Naphtha fell to 552.05 USD/T on July 14, 2025, down 0.96% from the previous day. Over the past month, Naphtha's price has fallen 2.96%, and is down 20.69% compared to the same time last year, according to trading on a contract for difference (CFD) that tracks the benchmark market for this commodity. Naphtha - values, historical data, forecasts and news - updated on July of 2025.

In Q1 2025, the U.S. Naphtha market exhibited a mixed trend, marked by an initial surge in January, followed by a period of gradual price decline through February and March. Prices peaked at USD 610/MT FOB Texas in mid-January, driven by bullish sentiment in the crude oil market, elevated refining costs, and robust gasoline production. However, by the end of March, prices had fallen, reflecting bearish sentiment, lower crude oil prices, and weakening demand from the petrochemical sector.

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Naphtha Market Size 2025-2029

The naphtha market size is forecast to increase by USD 47.1 billion at a CAGR of 3.8% between 2024 and 2029.

The market is experiencing significant growth due to the increasing demand for this versatile petrochemical feedstock in the production of polymers and other petrochemicals. This trend is particularly evident in the petrochemical industry, where naphtha's ability to yield a wide range of high-value products makes it an essential component. Furthermore, the investment in the extraction of naphtha from various sources, such as refineries and shale gas, is expected to bolster market growth. However, the market's expansion is not without challenges. Stringent regulations on the usage of naphtha, particularly in relation to its emissions and safety concerns, pose significant obstacles for market participants.
Companies must navigate these regulations to ensure compliance while maintaining profitability. Effective strategies for addressing these challenges include the adoption of advanced technologies for emissions reduction and the implementation of robust safety protocols. By staying informed of these market dynamics and proactively addressing challenges, companies can capitalize on the opportunities presented by the growing demand for naphtha in the petrochemical industry.

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

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Naphtha, a light distillate hydrocarbon, plays a pivotal role in the global energy and petrochemical industries. Its continuous evolution is driven by various market dynamics and applications across sectors. The intricate interplay of refinery margins, crude oil, and the supply-demand balance shapes the market. Capacity expansion in the naphtha supply chain, fueled by the petrochemical industry's insatiable demand for feedstock, is a persistent trend. Steam cracking and new technologies, such as naphtha cracking, are transforming olefins production, while carbon emissions and geopolitical factors influence the industry's trajectory. The oil and gas sector's upstream industries contribute significantly to naphtha production, and the petrochemical complex's evolving patterns reflect the interconnected nature of the market.
Naphtha pricing and project development are crucial factors shaping the market's landscape, with polymer production, synthetic rubber, energy security, and economic growth driving demand. Environmental regulations and refinery operations necessitate process optimization, energy efficiency, and yield improvement. The market's complexity is further accentuated by its role as a petrochemical feedstock for downstream industries and its role in catalytic cracking. Catalyst development and process technology innovation continue to shape the market's future. The global demand for naphtha is diverse, with regional variations in demand influenced by economic factors and regulatory frameworks. In the ever-changing landscape of the market, stakeholders must navigate the intricacies of this dynamic industry, adapting to emerging trends and evolving patterns to remain competitive.

How is this Naphtha Industry segmented?

The naphtha 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.

Type

  Heavy naphtha
  Light naphtha


Application

  Chemicals
  Energy/fuel
  Others


Process

  Refining
  Steam Cracking


End-use Industry

  Chemical
  Energy
  Transportation


Geography

  North America

    US
    Canada


  Europe

    France
    Germany
    Italy
    UK


  Middle East and Africa

    Egypt
    KSA
    Oman
    UAE


  APAC

    China
    India
    Japan


  South America

    Argentina
    Brazil


  Rest of World (ROW)

By Type Insights

The heavy naphtha segment is estimated to witness significant growth during the forecast period.

The market experiences dynamic activity, driven by the demand for heavy naphtha. In 2024, heavy naphtha emerged as a crucial player due to its diverse applications in various industries. Its significance lies in its role as a feedstock for petrochemical production, contributing to the manufacture of plastics, synthetic rubbers, and resins. Moreover, heavy naphtha is integral to the production of gasoline and fuel products. The surge in shale gas utilization has boosted heavy naphtha's demand as a diluent for crude oil transportation. The petrochemical industry's expansion, driven by economic growth, has influenced the supply-demand balance, necessitating capacity expansion in refineries.

New technologies, such as steam cracking and catalytic cracking, have improved energy efficiency and yield in naphtha cracking processes. However, carbon emissions remain a concern, prompting environme

The naphtha prices in the USA for Q4 2023 reached 563 USD/MT in December. In Q4 2023, the USA's naphtha market experienced a bearish trend, driven by falling crude oil prices, which made production more affordable. Despite stable demand, concerns over inflation control contributed to the price decline. The market faced potential transportation challenges due to winter conditions, but supply remained steady throughout the quarter, with no major disruptions.

Naphtha Prices December 2023

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

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

In 2023, the global price of naphtha stood at approximately *** U.S. dollars per metric ton. This represents a slight decrease from the average global price per in the previous year of *** U.S. dollars per metric ton.

The global naphtha market size reached USD 175.6 Billion in 2024. Looking forward, IMARC Group expects the market to reach USD 226.7 Billion by 2033, exhibiting a growth rate (CAGR) of 2.65% during 2025-2033. The escalating demand for high-octane fuel using olefin-rich materials, the growing demand for budget-friendly fuel, and continual technological innovations and research and development (R&D) activities are some of the factors propelling the market.

The Naphtha Market Report is Segmented by Type (Light Naphtha and Heavy Naphtha), Source (Refinery-Based, Bio-Naphtha, and Others), End-User Industry (Petrochemicals, Agriculture, Paints and Coatings, Aerospace, and Other Industries), and Geography (Asia Pacific, North America, Europe, South America, and Middle East and Africa). The Market Forecasts are Provided in Terms of Volume (tons).

According to Cognitive Market Research, the global Light Naphtha market size will be USD XX million in 2024. It will expand at a compound annual growth rate (CAGR) of 4.00% from 2024 to 2031.

North America held the major market share for more than 40% of the global revenue with a market size of USD XX million in 2024 and will grow at a compound annual growth rate (CAGR) of 2.2% from 2024 to 2031.
Europe accounted for a market share of over 30% of the global revenue with a market size of USD XX million.
Asia Pacific held a market share of around 23% of the global revenue with a market size of USD XX million in 2024 and will grow at a compound annual growth rate (CAGR) of 6.0% from 2024 to 2031.
Latin America had a market share of more than 5% of the global revenue with a market size of USD XX million in 2024 and will grow at a compound annual growth rate (CAGR) of 3.4% from 2024 to 2031.
Middle East and Africa had a market share of around 2% of the global revenue and was estimated at a market size of USD XX million in 2024 and will grow at a compound annual growth rate (CAGR) of 3.7% from 2024 to 2031.
The chemicals category is the fastest growing segment of the Light Naphtha industry

Market Dynamics of Light Naphtha Market

Key Drivers for Light Naphtha Market

Growing Demand for Petrochemical Industry to Boost Market Growth

The Light Naphtha Market is growing largely due to demand from the petrochemical sector. Light naphtha is an essential feedstock for steam-cracking procedures that create ethylene, propylene, and other vital petrochemicals. Synthetic rubbers, plastics, and chemicals utilized in the construction, automotive, and packaging industries are just a few of the various products that these chemicals are used to make. Light naphtha demand is expected to climb sharply due to rapid industrialization and expanding production facilities, particularly in Asia Pacific and the Middle East. Additionally, continuous investments in integrated refinery-petrochemical complexes and large-scale petrochemical facilities increase demand for light naphtha and strengthen its crucial position in the market.

Increasing Demand for Automotive Industry to Drive Market Growth

The market for light naphtha is being driven in large part by the expansion of the automobile sector. Light naphtha is essential for gasoline blending because it provides the high octane ratings needed for modern cars to burn fuel efficiently. More people own cars worldwide, especially in developing nations in Asia Pacific, Latin America, and Africa, which raises demand for gasoline, which in turn boosts demand for light naphtha. The use of light naphtha in the creation of cleaner gasoline compositions also follows the trend toward high-performance and low-emission fuels. The market for light naphtha is also being supported by developments in fuel efficiency technology and growing vehicle manufacturing. Light naphtha's crucial contribution to gasoline manufacturing fuels market expansion as the automobile industry grows.

Restraint Factor for the Light Naphtha Market

Price Fluctuations for Crude Oil Can Affect Market Stability and Production Costs Will Limit Market Growth

Crude oil price volatility is a major barrier to the Light Naphtha market. Light naphtha is produced by refining crude oil; therefore, changes in the world oil markets have a significant impact on its availability and cost. Light naphtha production costs and profitability are impacted by volatile crude oil prices, creating uncertainty for petrochemical and refinery manufacturers. High crude prices can affect the supply of light naphtha by lowering refining profits, which may lead some refiners to restrict production or look for alternate feedstocks. Further aggravating market dynamics are geopolitical tensions, supply disruptions, and changes in energy regulations, all of which increase the volatility of crude oil prices. For long-term planning and investment in the light naphtha sector, this uncertainty presents difficulties.

Impact of Covid-19 on the Light Naphtha Market

The COVID-19 pandemic had a major effect on the light naphtha market, mostly because it caused supply chain disruptions worldwide and decreased demand from end-use sectors. Light naphtha is a crucial component of gasoline, and its production was directly impacted by the dramatic drop in transportation fuel demand brought on by lockdowns, travel restrictions, and...

The global Naphtha market is valued at USD 0.61 billion in 2025 and is projected to grow at a CAGR of 3.60% between 2025 and 2033. The market is driven by the increasing demand for naphtha in the production of chemicals, energy, and fuel. Key trends in the market include the rising use of naphtha as a feedstock for steam cracking, the growing demand for petrochemicals in emerging economies, and the development of new technologies for naphtha refining. The market is segmented based on type, application, process, and region. By type, the market is divided into light naphtha and heavy naphtha. By application, the market is segmented into chemicals, energy and fuel, and others. By process, the market is divided into gasoline blending, naphtha reforming, steam cracking, and others. By region, the market is segmented into North America, South America, Europe, the Middle East & Africa, and Asia Pacific. The Asia-Pacific region is expected to hold the largest share of the market during the forecast period, followed by North America and Europe. Recent developments include: October 2022: For seven weeks, LG Chem will be putting its naphtha crackers in South Korea offline for maintenance. During repair, it will have an impact on the region's supply of petrochemicals., July 2019: To get naphtha from Russia to the Venezuelan company PDV LLC, ships were employed. Approximately 330,000 t of naphtha were shipped to satisfy the nation's requirement for gasoline.. Notable trends are: Growing Petrochemical Industry Demand Will Fuel Market Growth.

Naphtha market is forecast to reach USD 185.64 Billion by 2028 naphtha can be defined as a flammable liquid, which can be produced from distilling petroleum. in regards to its traits, it has a similar boiling range and carbon number to that of gasoline, as it is a precursor to gasoline.

Light Naphtha Market Outlook

The global light naphtha market size reached approximately USD 185 billion in 2023 and is projected to expand to around USD 265 billion by 2032, registering a compound annual growth rate (CAGR) of 4.1% during the forecast period. The market is primarily driven by the rising demand for petrochemical derivatives, which are essential for numerous industrial applications, especially in the Asia Pacific region where rapid industrialization and urbanization are prevalent. The increasing demand for high-octane gasoline and the shift towards lighter feedstocks in refineries also contribute significantly to the market growth. Furthermore, advancements in catalytic conversion technologies have enhanced the efficiency of converting naphtha into high-value petrochemical products, further propelling market expansion.

The growth of the light naphtha market is largely influenced by the booming petrochemical industry. Petrochemical products derived from naphtha are utilized in a plethora of applications ranging from plastics to fertilizers, making naphtha an indispensable component of the chemical industry. The surge in global population and urbanization has led to an unprecedented demand for consumer goods and infrastructure, thereby boosting the demand for petrochemical products and, by extension, light naphtha. Additionally, as environmental regulations become more stringent, there is a growing preference for cleaner fuels and feedstocks, which light naphtha, with its low sulfur content, can provide. This shift towards environmentally friendly solutions is further bolstering the market for light naphtha.

In conjunction with petrochemical demand, the gasoline blending segment is also a major growth driver for the light naphtha market. Light naphtha is increasingly used as a blending component to enhance the octane rating of gasoline, thereby improving its performance and reducing emissions. This has become particularly important in regions with stringent vehicular emission standards. As the global transportation sector continues to expand, driven by rising incomes and urbanization, the demand for cleaner and more efficient fuels is expected to elevate, thus propelling the light naphtha market. Moreover, ongoing research and development in refining technologies are enabling more efficient and cost-effective blending processes, further supporting the growth of light naphtha in gasoline applications.

Regionally, the Asia Pacific is expected to dominate the light naphtha market, with countries like China and India spearheading demand due to their robust industrial activities and expanding transportation sectors. The region's substantial demand for petrochemical products, coupled with significant investments in refinery expansions and upgrades, is anticipated to sustain its leading position over the forecast period. North America and Europe are also significant contributors to the market, with advancements in shale gas production and stringent environmental policies driving the demand for light naphtha. Meanwhile, the Middle East & Africa region presents lucrative opportunities due to its abundant hydrocarbon resources and increasing petrochemical investment initiatives.

Solvent Naphtha plays a crucial role in various industrial applications due to its excellent solvent properties. It is widely used in the formulation of paints, coatings, and adhesives, providing the necessary solvency and viscosity required for high-performance products. The demand for Solvent Naphtha is particularly strong in the construction and automotive industries, where it is used to produce high-quality finishes and durable coatings. As industries continue to seek environmentally friendly solutions, Solvent Naphtha's low volatility and reduced environmental impact make it an attractive option. Furthermore, advancements in solvent technology are enhancing the efficiency and effectiveness of Solvent Naphtha, ensuring its continued relevance in industrial applications.

Product Type Analysis

The product type segment of the light naphtha market includes paraffinic naphtha, naphthenic naphtha, and aromatic naphtha. Paraffinic naphtha is primarily used as a feedstock in steam crackers for the production of ethylene, propylene, and other olefins, which are fundamental building blocks in a myriad of chemical products. The steady rise in demand for plastic products, which are derivatives of these olefins, has significantly boosted the paraffinic naphtha market. Additionally, advancements in cracki

The global Naphtha market stood around 277 million tonnes in 2024 and is expected to grow at a steady CAGR of 4.20% during the forecast period until 2035.

Naphtha Market Outlook

The global naphtha market size was valued at approximately USD 150 billion in 2023 and is projected to reach over USD 230 billion by 2032, growing at a CAGR of around 4.8% during the forecast period from 2024 to 2032. This robust growth is driven by the increasing demand for petrochemical products, which are essential raw materials for a wide array of industries including plastics, chemicals, and energy. The escalating consumption of plastics and chemicals, alongside the rising demand for cleaner fuel alternatives, are major factors contributing to the expansion of the naphtha market. Additionally, technological advancements in refining processes and a shift towards more efficient blending techniques have significantly bolstered market growth projections.

One of the primary growth drivers of the naphtha market is the burgeoning demand for petrochemicals, particularly in the Asia-Pacific region. As economic development accelerates in countries such as China, India, and Indonesia, the demand for basic petrochemical products such as ethylene and propylene is rapidly increasing, thereby boosting the requirement for naphtha as a feedstock. In addition to this, the rapid industrialization and urbanization in these regions are creating a substantial demand for plastics and other chemical derivatives, further driving the need for naphtha. Moreover, the automotive and construction industries, which are significant consumers of petrochemical by-products, are experiencing significant growth, thereby contributing to the rising demand for naphtha.

Technological advancements in the refining processes are another critical factor propelling the growth of the naphtha market. Innovations such as advanced catalytic reforming and steam cracking have enhanced the efficiency and yield of naphtha-derived products. These technological improvements not only reduce waste and enhance production efficiency but also enable refiners to produce a broader range of end-products, making naphtha a more versatile and valuable component in various industrial applications. Additionally, the development of new refining techniques that allow for the blending of light and heavy naphtha to produce higher-value derivatives is expected to create significant opportunities within the market.

The increasing focus on cleaner fuel alternatives is also playing a pivotal role in the expansion of the naphtha market. As global environmental regulations become more stringent, there is a shift towards the use of cleaner and more environmentally friendly fuels. Naphtha, being a cleaner alternative to heavier fuels, is gaining traction as a preferred choice for gasoline blending and industrial applications. This trend is more pronounced in regions such as North America and Europe, where environmental compliance is stringent, and there is a strong impetus towards reducing carbon emissions.

Regionally, the Asia-Pacific market is the dominant force in the global naphtha landscape, accounting for a significant share of the market. The region's growth is primarily attributed to the rapid industrialization and urbanization in major economies such as China and India. Additionally, the presence of a large number of refining and petrochemical complexes in these countries is contributing to the increased consumption of naphtha. North America and Europe also represent substantial market shares due to the well-established petrochemical industry and stringent environmental regulations promoting cleaner fuels. Meanwhile, the Middle East & Africa region is expected to witness moderate growth, driven by the expansion of refining capacities and the availability of crude oil resources.

Type Analysis

In the naphtha market, type segmentation is categorized into light naphtha and heavy naphtha. Light naphtha is widely used as a feedstock in the petrochemical industry, primarily for the production of ethylene and other light olefins through steam cracking. Its low density and high hydrogen content make it an ideal choice for such applications, where efficiency and yield are paramount. Furthermore, the demand for light naphtha is closely linked to the increasing production of ethylene, propylene, and other derivatives which are essential components in the manufacturing of plastics, synthetic rubber, and other chemical products. This has resulted in a steady increase in the consumption of light naphtha across the globe.

Heavy naphtha, on the other hand, is primarily used in catalytic reforming processes to produce high-octane gasoline components and aromatics such as benzene, toluene, and xylenes (BTX). These co

The global Naphtha Market size is expected to reach USD 409.5 Billion in 2032 registering a CAGR of 3.8%. Our report provides a comprehensive overview of the industry, including key players, market share, growth opportunities and more.

[227+ Pages Report] The global Naphtha market size is expected to grow from USD 248.5 billion to USD 331.1 billion by 2028, at a CAGR of 4.90% from 2022-2028

Petroleum Naphtha Market Outlook

The global petroleum naphtha market size was valued at approximately USD 150 billion in 2023 and is projected to grow significantly to reach USD 230 billion by 2032, at a CAGR of 4.9%. The growth of the petroleum naphtha market is primarily driven by the increasing demand for naphtha in petrochemical production, especially in the manufacturing of ethylene and propylene, which are key components in various plastic and chemical manufacturing processes. As nations continue to industrialize and urbanize, the reliance on petrochemical products is on the rise, bolstering the demand for naphtha as a feedstock.

One of the primary growth factors for the petroleum naphtha market is the burgeoning petrochemical industry. Naphtha serves as a crucial feedstock in the production of ethylene and propylene, which are foundational elements in producing a wide range of plastics and synthetic materials. With the global increase in plastic consumption across industries such as packaging, automotive, and construction, there is a corresponding rise in the demand for naphtha. Furthermore, the expansion of the petrochemical sector in Asia Pacific, driven by rapid industrialization and the presence of major manufacturing hubs in countries such as China and India, is significantly contributing to market growth. This trend is further supported by technological advancements that enhance the efficiency of naphtha cracking processes, making naphtha an even more attractive option for petrochemical producers.

Another significant growth driver is the increasing use of naphtha as a blending component in gasoline production. As automotive industries strive to meet stringent emission regulations and enhance fuel efficiency, the demand for high-octane fuels is rising. Naphtha, with its high octane rating, becomes a preferred choice for blending with gasoline to achieve these desired characteristics. Additionally, the shift towards cleaner-burning fuels in various regions to curb environmental pollution further propels naphtha's role in gasoline blending. In emerging markets, the rising automobile ownership and the expansion of transportation infrastructure further bolster the demand for gasoline, indirectly boosting the naphtha market.

The global push towards energy efficiency and sustainable industrial practices also plays a role in driving the naphtha market. Naphtha is being increasingly utilized in energy sectors for power generation and as a feedstock in various industrial applications. The ability of naphtha to serve as an efficient and versatile energy carrier supports its adoption in numerous industrial processes, including the production of hydrogen through steam reforming. Moreover, as industries seek to optimize operational costs and enhance energy efficiency, naphtha's role as a flexible and adaptable energy source becomes more prominent, further contributing to market growth.

Low-boiling Naphtha, a subset of petroleum naphtha, is particularly significant due to its lower boiling point and high volatility. This characteristic makes it an ideal candidate for various industrial applications, including its use as a solvent and in the production of high-octane fuels. The demand for low-boiling naphtha is on the rise, especially in regions with stringent environmental regulations that require cleaner burning fuels. Its ability to blend seamlessly with gasoline enhances fuel efficiency and reduces emissions, aligning with global efforts to minimize environmental impact. As industries continue to innovate and adapt to these regulatory changes, the role of low-boiling naphtha becomes increasingly vital, supporting its growing market presence.

Regionally, the Asia Pacific region is anticipated to dominate the petroleum naphtha market throughout the forecast period. The region's significant share can be attributed to its rapidly expanding petrochemical industry and the growing demand for naphtha as a feedstock for various chemical processes. Countries like China and India are at the forefront, with substantial investments in refining and chemical manufacturing capabilities. North America and Europe also present a significant market potential, driven by their established industrial bases and technological advancements in refining processes. However, these regions face regulatory challenges and a shift towards more sustainable alternatives, which could impact growth. The Middle East & Africa, with its abundant crude oil resources, stands as a key supplier of naphtha, with industrial expansion in petrochemicals

The size of the Naphtha Market market has been estimated to be around USD 197.1 billion for the year 2023 and is projected to reach around USD 264.65 billion by the end of the year 2032, with an expected CAGR of 4.3 % during the forecast period. The global Naphtha Market is valued at USD 197.1 billion and is forecasted to grow with an enormous CAGR of 4.3%. The growth is mainly due to increasing demand from the energy, chemical, and petrochemical industries for naphtha. Increasing usage of naphtha as a feedstock in the manufacturing of fuels, solvents, and plastics has shown growth. Petrochemical plants using naphtha as feedstock are also experiencing increased demand and hence market growth. Technological advancements and innovations in catalytic reforming and hydrocracking are also factors that are contributing to the expanding market. Recent developments include: In February 2024, Saudi Aramco solidified its domestic supply chain ecosystem by securing 40 procurement agreements worth USD 6 billion with Saudi-based suppliers, supporting localization initiatives and aligning with the iktva program, which fosters economic growth and diversification in Saudi Arabia. , In March 2023, ExxonMobil Corporation completed its USD 2 billion Beaumont refinery expansion, adding 250,000 barrels per day capacity to a Gulf Coast complex, equivalent to a medium-sized refinery, boosting energy product output and meeting growing demand. , In December 2023, Coolbrook cracked naphtha in its large-scale pilot plant, validating its RotoDynamic Reactor Technology for electric steam cracking and reducing CO2 emissions by 300 million tons annually, solidifying its leadership in electric steam cracking and decarbonization. . Key drivers for this market are: Growing population and urbanization lead to increased demand for transportation and energy. Rising demand for plastics and petrochemicals in automotive, packaging, and construction industries. Government initiatives and regulations promoting the use of clean fuels and energy sources.. Potential restraints include: Fluctuations in crude oil prices can impact the price and availability of naphtha. Strict environmental regulations and emission control measures pose challenges to naphtha producers. Competition from natural gas and LPG as alternative fuels and feedstocks.. Notable trends are: Increasing demand for naphtha in the petrochemical industry for the production of plastics and synthetic fibers. Adoption of advanced technologies to enhance naphtha refining processes and reduce emissions. Rising consumption of naphtha as a clean-burning fuel for transportation and industrial applications..

Gain in-depth insights into Heavy Naphtha Market Report from Market Research Intellect, valued at USD 29.8 billion in 2024, and projected to grow to USD 42.1 billion by 2033 with a CAGR of 5.1% from 2026 to 2033.