Increasing applications of ethylene intermediates in various industries to drive demand for ethylene

17-Jan-17

The global ethylene market is driven by growth in the use of polyethylene mainly for consumables; ethylene glycol/oxide for polyethylene terephthalate (PET) resins for PET fiber, bottles and other packaging; and ethylene dichloride for PVC plastic uses in construction and pipe, as per PS Market Research. Polyethylene, the largest ethylene derivative, accounts for majority of the global ethylene consumption. Markets of polyethylene include film, packaging, containers and articles for home and light industrial use. The increasing applications of ethylene intermediates in various industries are expected to drive the demand for ethylene. Ethylene oxide is mainly used to produce ethylene glycol which is a pre-product for polyester. The basic raw materials for making polymers such as polypropylene, polyethylene, butyl rubber and acrylics among others which are obtained from ethylene, make ethylene a major driver for chemical production.

The production of textile fibers is growing significantly, especially in Asia-Pacific. In addition, producers of ethylene oxide have already been able to profit from the worldwide growing substitution of glass by PET bottles and containers. Furthermore, ethylene is used as a welding gas and as an anesthetic agent.
On the basis of applications of ethylene, the global ethylene market has been segmented into high density polyethylene (HDPE), low-density polyethylene (LDPE) and linear low density polyethylene (LLDPE), and intermediates of petrochemicals, mainly used for the production of plastics. The most important of these are ethylene dichloride and ethylbenzene and ethylene oxide.