Bitumen Market

Bitumen Market Outlook (2024 to 2034)

The global bitumen market is expected to be worth US$ 76.2 billion in 2024 and climb to a valuation of US$ 116 billion by the end of 2034, with expansion projected at a CAGR of 4.3% from 2024 to 2034.

Bitumen, also known as asphalt, is a dense, black, and adhesive material derived from crude oil through a refining process called fractional distillation. Comprised of complex hydrocarbon compounds, bitumen occurs naturally in deposits or as a byproduct of petroleum refining.

With increasing construction around the world, consumption of bitumen is on the rise, given its indispensable role as a foundational component. Bitumen is a crucial element in infrastructure development, including roads, highways, roofing, and waterproofing. However, the bitumen market is constantly evolving, influenced by various factors such as the economy, emerging technologies, and environmental concerns.

Key Market Growth Drivers

• The incessant need for infrastructure expansion, particularly in developing nations like India, is significantly contributing to the growth of the bitumen market.
• Development of any country or city involves road construction, highways, airports, and infrastructure projects that rely on bitumen, thus propelling its demand and shaping market trends.
• Expansion of the transportation sector, with the automotive industry at its core, is boosting the demand for bitumen in road surfaces and pavement construction. As global car ownership rises, the requirement for well-maintained roads increases, fostering bitumen market growth.
• Apart from new construction projects, maintenance and repair activities on existing infrastructure play a crucial role in driving bitumen demand. Conducting regular upkeep, resurfacing, and repair work ensures the longevity and safety of roads, necessitating a continuous supply of bitumen-based materials.
• Beyond road construction, the demand for bitumen is also escalating in waterproofing applications for infrastructure, buildings, and roofing projects.
• Bitumen-based waterproofing membranes provide robust protection against water ingress.

Report Attributes	Details
Bitumen Market Size (2024E)	US$ 76.2 Billion
Forecasted Market Value (2034F)	US$ 116 Billion
Global Market Growth Rate (2024 to 2034)	4.3% CAGR
East Asia Market Share (2024E)	22.4%
North America Growth Rate (2024 to 2034)	7.2% CAGR
Waterproofing Segment Market Value (2034F)	US$ 35.3 Billion
Key Companies Profiled	Hindustan Petroleum Corporation Limited; Sinopec; Royal Dutch Shell PLC; Total Oil India Pvt. Ltd.; China National Petroleum Corporation; CNOOC Limited; Rhine Middle East LLC; Indian Oil Corporation Ltd.; Wellbank Global PTE Ltd.; Kimya Refinery Group; Regional Petroleum Products Corporation; The Bahrain Petroleum Company B.S.C.; Muscat International Bitumen LLC; BNB Bitumen Private Limited

Which Bitumen Market Trends Should Manufacturers Leverage?

“Rising Adoption of Bitumen 4.0 and Focus on Creating Pavements with Extended Service Life”

Advancement of Bitumen 4.0 is generating revenue opportunities for industry players. Manufacturers are ramping up the production of polymer-modified bitumen (PMB), enhancing fatigue performance and resistance to deformation. This aids in the creation of pavements with extended service lives, which is crucial for publicly funded road networks.

Advanced bitumen solutions align with the safety objectives of governments and road authorities. These treatments are being integrated into asphalt mixes to enhance skid resistance and create visually appealing, textured surfaces. Increasing demand from bus lanes, bus stops, and bicycle pathways is driving the need for these advanced bitumen solutions.

What is Negatively Influencing Expansion of Global Bitumen Market Size?

“Fluctuating Crude Oil Prices and Environmental Concerns Associated with Bitumen Products”

Fluctuating crude oil prices and environmental concerns over the use of bitumen products are significant factors projected to constrain revenue growth. In addition, the increased availability of less expensive alternatives, such as concrete, is further limiting the growth of the bitumen market. Bitumen, primarily derived from crude oil, is highly susceptible to fluctuations in crude oil prices, exerting a considerable influence on the market.

Manufacturers are shifting their focus towards producing eco-friendly bitumen products in response to the rising demand for sustainable and environmentally friendly alternatives. The demand for such environmentally friendly bitumen products is anticipated to increase as recycled materials, including waste plastic and rubber, are progressively integrated into bitumen manufacturing processes.

Country-wise Insight

The North American and European markets for bitumen are projected to witness steady growth over the projection period due to increasing construction and redevelopment activities. East Asia is a leading player and is projected to hold 22.4% of the global bitumen market share in 2024.

Why is China Grabbing the Attention of Bitumen Manufacturers?

“Extensive Infrastructure Development and Need for Transportation Network Expansion”

Attribute	China
Market Value (2024E)	US$ 9.8 Billion
Growth Rate (2024 to 2034)	6.3% CAGR
Projected Value (2034F)	US$ 18.1 Billion

Bitumen sales are increasing at a steady pace in China, driven by economic expansion and extensive infrastructure development initiatives such as highways, roads, and airports. Given its vast population and expansive land area, China requires a robust transportation network, thereby necessitating road construction and maintenance, which rely heavily on bitumen. Moreover, the Chinese government's proactive initiatives, such as the Belt and Road Initiative (BRI), have expedited infrastructure investments, thus fueling the demand for bitumen.

How Fast is Demand for Bitumen Rising in the United States?

“Expansive Transportation Network Boosting Demand for Bitumen for Maintenance”

Attribute	United States
Market Value (2024E)	US$ 7.8 Billion
Growth Rate (2024 to 2034)	7.1% CAGR
Projected Value (2034F)	US$ 15.5 Billion

Sales volume of bitumen is on the rise in the United States, driven by the extensive transportation network comprising highways, roads, bridges, and more. The constant need for bitumen arises from the ongoing maintenance and construction of these infrastructures across the country.

An extensive transportation network in the United States facilitates long-distance travel for both goods and individuals. Thus, there is a consistent demand for durable and reliable road surfaces. Furthermore, with continual urban expansion and population growth, especially in metropolitan areas, the demand for new construction projects and infrastructure enhancements is increasing at a significant pace.

Category-wise Insights

Based on grade, the market is segmented into paving grade, hard grade, oxidized/blown grade, bitumen emulsion, and polymer-modified binder. The demand for paving grade and oxidized/blown grade is projected to increase at a faster pace compared to other types through 2034.

Which Application Accounts for Higher Utilization of Bitumen?

“Vital Role of Bitumen in Waterproofing to Preserve Structural Integrity of Buildings”

Attribute	Waterproofing
Segment Value (2024E)	US$ 24.2 Billion
Growth Rate (2024 to 2034)	3.8% CAGR
Projected Value (2034F)	US$ 35.3 Billion

Bitumen plays a crucial role in waterproofing applications in construction, encompassing roof membranes, waterproofing compounds, and sealants for foundations. Global significance of waterproofing is rising in response to growing demand in residential, commercial, and industrial construction sectors. Bitumen possesses qualities conducive to effective water protection, contributing to the longevity and structural integrity of buildings. Bitumen-based materials are indispensable in contemporary construction practices, whether safeguarding a residential roof from the elements or sealing the foundation of a commercial structure.

What is Prompting Use of Bitumen in Road Surfacing?

“Bitumen Ensuring Resilience Against Heavy Traffic and Extreme Weather Conditions”

Attribute	Road Surfacing
Segment Value (2024E)	US$ 16.4 Billion
Growth Rate (2024 to 2034)	4% CAGR
Projected Value (2034F)	US$ 24.2 Billion

Bitumen plays a crucial role in road construction and maintenance activities. The demand for bitumen in road surfacing is escalating due to the expansion of transportation networks in many countries. Additionally, in nations like the United States, the need for road surfacing is growing due to the ongoing maintenance requirements of roads and other infrastructures. The flexibility and strength of bitumen make it well-suited for both new and existing road construction and repair projects. Bitumen surfaces exhibit resilience against heavy traffic and extreme weather conditions, rendering them ideal for highways, urban roads, and rural pathways.

Competitive Landscape

Key players in the bitumen industry include Hindustan Petroleum Corporation Limited, Sinopec, Royal Dutch Shell PLC, Total Oil India Pvt. Ltd., China National Petroleum Corporation, CNOOC Limited, Rhine Middle East LLC, Indian Oil Corporation Ltd., Wellbank Global PTE Ltd., Kimya Refinery Group, Regional Petroleum Products Corporation, The Bahrain Petroleum Company B.S.C., Muscat International Bitumen LLC, and BNB Bitumen Private Limited. These companies are boosting their investment in research and development to create low-cost waterproofing materials that can endure high temperatures.

• In November 2023, Omnipotent Industries Ltd. started commercial operations at its new bitumen processing plant in Kandla. The Gujarat-based factory guarantees access to raw materials and delivery. This transaction is intended to enhance Omnipotent's supply chain, improving market responsiveness and aligning with the company's overall sustainability mission.
• In September 2023, GOIL PLC entered the West African bitumen industry by offering novel products, especially polymer-modified bitumen (PMB) and bitumen emulsion, as part of its continuous diversification strategy. The US$ 45 million project is a joint venture between GOIL PLC and Côte d'Ivoire's Société Multinationale de Bitumes (SMB).
• In July 2020, Total SA, a French energy behemoth, and India's top oil corporation, Indian Oil Corp (IOC), formed a 50:50 joint venture to manufacture and distribute high-quality bitumen derivatives and specialist goods for India's burgeoning road-building sector.

Fact.MR provides detailed information about the price points of key manufacturers of bitumen positioned across the world, sales growth, production capacity, and speculative technological expansion, in this new market report.

Segmentation of Bitumen Market Research

• By Product Type:

  • Paving Grade
  • Hard Grade
  • Oxidized/Blown Grade
  • Bitumen Emulsion
  • Polymer Modified Binders (PMBs)

• By End Use:

  • Road Surfacing
  • Waterproofing
  • Others (Insulating, Sealing, Paint, etc.)

• By Region:

  • North America
  • Europe
  • Latin America
  • East Asia
  • South Asia & Oceania
  • Middle East & Africa