Asia Pacific Higher Linear Alpha Olefins (HLAO) Capacity, Production, Demand, Value Range and Market Forecast Analysis Report Until 2032

Asia-Pacific Higher Linear Alpha Olefins

Higher linear alpha olefins are alkenes with double bond at the primary position of the hydrocarbon chain. HLAO ranges from C₁₀ to C₂₀ and are used in the production of polyalpha olefin, alkylbenzene, detergent alcohol, amines, sulphonates, alkenyl Succinates, oilfield chemicals, lubricant additives, waxes etc. The key players in the higher linear alpha olefins market are Shell Global, INEOS oligomers, Chevron Phillips Chemical Company, ExxonMobil and Idemitsu Kosan Chemical Company.

The market of Asia-Pacific HLAO is segmented by Applications which includes lubricants, fine chemicals, surfactants & detergents, polybutene, oil field chemicals, additives, alkylates and others.

Higher alpha olefin accounts for around 30% of the total linear alpha olefin market. Around 66% of total higher linear alpha olefin demand is accounted by C₁₀ to C₁₄ range alpha olefins. This fraction is majorly used in applications such as polyalpha olefins, alkyl benzene, and detergent alcohols. The market of C₁₀ range, decene-1 is driven by growing consumption of Polyalphaolefins which is used to produce industrial lubricants. C₁₂ (docene-1) HLAO is used to make products such as detergent alcohol and linear alkyl benzene (LAB). These products find applications in liquid, powder laundry detergents and commercial dishwashing detergents. C₁₄ range of LAO is used majorly for producing bulk detergent and alpha olefin sulphonates (AOS). AOS is used in dishwashing liquids, shampoos and liquid soaps.

Market Overview:

The surfactants & Detergents application segment is estimated to have a significant market share in HLAO market in 2023. Surfactants & detergent consumption is growing on the back of health awareness, rising spending power, new product development. The market of detergent pods has increased from 19% in 2021 to 22% in 2023 in the domestic laundry and dishwasher market. In addition to this, modernisation and lifestyle shift is boosting the consumption of washing and laundry detergents. Personal care products such as shampoos, soaps, body washes, moisturizers, and conditioners, are one of the major end use applications of detergent alcohols. The growth of personal care items on the back is driving the market of detergent alcohols in personal care products. Asia-Pacific accounted for around 43% of the market share in the global cosmetic market in 2023.

Lubricants segment also accounts for a significant market share of HLAO demand in the region. Lubricants market is driven by growing mergers and partnerships among industry leaders for the development of lubricant products and expansion of production capacities. For example, Rock Energy Limited became the sole supplier of Caltex branded lubricants in Bangladesh on behalf of Chevron Lubricants Lanka Plc for brands including Havoline and Delo.

Demand Analysis:

The growing demand for farm mechanization in the Asia-Pacific region is driving the market of agricultural lubricants. For example, in India, the market of agricultural mechanisation is driven by rising labor wages, increasing cost of production, low famer income and government initiatives. Several schemes and programmes are introduced by the Indian government to support agricultural mechanization in the country such as The National Agricultural Development Program provides rebates ranging from 30% to 50% for access to agricultural equipment such as harvesters, power sprayers, paddy transplanters, threshers, and other small equipment to farmers. In China, the government allocated amount of CNY 980 Billion to support research in agricultural mechanisation sector during the period 2023-2032.

Polyalpha olefins, diesters and polyols are used as a base oil in synthetic agricultural lubricants. The demand of synthetic lubricants is growing on the back of high viscosity index, less prone to oil degradation and oxidation in extreme heat and longer oil change intervals than mineral oil lubricants.