United States Petrochemicals Market Report and Forecast 2025-2034

Key Trends in the Market

Petrochemicals refers to the set of chemicals that are extracted by refining and processing petroleum (crude oil) and natural gas. Petrochemicals are key components in various products such as soaps, plastics, paints, fertilisers, and insulation solutions. Petrochemicals also provide the key raw materials for manufacturing innovative energy technologies such as wind turbine blades, solar panels, and electric vehicle parts.

• The United States and other advanced countries across the globe use up to 20 times more plastic than other developing countries on a per capita basis. The United States plastics market is significantly expanding with producers launching new projects and aiming to develop a new plastics corridor in Pennsylvania, Ohio, and West Virginia, where ethane is abundant in the fracking wells, hence supporting the United States petrochemicals market demand.

• The United States is expected to expand its global share of ethylene (Steam cracking) up to 22% by 2025. The country benefits from the feedstock advantage of access to low-cost ethane, due to the presence of abundant natural gas supplies. This further allows the country to gain a major share in the export of ethane-based chemicals in the short and medium term.

• The United States petrochemicals market growth can be attributed to surging globalisation, rapid urbanisation, and increased mobility demand. The petrochemical production is expected to improve in the coming years with the growing demand for plastics in end sectors such as consumer packaging and electronics.

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Purchase the Regional Overview for USD 1099

If you choose to purchase the full report at a later stage, the amount already paid will be adjusted, and you will only need to pay the remaining balance.

United States Petrochemicals Market Segmentation

Market Share by Feedstock

According to the United States petrochemicals market analysis, propane and butane are widely used as feedstocks in petrochemicals. A majority of propane consumed in the United States is produced domestically. Propane is widely used in residential, commercial, and transportation sectors, as fuel for space heating and cooking purposes, and as a feedstock for the petrochemical sector.

Butane is also blended with motor gasoline and used as feedstock for the petrochemical sector. Meanwhile, NGL is distributed as purity molecules or as mixtures based on the production, transportation, storage, and distribution strategies.

The United States naphtha sector is witnessing a transformation with the growing adoption of renewable naphtha. Bionaphtha, produced by companies such as World Energy in the United States, is being used in gasoline blends.

Market Share by Region

The Midwest region represents a considerable portion of the United States petrochemicals market share. Since 2020, Ohio, a state in the Midwest region of the United States, has surpassed China, a key producer of petrochemicals, as the major centre for inexpensive production of plastics. This can be attributed to the advantages of cost, economic climate, and strategic location of Ohio.

Businesses and producers in Ohio are located in close proximity to about 50% of the population of the United States and 70% of the end-to-end plastics industry supply chain. This gives the region a competitive advantage and contributes to reducing greenhouse gas emissions.

Competitive Landscape

Other players operating in the United States petrochemicals market include Dow Inc., Methanex Corporation, Indorama Corporation, Westlake Chemical, Ineos Olefin & Polymers, and Shintech, among others.