The average price of ethylene worldwide amounted to some *** U.S. dollars per metric ton in 2023. The global production capacity of ethylene reached approximately ****** million tons in 2022. Petrochemical products Ethylene is the most commonly used petrochemical globally. A major part of its production is used to produce polyethylene, a common plastic material that accounts for roughly ** percent of global thermoplastic production. Other ethylene-derived products include ethylene glycol, ethylene dichloride, and styrene. Apart from ethylene, other widely produced petrochemicals are propylene, methanol, and paraxylene. Together they account for over ** percent of the global upstream petrochemical capacity. Petrochemical prices Petrochemical prices are highly dependent on the price of oil and related products. Feedstock costs represent the largest share of petrochemical production costs, ahead of fixed costs, power, and transportation. As with oil prices, the price of petrochemical products fell sharply during 2020, following the outbreak of the COVID-19 pandemic. That year, petrochemicals such as ethylene, propylene, or benzene registered the lowest price in recent years, although they picked up shortly after.

Why did the Ethylene Price Change in July 2025? While the Ethylene Price Index (FOB US Gulf) declined in April, prices likely benefited from some stronger domestic fundamental support and rising feedstock costs in May–June, with a Q2 2023 close up 15.5% at USD 468/MT.

Between January 2020 and October 2024, there were variations in the monthly cost of ethylene across the globe. The lowest price was observed in May 2020, averaging at a mere *** U.S. dollars per metric ton. In contrast, the highest price occurred in April 2022, reaching ***** U.S. dollars per metric ton.

Get the latest insights on price movement and trend analysis of Ethylene in different regions across the world (Asia, Europe, North America, Latin America, and the Middle East Africa).

Why did the Ethylene Oxide Price Change in July 2025? For Q2 2025, the Ethylene Oxide Price Index averaged +0.5%, on an FOB US Gulf basis. Prices remained mostly stable and settled near USD 912/MT by end of June, supported by stable contract trades.

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Ethylene Market Size 2025-2029

The ethylene market size is forecast to increase by USD 63.3 billion at a CAGR of 6.5% between 2024 and 2029.

The market is experiencing significant growth driven by the increasing demand for polyethylene products across various industries, including packaging, construction, and automotive. This trend is expected to continue as ethylene-derived plastics offer advantages such as durability, lightweight, and cost-effectiveness. However, market dynamics are influenced by the emergence of bio-ethylene, a sustainable alternative to traditional ethylene derived from fossil fuels. This shift towards renewable sources presents both opportunities and challenges for market participants.
On the one hand, bio-ethylene offers a more sustainable production process and potential cost savings through government incentives and carbon credits. On the other hand, the production of bio-ethylene is currently more expensive than traditional ethylene, and scaling up production remains a significant challenge. Additionally, volatility in raw material prices, particularly for natural gas and crude oil, continues to impact the market's profitability and strategic planning. Companies seeking to capitalize on market opportunities and navigate challenges effectively must stay informed of these trends and be agile in their business strategies.

What will be the Size of the Ethylene Market during the forecast period?

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The market encompasses the production, trade, and application of ethylene, a colorless, flammable organic compound. Ethylene is a key petrochemical derivative and the primary building block for various ethylene-based derivatives, including polyethylene (PE), ethylene oxide, ethylene glycol, high-density polyethylene (HDPE), and low-density polyethylene (LDPE). These materials are widely used in various industries, including construction, flexible packaging, and the production of bio-based products, lightweight plastics, and market derivatives. The market size is substantial, driven by the increasing demand for ethylene-based derivatives in consumer goods, food, beverages, medications, and various industrial applications. The market's growth is influenced by factors such as the availability of shale oil output, which has led to increased ethylene production capacity.
Additionally, the shift towards sustainable and eco-friendly alternatives, such as bio-polyethylene, is gaining momentum due to growing concerns about carbon footprint and the need for improved barrier qualities in packaging materials. Overall, the market is expected to continue its strong growth trajectory, driven by the diverse applications and demand for ethylene-based derivatives in various industries.

How is this Ethylene Industry segmented?

The ethylene industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

Feedstock

  Naphtha
  Ethane
  LPG
  Others


Application

  LDPE
  HDPE
  Ethylene oxide
  Vinyls
  Others


Packaging

  Automotive
  Building & Construction
  Agrochemical
  Textile
  Chemicals
  Others


Geography

  APAC

    China
    India
    Japan


  North America

    US
    Canada


  Middle East and Africa

    UAE


  Europe

    France
    Germany
    UK


  South America

    Brazil


  Rest of World (ROW)

By Feedstock Insights

The naphtha segment is estimated to witness significant growth during the forecast period. Ethylene is a colorless, flammable organic compound used extensively as a raw material in the production of various plastics and petrochemical derivatives. The largest source of ethylene is naphtha, which accounted for over half of the global ethylene production in 2024. However, the naphtha segment is expected to lose market share due to its energy-intensive production process, which results in significant carbon emissions. One kilogram of ethylene production emits approximately 1.8-2 kilograms of carbon dioxide. Europe and APAC are the leading regions in naphtha-based ethylene production. Ethylene is a key ingredient in the production of polyethylene, ethylene glycol, high-density polyethylene (HDPE), low-density polyethylene (LDPE), vinyl acetate, and various ethylene-based derivatives.

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The naphtha segment was valued at USD 56.00 billion in 2019 and showed a gradual increase during the forecast period.

Regional Analysis

APAC is estimated to contribute 42% to the growth of the global market during the forecast period. Technavio's analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.

For more insights on the market size of various regions, R

Ethylene price in the United States: Enjoy data from the world's biggest and most renowned business intelligence platform. 2 million reports updated monthly.

Explore the factors influencing ethylene prices, including geopolitical events, supply-demand shifts, and raw material costs. Understand the role of macroeconomic conditions, shale gas extraction, and sustainability trends in ethylene pricing dynamics. Stay informed with reliable market data and expert insights.

Get the latest insights on price movement and trend analysis of Green Ethylene in different regions across the world (Asia, Europe, North America, Latin America, and the Middle East Africa).

Explore the volatility and influencing factors in the price history of ethylene, a key petrochemical. Learn how crude oil prices, supply chain dynamics, and geopolitical events impact this essential industry's market trends.

The ethylene vinyl acetate prices in the United States for Q2 2024 reached 1635 USD/MT in June. The region experienced notable price fluctuations, primarily driven by weak consumption in the solar and packaging sectors. Moreover, the dependence on imports intensified as domestic production of solar struggled to meet local demands. The quarter concluded with a slight overall decline in rates, reflecting ongoing market pressures.

In Q1 2025, the North American ethylene market began with a strong recovery supported by rising export demand, particularly from India. Production remained stable through January, while proactive stockpiling ahead of planned maintenance activities drove heightened demand. Weather-related disruptions in Texas and Louisiana, including extreme cold and snowfall, further tightened supply by causing unplanned outages. These factors created a supply-constrained environment despite relatively stable domestic consumption, pushing market sentiment into a bullish phase through the end of the month.

The ethylene dichloride prices in the United States for Q4 2023 reached 250 USD/MT in December. The market was under pressure due to high stockpiles and weak demand, particularly from the PVC sector. Destocking activities and an unpredictable export prospects further strained market conditions, leading to decreased purchasing sentiments and a challenging pricing environment.

Ethylene Dichloride Prices December 2023

Explore IMARC’s newly published report, titled “Ethylene Dichloride Prices, Trend, Chart, Demand, Market Analysis, News, Historical and Forecast Data Report 2024 Edition,” offers an in-depth analysis of ethylene dichloride pricing, covering an analysis of global and regional market trends and the critical factors driving these price movements.

This statistic shows the ethylene glycol total costs and potential prices in the United States, Saui-Arabia, and Asia, as at 2012. As at 2012, the ethylene glycol total costs in the United States amounted to 336 U.S. dollars per ton, whereas the potential price amounted to 346 U.S. dollars per ton. Ethylene glycol is mainly used for the manufacture of antifreeze formulations and polyesters.

In 2022, the market of ethylene oxide was valued at approximately ***** billion U.S. dollars worldwide. By 2030, the global market value of this organic compound is expected to increase to around ***** billion U.S. dollars.

Ethylene Market Outlook

The global ethylene market is valued at USD 140 billion in 2024, and expanding at a compound annual growth rate (CAGR) of 6.7% . The increasing demand for ethylene in various end-use industries such as packaging, automotive, and construction is driving its market growth.

The growth of the ethylene market is primarily driven by the surging demand for polyethylene, which is one of the most widely used plastics globally. Polyethylene's extensive use in packaging films, containers, and household products significantly contributes to the rising demand for ethylene. Furthermore, the rapid industrialization and urbanization in emerging economies, particularly in the Asia Pacific region, are bolstering the demand for ethylene derivatives in the construction and automotive sectors. This is further augmented by the rising disposable incomes and changing lifestyles that are increasing the consumption of plastic products.

Another significant growth factor is the advancements in shale gas extraction technologies, which have led to an abundant supply of ethane, a crucial feedstock for ethylene production. The availability of low-cost feedstock, particularly in the United States, has resulted in the establishment of new ethylene production facilities, thereby enhancing the market supply. Additionally, the development of innovative production processes and catalysts has improved the efficiency and cost-effectiveness of ethylene production, further boosting market growth.

Environmental regulations and the shift towards sustainable and recyclable materials are also influencing the ethylene market. There is a growing emphasis on developing biodegradable and bio-based ethylene derivatives to minimize the environmental impact of plastic waste. Research and development activities focused on creating eco-friendly alternatives are expected to create new growth avenues for the ethylene market. Moreover, collaborations between key industry players and research institutions are accelerating the commercialization of advanced bio-based ethylene production technologies.

Regionally, the Asia Pacific region holds the largest share of the ethylene market, driven by the robust growth of the manufacturing and packaging industries in countries like China, India, and Japan. North America is also a significant market, benefitting from the shale gas boom and technological advancements in ethylene production. Europe, on the other hand, is witnessing moderate growth due to stringent environmental regulations and a mature market landscape. Latin America and the Middle East & Africa regions are also poised for growth, supported by increasing industrial activities and investments in the petrochemical sector.

Feedstock Analysis

The ethylene market by feedstock is segmented into naphtha, ethane, propane, butane, and others. Naphtha holds a significant share in the ethylene production process, particularly in regions where crude oil derivatives are more readily available. The versatility of naphtha as a feedstock, along with its availability in large quantities, makes it a preferred choice for many ethylene manufacturers. Additionally, the integrated production facilities linking refineries and petrochemical complexes utilize naphtha efficiently, thereby enhancing its market share.

Ethane is another crucial feedstock, especially in regions like North America where shale gas extraction has become prevalent. The abundance of ethane from shale gas has led to its increased use in ethylene production. Ethane's advantage lies in its lower cost and higher yield of ethylene compared to other feedstocks. This has encouraged investments in ethane-based ethylene production facilities, particularly in the United States, which has become a major player in the global ethylene market.

Propane and butane, both derived from natural gas processing and crude oil refining, are also used as feedstocks for ethylene production. These feedstocks are more commonly used in areas where they are readily available and economically viable. The choice between propane and butane often depends on regional availability and pricing dynamics. Both feedstocks contribute to the diversity of ethylene production processes, allowing manufacturers to optimize their operations based on local conditions and market demands.

Other feedstocks, including bio-based sources, are gaining traction as the industry moves towards sustainability. Research and development in bio-

Get the latest insights on price movement and trend analysis of Ethylene Glycol in different regions across the world (Asia, Europe, North America, Latin America, and the Middle East Africa).

Graph and download economic data for Export Price Index (Harmonized System): Polymers of Ethylene, in Primary Forms (ID3901) from Jan 2025 to Jun 2025 about primary, harmonized, exports, price index, indexes, price, and USA.

The Chinese ethylene market totaled $30.6B in 2024, rising by 2.8% against the previous year. Over the period under review, consumption, however, recorded a noticeable decrease. Over the period under review, the market hit record highs at $39.6B in 2012; however, from 2013 to 2024, consumption failed to regain momentum.

Global Ethylene Market valued at USD 220.36 Bn in 2025, is anticipated to reaching USD 329.16 Bn by 2032, with a steady annual growth rate of 5.9%.