Dimethyl Ether Market - Forecast(2020 - 2025)

Report Code: CMR 0786 Report Format: PDF + Excel (Delivery in 48 Hrs)

Overview

Dimethyl Ether Market is forecast to reach $10.26 billion by 2025, after growing at a CAGR of 10% during 2020-2025. Dimethyl ether (DME), also known as methoxy methane, is an odorless and colorless gas. Dimethyl ether might be produced indirectly from natural gas or directly from methanol. In the first process, natural gas is reformed to synthesis gas, and then synthesis gas is converted into methanol or directly to dimethyl ether (DME). Rising consumer preferences coupled with growing environmental concerns shift for improved quality and less hazardous and is likely to propel dimethyl ether (DME) market. The report covers dimethyl ether market size by raw material and application, dimethyl ether market share by top 5 companies and also the market share by start-ups during the forecast period.

Report Coverage

The report: “Dimethyl Ether – Forecast (2020-2025)”, by IndustryARC, covers an in-depth analysis of the following segments of the Dimethyl Ether.


Key Takeaways

  • DME industries long term growth is projected to be driven by its applications as a fuel for power generation and the diesel substitute.
  • Rising demand for LPG in several countries will assist in raising the demand for dimethyl ether.
  • Rising need to use cleaner energy generation source is likely to contribute significantly to the overall dimethyl ether market in the forecast period.
  • DME is widely recommended as environmentally friendly aerosol and green refrigerant since it has zero ozone depletion potential and lower global warming potentials compared with traditional chlorofluorocarbons

By Raw Material - Segment Analysis

Fossil fuel based segment held a significant share of the dimethyl ether market in 2019. This segment includes DME production using natural gas and coal. Abundant availability of natural gas recoverable reserves is the primary reason contributing to segment growth. These reserves can be utilized to produce a product for its widespread applications in LPG blending, aerosol propellants, transportation fuel and other industrial applications, including blowing agents for insulation panels, refrigerants, solvent extracting agents and fuel for welding & cutting. Easy availability of natural gas, owing to technological advancements, which is attributed to high R&D investment in the oil and gas industry, will help attain promising gains in the fossil fuel-based market by 2025.

By Application - Segment Analysis

LPG blending segment held a significant share of the dimethyl ether market in 2019 One of the major reasons responsible for the increasing dimethyl ether demand for LPG blending is the pressing need to reduce harmful emissions, which has been increasing, owing to the rising population primarily in Asia-Pacific. According to the World Energy Council, total recoverable coal reserves in China are 80.2 thousand Mtoe (Million Tons of Oil Equivalent) in 2018, which will help in reducing imports and meet the rising DME demand in the region at cost-effective prices.

LPG used for cooking and heating for domestic purposes has been a major cause of increasing harmful pollutants in the environment, which can be condensed by LPG blending with dimethyl ether, which is added up to a volume concentration of 15%-20%, and it is feasible to add value-adding benefits to LPG use across domestic purposes.

Geography - Segment Analysis

Asia Pacific dominated the dimethyl ether market with a share of more than 70% during the forecast period. High product demand in Asia-Pacific is attributed to its widespread applications in LPG blending, which is gradually gaining momentum to attain environmental sustainability. Improving the regulatory framework in the favor of the environment in the region is encouraging product applications in LPG blending to reduce particulate matter, soot and other pollutants to improve the overall air quality in the long run.

Constantly growing automobile industry in China will drive the dimethyl ether demand over the forecast period. Also, the easy availability of coal reserves in China will provide benefits to the regional market.  Moreover, there are certain environmental regulations set by the government in the region which will impact the DME development positively. These regulations are mainly against the harmful emission which is estimated to drive the overall dimethyl ether market.

Drivers – Dimethyl Ether Market

  • Rising demand from automotive industry

Rising regulations against high emission fuels in the automotive sector are contributing to the overall DME demand as it has a higher cetane number which provides a better ignition value to ultimately reduce pollutants from the environment. Constantly growing automobile industry in APAC is expected to drive the dimethyl ether demand over the forecast period.

Challenges – Dimethyl Ether Market

  • Fluctuations in prices of raw materials

Dimethyl ether is generated from various raw materials such as methanol, natural gas, coal, and biomass. Increasing prices of coal are expected to hinder the dimethyl ether market. Coal prices increased by 1.52 USD/MT or 2.18% since the beginning of 2020, according to trading on a contract for difference (CFD) that tracks the benchmark market for this commodity.

Market Landscape

Technology launches, acquisitions and R&D activities are key strategies adopted by players in the dimethyl ether market. In 2019, the market of dimethyl ether materials have been consolidated by the top five players accounting for xx% of the dimethyl ether market share. Major top 10 companies of dimethyl ether market Akzo Nobel N.V., The Chemours Company, Mitsubishi Corporation, Grillo-Werke AG, Oberon Fuels, Royal Dutch Shell Plc., China Energy Limited, Ferrostal GmbH., Jiutai Energy Group, and Zagros Petrochemical Company among others.

Geographical Expansion

  • In Sept 2015, Mitsubishi Corporation in association with its subsidiaries has set up methanol and dimethyl ether plant in Trinidad and Tobago in 2015. The plant required USD 1 billion investment with a capacity to produce 100,000 tons/annum of methanol and 20,000 tons/annum of dimethyl ether. This move was intended to meet the demand for the generation of clean energy fuel in the country.

1. Dimethyl Ether Market- Market Overview
    1.1  Definitions and Scope
2. Dimethyl Ether Market- Executive Summary
    2.1 Market Revenue, Market Size and Key Trends by Company
    2.2 Key trends by raw material
    2.3 Key trends by application 
    2.4 Key trends segmented by geography
3. Dimethyl Ether Market- Landscape
    3.1 Comparative analysis 
        3.1.1 Market Share Analysis- Top Companies
        3.1.2 Product Benchmarking- Top Companies
        3.1.3 Top 5 Financials Analysis
        3.1.4 Patent Analysis- Top Companies
        3.1.5 Pricing Analysis
4. Dimethyl Ether Market - Startup companies Scenario Premium Premium  
    4.1 Top startup company Analysis by
        4.1.1 Investment
        4.1.2 Revenue
        4.1.3 Market Shares
        4.1.4 Market Size and Application Analysis
        4.1.5  Venture Capital and Funding Scenario
5. Dimethyl Ether Market– Industry Market Entry Scenario Premium Premium  
    5.1 Regulatory Framework Overview
    5.2 New Business and Ease of Doing business index
    5.3 Case studies of successful ventures
    5.4 Customer Analysis - Top companies
6. Dimethyl Ether Market- Market Forces
    6.1 Market Drivers
    6.2 Market Constraints
    6.3 Market Opportunities
    6.4 Porters five force model
        6.4.1 Bargaining power of suppliers
        6.4.2 Bargaining powers of customers
        6.4.3 Threat of new entrants
        6.4.4 Rivalry among existing players
        6.4.5 Threat of substitutes 
7. Dimethyl Ether Market -Strategic analysis
    7.1 Value chain analysis
    7.2 Opportunities analysis
    7.3 Product life cycle
    7.4 Suppliers and distributors Analysis
8. Dimethyl Ether Market– By Raw Material (Market Size -$Million, KT)
    8.1 Fossil Fuel Based
    8.2 Bio Based
9. Dimethyl Ether Market– By Application (Market Size -$Million, KT)
    9.1 LPG Blending
    9.2 Aerosol Propellant
    9.3 Transportation Fuel
    9.4 Others
10. Dimethyl Ether Market - By Geography (Market Size -$Million / KT)
    10.1 North America 
        10.1.1 U.S
        10.1.2 Canada
        10.1.3 Mexico
    10.2 South America
        10.2.1 Brazil
        10.2.2 Argentina
        10.2.3 Colombia
        10.2.4 Ecuador
        10.2.5 Rest of South America
    10.3 Europe 
        10.3.1 Germany
        10.3.2 United Kingdom
        10.3.3 France
        10.3.4 Italy
        10.3.5 Russia
        10.3.6 Spain
        10.3.7 Rest of Europe
    10.4 APAC 
        10.4.1 China
        10.4.2 Japan
        10.4.3 India
        10.4.4 South Korea
        10.4.5 Rest of APAC
    10.5 RoW 
        10.5.1 Middle East 
        10.5.2 Africa
11. Dimethyl Ether Market- Entropy
12. Dimethyl Ether Market – Industry / Segment Competition landscape Premium Premium
    12.1 Market Share Analysis
        12.2 Market Share by Country- Top companies
        12.3  Market Share by Region- Top companies
        12.4 Market Share by type of Application – Top companies
        12.5 Market Share by type of Product / Product category- Top companies
        12.6 Market Share at global level- Top companies 
        12.7 Best Practices for companies
13. Dimethyl Ether Market- List of Key Companies by Country Premium  
14. Dimethyl Ether Market Company Analysis
    14.1 Market Share, Company Revenue, Products, M&A, Developments
    14.2 Company 1
    14.3 Company 2
    14.4 Company 3
    14.5 Company 4
    14.6 Company 5
    14.7 Company 6
    14.8 Company 7
    14.9 Company 8
    14.10  Company 9
    14.11  Company 10 and more
"*Financials would be provided on a best efforts basis for private companies"
15. Dimethyl Ether Market  – Appendix
    15.1 Abbreviations
    15.2 Sources
16. Dimethyl Ether Market  -Methodology Premium Premium  
    16.1 Research Methodology
    16.2 Company Expert Interviews
    16.3 Industry Databases
    16.4 Associations
    16.5 Company News
    16.6 Company Annual Reports
    16.7 Application Trends
    16.8 New Products and Product database
    16.9 Company Transcripts
    16.10 R&D Trends
    16.11 Key Opinion Leaders Interviews
    16.12 Supply and Demand Trends