Butane Market Size & Share Analysis - Growth Trends & Forecasts (2025 - 2030)

The Report Covers Butane Market Trends and Companies and is segmented by end-user industry (residential/commercial, industrial (including chemical feedstock), engine fuel, refinery, and other end-user industries), source (natural gas processing and refining), and geography (Asia-Pacific, North America, Europe, South America, and Middle-East and Africa). The market size and forecast for Butane Market in volume (Million Tons) for all the above segments.

Butane Market Size

Butane Market Summary

Butane Market Analysis

The Butane Market is expected to register a CAGR of greater than 6% during the forecast period.

The butane market was affected by the COVID-19 virus, as it is used in the residential sector. The major use of butane is in LPG, which increased demand during the pandemic as most families were confined to their homes. The consumption of LPG cylinders spiked exponentially for a major part of the year. India, the second largest LPG consumer, also saw a hike in demand. According to the Oil Ministry, the sales of domestic LPG have registered a growth of 10.3 % during the fiscal year (April 2020 to February 2021). After the COVID era, the other sectors have also started to open up, thus keeping the demand for butane high along with its usage in the residential sector, which had not seen much of a hit since the pandemic. Therefore, the demand for butane is positively impacted in the post-pandemic era.

  • Over the long term, one of the major factors driving the market studied is the rising demand from the petrochemical industries. Apart from this, increasing demand from the metalworking and construction Industry is also considered one of the reasons driving the market forward.
  • However, increasing research and development in renewable sources are expected to negatively affect the market's growth.
  • Nevertheless, the increasing use of butane in power generation will likely act as an opportunity.
  • Asia-Pacific dominated the world market, with the largest consumption generated by China and India.

Butane Industry Overview

The butane market is highly fragmented, with international and local players in individual countries. The major companies include (not in particular order) Exxon Mobil Corporation, BP plc, Shell plc, Chevron Phillips Chemical Company LLC, and Merck KGaA, among others.

Butane Market Leaders

  1. Merck KGaA

  2. Exxon Mobil Corporation

  3. Chevron Phillips Chemical Company LLC

  4. BP plc

  5. Shell plc

  6. *Disclaimer: Major Players sorted in no particular order
Butane Market Concentration
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Butane Market News

  • November 2022: BW LPG Limited announced the complete acquisition of Vilma Oil's LPG Trading Operations, which will help the company to accelerate its ambition to expand the Product Services division in the LPG segment.
  • June 2022: Otodata Holding Inc. announced the acquisition of AIUT's LPG branch, which will help the company provide its customers across the globe with advanced data readout, monitoring, metering, and analysis across the LPG and industrial gas industry.

Butane Market Report - Table of Contents

1. INTRODUCTION

  • 1.1 Study Deliverables
  • 1.2 Study Assumptions
  • 1.3 Scope of the Study

2. RESEARCH METHODOLOGY

3. EXECUTIVE SUMMARY

4. MARKET DYNAMICS

  • 4.1 Drivers
    • 4.1.1 Rising Demand in Petrochemical Industry
    • 4.1.2 Increasing Demand from Metal Working and Construction Industry
  • 4.2 Restraints
    • 4.2.1 Increasing R&D in the Field of Renewable Sources
    • 4.2.2 Other Restraints
  • 4.3 Industry Value Chain Analysis
  • 4.4 Porter's Five Forces Analysis
    • 4.4.1 Bargaining Power of Suppliers
    • 4.4.2 Bargaining Power of Consumers
    • 4.4.3 Threat of New Entrants
    • 4.4.4 Threat of Substitute Products and Services
    • 4.4.5 Degree of Competition

5. MARKET SEGMENTATION (Market Size in Volume)

  • 5.1 End-user Industry
    • 5.1.1 Residential/Commercial
    • 5.1.2 Industrial ( including Chemical Feed Stock)
    • 5.1.3 Engine Fuel
    • 5.1.4 Refinery
    • 5.1.5 Other End-user Industries
  • 5.2 Source
    • 5.2.1 Natural Gas
    • 5.2.2 Refining
  • 5.3 Geography
    • 5.3.1 Asia-Pacific
    • 5.3.1.1 China
    • 5.3.1.2 India
    • 5.3.1.3 Japan
    • 5.3.1.4 South Korea
    • 5.3.1.5 Rest of Asia-Pacific
    • 5.3.2 North America
    • 5.3.2.1 United States
    • 5.3.2.2 Canada
    • 5.3.2.3 Mexico
    • 5.3.3 Europe
    • 5.3.3.1 Germany
    • 5.3.3.2 United Kingdom
    • 5.3.3.3 Italy
    • 5.3.3.4 France
    • 5.3.3.5 Rest of Europe
    • 5.3.4 South America
    • 5.3.4.1 Brazil
    • 5.3.4.2 Argentina
    • 5.3.4.3 Rest of South America
    • 5.3.5 Middle East & Africa
    • 5.3.5.1 Saudi Arabia
    • 5.3.5.2 South Africa
    • 5.3.5.3 Rest of Middle East & Africa

6. COMPETITIVE LANDSCAPE

  • 6.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements
  • 6.2 Market Share (%) **/Ranking Analysis
  • 6.3 Strategies Adopted by Leading Players
  • 6.4 Company Profiles
    • 6.4.1 BP plc
    • 6.4.2 Chevron Phillips Chemical Company LLC
    • 6.4.3 China Petrochemical Corporation
    • 6.4.4 ConocoPhillips Company
    • 6.4.5 Dow
    • 6.4.6 Exxon Mobil Corporation
    • 6.4.7 Linde plc
    • 6.4.8 Merck KGaA
    • 6.4.9 Shell plc
    • 6.4.10 TotalEnergies
  • *List Not Exhaustive

7. MARKET OPPORTUNITIES AND FUTURE TRENDS

  • 7.1 Increasing Usage of Butane in Power Generation
**Subject to Availability
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Butane Industry Segmentation

An alkane with the formula C4H10 is said to be Butane. It is a highly flammable, colorless, easily liquefied gas that quickly vaporizes at room temperature. Butane serves many purposes, out of which a few are as a fuel for cigarette lighters and portable stoves, a propellant in aerosols, a heating fuel, a refrigerant, and in the manufacture of a wide range of products. The butane market is segmented by end-user industry, source, and geography. By end-user industry, the market is segmented into residential/commercial, industrial (including chemical feedstock), engine fuel, refinery, and other end-user industries. By source, the market is segmented into natural gas processing and refining. The report also covers the market size and forecasts for the butane market in 15 countries across major regions. The market sizing and forecasts are based on volume (million tons) for each segment.

End-user Industry Residential/Commercial
Industrial ( including Chemical Feed Stock)
Engine Fuel
Refinery
Other End-user Industries
Source Natural Gas
Refining
Geography Asia-Pacific China
India
Japan
South Korea
Rest of Asia-Pacific
North America United States
Canada
Mexico
Europe Germany
United Kingdom
Italy
France
Rest of Europe
South America Brazil
Argentina
Rest of South America
Middle East & Africa Saudi Arabia
South Africa
Rest of Middle East & Africa
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Butane Market Research FAQs

What is the current Butane Market size?

The Butane Market is projected to register a CAGR of greater than 6% during the forecast period (2025-2030)

Who are the key players in Butane Market?

Merck KGaA, Exxon Mobil Corporation, Chevron Phillips Chemical Company LLC, BP plc and Shell plc are the major companies operating in the Butane Market.

Which is the fastest growing region in Butane Market?

Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2025-2030).

Which region has the biggest share in Butane Market?

In 2025, the Asia Pacific accounts for the largest market share in Butane Market.

What years does this Butane Market cover?

The report covers the Butane Market historical market size for years: 2019, 2020, 2021, 2022, 2023 and 2024. The report also forecasts the Butane Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.

Butane Industry Report

Statistics for the 2025 Butane market share, size and revenue growth rate, created by Mordor Intelligenceā„¢ Industry Reports. Butane analysis includes a market forecast outlook for 2025 to 2030 and historical overview. Get a sample of this industry analysis as a free report PDF download.

Butane Market Report Snapshots

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Butane Market Size & Share Analysis - Growth Trends & Forecasts (2025 - 2030)