Indonesia Propylene Market (2025-2031) Outlook | Growth, Industry, Forecast, Size, Analysis, Trends, Revenue, Share, Value & Companies

Indonesia Propylene Market Synopsis

Indonesia propylene market is mainly driven by the polypropylene industry. The country is the world?s third-largest producer of polypropylene and its largest exporter, with significant production taking place in Banten Province. Indonesia has the capacity to produce around 1 million tonnes of propylene per year from refinery operations and petrochemical plants located throughout Sumatra, Kalimantan, and Sulawesi islands.

Market Trends

The demand for propylene in Indonesia has been steadily increasing over the past few years due to strong domestic consumption. This rising demand has resulted in an increase in investments from both domestic and foreign companies into new projects for producing propylene. Furthermore, several major companies have announced plans to expand their current facilities or build new ones that will focus on creating higher-value downstream products such as polymers made out of propane-1/butene mixtures. Additionally, some research firms are also looking into developing more efficient processes for converting crude oil directly into olefins like ethane and butene which can then be used as feedstock for producing high purity propylene polymer materials.

Market Drivers

The key drivers behind Indonesia growing propylene market include a rapid industrialization process as well as increased consumer purchasing power due to economic growth over recent years. Additionally, there have been various government initiatives such as incentives provided by Investment Coordinating Board (BKPM) that are encouraging investment into this sector since 2011; this includes tax holidays on imported raw materials necessary for production activities related to petrochemicals or chemical industries using local resources. Moreover, infrastructure development programs being implemented across the country have also helped reduce transportation costs associated with exporting goods outside of Indonesia thus further driving up sales within this market segment domestically too.

COVID-19 Impact on the Market

The Indonesia propylene market has been severely affected by the COVID-19 pandemic. Demand for polypropylene, a derivative of propylene, has decreased significantly due to disruption in production and supply chains as well as reduced consumer spending. This has caused a decrease in prices of both crude oil and naphtha feedstock used to produce propylene. As result, producers have curtailed production or even shut down some plants due to lack of demand from end users such as automotive and construction industries.

Challenges of the Market

The major challenge faced by the Indonesia propylene industry is the volatility in international crude oil prices which affects the availability of feedstock used for producing petrochemicals like propene. The increasing cost of raw materials also puts pressure on margins resulting in reduced profitability for domestic players operating within the sector. In addition, competition from imported products further reduces their sales prospects leading to lower revenues and profits. Furthermore, there are several environmental regulations such as emissions limits that must be met by domestic manufacturers while competing with foreign imports at competitive prices which can pose difficulties for local producers when trying to remain competitively viable domestically while meeting environmental standards simultaneously.

Industry Key Players

Some key players operating within Indonesia Propylene Market include PT Pertamina EP Cepu (PEP) ,PT Chandra Asri Petrochemical Tbk, PT Chandra Asri Perdana Tbk., Indonesia Energy Corporation Ltd., Sumitomo Chemical Co., Ltd., ExxonMobil Chemical Company Limited , INEOS Olefins & Polymers Europe BVBA among others.

Key Highlights of the Report:

• Indonesia Propylene Market Outlook
• Market Size of Indonesia Propylene Market, 2024
• Forecast of Indonesia Propylene Market, 2031
• Historical Data and Forecast of Indonesia Propylene Revenues & Volume for the Period 2021-2031
• Indonesia Propylene Market Trend Evolution
• Indonesia Propylene Market Drivers and Challenges
• Indonesia Propylene Price Trends
• Indonesia Propylene Porter's Five Forces
• Indonesia Propylene Industry Life Cycle
• Historical Data and Forecast of Indonesia Propylene Market Revenues & Volume By Derivatives for the Period 2021-2031
• Historical Data and Forecast of Indonesia Propylene Market Revenues & Volume By Polypropylene for the Period 2021-2031
• Historical Data and Forecast of Indonesia Propylene Market Revenues & Volume By Propylene oxide for the Period 2021-2031
• Historical Data and Forecast of Indonesia Propylene Market Revenues & Volume By Cumene for the Period 2021-2031
• Historical Data and Forecast of Indonesia Propylene Market Revenues & Volume By Acrylonitrile for the Period 2021-2031
• Historical Data and Forecast of Indonesia Propylene Market Revenues & Volume By Acrylic acid & Acrylates for the Period 2021-2031
• Historical Data and Forecast of Indonesia Propylene Market Revenues & Volume By Alcohols for the Period 2021-2031
• Historical Data and Forecast of Indonesia Propylene Market Revenues & Volume By Others for the Period 2021-2031
• Historical Data and Forecast of Indonesia Propylene Market Revenues & Volume By Industrial Verticals for the Period 2021-2031
• Historical Data and Forecast of Indonesia Propylene Market Revenues & Volume By Automotive for the Period 2021-2031
• Historical Data and Forecast of Indonesia Propylene Market Revenues & Volume By Construction for the Period 2021-2031
• Historical Data and Forecast of Indonesia Propylene Market Revenues & Volume By Packaging for the Period 2021-2031
• Historical Data and Forecast of Indonesia Propylene Market Revenues & Volume By Textile for the Period 2021-2031
• Historical Data and Forecast of Indonesia Propylene Market Revenues & Volume By Others for the Period 2021-2031
• Historical Data and Forecast of Indonesia Propylene Market Revenues & Volume By Types for the Period 2021-2031
• Historical Data and Forecast of Indonesia Propylene Market Revenues & Volume By Purity 99% for the Period 2021-2031
• Historical Data and Forecast of Indonesia Propylene Market Revenues & Volume By Purity 99.5% for the Period 2021-2031
• Historical Data and Forecast of Indonesia Propylene Market Revenues & Volume By Others for the Period 2021-2031
• Historical Data and Forecast of Indonesia Propylene Market Revenues & Volume By Application for the Period 2021-2031
• Historical Data and Forecast of Indonesia Propylene Market Revenues & Volume By Organic Chemical Raw Materials for the Period 2021-2031
• Historical Data and Forecast of Indonesia Propylene Market Revenues & Volume By Synthetic Resins for the Period 2021-2031
• Historical Data and Forecast of Indonesia Propylene Market Revenues & Volume By Fine Chemicals for the Period 2021-2031
• Historical Data and Forecast of Indonesia Propylene Market Revenues & Volume By Other for the Period 2021-2031
• Historical Data and Forecast of Indonesia Propylene Market Revenues & Volume By Production process Technology for the Period 2021-2031
• Historical Data and Forecast of Indonesia Propylene Market Revenues & Volume By Steam Cracking for the Period 2021-2031
• Historical Data and Forecast of Indonesia Propylene Market Revenues & Volume By Refinery for the Period 2021-2031
• Historical Data and Forecast of Indonesia Propylene Market Revenues & Volume By On- Purpose for the Period 2021-2031
• Indonesia Propylene Import Export Trade Statistics
• Market Opportunity Assessment By Derivatives
• Market Opportunity Assessment By Industrial Verticals
• Market Opportunity Assessment By Types
• Market Opportunity Assessment By Application
• Market Opportunity Assessment By Production process Technology
• Indonesia Propylene Top Companies Market Share
• Indonesia Propylene Competitive Benchmarking By Technical and Operational Parameters
• Indonesia Propylene Company Profiles
• Indonesia Propylene Key Strategic Recommendations