Malaysia Refined Petroleum Products Market Size
| Study Period | 2020 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2020 - 2022 |
| CAGR | 2.30 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Malaysia Refined Petroleum Products Market Analysis
The Malaysian refined petroleum products market was estimated to have a value of about USD 15,078.93 million at the end of 2022. It is projected to register at a CAGR of about 2.3% during the forecast period.
The market was negatively impacted by COVID-19 in 2020. It has now reached pre-pandemic levels.
- Over the long term, the major driving factor of the market is expected to be the surging demand for refined petroleum products in the country.
- On the flip side, the increasing adoption of alternative fuel vehicles (AFVs) is expected to slow down the growth of the market during the forecast period.
- High demand for LPG from the petrochemical sector is expected to create immense opportunities for Malaysia's refined petroleum products soon.
Malaysia Refined Petroleum Products Market Trends
This section covers the major market trends shaping the Malaysia Refined Petroleum Products Market according to our research experts:
Petrol Product Type Expected to Dominate the Market
- Petrol, also known as gasoline, is a petroleum-derived flammable liquid used in most spark-ignited internal combustion engines, such as passenger cars, motorcycles, and commercial vehicles. Petrol is produced by the fractional distillation of crude oil, enhanced with various additives to induce particular properties.
- On average, the refineries produce about 19 to 20 gallons of petrol from a barrel of crude oil. Petrol used in vehicles is added with various additives. Furthermore, these additives resist igniting too early, reducing the efficiency of reciprocating engines.
- The blends of a compound such as tetraethyl lead and other chemicals are added to petrol to improve its chemical stability and performance characteristics, control corrosiveness, and provide fuel system cleaning. Furthermore, petrol sometimes also contains chemicals such as ethanol, methyl tertiary-butyl ether, or ethyl tertiary-butyl ether, which improves the overall combustion of the vehicles.
- Moreover, due to government subsidies, Malaysia has the 10th lowest petrol prices in the world. In 2022, the petrol price was around USD 46.6 cents per liter. The demand for petrol is likely to grow in the near future due to rapid industrialization and urbanization in the country. This development has resulted in higher demand for passenger vehicles and two-wheelers in the country.
- Furthermore, in 2021, the country had about 4,000 retail fueling stations. Petroliam Nasional Berhad and Shell PLC are significant companies in Malaysia in terms of operational retail fueling stations. Both of these companies have more than 1,000 retail fueling stations. The number of retail fueling stations is expected to grow in the near future as new companies enter the retail fuel market. Five Petroleum Malaysia launched its first petroleum station in the country in 2020. In April 2022, Petros, one of the leading companies in the country, also announced a new multi-fuel service station. Such developments are expected to boost the sale of petrol in the country during the forecast period.
- Therefore, based on the factors mentioned above, petrol product type is expected to dominate the Malaysian refined petroleum products market during the forecast period.
Surging Demand for Refined Petroleum Products Driving the Market Demand
- Malaysia has witnessed a steady growth in sales of manufactured refined petroleum products for the past several years. The increase in refined petroleum products can be mainly attributed to the growing demand for LPG as cooking fuel in homes and particularly as a transport fuel.
- Malaysia has invested heavily in refining activities during the past two decades to meet its demand for petroleum products with domestic supplies. As of 2021, Malaysia has about 880,000 barrels per day (b/d) refining capacity in seven facilities spread across the country.
- As part of Malaysia's goal to construct the oil refining and storage hub to meet the domestic demand for refined petroleum products, Petronas has invested about USD 16 billion in the Refining and Petrochemicals Integrated Development Project (RAPID) in Johor. At the same time, an investment of nearly USD 11 billion for associated facilities. The project has a nameplate capacity of 279,000 b/d and is expected to be fully commissioned by the end of 2022. The RAPID facility will be the country's first refinery to produce diesel and gasoline that meet the Euro V standard, which lowers carbon dioxide emission levels.
- However, with the growing demand for petroleum products and Malaysia's focus on self-reliance to meet the demand, the downstream infrastructure in the region is expected to increase significantly in the coming years. The country has formulated plans to either expand the current refineries or construct new ones.
- Furthermore, Malaysia is planning on increasing downstream activities by creating higher value-added petroleum products and becoming the oil and gas storage and trading hub in the region. In 2021, approximately 763 thousand barrels of oil were consumed daily in Malaysia. Therefore, Malaysia's plan to increase the refined petroleum plant's capacity is expected to boost the refined petroleum products market.
- Therefore, owing to the above-mentioned factors, the growing demand for petroleum products is expected to drive the Malaysian refined petroleum products market during the forecast period.
Malaysia Refined Petroleum Products Industry Overview
The Malaysian refined petroleum products market is fragmented in nature. Some of the major players in the market (in no particular order) include Chevron Corporation, Petroliam Nasional Berhad, Shell PLC, FIVE Petroleum Malaysia Sdn Bhd, and Petron Malaysia Refining & Marketing Bhd.
Malaysia Refined Petroleum Products Market Leaders
Chevron Corporation
Petroliam Nasional Berhad
Shell PLC
FIVE Petroleum Malaysia Sdn Bhd
Petron Malaysia Refining & Marketing Bhd
*Disclaimer: Major Players sorted in no particular order
Malaysia Refined Petroleum Products Market News
- August 2022: Sime Darby Motors Malaysia (SDM) announced that it is on track with its plan to construct an electric vehicle charging station on the Peninsular Malaysia highway at a distance of every 200-300 kilometers. The company has a total of 33 electric vehicle charging stations across the KlangValley, Johor, and Penang.
- April 2022: Petroleum Sarawak Berhad launched a multi-fuel station in DarulHana, that is likely to cater to vehicles that are powered by hydrogen, electricity, petrol, or diesel.
Malaysia Refined Petroleum Products Market Report - Table of Contents
1. INTRODUCTION
1.1 Scope of the Study
1.2 Market Definition
1.3 Study Assumptions
2. EXECUTIVE SUMMARY
3. RESEARCH METHODOLOGY
4. MARKET OVERVIEW
4.1 Introduction
4.2 Refined Petroleum Products Consumption Forecast in million tons of Oil Equivalent, till 2027
4.3 Market Size and Demand Forecast, in USD million, till 2027
4.4 Recent Trends and Developments
4.5 Government Policies and Regulations
4.6 Market Dynamics
4.6.1 Market Drivers
4.6.2 Market Restraints
4.7 Supply Chain Analysis
4.8 PESTLE Analysis
5. MARKET SEGMENTATION - By Product Type
5.1 Petrol
5.2 Diesel
5.3 LPG
5.4 Other Product Types (Including Kerosene and Aviation Fuel)
6. COMPETITIVE LANDSCAPE
6.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements
6.2 Strategies Adopted by Leading Players
6.3 Company Profiles
6.3.1 Chevron Corporation
6.3.2 Petroliam Nasional Berhad
6.3.3 Shell PLC
6.3.4 FIVE Petroleum Malaysia Sdn Bhd
6.3.5 Petron Malaysia Refining & Marketing Bhd
6.3.6 Petroleum Sarawak Berhad
6.3.7 Gas Malaysia Berhad
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
Malaysia Refined Petroleum Products Industry Segmentation
Petroleum refined fuels are derived from crude oil through processes such as catalytic cracking and fractional distillation.
The market includes the demand and supply of different refined products, including petrol, diesel, LPG, kerosene, aviation fuel, and fuel oil across Malaysia. For each segment, the market sizing and forecasts are calculated based on revenue (in USD million).
Malaysia Refined Petroleum Products Market Research FAQs
What is the current Malaysia Refined Petroleum Products Market size?
The Malaysia Refined Petroleum Products Market is projected to register a CAGR of 2.30% during the forecast period (2024-2029)
Who are the key players in Malaysia Refined Petroleum Products Market?
Chevron Corporation, Petroliam Nasional Berhad, Shell PLC, FIVE Petroleum Malaysia Sdn Bhd and Petron Malaysia Refining & Marketing Bhd are the major companies operating in the Malaysia Refined Petroleum Products Market.
What years does this Malaysia Refined Petroleum Products Market cover?
The report covers the Malaysia Refined Petroleum Products Market historical market size for years: 2020, 2021, 2022 and 2023. The report also forecasts the Malaysia Refined Petroleum Products Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Malaysia Refined Petroleum Products Industry Report
Statistics for the 2024 Malaysia Refined Petroleum Products market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Malaysia Refined Petroleum Products analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
