The MEG market is estimated at USD 24.41 Billion in 2017 and is projected to reach USD 30.40 Billion by 2022, at a CAGR of 4.5% from 2017 to 2022.
The growing demand for MEG in the production of polyester and PET is driving the MEG market. Improved socioeconomic conditions, emerging economies, improved infrastructure, increasing vehicle fleet, among other factors have propelled the demand for automobiles. Growing demand for automotive across the world is expected to drive the demand in antifreeze & coolant application in automotive industry. Toxicity of MEG is a major restraint to the MEG market.
Anti-freeze is used in automobiles, heating, ventilation, and air conditioning (HVAC) systems, and heat exchangers to facilitate heat transfer process. Growing automotive and chemical processing end-use industries are expected to increase the demand of antifreeze & coolant in turn driving the MEG market.
The Asia Pacific MEG market is projected to grow at the highest CAGR during the forecast period, owing to the increased demand for MEG in polyester production and PET production units. APAC is the largest market of MEG owing to the high growth potential in polyester fibers and PET applications. China and India require significant volume of MEG to produce polyester fibers and PET resins.
The polyester fiber production and consumption in APAC is expected to be the largest driver of the market in 2017. Polyester fibers are expected to dominate the overall fiber market, by 2022. APAC is expected to have higher demand in the MEG market over other regions due to the influencing factors such as, energy, labor costs, freight, and raw material costs. A major manufacturer of textiles, clothing, and apparel, APAC is expected to propel the growth of the MEG market during the forecast period.
The key players profiled in the report include SABIC (Saudi Arabia), Formosa (Taiwan), Dow (US), BASF (Germany), MEGlobal (UAE), Sinopec (China), Shell (Netherlands), Reliance (India), and SIBUR (Russia).