The global consumption of polypropylene (PP) in 2007 reached 45 mln tons, and by 2017, is expected to increase to 85 mln tons in 2017. The global PP market carried a volume of 45 million tons and a value of approximately US$65 bln (€47.4 bln). Global capacity utilization was 90% in 2007; this was a slight decline from 2006 due to a larger increase in capacity than consumption.  Global polypropylene consumption is estimated to have increased by 4.8% in 2007, and is expected to increase on average by 5.2% pa from 2007 to 2012, declining to 4.4% pa from 2012 to 2017.  As a result of considerable capacity additions, utilization rates are expected to decline to the low-80s range by 2010, gradually increasing afterward. Fiber applications and injection molding each accounted for about 31% of global polypropylene consumption in 2007.  Other applications for polypropylene include film and sheet and blow molding.  

The demand and the production of PP will continue to shift continuously from North America, Western Europe and Japan to the emerging markets of Asia, particularly China and India, as per a new study by Ceresana Research. PP is growing well in Asia particularly in China and India, Within the next five years, manufacturing capacities in both countries will be expanded by more than 7.5 mln tons. Despite rising prices, the strong demand from the packing and automotive industries, as well as from other growing sectors, such as the construction industry, has led to a continuous increase in the consumption of PP.

Saudi Arabia and the other Gulf States want to become suppliers of more than just raw materials. Large PP production facilities are being constructed in order to provide high-priced end products. PP manufacturing capacities will more than double within the next five years. Although domestic demand within the Middle East nations continues to remain low, export to Asia will continue, hence the region is progressing to become one of the most important suppliers of PP.

North America and Western Europe will see a demise of PP manufacturing plants with capacities of less than 200,000 tons. As a result of this, over the next few years the importance of these countries as PP exporting nations will continue to diminish. Since market prices are higher as compared to China or Saudi Arabia, traditional PP manufacturers are faced with significant challenges. In order to develop innovative products, they need to improve the efficiency of production through better manufacturing methods, expanded distribution networks and a greater range of services for customers. During the next few years, there will be a considerable increase in PP capacities and an improved supply of the preliminary product, propylene. However, cost pressures are rising as a result of higher prices for raw materials, energy, and transportation. The market research company is expecting that PP revenues will more than double by 2017, on account of higher prices and greater sales volumes.