World Analysis – Butylenes

Long-term outlook to 2060

Butylenes are four-carbon mono-olefins primarily sourced from olefin production via steam cracking or from catalytic cracking within petroleum refineries. These processes generate mixed C4 streams containing both mono- and di-olefins, as well as saturated C4 hydrocarbons, which are subsequently upgraded into higher-value products within integrated refinery and petrochemical complexes. Additional technologies are also commercially available for the on-purpose production of butylenes. This World Analysis provides a forward-looking assessment of global markets for contained isobutylene, contained normal butylenes, high-purity isobutylene (HPIB), and butene-1.

Contained isobutylene, also referred to as raffinate-1 or refinery butylenes/butane streams, serves as a feedstock for a wide range of derivatives, including MTBE, polyisobutylene, methyl methacrylate (MMA), isoprene, diisobutylene, isooctene, and isooctane. Contained normal butylenes (with little or no isobutylene) are sourced from units designed to selectively remove isobutylene from mixed C4 streams. These high-purity normal butylenes are then used as feedstocks in various downstream applications. Because isobutylene has already been extracted, separating the normal butylene isomers becomes significantly more efficient. Although normal butylenes can also be produced via butane dehydrogenation, this material is typically converted directly into butadiene. Both contained isobutylene and normal butylenes may also enter the gasoline pool as butylene alkylate when reacted with isobutane.

High-purity isobutylene (HPIB), defined as ≥99.0% purity, is consumed largely in butyl rubber production, which accounts for nearly 60% of global HPIB demand. The second-largest outlet—highly reactive polyisobutylene (HR-PIB)—represents approximately 25% of demand. Smaller volumes are used to produce derivatives such as MMA, isononyl alcohol, neopentanol, t-butyl phenol antioxidants, and other specialty chemicals.

Butene-1 is produced either through fractionation (extractive distillation) of butene-1-rich normal butylenes streams (raffinate), via Ziegler oligomerization of ethylene in alpha-olefins plants, or through ethylene dimerization. Its primary use is as a comonomer in all major polyethylene types (LLDPE, LDPE, and HDPE). Additional applications include the production of polybutene-1, amyl alcohol, and butylene oxide, as well as specialty uses such as hot-melt adhesives and amorphous polymer modifiers for bitumen in single-ply roofing materials.

Long-term outlook to 2060

The World Analysis – Butylenes (data-only) provides an in-depth assessment of the global butylenes market, offering comprehensive analysis and strategic insights into the key developments that will shape the long-term supply, demand, trade, and pricing outlooks. This service equips industry participants with the analytical foundation needed to navigate market volatility and anticipate structural shifts across the benzene value chain.

Subscribers gain access to a full suite of reports, data files, analytical tools, and visualization modules, available online and downloadable from our website, including:

• A strategic report outlining critical insights and the future trajectory of global and regional markets

• Online Data Browser access to supply, demand, and capacity databases

• Continuously updated company/shareholder capacity listings, capacity integration analysis, and rankings of top producers/consumers, including surplus/deficit capacity profiles

• A comprehensive Data Appendix (Excel) featuring supply/demand and capacity tables, plus a dashboard with standard visualizations for all countries and regions

• Excel data files with long-range supply/demand graphics and price forecasts through 2060, along with detailed trade grids showing country- and region-level trade flows with 5- and 10-year projections

• An interactive online dashboard visualizing capacity, integration, supply/demand balances, trade flows, and price, cost, and margin forecasts

• Explanatory Notes detailing data sources, methodology, assumptions, units, conversion factors, and full World Analysis deliverables

• Energy and macroeconomic assumptions used in the long-term outlook

• Price assessment methodology and forecasting framework

In addition to the main products, contained isobutylene (CISB), contained normal butylenes (CNB), high purity isobutylene (HPIB), and butene-1 (BU1), capacity data are provided for the following products:

• Alkylation (ALK)
• 1,2-Butylene Oxide (BUTOX)
• Butadiene (BDE)
• Butyl Rubber (BUR)
• C4s Hydrogenation (C4H)
• Diisobutylene (DIB)
• Ethyl Tertiary Butyl Ether (ETBE)
• Fluid Catalytic Cracking (FCC)
• High-Density Polyethylene (HDPE)
• Heptenes (HEP)

This World Analysis provides detailed intelligence on capacities, production, demand, and trade across all major producing and consuming countries, regions, and global hubs. While robust data collection underpins the historical and forward views, the true value of the service lies in the expert interpretation and market analysis applied by our global team.

Data verification is a central pillar of our approach. Direct engagement with key industry participants ensures that our conclusions reflect real-world market behavior, delivering the most accurate and realistic forward outlook for the global butylenes industry.

Long-term outlook to 2060