Propylene market in Romania

Earlier Report Observations

From 2018 to 2020, propylene production in Romania fell from 135.1 thousand tonnes to 121.0 thousand tonnes, and the market volume shrank from 107.5 thousand tonnes to 65.9 thousand tonnes. This decline was driven by the closure of major chemical combines like Oltchim, which reduced domestic capacity. Global overcapacity, particularly from Asia, squeezed profit margins for local producers. In 2020, the COVID-19 pandemic further reduced industrial demand for propylene.

After 2020, propylene imports fluctuated, peaking at 46.4 thousand tonnes in 2021 to offset low domestic output. In 2022, the state-involved Rompetrol Rafinare restarted its LDPE unit and launched a new propylene-based polymer for the automotive and food industries. New energy market regulations, including OUG nr. 153/2022, affected production costs. Global factors such as high energy prices in Europe continued to influence trade, with exports remaining above 60 thousand tonnes annually through 2024.

Production propylene in Romania

In value, 2017-2020, M $ US

Romania's propylene production declined for the second consecutive year. In 2020, output was valued at 71.6 M $ US, marking a sharp 33.9% drop compared to 2019. Production decreased by 23.9% between 2017 and 2020, equivalent to an annualized rate of 8.7%. The peak value was recorded in 2018 at 127.8 M $ US, which also saw the largest increase of 35.8%.

Annual dynamics of production in Romania in value, 2017-2020, M $ US

In kind, 2017-2020, K t

Romania's propylene production volume fell for the second year in a row. In 2020, 121.0 K t were produced, showing a limited decline of 6.8% from the previous year. From 2017 to 2020, production decreased by 5.5%, with a compound annual growth rate of 1.9%. The highest volume was recorded in 2018 at 135.1 K t, which also experienced the largest increase of 5.6%.

Annual dynamics of production in Romania in kind, 2017-2020, K t

Exports propylene from Romania

Exports in kind, t

After a two-year increase, Romania's propylene exports declined. In 2020, export volume amounted to 83 321 t, representing a notable 11.0% drop compared to 2019. Between 2017 and 2020, exports grew by 100.5%, equating to an annualized rate of 26.1%. The maximum volume was recorded in 2019 at 93 604 t, which also saw the largest increase of 54.7%.

Annual dynamics of product's exports from Romania in kind, 2017-2020, t

From 2017 to 2020, Germany was by far the main destination for Romania's propylene exports in kind, accounting for 93.3% of total flows.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from Romania in kind, 2017-2020

Exports in value, K $ US

Volatility characterized the market during these years. Exports hit their lowest point in 2017 and peaked in 2019, with a 2.3-fold difference between these years. In 2020, Romania exported 56 932 K $ US of propylene, amounting to a 28.1% decrease from the prior year. The maximum value was recorded in 2019 at 79 166 K $ US, while the largest increase occurred in 2018 at 70.1%.

Annual dynamics of product's exports from Romania in value, 2017-2020, K $ US

From 2017 to 2020, the country structure of exports in value terms was highly concentrated, with Germany alone accounting for 94.1% of total flows.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from Romania in value, 2017-2020

Imports propylene to Romania

Imports in kind, t

In 2020, propylene deliveries to Romania totaled 28 253 t, which is 15.5% higher than in 2019. The minimum volume was recorded in 2019 at 24 455 t, while the maximum was in 2018 at 32 879 t. The largest decline occurred in 2019 at 25.6%.

Annual dynamics of product's imports to Romania in kind, 2017-2020, t

Throughout 2017 to 2020, Serbia and Bulgaria remained the primary suppliers of propylene to Romania, with a combined share of 96.4% of total imports in kind, and other countries making up the remainder.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to Romania in kind, 2017-2020

Imports in value, K $ US

Propylene deliveries to Romania declined for the second consecutive year. In 2020, imports totaled 18 923 K $ US, representing a moderate 7.4% decrease compared to 2019. Over the period 2017-2020, imports decreased by 5.8%, with a compound annual growth rate of 2.0%. The maximum value was recorded in 2018 at 30 146 K $ US, while the largest decline occurred in 2019 at 32.2% and the largest increase in 2018 at 50.1%.

Annual dynamics of product's imports to Romania in value, 2017-2020, K $ US

From 2017 to 2020, Serbia and Bulgaria acted as the dominant sources for imports in value terms, jointly taking 96.5% of total flows and leaving the remaining share to other markets.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to Romania in value, 2017-2020