Key Takeaways
- In 2022, the U.S. propane distribution industry generated total revenues of $28.4 billion, marking a 12% increase from 2021.
- The global propane market was valued at $78.5 billion in 2023, projected to reach $112.3 billion by 2030 at a CAGR of 5.2%.
- U.S. propane wholesale sales volume reached 1.02 billion gallons in 2022 for the residential sector alone.
- U.S. propane production from natural gas processing averaged 1.78 million barrels per day in 2022.
- Mont Belvieu, Texas propane storage inventories peaked at 25 million barrels in October 2022.
- Global propane production reached 260 million metric tons in 2022, with U.S. contributing 25%.
- U.S. residential propane consumption averaged 4.2 million gallons per day in winter 2022.
- Global propane demand for petrochemicals reached 85 million tons in 2023.
- U.S. propane use in agriculture was 190 million gallons in 2022 for crop drying.
- U.S. pipeline network for propane spans 5,000 miles dedicated in 2023.
- Number of U.S. propane retail outlets: over 17,000 in 2023.
- U.S. propane railcar fleet size: 25,000 DOT-113 spec cars in 2022.
- U.S. incidents per million propane miles transported: 0.12 in 2022.
- NPGA safety record: 99.9999% incident-free deliveries in 2023.
- U.S. propane leak detection tech adoption: 85% of distributors by 2023.
The propane industry is a large, growing global market with strong production and diverse uses.
Consumption and Demand
- U.S. residential propane consumption averaged 4.2 million gallons per day in winter 2022.
- Global propane demand for petrochemicals reached 85 million tons in 2023.
- U.S. propane use in agriculture was 190 million gallons in 2022 for crop drying.
- Europe residential propane demand fell 15% to 8 million tons in 2022.
- China propane imports for demand hit 18.5 million tons in 2022.
- U.S. commercial propane consumption totaled 320 million gallons in 2023.
- India propane demand grew 12% to 9.2 million tons in FY2023.
- U.S. autogas propane use increased to 1.2 billion gallons annually by 2023.
- Japan propane imports for power generation: 4.5 million tons in 2022.
- U.S. industrial propane demand averaged 650,000 bpd in 2023.
- South Korea propane consumption for petrochemicals: 7.8 million tons in 2022.
- U.S. propane for heating: 40% of total demand, 8.5 billion gallons in 2022 winter.
- Turkey propane demand rose 10% to 3.2 million tons in 2023.
- Global propane demand growth forecasted at 2.5% annually to 2030.
- U.S. propane exports consumed 60% of production in 2023, 1.1 million bpd.
- Mexico propane imports from U.S.: 250,000 bpd in 2022.
- U.S. propane for crop drying: 12% of total demand, peaking in fall.
- Brazil residential propane use: 7 million tons annually in 2023.
- Europe industrial propane demand down 20% post-Ukraine war to 15 million tons.
- U.S. propane forklift demand: 300,000 units refueling 2 billion gallons yearly.
- Asia propane demand for PDH plants: 25 million tons in 2023.
- U.S. total propane deliveries: 950 million gallons monthly average in 2023.
- Vietnam propane imports surged 25% to 1.5 million tons in 2022.
- U.S. propane demand elasticity to price: -0.45 in residential sector 2022.
- Thailand LPG (propane mix) demand: 11 million tons in 2023.
- U.S. propane for standby power: 150 million gallons annually in 2023.
- Global propane demand in marine fuel: 2 million tons projected by 2025.
Consumption and Demand Interpretation
Distribution and Infrastructure
- U.S. pipeline network for propane spans 5,000 miles dedicated in 2023.
- Number of U.S. propane retail outlets: over 17,000 in 2023.
- U.S. propane railcar fleet size: 25,000 DOT-113 spec cars in 2022.
- Gulf Coast propane export terminals: 12 facilities with 1.5 million bpd capacity.
- U.S. propane underground storage capacity: 140 million barrels across 60 sites.
- Canada propane pipeline throughput: 400,000 bpd via TransCanada system in 2023.
- Europe propane barge transport on Rhine: 2.5 million tons annually.
- U.S. propane truck fleet: 45,000 bobtail delivery trucks in operation 2023.
- Mont Belvieu hub handles 70% of U.S. propane trading volume.
- Asia propane VLGC (Very Large Gas Carrier) fleet: 180 vessels in 2023.
- U.S. propane cylinder exchange points: 120,000 locations nationwide.
- Texas propane pipeline miles: 2,800 dedicated lines in intrastate network.
- Global propane shipping tonnage: 85 million tons seaborne in 2022.
- U.S. Midwest propane terminals: 25 facilities with 10 million barrel storage.
- Mexico-U.S. propane pipeline: Waha-Mexico line 55,000 bpd capacity.
- U.S. propane bobtail delivery averaged 50 million miles driven annually.
- Europe LPG storage capacity: 4.5 million tons across 200 sites.
- U.S. propane rail shipments: 1.2 million carloads in 2022.
- Corpus Christi propane export pier throughput: 800,000 bpd max.
- U.S. residential propane tanks: 43 million customer-owned units.
- Atlantic Basin propane VLGC voyages: 1,200 per year in 2023.
- U.S. propane wholesale terminals: 300+ facilities handling 90% volume.
- Bakken propane-by-rail exports: 100,000 bpd to East Coast.
- Global propane loading ports: 45 major terminals worldwide.
- U.S. propane ISO container usage: 5,000 units for small distribution.
- France propane truck fleet: 8,000 vehicles for domestic delivery.
Distribution and Infrastructure Interpretation
Market Size and Growth
- In 2022, the U.S. propane distribution industry generated total revenues of $28.4 billion, marking a 12% increase from 2021.
- The global propane market was valued at $78.5 billion in 2023, projected to reach $112.3 billion by 2030 at a CAGR of 5.2%.
- U.S. propane wholesale sales volume reached 1.02 billion gallons in 2022 for the residential sector alone.
- North American propane market size stood at 4.5 million barrels per day in 2021, with a forecasted growth to 5.2 million bpd by 2027.
- The propane industry in the U.S. employed approximately 48,000 direct jobs in 2023.
- European propane market revenue hit €15.2 billion in 2022, driven by industrial demand.
- U.S. propane retail margins averaged $0.42 per gallon in 2022 across 15,000 distribution points.
- Asia-Pacific propane market expanded by 6.8% annually from 2018-2023, reaching $32 billion.
- In 2023, U.S. propane industry capital expenditures totaled $2.1 billion for storage and transport upgrades.
- Canadian propane market size was CAD 8.7 billion in 2022, with 7% YoY growth.
- Global propane trade volume was 92 million metric tons in 2022.
- U.S. Midwest propane market share held 28% of national distribution in 2023.
- Propane distribution sector in Texas contributed $4.8 billion to GDP in 2022.
- International propane market CAGR projected at 4.1% from 2023-2028.
- U.S. propane exports market value reached $14.5 billion in 2022.
- Australian propane industry revenue was AUD 2.3 billion in FY2022.
- U.S. propane autogas segment grew 15% to $450 million in 2023.
- Middle East propane market dominated 35% of global supply value in 2022 at $25 billion.
- U.S. agricultural propane use market was $3.2 billion in 2023.
- Latin America propane distribution market size hit $5.6 billion in 2022.
- U.S. propane industry saw 8.3% revenue growth in Q4 2023.
- Global LPG market, including propane, valued at $150 billion in 2023.
- U.S. East Coast propane import market was $2.1 billion in 2022.
- Propane distribution in Florida generated $1.2 billion annually as of 2023.
- UK propane market revenue reached £1.8 billion in 2022.
- U.S. propane forklift market segment worth $320 million in 2023.
- China propane import market valued at $18 billion in 2022.
- U.S. propane residential heating market $12.5 billion in 2022.
- Brazil propane distribution industry $4.2 billion in 2023.
- U.S. propane industry M&A activity totaled $1.8 billion in 2023 deals.
Market Size and Growth Interpretation
Production and Supply
- U.S. propane production from natural gas processing averaged 1.78 million barrels per day in 2022.
- Mont Belvieu, Texas propane storage inventories peaked at 25 million barrels in October 2022.
- Global propane production reached 260 million metric tons in 2022, with U.S. contributing 25%.
- U.S. refinery propane production was 570,000 bpd in December 2023.
- Permian Basin supplied 45% of U.S. propane production in 2023, approximately 800,000 bpd.
- Canada exported 1.2 million metric tons of propane to the U.S. in 2022 via rail.
- Middle East propane production capacity stood at 120 million tons per year in 2023.
- U.S. natural gas plant liquids (NGL) propane fractionator output hit 1.5 million bpd in 2022.
- Saudi Arabia's propane production averaged 2.1 million tons per month in 2022.
- U.S. Gulf Coast propane production facilities numbered 14 major fractionators with 2.8 million bpd capacity in 2023.
- Norway exported 4.5 million tons of propane in 2022 from Equinor fields.
- U.S. propane supply from imports was 345,000 bpd in 2022.
- Qatar's RasGas propane production reached 9 million tons annually in 2023.
- Bakken shale propane production contributed 250,000 bpd to U.S. total in 2022.
- Europe propane production declined 8% to 12 million tons in 2022 due to sanctions.
- U.S. propane blending into gasoline was 50,000 bpd in 2023.
- Australia’s domestic propane production was 1.8 million tons in FY2022.
- U.S. propane stocks averaged 32 million barrels in winter 2022-2023.
- UAE propane output from ADNOC was 6.2 million tons in 2022.
- Marcellus shale propane supply grew 20% to 150,000 bpd in 2023.
- Global propane supply surplus was 5 million tons in 2023.
- U.S. propane from crude oil refineries: 18% of total production in 2022.
- Indonesia propane production capacity 2.1 million tons/year from Pertamina.
- Haynesville shale contributed 120,000 bpd propane in 2023.
- Propylene production via propane dehydrogenation (PDH) used 15 million tons propane globally in 2022.
Production and Supply Interpretation
Safety, Environment, and Regulations
- U.S. incidents per million propane miles transported: 0.12 in 2022.
- NPGA safety record: 99.9999% incident-free deliveries in 2023.
- U.S. propane leak detection tech adoption: 85% of distributors by 2023.
- Global propane CO2 emissions per BTU: 18% lower than diesel.
- U.S. PHMSA propane pipeline violations: 1,200 citations in 2022.
- Propane autoignition temperature: 920°F, higher than gasoline's 850°F.
- U.S. propane cylinder recertification rate: 98.5% compliance in 2023.
- Europe REACH regulations cover 100% of propane imports since 2021.
- U.S. propane forklift emissions: 90% lower NOx than diesel equivalents.
- Annual U.S. propane safety training hours: 2.5 million across industry.
- Propane global spill incidents: <0.01% of transported volume annually.
- U.S. DOT propane transport accidents: 45 reportable in 2022, zero fatalities.
- Bio-propane production under EU RED II: 0.5 million tons targeted by 2030.
- U.S. OSHA PSM compliance audits for propane plants: 95% pass rate.
- Propane particulate matter emissions: 99% less than fuel oil.
- Canada propane odorization standard: 1.0% ethyl mercaptan minimum.
- U.S. NFPA 58 code updates in 2024 cover 1,200 propane facilities.
- Global propane VOC emissions controlled to <1% via vapor recovery.
- U.S. propane emergency response calls: 12,000 annually, 99% resolved safely.
- EU ETS carbon pricing impacts propane: €45/ton CO2 in 2023.
- U.S. propane tank overfill protection devices: mandatory 100% since 2008.
- Propane renewable content: up to 20% in U.S. RIN program credits.
- Australia propane safety valve failure rate: 0.02% per million hours.
- U.S. propane pipeline integrity management: 92% inspected in 2022 cycle.
- Global propane flash fire probability: 0.001% under ventilated conditions.
- Propane GHG lifecycle emissions: 139 gCO2/MJ vs. diesel 162 gCO2/MJ.
Safety, Environment, and Regulations Interpretation
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