Polyisobutene Market Analysis by Product Type (Conventional, Highly Reactive), by Molecular Weight (High, Medium, Low), by End-Use - Global Forecast 2022-2032

Polyisobutene Market Outlook

The global sales of Polyisobutene in 2021 was held at US$ 2.2 Billion. With 7.5%, the projected market growth during 2022-2032 is expected to be slightly higher than the historical growth. The global polyisobutene market is expected to reach US$ 4.8 Billion by 2032. 

Conventional PIB is expected to be the highest revenue-generating segment, projected to grow at a CAGR of over 8.1% during 2022 – 2032.

Revenue of Polyisobutene Market from 2017 to 2021 Compared to Demand Outlook for 2022 to 2032

As per the Polyisobutene Market research by Fact.MR - a market research and competitive intelligence provider, historically, from 2017 to 2021, the market value of the Polyisobutene Market increased at around 6.1% CAGR.

The key revenue drivers which affected the Polyisobutene Market are rapid growth in industrialization and urbanization, wide usage of sustainable chemicals and raw materials, special chemicals and materials which are used in food and beverages, pharmaceuticals, personal care, cosmetics, textile, paper, tires, and lubricants.

Rising environmental consciousness among the public, technical developments in raw material and chemical production procedures, and the rise in the usage of organic and environmentally friendly industrial chemicals are all contributing to the worldwide market's revenue growth. It is well known for properties such as electrical insulation and impermeable to gas and water vapor.

Polyisobutene will continue to see a rising trend in demand as additive, wherein it helps in the removal of sludge, soot, and oxidation by-products. Increased demand for tubeless tires, as well as the increased usage of Polyisobutene in their manufacture, are likely to offer considerable potential opportunity for growth.

What Factors are Propelling Polyisobutene Demand?

It is expected to be that higher demand for Polyisobutene due to the developments of companies like Tesla and Ford Motors, known for their research and development, will boost its demand in North America. Aside from that, there is increased demand and production for big engine capacity vehicles, such as double cabs.

Additionally, the light commercial vehicle industry in North America is an expanding market. North America's automotive sector is among the most competitive in the world, with large-scale investments in infrastructure, R&D, and new equipment construction.

Automotive, cosmetics, construction, and aerospace industries are the principal functions of chemicals such as polyisobutene that are expected to increase your demand in the Asia Pacific region. In the forecast period, industrial production in the region will increase, which will spur demand for industrial oil products.

In the chemical and mining sectors, the most common industrial lubricants are used in hydraulics, centrifuges, compressors, industrial engines, and bearings.

What are the key challenges in the global Polyisobutene Market?

The existence of numerous alternatives such as styrene-butadiene rubber, nitrile rubber, and others, which may impact the polyisobutene market and its pricing, is one of the biggest problems for the polyisobutene industry. Another issue is the strict environmental regulations: the production of PIB results in the release of hazardous waste, which is a source of environmental concern.

Polyisobutene spills have occurred on a regular basis, posing a threat to the environment and prompting worldwide concerns.

Which Region is projected to Offer the Largest Opportunity for Polyisobutene Market?

During the projection period, Asia-Pacific is predicted to be the leading market for Polyisobutene. It is mainly due to the growing market for fuel additives, tire tubes, adhesives and polysulphide, lubricants, silicones and electrical insulation, among other things. Tubeless tires are being developed by key tire manufacturers in Asia Pacific to make tire replacement easier.

In addition, as the trend toward electric cars grows, tubeless tires are projected to become more popular as a way to save maintenance and drag. The market for automotive rubber components is likely to be driven by rising automobile manufacturing in Asia Pacific.

In lubricants, Polyisobutene is widely used to adjust or enhance the consistency of lubricant formulations to the required final consistency. Due to its superior and enhanced qualities, such as decreased flammability, reduced gear wear, and extended service life, the lubricants industry is now experiencing a boost in demand for high-performance lubricants.

Country-wise Analysis

Which Country Lies at the CenterStage for Polyisobutene Market Revenue?

The United States is expected to account for the highest market value of US$ 1.4 Bn by the end of 2032. Due to its greater flexibility, thermal stability, and increased oxidation resistance, PIB-based butyl rubber will be used more in the manufacturing of car components such as windshields, hosepipes and sealants is driving the Polyisobutene market expansion in the area.

Category-wise Insights

Why Conventional is projected to Witness the Fastest Growth among Polyisobutene Product Type?

The market for conventional polyisobutene segment is forecasted to grow at a CAGR of over 8.1% during 2022-32. Conventional Polyisobutene is non-drying and oxidation and photodegradation resistant. Due to their non-toxicity, they do not leave a residue when decomposed.

Which End-User of Polyisobutene is expected to Score Highest Growth in the Coming Years?

Polyisobutene revenue through Automotive end-user is projected to grow at a CAGR of over 8% during the forecast period. This is due to the usage of Polyisobutene in the inner layer of tubeless tires, which is predicted to expand in popularity as the demand for passenger and commercial vehicles grows.

The market for Polyisobutene has a fair chance to be driven by an increase in the demand for tubeless tires in the automotive industry, as well as a rise in the demand for lubricant additives.

Which segment is projected to account for the largest proportion of the polyisobutene market?

Polyisobutene with High Molecular Weight tops the market in terms of revenue generation in the year 2021, which nearly accounted for more than 65% of the aggregate sales. This is due to its high elasticity and durability, which make it excellent for a wide range of applications in the industrial, transportation, and food sectors, such as stretch films, lubricants, and adhesives.

What is the impact of Covid-19 on Polyisobutene Market?

After the economic recovery from Covid-19 pandemic, the demand for Polyisobutene increased drastically. The requirement to construct new hospitals in North America has enhanced the building industry. As a result, the construction industry's expansion during the pandemic is expected to boost demand for adhesives and sealants, favorably impacting Polyisobutene market growth over the forecast period.

The Covid-19 sparked a trend for remote working and boosted voice traffic, household internet, and mobile data usage. Because optical fibers are used to deliver internet connections, the telecom sector has reacted positively. The demand for Polyisobutene as a cable insulation material in electrical appliances is predicted to rise as the telecommunications sector expands.

In 2020, Asia Pacific held a sizeable revenue share of the market. This is due to rising demand from important industries in developing economies like China and India, such as automotive, construction, cosmetics, and aerospace. Due to supply chain interruptions, the Covid-19 pandemic shook industrial businesses all over the world, which hampered the expansion of Polyisobutene in various end-use sectors, such as cosmetics.

Competitive Analysis

Players in the market are constantly developing improved analytical solutions as well as extending their product offerings. Some of the key players operating in polyisobutene market include BASF SE, Daelim Co. Ltd., TPC Group, INEOS Group, Kothari Petrochemicals, Lubrizol Corporation, ExxonMobil Corporation, and Lanxess AG.

Some of the recent developments of key Polyisobutene providers are as follows:

• In August 2021, to better promote their brand in the Polyisobutene market, Chevron Oronite, a subsidiary of Chevron Corporation, sponsored and displayed Polyisobutene, dispersants, PIBSA, and other goods at the Specialty & Agro Chemicals America conference.
• In March 2021, the Pollution Control Board granted the right to Kothari Petrochemicals to operate for expansion. This consent from the government will enhance the production capacity of Polyisobutene. They are now India's leading manufacturer of high-quality Polyisobutene.
• In January 2019, Saudi Aramco and Total Energies mutually agreed to collaborate with Daelim Co. Ltd. to develop a modern Polyisobutene plant, which is expected to commence their production in 2024. Owing to the facility’s location in Saudi Arabia, Daelim Co. Ltd. will be able to serve its clients throughout the Middle East, as well as the markets in Europe and Asia.
• In 2019, Lubrizol Corporation, alongside Daelim Industrial constructed a new Polyisobutene unit at Deer Park, Texas. As part of the company's previously stated 10-year phased investment strategy, Lubrizol is continuing to update its additive infrastructure with the construction of this facility. Lubrizol's global capabilities will be upgraded and enhanced as part of the strategy.

Similarly, recent developments related to companies Polyisobutene Market have been tracked by the team at Fact.MR, which are available in the full report.

Polyisobutene Market Report Scope

Market Segments Covered in Polyisobutene Market Analysis

• By Product Type :

  • Conventional
  • Highly Reactive

• By Molecular Weight :

  • High
  • Medium
  • Low

• By End-Use :

  • Automotive
  • Industrial
  • Food
  • Other End-Users

• By Region :

  • North America
  • Latin America
  • Europe
  • APAC
  • MEA