Methyl Tertiary Butyl Ether (MTBE) Market (Updated Version Available)

Key Market Overview:

Methyl Tertiary Butyl Ether (MTBE) market size was valued at USD 18.12 Billion in 2022, registering a CAGR of 4.8% during the forecast period (2023-2030), and the market is projected to be worth USD 27.63 Billion by 2030.

Methyl tertiary butyl ether (MTBE) is a flammable liquid substance chemical that is primarily utilized as an additive in various products. The key properties related to the methyl tertiary butyl ether include density at 0.7404 g/cm3, melting point at −109 °C (−164 °F; 164 K), boiling point at 55.2 °C (131.4 °F; 328.3 K), solubility in water at 26 g/L (20 °C), among others. As a result, the methyl tertiary butyl ether is employed in various end-use industries, including Automotive, Cosmetics and Personal Care, Pharmaceutical, and others.

For instance, according to the Organisation Internationale des Constructeurs dAutomobiles (OICA), in 2022, the total production of passenger cars, at the global level was 61,598,650 units, with a 6% of growth rate from the year 2021. Thus, the growth of the automotive industry at the global level is a prominent aspect accelerating the methyl tertiary butyl ether (MTBE) market growth. Furthermore, the increasing production activities associated with pharmaceuticals will further create a lucrative growth opportunity for the methyl tertiary butyl ether (MTBE) market in the long run.

Methyl Tertiary Butyl Ether (MTBE) Report Coverage:

Report Attributes	Report Details
Study Timeline	2017-2030
Market Size in 2030 (USD Billion)	USD 27.63 Billion
CAGR (2023-2030)	4.8 %
Base Year	2022
By Application	Fuel Additive, Isobutene, Synthetic Rubber, Chemical Intermediates, Electronic Display, Fragrances and, Flavors Compositions, Paint Thinner Blending, and Others
By End-use Industry	Automotive, Cosmetics and Personal Care, Pharmaceutical, Chemical, Oil & Gas, and Others
By Geography	Asia-Pacific [China, Southeast Asia, India, Japan, Korea, Western Asia] Europe [Germany, UK, France, Italy, Russia, Spain, Netherlands, Turkey] North America [United States, Canada, Mexico] Middle East & Africa [GCC, North Africa, South Africa] South America [Brazil, Argentina, Columbia, Chile, Peru]
Key Players	SABIC, LyondellBasell Industries Holdings B.V., ENOC Company, Evonik Industries AG., Formosa Plastics Corporation, U.S.A., LUKOIL, QAFAC, SIBUR International GmbH, Vinati Organics Limited, and Manas Petro Chem

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Market Dynamics:

Driver:

Methyl tertiary butyl ether is used in the manufacturing of automotive fuel additives to ensure a reduction in pollution emissions. These products are often deployed in the interiors and exteriors of automotive cars to ensure superior resistance and strength. For illustration, according to the Organisation Internationale des Constructeurs dAutomobiles (OICA), in 2021, the production of automotive vehicles at the global level was 80,205,102 units, and in 2022, it was 85,016,728 units, an increase of 6%. Thus, the growth of the automotive industry is a prime factor boosting the demand for methyl tertiary butyl ether at the global level. This factor is driving the methyl tertiary butyl ether (MTBE) market growth at the global level.
Moreover, methyl tertiary butyl ether is a major raw material in the production of chemical intermediates, which are widely used in various end-use industries, including pharmaceuticals, chemicals, and others. This factor is increasing the demand in the market.

Restraint:

Methyl tertiary butyl ether has superior properties such as higher boiling points, melting points, and others. However, on the flip side, methyl tertiary butyl ether is listed under the category of hazard substance list. Thus, it is mandatory to label and tag hazardous substances and chemicals as per various international standards. For illustration, the New Jersey Department of Health and Senior Services has listed methyl tertiary butyl ether in the hazard substance list as it can cause irritation to the nose, eyes, & skin and cause breathing issues. Therefore, since the methyl tertiary butyl ether is listed in the hazardous substance list, the innovations associated with the market are very limited, which is creating a roadblock for the growth of the methyl tertiary butyl ether (MTBE) market size.

Opportunities:

Methyl tertiary butyl ether (MTBE) acts as a vital ingredient in the manufacturing process of chemicals such as coatings, adhesives, and many more. The chemicals industry is registering growth due to the factors such as increasing demand for base materials, rising demand for synthesizers, and others. For instance, according to the European Chemical Industry Council (CEFIC), in 2020, the chemicals market in the European Union region was valued at EURO 487 billion (USD 556.2 billion), and in 2021, it was EURO 594 billion (USD 702.5 billion). Hence, the manufacturing of chemicals is increasing at the global level. Thus, the adoption of methyl tertiary butyl ether will increase to ensure efficient density. This factor will drive the methyl tertiary butyl ether (MTBE) market growth in the upcoming years.

Chlorinated Polyethylene (PE-C) Market Segmentation:



By Application

The application segment is divided into fuel additive, isobutene, synthetic rubber, chemical intermediates, electronic display, fragrances and, flavors compositions, paint thinner blending, and others. In 2022, the fuel additive accounted for the highest market share in the methyl tertiary butyl ether (MTBE) market. Methyl tertiary butyl ether (MTBE) enhances the oxygen levels in gasoline, thereby reducing pollution emissions. Thus, methyl tertiary butyl ether (MTBE) is ideal for application in fuel additives. The development of new manufacturing facilities for fuel additives will further benefit the market growth. For instance, in August 2022, BASF SE opened a new manufacturing facility for the production of fuel additives in Shanghai, China. Thus, the development of a new manufacturing plant for fuel additives is accelerating the demand for methyl tertiary butyl ether (MTBE), which, in turn, is augmenting the market growth.
Furthermore, the chemical intermediates segment is anticipated to be the fastest-growing segment during the forecast period due to the increasing use of chemical intermediates in the pharmaceuticals and chemical sectors.

By End-use Industry

The end-user segment is categorized into automotive, cosmetics and personal care, pharmaceutical, chemical, oil & gas, and others. In 2022, the automotive segment accounted for the highest market share in the methyl tertiary butyl ether (MTBE) market. The development of infrastructure projects, and the growth of public transportation, among others are vital variables fueling the demand for commercial vehicles. These factors are contributing to the growth of automotive production. For illustration, according to the Organisation Internationale des Constructeurs dAutomobiles (OICA), in 2020, the production of commercial vehicles at the global level was 21,787,126 units, and in 2021, it was 23,091,693 units, an increase of 5.9%. Henceforth, the growth of the automotive industry is projected to increase the demand for methyl tertiary butyl ether (MTBE). This, in turn, is fostering market growth.
In addition, the pharmaceuticals industry is expected to be the fastest-growing segment over the forecast period, owing to the increasing use of methyl tertiary butyl ether (MTBE) in the development of chemical intermediates. In line with the pharmaceutical industrys growth, the methyl tertiary butyl ether (MTBE) market is registering growth.

By Region:

By region, the market is segmented into North America, Europe, Asia-Pacific, Middle East & Africa, and Latin America. In 2022, Asia Pacific accounted for the highest market share in the methyl tertiary butyl ether (MTBE) market. The primary factors such as the rapidly growing industrial sector, and booming transportation & logistics sector, are some of the major determinants accelerating the automotive industry growth in the Asia Pacific region. For instance, according to the OICA, in 2022, the Asia Pacific region manufactured the highest number of total automotive vehicles at the global level, holding a share of 58.84%. Therefore, the booming automotive industry in the Asia Pacific region is fostering the demand for methyl tertiary butyl ether (MTBE). This, in turn, is proliferating the market growth.



Likewise, North America is expected to be the fastest-growing region over the forecast period due to growth of the various industries such as automotive, pharmaceuticals, and others. Thus, the growth of the above-indicated industries in the North American region is driving the demand for methyl tertiary butyl ether. As a result, driving the growth of the methyl tertiary butyl ether (MTBE) market.

Methyl Tertiary Butyl Ether (MTBE) Market Competitive Landscape:

The methyl tertiary butyl ether (MTBE) market is highly competitive, with several large players and numerous small and medium-sized enterprises. These companies have strong research and development capabilities and a strong presence in the market through their extensive product portfolios and distribution networks. The market is characterized by intense competition, with companies focusing on expanding their product offerings and increasing their market share through mergers, acquisitions, and partnerships. The key players in the market include-

• SABIC
• LyondellBasell Industries Holdings B.V.
• ENOC Company
• Evonik Industries AG.
• Formosa Plastics Corporation, U.S.A.
• LUKOIL
• QAFAC
• SIBUR International GmbH
• Vinati Organics Limited
• Manas Petro Chem

Recent Developments

• In January 2022, LUKOIL, a leading manufacturer of METBE, issued a license to Lummus Technology for its new integrated methyl tertiary butyl ether (MTBE) plant in Perm, Russia. Lummus Technology will deploy Lummus\' CDEtherol technology for the production of methyl tertiary butyl ether.