synthetic lubricants for both industrial and automotive applications. Comparing synthetic base stocks to traditional mineral basis stocks, synthetic base stocks perform better. Many characteristics, such as kinematic viscosity and viscosity index pour point, as well as flash and auto ignition points, are better than those of mineral base stocks. Furthermore, the military, polymer industries, food-grade applications, cosmetics, refrigeration, textile, dielectric fluids, brake fluids, shock absorption, and other disciplines use synthetic lubricants based on poly alpha olefins for a variety of specific purposes. All such factors are considered to boost the Alpha Olefins market share growth in the projected time period.
Global Alpha Olefins Market, Segmentation
The global alpha olefins market is segmented based on product, application, and region.
The Product segment is further classified into 1-Octene, 1-Hexene, 1-Butene, and others. Among these, the 1-Hexene sub-segment is anticipated to have a dominant market share in 2021. A higher olefin or alkene with the chemical formula C6H12 is 1-hexene. As an alpha-olefin, 1-hexene has increased reactivity and therefore useful chemical characteristics since the double bond is in the alpha (primary) position. 1-hexene is an economically significant linear alpha olefin that is primarily used in the production of polyethylene and plasticizers, as well as synthetic fatty acids and oxy alcohols. Such applications are expected to boost the market growth in the future.
The application industry segment is further classified into synthetic lubricants, detergent alcohol, polyethylene, and others. Among these, the polyethylene sub-segment is anticipated to have a dominant market share in 2021. A subset of polyolefins is polyethylene. This is a strong, lightweight plastic that is frequently used to make containers, food bags, and bottles. High-density polyethylene is the perfect material for a variety of applications across industries because to its excellent combination of features. Crates, bottles, food packaging caps, cans, drums, and bulk containers are all packaging applications that use high density polyethylene. It gives the finished product respectable impact strength in these applications. Many household and consumer goods use high-density polyethylene because it is inexpensive and simple to process.
The alpha olefins market in the LAMEA region is projected to show the fastest growth. Some of the major factors driving the growth of the LAMEA alpha olefins market include the region's rapid industrialization and urbanization. In addition, the region is home to some of the world's leading manufacturers of alpha olefins. The alpha olefins are widely used in polyethylene, detergent alcohols, synthetic lubricants, and plasticizers. The market is expected to grow over the forecast period, as more of these products are manufactured in the LAMEA region.
Key Players in the Global Alpha Olefins Market
Some of the leading alpha olefins market players are
- Qatar Chemical Company Ltd. (Q-chem)
- Chevron Phillips Chemical Company LLC
- Mitsubishi Chemical Corp
- Exxon Mobil Corporation
- INEOS Oligomers
- Petrochemicals Sdn. Bhd.
- Royal Dutch Shell
- Evonik Industries
- JAM Petrochemicals Company
In 25 February 2022, Axens and Univation in order to improve capital and operational efficiencies for the production of on-purpose alpha olefins, including both butene-1 and hexene-1, for use in producing polyethylene resins using the UNIPOL PE process, Axens and Univation Technologies have entered into a cooperation agreement. In addition to identifying and delivering quantifiable synergies for existing UNIPOL PE facilities as well as providing chances for retrofitting future UNIPOL PE projects, the collaboration is anticipated to give benefits to polyethylene producers worldwide.