Internal Olefins Market Size

Internal Olefins Market Size

Internal Olefins Market size was above USD 1.5 billion in 2016 and industry expects consumption of over 850 kilo tons by 2024.

Positive outlook from oil & gas, pharmaceutical, surfactants and agriculture industry should drive internal olefins market size. Increasing urbanization & industrialization rate and growing vehicle ownership along with shift in preference for luxurious lifestyle may propel product demand.

Rise in crude oil exploration & production have resulted into increase in oil drilling process. Internal olefins are widely used in oil drilling as oilfield chemicals. It is added in drilling muds to minimize drill cuts and reduce impact on environment. North America accounted for drilling of over 18,000 wells in 2016 owing to strong presence of shale oil & gas resources. Favourable government initiatives and huge investments in oil drilling & shale gas exploration activities should boost well drilling. Increase in environmental concerns prominently in oil & gas sector has led to usage of environmentally safe synthetic fluid bases to improve oil & gas drilling, subsequently enhancing product demand.
 

Strong application scope in lubricants industry should drive internal olefins market size. Rapid industrialization owing to high investments in this sector along with shift in consumer preference towards luxurious lifestyle has led to growth of personal vehicle ownership.  Internal olefins are preferred over its counterparts due to its thermal stability, wear & tear protection, low friction, good load carrying capacity. Global synthetic lubricants market is poised to surpass USD 5 billion by 2024, owing to growth in automotive sector in India, Brazil and China. The product is categorized as biodegradable and low toxic chemical which is likely to support minimum carbon emission thereby stimulating product demand.
 

Substitutes including alpha olefins, LAO and PAO which have enhanced properties and high purity may pose threat to market growth and affect internal olefins market price trend. Easy availability and cost effectiveness of ethylene as prominent raw material for the substitutes which have strong application outlook in oil drilling and lubricants may limit industry growth.