Propane rose to 0.69 USD/Gal on August 29, 2025, up 0.73% from the previous day. Over the past month, Propane's price has fallen 4.62%, and is down 9.45% compared to the same time last year, according to trading on a contract for difference (CFD) that tracks the benchmark market for this commodity. Propane - values, historical data, forecasts and news - updated on September of 2025.

The Average Residential Retail Propane Prices dataset provides New York residents and businesses with objective information on average residential retail propane pricing in New York State and by region beginning September 8, 1997. Pricing data is obtained via surveys conducted by New York State Energy Research and Development Authority (NYSERDA) staff on a weekly basis during heating season (September to March) and bi-weekly during the rest of the year. All prices are listed in dollars per gallon. The Average Home Heating Oil Prices dataset, Average Residential Retail Kerosene Prices dataset, and Average Residential Retail Propane Prices dataset are collectively referred to as the Heating Fuel Prices dataset. For current and historical residential retail price data, regional comparisons, and fuel type comparisons, please visit the Propane Prices Dashboard: https://www.nyserda.ny.gov/researchers-and-policymakers/energy-prices/propane/average-propane-prices The New York State Energy Research and Development Authority (NYSERDA) offers objective information and analysis, innovative programs, technical expertise, and support to help New Yorkers increase energy efficiency, save money, use renewable energy, and reduce reliance on fossil fuels. To learn more about NYSERDA’s programs, visit nyserda.ny.gov or follow us on X, Facebook, YouTube, or Instagram.

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

Find in-season and off-season pricing for heating fuels, including heating oil, propane and wood price surveys by DOER. Links to electric and natural gas rates also available here.

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US Propane Market Size 2025-2029

The US propane market size is forecast to increase by USD 8.42 billion, at a CAGR of 6.6% between 2024 and 2029.

Major Market Trends & Insights

By End-user - Industrial segment was valued at USD 7.38 billion in 2022
By Grade Type - HD-5 propane segment accounted for the largest market revenue share in 2022

Market Size & Forecast

Market Opportunities: USD 64.96 billion
Market Future Opportunities: USD 8.42 billion 
CAGR : 6.6%

Market Summary

The Propane market in the US continues to evolve, driven by advancements in storage and transportation technologies. According to recent industry reports, propane consumption in the US reached an estimated 46.4 billion gallons in 2021, representing a significant increase from the previous year. This growth can be attributed to the sector's versatility, as propane is used extensively in various industries, including residential, commercial, and industrial applications. Compared to traditional fuels, propane offers several advantages, including higher energy density and lower emissions. However, the market faces competition from other alternative fuels, such as natural gas and renewable energy sources.
In response, propane producers are focusing on the development of renewable propane, which is derived from renewable feedstocks, to maintain market share. Despite these challenges, the propane market remains a crucial component of the US energy landscape. Its widespread availability and adaptability across various sectors make it a preferred choice for many businesses, ensuring its continued relevance in the energy market.

What will be the size of the US Propane Market during the forecast period?

Get Key Insights on Market Forecast (PDF) Request Free Sample

The propane market in the US experiences consistent demand, with current usage accounting for approximately 11% of the total domestic energy consumption. Looking forward, market expansion is projected to reach over 2% annually, driven by increasing demand from various industries, including agriculture, construction, and commercial applications. Notably, propane's versatility and efficiency contribute to its growing popularity as a preferred energy source. In comparison, the consumption of propane in the US surpasses that of natural gas in certain sectors, such as agricultural drying and residential heating.
This trend underscores the significant role propane plays in the energy landscape. Moreover, the propane industry's ongoing advancements include the development of advanced metering systems, ensuring accurate and efficient billing, and the implementation of stringent quality control measures to maintain propane's purity. These innovations contribute to the industry's continued growth and evolution.

How is this US Propane Market segmented?

The propane in US 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.

End-user

  Industrial
  Commercial
  Residential
  Others


Grade Type

  HD-5 propane
  HD-10 propane
  Commercial propane


Type

  Gas
  Liquid


Application

  Heating
  Cooking
  Power Generation
  Motor Fuel
  Industrial Processes
  Others


Geography

  North America

    US

By End-user Insights

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

The propane market in the US experiences significant fluctuations due to various factors. Industrial sectors, particularly manufacturing and construction, contribute to the market's growth as they rely on propane for heating, processing, and other applications. Cold weather increases demand in industries such as agriculture, food processing, and construction, where propane is utilized for heating and drying purposes. Seasonal weather patterns positively impact short-term demand, with approximately 45% of propane consumption occurring during winter months. Propane competes with alternative energy sources like natural gas, electricity, and heating oil. Price fluctuations in these energy markets influence the demand for propane.

For instance, a 10% increase in natural gas prices can lead to a 1.5% increase in propane demand. Additionally, the propane supply chain includes various components, such as pipeline capacity, distribution networks, and storage capacity. These elements impact the market's dynamics, with a 20% increase in pipeline capacity leading to a 5% rise in propane availability for industrial applications. Propane is also used as an autogas fueling solution, with commercial fleets and transportation companies adopting it due to its cost-effectiveness and environmental benefits. The market for propane autogas is projected to grow by 25% over the next five years.

Propane's high e

Graph and download economic data for Propane Prices: Mont Belvieu, Texas from 1992-07-09 to 2025-08-25 about mont belvieu, propane, commodities, and USA.

United States - Propane Prices: Mont Belvieu, Texas was 0.77800 $ per Gallon in January of 2024, according to the United States Federal Reserve. Historically, United States - Propane Prices: Mont Belvieu, Texas reached a record high of 1.46400 in January of 2011 and a record low of 0.26000 in January of 1998. Trading Economics provides the current actual value, an historical data chart and related indicators for United States - Propane Prices: Mont Belvieu, Texas - last updated from the United States Federal Reserve on September of 2025.

This dataset contains weekly retail prices of three grades of gasoline, diesel, auto propane and compressed natural gas in 10 Ontario markets. Prices are in cents per litre (with compressed natural gas prices in cents per gasoline-equivalent litres). To view charts and current fuel price data you can also visit the motor fuel prices page. This data is related to: * Motor fuel prices * Law: Fuel Tax Act Related data: * Fuel and gasoline tax registrant list

Graph and download economic data for Producer Price Index by Commodity: Fuels and Related Products and Power: Propane (WPU05320104) from Jun 1977 to Jul 2025 about propane, fuels, commodities, PPI, inflation, price index, indexes, price, and USA.

United States Retail Sales Nowcast: sa: YoY: Contribution: Energy Prices: Propane Gas: Spot Price: Mont Belvieu data was reported at 0.000 % in 12 May 2025. This stayed constant from the previous number of 0.000 % for 05 May 2025. United States Retail Sales Nowcast: sa: YoY: Contribution: Energy Prices: Propane Gas: Spot Price: Mont Belvieu data is updated weekly, averaging 0.122 % from Feb 2020 (Median) to 12 May 2025, with 274 observations. The data reached an all-time high of 9.898 % in 12 Feb 2024 and a record low of 0.000 % in 12 May 2025. United States Retail Sales Nowcast: sa: YoY: Contribution: Energy Prices: Propane Gas: Spot Price: Mont Belvieu data remains active status in CEIC and is reported by CEIC Data. The data is categorized under Global Database’s United States – Table US.CEIC.NC: CEIC Nowcast: Retail Sales.

The Average Home Heating Oil Prices dataset provides New York residents and businesses with objective information on average residential retail heating fuel oil pricing in New York State and by region beginning September 8, 1997. Pricing data is obtained via surveys conducted by NYSERDA staff on a weekly basis during heating season (September to March) and bi-weekly during the rest of the year. All prices are listed in dollars per gallon. The Average Home Heating Oil Prices dataset, Average Residential Retail Kerosene Prices dataset, and Average Residential Retail Propane Prices dataset are collectively referred to as the Heating Fuel Prices dataset. For current and historical residential retail price data, regional comparisons, and fuel type comparisons, please visit the Home Heating Oil Prices Dashboard: https://www.nyserda.ny.gov/Researchers-and-Policymakers/Energy-Prices/Home-Heating-Oil/Average-Home-Heating-Oil-Prices The New York State Energy Research and Development Authority (NYSERDA) offers objective information and analysis, innovative programs, technical expertise, and support to help New Yorkers increase energy efficiency, save money, use renewable energy, accelerate economic growth, and reduce reliance on fossil fuels. To learn more about NYSERDA’s programs, visit nyserda.ny.gov or follow us on X, Facebook, YouTube, or Instagram.

The Residential Retail Propane dataset provides information on propane prices and sales for residential use. It offers insights into energy costs, consumption trends, and fuel availability in the residential sector.

New York Energy Prices presents retail energy price data. Energy prices are provided by fuel type in nominal dollars per million Btu for the residential, commercial, industrial, and transportation sectors. This section includes a column in the price table displaying gross domestic product (GDP) price deflators for converting nominal (current year) dollars to constant (real) dollars. To convert nominal to constant dollars, divide the nominal energy price by the GDP price deflator for that particular year. Historical petroleum, electricity, coal, and natural gas prices were compiled primarily from the Energy Information Administration. How does your organization use this dataset? What other NYSERDA or energy-related datasets would you like to see on Open NY? Let us know by emailing OpenNY@nyserda.ny.gov.

Rack Prices - Heating Fuel Prices by date

This dataset contains United States Daily Propane Spot Prices for 1992 - 2021. Data from US Energy Information Administration. Follow https://datasource.kapsarc.org/ for timely data to advance energy economics research. Notes:Propane (C3H8): A normally gaseous straight-chain hydrocarbon. It is a colorless paraffinic gas that boils at a temperature of -43.67 degrees Fahrenheit. It is extracted from natural gas or refinery gas streams. It includes all products designated in ASTM Specification D1835 and Gas Processors Association Specifications for commercial propane and HD-05 propane. For price data, it does not include the propane portion of any natural gas liquids (NGL) mixes; i.e., butane-propane and ethane-propane mix.Mont Belvieu, TX Propane Spot Price FOB (Dollars per Gallon)

United States - Consumer Price Index for All Urban Consumers: Propane, Kerosene, and Firewood in U.S. City Average was 433.33200 Index Dec 1986=100 in January of 2025, according to the United States Federal Reserve. Historically, United States - Consumer Price Index for All Urban Consumers: Propane, Kerosene, and Firewood in U.S. City Average reached a record high of 461.69000 in January of 2022 and a record low of 101.60000 in July of 1987. Trading Economics provides the current actual value, an historical data chart and related indicators for United States - Consumer Price Index for All Urban Consumers: Propane, Kerosene, and Firewood in U.S. City Average - last updated from the United States Federal Reserve on September of 2025.

The average monthly price for natural gas in the United States amounted to **** nominal U.S. dollars per million British thermal units (Btu) in July 2025. By contrast, natural gas prices in Europe were about three times higher than those in the U.S. Prices in Europe tend to be notably higher than those in the U.S. as the latter benefits from being a major hydrocarbon producer. Europe's import reliance European prices for natural gas rose most notable throughout the second half of 2021 and much of 2022, peaking at over ** U.S. dollars per million Btu in August 2022. The sharp rise was due to supply chain issues and economic strain following the COVID-19 pandemic, which was further exacerbated by Russia’s invasion of Ukraine in early 2022. As a result of the war, many countries began looking for alternative sources, and Russian pipeline gas imports to the European Union declined as a result. Meanwhile, LNG was a great beneficiary, with LNG demand in Europe rising by more than ** percent between 2021 and 2023. How domestic natural gas production shapes prices As intimated, the United States’ position among the leaders of worldwide natural gas production is one of the main reasons for why prices for this commodity are so low across the country. In 2024, the U.S. produced more than ************ cubic meters of natural gas, which allays domestic demand and allows for far lower purchasing prices.

The global fuel energy price index stood at 165.09 index points in July 2025, up from 100 in the base year 2016. Figures decreased that month due to a fall in natural gas prices. The fuel energy index includes prices for crude oil, natural gas, coal, and propane. Supply constraints across multiple commodities The global natural gas price index surged nearly 11-fold, and the global coal price index rose almost seven-fold from summer 2020 to summer 2022. This notable escalation was largely attributed to the Russia-Ukraine war, exerting increased pressure on the global supply chain. Tariffs bring economic uncertainty With the global economy having adjusted to the effects of the Russia-Ukraine war, new uncertainty has emerged due to tariffs imposed by the Trump administration. If these tariffs are fully implemented, global trade could be significantly disrupted, mainly the bilateral trade between the world’s two largest economies. In 2025, import tariffs between China and the United States exceeded 130 percent on both sides, while their tariffs on imports from the rest of the world were around 10 percent. U.S. tariffs on Chinese imported goods reached a high of 134.7 percent in April of that year, while China imposed a 147.6 percent tariff on U.S. goods. Early estimates indicate that the impact of Trump’s proposed tariffs on the U.S. economy could amount to 0.4 percent of GDP, mainly driven by the reduced trade with Mexico, Canada and China.

Why did the Liquified Petroleum Gas Price Change in July 2025? Liquefied Petroleum Gas (LPG) Price Index in China declined during Q2 2025, with Propane CFR Shanghai settling at USD 665/MT and Butane CFR Shanghai at USD 630/MT by early June.