Liquefied Petroleum Gas Market Size, Share, And Trends 2032

Liquefied Petroleum Gas Market: Size

The global liquefied petroleum gas market size was worth around USD 120.8 billion in 2023 and is predicted to grow to around USD 167.2 billion by 2032 with a compound annual growth rate (CAGR) of roughly 3.80% between 2024 and 2032. The report covers a forecast and an analysis of the global liquefied petroleum gas market on a global and regional level. The study provides historical data from 2018 to 2022 along with a forecast from 2024 to 2032 based on volume (Kilotons) and revenue (USD Billion).

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Liquefied Petroleum Gas Market: Overview

Liquefied petroleum gas is a flammable gas, which is used for various applications ranging from cooking to transportation. LPG is either propane or butane or a mixture of various hydrocarbon gases with a significantly high proportion of propane and butane along with a slight proportion of propylene and butylene gases. LPG’s chemical composition generally varies according to the processing state of natural gas or crude oil, but its usual composition has a significant share of propane and butane blend with a propane mix ranging from 32% to 98%. It is basically a by-product obtained from refining of petroleum and natural gas processing. It is stored in highly pressurized steel vessels to prohibit its evaporation at normal temperature and pressure.

The study covers the key drivers and restraints of the global liquefied petroleum gas market and provides their market impact within the forecast period. Furthermore, the study also includes the analysis of opportunities available in the global liquefied petroleum gas market.

In order to offer the users of this report, a comprehensive view of the global liquefied petroleum gas market, we have included a detailed value chain analysis. To understand the competitive landscape in the market, an analysis of Porter’s Five Forces model has additionally been included. The study includes a market attractiveness analysis, wherein all the segments are benchmarked based on their market size, growth rate, and general attractiveness.

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The study also includes the market share of the key participant’s operating in the global liquefied petroleum gas market. Moreover, the report covers the strategic development in the market along with acquisitions & mergers, agreements, partnerships, collaborations & joint ventures, and regional growth of key players within the market on a global basis.

Liquefied Petroleum Gas Market: Growth Drivers

Rapid urbanization and enhanced purchase parity of population in emerging economies are key factors driving the liquefied petroleum gas market. The transportation industry in developing countries is witnessing a major shift with rapid developments of all modes of transport. Steep rate of motorization in emerging economies has also triggered the growth of the global liquefied petroleum gas market. The industrial sector, especially the petrochemical industry, has escalated the expansion of the global liquefied petroleum gas market. The shift from conventional fuels like coal, kerosene, wood, and cow dung for cooking and other domestic applications to LPG is also contributing to this market growth. LPG is being promoted as a clean fuel source for automobiles, as it releases a remarkably lower level of CO2 as compared to conventional automobile fuel sources. However, low awareness among rural and low-income population, reluctance toward its acceptance due to higher cost, and fluctuation of LPG costs due to volatility in the crude oil market may impede the global liquefied petroleum gas market. Nevertheless, constant support and promotion of LPG from governments globally are expected to generate further growth opportunities for the liquefied petroleum gas market globally.

Liquefied Petroleum Gas Market: Segmentation

The study provides a crucial view of the liquefied petroleum gas market by segmenting it based on source, end-user, and region.

By source, the market includes associated gas, non-associated gas, and refineries. The refineries segment is the largest source of LPG, followed by associated and non-associated gases. In contrast, the non-associated gas segment is expected to register the highest CAGR in the future. The refineries segment is expected to retain its market leadership with the highest revenue.

On the basis of end-user, the market comprises residential and commercial, industrial, petrochemical and refineries, and transportation. The residential and commercial segment holds the highest market share, i.e., about 45%.

Liquefied Petroleum Gas Market: Report Scope

Liquefied Petroleum Gas Market: Regional Analysis

The regional segment is divided into North America, Latin America, Europe, Asia Pacific, and the Middle East and Africa. The Asia Pacific liquefied petroleum gas market is the leader in terms of revenue and is projected to sustain its global leadership over the forecast time period with the highest CAGR.

Liquefied Petroleum Gas Market: Key Players Analysis

Some major players of the liquefied petroleum gas market are:

• Chevron Corporation
• British Petroleum
• Petroleum National
• China Petroleum & Chemical
• Royal Dutch Shell
• Exxon Mobil
• China National Petroleum
• Phillips 66
• Valero Energy

This report segments the global liquefied petroleum gas market into:

Global Liquefied Petroleum Gas Market: Source Analysis

• Refineries
• Associated Natural Gas
• Non-Associated Natural Gas

Global Liquefied Petroleum Gas Market: End-User Analysis

• Residential and Commercial
• Refineries and Petrochemicals
• Industrial
• Transportation

Global Liquefied Petroleum Gas Market: Regional Analysis

• North America
  • The U.S.
• Europe
  • UK
  • France
  • Germany
• Asia Pacific
  • China
  • Japan
  • India
• Latin America
  • Brazil
• Middle East and Africa