Energy Chemicals Market Report 2025

This report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market’s historic and forecast market growth by geography.

The energy chemicals market size has grown strongly in recent years. It will grow from $124.6 billion in 2024 to $134.68 billion in 2025 at a compound annual growth rate (CAGR) of 8.1%. The growth in the historic period can be attributed to rising demand for chemicals in carbon capture, demand for energy-efficient processes, rising demand for corrosion inhibitors in energy infrastructure, growth of the fuel additives market, rising demand for chemicals in electric grid maintenance.

The energy chemicals market size is expected to see strong growth in the next few years. It will grow to $174.09 billion in 2029 at a compound annual growth rate (CAGR) of 6.6%. The growth in the forecast period can be attributed to rising global energy consumption, increasing in energy transition initiatives, renewable energy policies stimulating, growing demand for petrochemicals, increasing demand for specialty chemicals in energy production. Major trends in the forecast period include technological innovations in fracking, development of advanced drilling techniques, investment in smart grid technology, adoption of digitalization in energy production, expansion of biomass energy facilities.

The rise in global energy consumption is expected to propel the growth of the energy chemicals market going forward. The adoption of technology, including electronic devices, electric vehicles, and smart appliances, contributes to increased energy consumption. Energy chemicals, such as fuel additives and catalysts, can help to improve energy consumption by enhancing the efficiency of energy production processes, reducing emissions, and improving fuel economy in vehicles and industrial applications. For instance, in 2022, according to the Energy Information Administration, a US-based government agency, in the United States, primary energy consumption reached a notable 100.4 quadrillion british thermal units (quads) in 2022, marking a 3% increase from the preceding year. Therefore, the rise in energy consumption is driving the growth of the energy chemicals market.

Leading companies in the energy chemicals market are prioritizing the development of sustainable and low-carbon energy solutions, such as biobased ethylene and sustainable aviation fuel (SAF), to lower greenhouse gas emissions and meet increasing market demand. Biobased ethylene and SAF are renewable, biomass-derived alternatives that help reduce emissions in their respective industries. For example, in March 2024, New Energy Blue LLC, a US-based company specializing in sustainable and low-carbon energy solutions, launched a subsidiary called New Energy Chemicals to produce American-sourced biobased ethylene and SAF. The subsidiary’s initial phase will focus on manufacturing biobased ethylene to support Dow’s low-carbon plastic production, while the second phase will expand operations at its Port Lavaca, Texas, facility to produce SAF from agricultural waste.

In July 2023, Saudi Arabian Oil Company, a Saudi Arabia-based global oil enterprise, acquired Rongsheng Petrochemical Co. Ltd. for $3.4 billion. This strategic investment allows Aramco to leverage the rising demand for petrochemicals in the region, enhancing its competitive edge in the global market. Rongsheng Petrochemical Co. Ltd., based in China, specializes in producing petrochemical products, including refined oil and various chemical materials.

Major companies operating in the energy chemicals market are Exxon Mobil Corporation, Royal Dutch Shell PLC, TotalEnergies SE, Chevron Corporation, Eni S.p.A., Reliance Industries Limited, BASF SE, Repsol S.A., The Dow Chemical Company, Saudi Basic Industries Corporation, LyondellBasell Industries N.V., Occidental Petroleum Corporation, Mitsubishi Chemical Holdings Corporation, Linde plc, Schlumberger Limited, Baker Hughes Company, Braskem S.A., PPG Industries Inc., Sasol Limited, Ecolab Inc., DuPont de Nemours Inc., Air Products and Chemicals Inc., Eastman Chemical Company, Huntsman Corporation, Clariant AG.

North America was the largest region in the energy chemicals market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the energy chemicals market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the energy chemicals market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The energy chemicals market consists of sales of drilling chemicals, refinery chemicals, catalysts, water treatment chemicals, and nuclear chemicals. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

Energy chemicals are substances used in the production, processing, and distribution of energy resources such as oil, natural gas, and renewable energy sources. Energy chemicals are formulated to enhance or manipulate energy levels within various systems. These chemicals play crucial roles in a wide array of industries and applications, from fuel production to pharmaceuticals.

The main types of energy chemicals are polymers, fuel additives, and solvents. Polymer energy chemicals refer to a class of polymers that are specifically designed and engineered for applications in energy-related devices and systems. They are used for petrochemicals, pharmaceutical, packaging products, cleaning and detergent products, automotive, and other applications by various end-use industries such as oil and gas, power generation, and construction.

The main types of energy chemicals are polymers, fuel additives, and solvents. Polymer energy chemicals refer to a class of polymers that are specifically designed and engineered for applications in energy-related devices and systems. They are used for petrochemicals, pharmaceutical, packaging products, cleaning and detergent products, automotive, and other applications by various end-use industries such as oil and gas, power generation, and construction.

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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