trending Market Intelligence /marketintelligence/en/news-insights/trending/9jqjq12l39rj3vjl2peyjq2 content
Log in to other products

Login to Market Intelligence Platform

 /


Looking for more?

Contact Us

Request a Demo

You're one step closer to unlocking our suite of comprehensive and robust tools.

Fill out the form so we can connect you to the right person.

If your company has a current subscription with S&P Global Market Intelligence, you can register as a new user for access to the platform(s) covered by your license at Market Intelligence platform or S&P Capital IQ.

  • First Name*
  • Last Name*
  • Business Email *
  • Phone *
  • Company Name *
  • City *
  • We generated a verification code for you

  • Enter verification Code here*

* Required

Thank you for your interest in S&P Global Market Intelligence! We noticed you've identified yourself as a student. Through existing partnerships with academic institutions around the globe, it's likely you already have access to our resources. Please contact your professors, library, or administrative staff to receive your student login.

At this time we are unable to offer free trials or product demonstrations directly to students. If you discover that our solutions are not available to you, we encourage you to advocate at your university for a best-in-class learning experience that will help you long after you've completed your degree. We apologize for any inconvenience this may cause.

In This List

IEA sees petrochemicals as biggest driver of global oil demand growth to 2050

Essential Energy Insights - September, 2020

Rate case activity slips, COVID-19 proceedings remain at the forefront in August

Bull market leaves US utilities behind in August

Utilities, midstream reckon with energy transformation on the horizon


IEA sees petrochemicals as biggest driver of global oil demand growth to 2050

Petrochemicals are set to become the leading driver of global oil demand ahead of the trucking, aviation and shipping industries, according to an analysis Paris-based International Energy Agency released Oct. 5.

"Our economies are heavily dependent on petrochemicals, but the sector receives far less attention than it deserves," IEA Executive Director Fatih Birol said. "Petrochemicals are one of the key blind spots in the global energy debate."

The IEA projects petrochemicals will account for 3.2 million barrels per day, or more than a third of the growth in global oil demand to 2030, and nearly 7 MMbbl/d, or nearly half of the global oil demand growth to 2050.

By contrast, the IEA expects the global shipping industry to account for 1.0 MMbbl/d of global oil demand growth to 2030 and the aviation and trucking industries to account for 1.7 MMbbl/d and 2.5 MMbbl/d, respectively.

The agency projects that the global petrochemical sector will also consume an additional 56 billion cubic meters of natural gas by 2030 and an additional 83 billion cubic meters by 2050.

"Petrochemicals are particularly important given how prevalent they are in everyday products," the IEA said. "They are also required to manufacture many parts of the modern energy system, including solar panels, wind turbines, batteries, thermal insulation and electric vehicles."

The IEA noted that demand growth for plastics, a key source of petrochemical demand, has outpaced that of all other bulk materials.

"Advanced economies currently use up to 20 times more plastic and up to 10 times more fertilizer than developing economies on a per capita basis, underscoring the huge potential for global growth," the IEA said.

The IEA expects that growth will outweigh efforts to curb consumption of single-use plastics and encourage recycling in developed economies.

The IEA noted that shale gas production growth has led the U.S., which now accounts for about 40% of the global ethane-based petrochemical production capacity, to once again become a low-cost center for petrochemicals production.

However, the IEA also said the Middle East remains the lowest-cost region for "many key petrochemicals" and is home to many petrochemical projects.