Liquefied Petroleum Gas Market Size (2024 - 2029)

The Liquefied Petroleum Gas market is anticipated to experience growth driven by government initiatives promoting cleaner fuel usage, despite challenges related to storage and supply continuity. The market has rebounded to pre-pandemic levels, with increasing demand from a growing population and a heightened focus on emission control presenting significant opportunities. North America leads in market dominance due to a rise in LPG usage.

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Market Size of Liquefied Petroleum Gas Industry

Liquefied Petroleum Gas Market Summary
Study Period 2020 - 2029
Base Year For Estimation 2023
CAGR (2024 - 2029) 5.00 %
Fastest Growing Market Asia Pacific
Largest Market North America
Market Concentration Medium

Major Players

Liquefied Petroleum Gas Market Major Players

*Disclaimer: Major Players sorted in no particular order

Liquefied Petroleum Gas (LPG) Market Analysis

The Liquefied Petroleum Gas Market is expected to register a CAGR of greater than 5% during the forecast period.

COVID-19 negatively impacted the market in 2020. Presently the market has reached pre-pandemic levels.

  • Over the long term, the increasing consumption of LPG on account of government initiatives to increase the usage of cleaner fuel projects is expected to drive the market.
  • On the other hand, the problem in LPG storage and their non-continuous supply is expected to hinder the market's growth.
  • Nevertheless, the increasing demand for LPG by the growing population and increasing focus on emission control is expected to create enormous opportunities for the liquefied petroleum gas market.
  • North America dominates the market due to increased usage of LPG in recent years.

Liquefied Petroleum Gas (LPG) Industry Segmentation

Liquefied petroleum gas is a combustible mixture of hydrocarbon gases, including propane, propylene, butylene, isobutane, and n-butane. LPG is a fuel gas that is used in heating appliances, cooking equipment, and automobiles. It is called liquefied gas because it is easily transformed into a liquid.

The liquefied petroleum gas market is segmented by the source of production, application, and geography. By source of production, the market is segmented into crude oil and natural gas liquids. By applications, the market is segmented into residential, commercial & industrial, auto fuels, and others. The report also covers the market size and forecasts for the liquified petroleum gas market across major regions (North America, South America, Europe, Asia-Pacific, and Middle-East and Africa). For each segment, the market sizing and forecasts have been done based on revenue (USD billion).

Source of Production
Crude Oil
Natural Gas Liquids
Application
Residential
Commercial & Industrial
Autofuels
Other Applications
Geography [Market Size and Demand Forecast till 2028 (for regions only)]
North America
United States
Canada
Rest of North America
Europe
Norway
Netherlands
United Kingdom
Germany
Rest of Europe
Asia-Pacific
China
India
South Korea
Japan
Rest of Asia-Pacific
Middle East and Africa
Saudi Arabia
Qatar
South Africa
Rest of Middle East and Africa
South America
Brazil
Argentina
Chile
Rest of South America
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Liquefied Petroleum Gas Market Size Summary

The liquefied petroleum gas (LPG) market is poised for significant growth, driven by increasing consumption due to government initiatives promoting cleaner fuel usage. Despite challenges such as storage issues and non-continuous supply, the market is expected to benefit from rising demand fueled by population growth and a heightened focus on emission control. North America stands out as a dominant region in the LPG market, largely due to its substantial production from natural gas, which surpasses that from crude oil. The region's prominence is further bolstered by key players like the United States and Canada, which are major producers and exporters of LPG.

Globally, LPG production is predominantly derived from natural gas, with North America leading in this aspect. The extraction process from natural gas is more cost-effective than from crude oil, as it does not require oil refineries, making it a preferred method. The market is moderately fragmented, with major companies such as BP PLC, Exxon Mobil Corporation, and Indian Oil Corporation Ltd playing significant roles. Recent developments, such as infrastructure expansions and new plant constructions, underscore the industry's commitment to meeting growing demand and enhancing production capabilities. Government incentives and initiatives in regions like Canada are expected to further accelerate market growth, particularly in the transport and cooking sectors, by encouraging the use of LPG to reduce reliance on conventional fossil fuels.

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Liquefied Petroleum Gas Market Size - Table of Contents

  1. 1. MARKET OVERVIEW

    1. 1.1 Introduction

    2. 1.2 Market Size and Demand Forecast, in USD billion, till 2028

    3. 1.3 Recent Trends and Developments

    4. 1.4 Government Policies and Regulations

    5. 1.5 Market Dynamics

      1. 1.5.1 Drivers

      2. 1.5.2 Restraints

    6. 1.6 Supply Chain Analysis

    7. 1.7 Porter's Five Forces Analysis

      1. 1.7.1 Bargaining Power of Suppliers

      2. 1.7.2 Bargaining Power of Consumers

      3. 1.7.3 Threat of New Entrants

      4. 1.7.4 Threat of Substitutes Products and Services

      5. 1.7.5 Intensity of Competitive Rivalry

  2. 2. MARKET SEGMENTATION

    1. 2.1 Source of Production

      1. 2.1.1 Crude Oil

      2. 2.1.2 Natural Gas Liquids

    2. 2.2 Application

      1. 2.2.1 Residential

      2. 2.2.2 Commercial & Industrial

      3. 2.2.3 Autofuels

      4. 2.2.4 Other Applications

    3. 2.3 Geography [Market Size and Demand Forecast till 2028 (for regions only)]

      1. 2.3.1 North America

        1. 2.3.1.1 United States

        2. 2.3.1.2 Canada

        3. 2.3.1.3 Rest of North America

      2. 2.3.2 Europe

        1. 2.3.2.1 Norway

        2. 2.3.2.2 Netherlands

        3. 2.3.2.3 United Kingdom

        4. 2.3.2.4 Germany

        5. 2.3.2.5 Rest of Europe

      3. 2.3.3 Asia-Pacific

        1. 2.3.3.1 China

        2. 2.3.3.2 India

        3. 2.3.3.3 South Korea

        4. 2.3.3.4 Japan

        5. 2.3.3.5 Rest of Asia-Pacific

      4. 2.3.4 Middle East and Africa

        1. 2.3.4.1 Saudi Arabia

        2. 2.3.4.2 Qatar

        3. 2.3.4.3 South Africa

        4. 2.3.4.4 Rest of Middle East and Africa

      5. 2.3.5 South America

        1. 2.3.5.1 Brazil

        2. 2.3.5.2 Argentina

        3. 2.3.5.3 Chile

        4. 2.3.5.4 Rest of South America

Liquefied Petroleum Gas Market Size FAQs

The Liquefied Petroleum Gas Market is projected to register a CAGR of greater than 5% during the forecast period (2024-2029)

BP Plc., Sinopec Corp., Abu Dhabi National Oil Company (ADNOC), Exxon Mobil Corporation and Indian Oil Corporation Ltd. are the major companies operating in the Liquefied Petroleum Gas Market.

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