Bitumen Market

Bitumen Market Size and Growth Rate:

According to our research report, Bitumen Market size is poised to reach USD xxx billion by the end of 2024 from USD 82.5 billion in 2017 and this market witnessed a growth rate of 3.4% during the forecast period 2018-2024.

Global Bitumen Market Overview

Bitumen is produced by the partial distillation of crude petroleum oil, also known as mineral tar and is present in asphalt. It constitutes of 87% carbon, 11% hydrogen and 2% oxygen. Bitumen is a combination of hydro carbons and thermoplastic material having strong tarry odor while stiffness is dependent on temperature. The temperature-vs.-stiffness relationship of bitumen is pivot on the source of crude oil and the method of refining and available in bulk and packed in drums. Crumb Rubber Modified Bitumen (CRMB) is like bitumen with alteration in physical properties like addition of crumb rubber making it more resistant to temperature variations, weather and high traffic loads, reduced maintenance costs and excellent driving comfort.

According to International Journal of Innovative Research & Development, research is going on analysis of properties in bitumen and asphalt with partial replacement of rubber tires by utilizing waste rubber tires (automobile) for the strengthening of pavement.

The Sunrise project is a joint venture (50/50) between BP (British Petroleum) and Husky where Husky operates the Sunrise leases and BP operates the Toledo refinery in Ohio in the US, processing some of the Sunrise bitumen. Sunrise is anticipated to have more than 3 billion barrels of recoverable bitumen resources.

Market Segmentation

By Grades

• Hard Grade
• Soft Grade
• Polymer Modified Bitumen (PMB)

By Product

• Paving grade bitumen
• Oxidized bitumen
• Cutback bitumen
• Bitumen emulsion
• Polymer Modified Bitumen (PMB)

By Application

• Roadways
• Waterproofing
• Adhesives
• Insulation
• Others

By Geography

• North America (US, Canada) {Market Share (%), Market Size (USD Billion), Adoption Rate (%)}
• Europe (UK, France, Italy, Germany, Spain, Hungary, Sweden, Russia, Poland and Rest of Europe) {Market Share (%), Market Size (USD Billion), Adoption Rate (%)}
• Middle East and Africa (GCC Countries, North Africa, South Africa and Rest of Middle East & Africa) {Market Share (%), Market Size (USD Billion), Adoption Rate (%)}
• Latin America (Brazil, Mexico and Rest of Latin America) {Market Share (%), Market Size (USD Billion), Adoption Rate (%)}
• Asia Pacific (China, Japan, India, Singapore, South Korea, Australia, New Zealand and Rest of Asia-Pacific) {Market Share (%), Market Size (USD Billion), Adoption Rate (%)}
• Rest of the World {Market Share (%), Market Size (USD Billion), Adoption Rate (%)}

Growth Drivers and Challenges

Significant expansion on account of the growing need for rebuilding existing assets such as bridges, highways, and buildings, increasing modern construction systems having waterproofed flat roofs, long supply chain, rapid urbanization in emerging markets, increase in traffic require wider roads and characteristics like water insolubility, superior water resistance, high stickiness and viscosity tends to drive the bitumen market.

Declining oil prices has resulted in tight raw material supply and caused price fluctuation and volatility in the market, large contractors have begun directly selling to the refineries, development of bio-based bitumen and stringent regulation by REACH (regulation of the European Union) tend to hinder the bitumen market.

Market Size and Forecast (2016-2024)

Overall construction expenditure was valued at approximately USD 9.46 trillion in 2016 and is anticipated to mark USD 12.75 trillion by 2024 and is likely to increase the bitumen industry demand. Global bitumen market size is poised to exceed USD 110 billion by 2024. Bitumen/Asphalt is the 110 million metric ton (as of 2017) industry owing to the need for maintenance on the massive regional network of roads and highways.

On the basis of application, road construction share is forecast to witness highest gains over the projected timeframe while waterproofing applications was valued at over USD 8.78 billion in 2016. On the basis of product, PMB market size is projected to dominate the bitumen market while paving bitumen market is forecast to witness gains more than 2.25% CAGR over the estimated period.

Geographically, APAC region has overtaken North America as the largest regional market for asphalt and will continue to record the swift advances through 2024, primarily due to the strong growth in China and India. Western Europe asphalt demand tend to recover slowly due to the factors like increased expenditures on road maintenance and repair applications after years of very low spending on infrastructure improvements. MEA is projected to show remarkable volume gains with CAGR of 2.2% from 2016 to 2024 as a consequence of growing construction sector predominately in UAE and Qatar coupled with rising infrastructure activities in the region.

Key Market Players

• British Petroleum

• Total S.A.

• Chevron Texaco Corporation

• China Petroleum and Chemical Corporation

• Indian Oil Corporation

• Royal Dutch Shell Plc.

• JX Nippon Oil & Energy Corporation

• Petroleos Mexicanos

• Bouygues S.A.

• NuStar Energy

• Villas Austria GmbH

• Marathon Oil Corporation

• Exxon Mobil Corporation

• Nynas AB

• Petróleos Mexicanos (PEMEX)

• Valero Energy Corporation

• Shell

Market Dynamics: Growth Drivers, Restraints and Opportunities

• Risk Factors

• Regional Variations

• Recent Trends and Developments