Alpha Olefins Market Development Status and SWOT Analysis

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Heavier alpha olefins including 1-Octene and 1-Hexene can be used to manufacture LLDPE (linear low-density polyethylene). In recent years, a significant number of ethylene cracker plants with integrated specialty-class polythene production facilities have become operational. LLDPE based on 1-octene provides lower density, higher resistance to external pressure, and greater stiffness over lighter alpha olefin LLDPE. Due to their durable and lightweight packaging properties, such compounds have become an ideal choice for equipment and consumer good manufacturing.

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Thus, owing to such advantages, heavier linear alpha olefins are widely being preferred in North American countries, such as the U.S., thereby driving the growth of the alpha olefins market. Further, poly-alpha olefin-based lubricants are gaining popularity due to their various benefits such as higher viscosity index and greater oxidative stability over mineral oils, thereby becoming a long-term growth factor for the market. This prosperity is expected to create huge opportunities for the players operating in the niche.

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Globally, North America has been recording the highest revenue in the alpha olefins market. This is attributed to the growing demand of the compound in different industries, including construction, automotive, and plastics. The region is the largest producer and consumer of the compound in the world. High consumption of plastic and increasing production capacity are the major factors driving the growth of the region’s alpha olefins market.

Plasticizers are additives used for improving the plasticity of a material. As of 2017, the consumption of the compound in the production of plasticizers was quite low. Chlorinated C20 – C24 compounds can be used along with primary plasticizers to improve the plasticity of polyvinyl chloride (PVC). By adding alpha olefin-based plasticizers, the flexibility and durability of plastic materials gets increased. Flexible PVC has applications in different industries such as packaging, flow-control equipment, automotive, medical devices, and others, which is expected to create opportunities for the alpha olefins market growth.