Published March 2023
1,3-Butadiene (commonly called butadiene) is a conjugated diene used in the production of polymers and as a chemical intermediate for several specialty products. The largest use for butadiene is in the production of synthetic elastomers including styrene-butadiene rubber (SBR) and polybutadiene rubber (PBR), both of which are primarily consumed in the manufacture of tires and auto parts. Other elastomer applications include nitrile rubber hoses, surgical gloves, mechanical belts, carpet backing, footwear, and neoprene products. Butadiene is also copolymerized into plastics, the largest being acrylonitrile-butadiene-styrene (ABS) resins, which are used in various markets such as appliances and the automotive industry.
Butadiene is primarily generated as a coproduct in the production of ethylene. It is extracted from crude C4 cut after steam cracking operations. The largest butadiene yields are obtained when cracking heavier feeds such as naphtha and gas oil. Butadiene consumption is affected by various dynamics, including changes in the production of ethylene, fluctuations in energy markets, mobility trends, natural rubber markets, and general economic cycles.
The following chart shows world consumption of butadiene:
Although butadiene consumption increased steadily in 2010–19, the downturn in the automotive industry followed by the COVID-19 pandemic and its effects on transportation activities led to a sharp market decline in 2020. A recovery was initiated as early as 2021, but it remains encumbered by supply chain bottlenecks in the industry. In 2022, butadiene demand was still dominated by Northeast Asia, followed by Western Europe and North America. Northeast Asia has become a major manufacturing center for cars and tires, leading to fast regional butadiene market development.
The short-term future of butadiene production and consumption will depend largely on the developments in the automotive sector and on the resorption of logistical and supply issues. This report provides an insight into the global market for butadiene, including producers, capacity, process, demand by application, and trade. It has been compiled using primary industry research and brings together elements of other IHS Markit reports.
For more detailed information, see the table of contents, shown below.
S&P Global’s Chemical Economics Handbook –Butadiene is the comprehensive and trusted guide for anyone seeking information on this industry. This latest report details global and regional information, including
Key benefits
S&P Global’s Chemical Economics Handbook –Butadiene has been compiled using primary interviews with key suppliers and organizations, and leading representatives from the industry in combination with S&P Global’s unparalleled access to upstream and downstream market intelligence and expert insights into industry dynamics, trade, and economics.
This report can help you
- Identify trends and driving forces influencing chemical markets
- Forecast and plan for future demand
- Understand the impact of competing materials
- Identify and evaluate potential customers and competitors
- Evaluate producers
- Track changing prices and trade movements
- Analyze the impact of feedstocks, regulations, and other factors on chemical profitability
