The global Liquefied Petroleum Gas (LPG) market was estimated at USD 122.29 billion in 2020 and is expected to reach USD 164.39 billion by 2025. The global LPG market is expected to raise at a compound annual growth rate of 4.7% from 2020 until 2025 to reach 164.39 billion dollars in 2025.Growing demand for liquefied petroleum gas from developing countries is projected to drive the global market during the projected period. Urbanization and industrialization have amplified expressively across the world over the past few years. The flow of investments has changed from developed countries toward emerging countries owing to the low costs of labour and infrastructure. The residential and commercial application segment accounted for a substantial share in 2020 and is estimated to witness significant growth in the upcoming seven years. The liquefied petroleum gas (LPG) market in the Asia Pacific accounted for over 34% share of the total volume in 2020. The Asia Pacific is anticipated to witness significant growth during upcoming period. Increasing applications of LPG for domestic purposes like cooking, along with the government initiatives in nations like India, China, and Indonesia, is supposed to promote LPG demand across the region.
Production of liquefied petroleum gas (LPG) in eastern Russia is expected to rise from 1.0 to 1.2 million tonnes in upcoming year, according to producers' plans, although exports to Asia at the high intensity energy could be limited by lack of infrastructure.
The price of compressed natural gas (CNG) will drop by one rupee per kg from October 6, 2020. Furthermore, the price of cooking gas or piped natural gas (PNG) will drop by 70 paisa.
Population growth and increased demand for liquefied petroleum gas as a vehicle emission gas are anticipated to drive market growth. Increased government initiatives in countries such as India, Indonesia and China to inspire liquefied petroleum gas applications due to its long-term benefits as a cooking fuel are expected to drive market growth over the next several years. Increasing awareness of climate change and global warming has further increased the demand for liquefied petroleum gas, as it emits negligible amounts of black carbon. The liquefied petroleum gas market is one of the main drivers of economic growth, especially in rural areas and developing countries, through which the world liquefied petroleum gas market is expected to grow in the next period. Liquefied petroleum gas also plays a central role in reducing desertification and deforestation, which is why demand is likely to remain strong around the world. In view of these factors and the growing emphasis on creating a sustainable energy future in rural and urban areas of the world, the global market for liquefied petroleum gas is poised to expand into the upcoming market.
The main limiting factor affecting the LPG market is the flammable nature of the product. Hence, it is stored in large cylindrical or spherical pressurized vessels. In addition, the flammable nature of the gas generates additional storage, transportation and outlay costs for end users. Another factor that negatively impacts the market includes the volatility of crude oil commodity prices, which hinders market growth.
REPORT COVERAGE:
|
REPORT METRIC |
DETAILS |
|
Market Size Available |
2019 – 2025 |
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Base Year |
2019 |
|
Forecast Period |
2020 - 2025 |
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CAGR |
4.7% |
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Segments Covered |
By Product, Type, Consumption, Distribution Channel and Region |
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Various Analyses Covered |
Global, Regional & Country Level Analysis, Segment-Level Analysis, DROC, PESTLE Analysis, Porter’s Five Forces Analysis, Competitive Landscape, Analyst Overview on Investment Opportunities |
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Regions Covered |
North America, Europe, APAC, Latin America, Middle East & Africa |
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Market Leaders Profiled |
LPG market include Exxon Mobil Corporation, UGI Corporation, British Petroleum PLC, Royal Dutch Shell PLC, SHV Energy N.V., Copagaz Distribuidora De Gas Ltd., Repsol S.A., China Gas Holdings Ltd., and Kleenheat Gas Pty Ltd. |
Based on the application, the LPG market is branched into residential, commercial, chemical, industrial, and automotive fuel. The residential and commercial category represented a significant share of the market. This is inconsistent with the widespread dependence on LPG as a cooking fuel among rural and urban populations in Asia-Pacific and Latin America.
Based on the source, the LPG market is branched into refineries, associated gas, and non-associated gas. The source of the fuel varies by region, for example, the majority of gas production in North America comes primarily from natural gas processors, while Asia-Pacific relies on refineries for its production. Globally, refineries are one of the main sources of production of various gases.
Europe had the highest volume share of 81% in 2020. In Europe, demand for LPG in residential/commercial applications is expected to experience significant growth from 2020 to 2025. Many highs are taken as COP21 many countries have it in account to reduce carbon emissions into the atmosphere. The mature economies of Europe and North America are expected to see significant growth in the coming years due to the growing awareness of reducing carbon emissions. In Europe, Germany is expected to grow at a CAGR of 4.5% in terms of revenue.
The Asia-Pacific region accounted for a significant share in 2020. Population growth, abundance of available resources, and high energy requirements, coupled with affordability, due to the existence of government subsidies for LPG cylinders, they have been the main factors that drove the growth of the regional market. This is further maintained by growing petrochemical capabilities in India, China, India, Thailand, and South Korea. India became a major importer of liquefied petroleum gas in 2020, receiving steadily shipments from the United States and the Middle East to finance domestic fuel consumption.
The major players functioning in the global LPG market include Exxon Mobil Corporation, UGI Corporation, British Petroleum PLC, Royal Dutch Shell PLC, SHV Energy N.V., Copagaz Distribuidora De Gas Ltd., Repsol S.A., China Gas Holdings Ltd., and Kleenheat Gas Pty Ltd.
The sudden onset of the COVID-19 pandemic has led to a decline in demand for liquefied petroleum gas in the commercial sector. The use of liquefied petroleum gas in the industrial, commercial and transportation sectors is expected to generate demand in the regions in the future. Many market players are now expected to seize opportunities in traditional markets and meet the demand for LPG in the regions. As demand for LPG continued to deteriorate in Europe due to the COVID-19 explosion, in April 2020, Russia's largest petrochemical company, Sibur, took advantage of the prospect of entering a new market by delivering two LPG shipments to India.
1. Introduction
1.1 Market Definition
1.2 Scope of the report
1.3 Study Assumptions
1.4 Base Currency, Base Year and Forecast Periods
2. Research Methodology
2.1 Analysis Design
2.2 Research Phases
2.2.1 Secondary Research
2.2.2 Primary Research
2.2.3 Data Modelling
2.2.4 Expert Validation
2.3 Study Timeline
3. Report Overview
3.1 Executive Summary
3.2 Key Inferencees
4. Market Dynamics
4.1 Impact Analysis
4.1.1 Drivers
4.1.2 Restaints
4.1.3 Opportunities
4.2 Regulatory Environment
4.3 Technology Timeline & Recent Trends
5. Competitor Benchmarking Analysis
5.1 Key Player Benchmarking
5.1.1 Market share analysis
5.1.2 Products/Service
5.1.3 Regional Presence
5.2 Mergers & Acquistion Landscape
5.3 Joint Ventures & Collaborations
6. Market Segmentation
6.1 Liquefied Petroleum Gas Market, By Source
6.1.1 Refineries
6.1.2 Associated Gas
6.1.3 Non-Associated Gas
6.1.4 Market Size Estimations & Forecasts (2019-2024)
6.1.5 Y-o-Y Growth Rate Analysis
6.1.6 Market Attractiveness Index
6.2 Liquefied Petroleum Gas Market, By Application
6.2.1 Residential
6.2.2 Commercial
6.2.3 Industrial
6.2.4 Chemical
6.2.5 Automotive Fuel
6.2.6 Market Size Estimations & Forecasts (2019-2024)
6.2.7 Y-o-Y Growth Rate Analysis
6.2.8 Market Attractiveness Index
7. Geographical Landscape
7.1 Global Identity Governance and Administration Market, by Region
7.2 North America - Market Analysis (2018 - 2024)
7.2.1 By Country
7.2.1.1 USA
7.2.1.2 Canada
7.2.2 By Source
7.2.3 By Application
7.3 Europe
7.3.1 By Country
7.3.1.1 UK
7.3.1.2 France
7.3.1.3 Germany
7.3.1.4 Spain
7.3.1.5 Italy
7.3.1.6 Rest of Europe
7.3.2 By Source
7.3.3 By Application
7.4 Asia Pacific
7.4.1 By Country
7.4.1.1 China
7.4.1.2 India
7.4.1.3 Japan
7.4.1.4 South Korea
7.4.1.5 South East Asia
7.4.1.6 Australia & NZ
7.4.1.7 Rest of Asia-Pacific
7.4.2 By Source
7.4.3 By Application
7.5 Latin America
7.5.1 By Country
7.5.1.1 Brazil
7.5.1.2 Argentina
7.5.1.3 Mexico
7.5.1.4 Rest of Latin America
7.5.2 By Source
7.5.3 By Application
7.6 Middle East and Africa
7.6.1 By Country
7.6.1.1 Middle East
7.6.1.2 Africa
7.6.2 By Source
7.6.3 By Application
8. Key Player Analysis
8.1 Exxon Mobil Corporation
8.1.1 Business Description
8.1.2 Products/Service
8.1.3 Financials
8.1.4 SWOT Analysis
8.1.5 Recent Developments
8.1.6 Analyst Overview
8.2 UGI Corporation
8.3 British Petroleum PLC
8.4 Royal Dutch Shell PLC
8.5 SHV Energy N.V
8.6 Copagaz Distribuidora De Gas Ltd
8.7 Repsol S.A
8.8 China Gas Holdings Ltd
8.9 Kleenheat Gas Pty Ltd
9. Market Outlook & Investment Opportunities
Appendix
List of Tables
List of Figures
