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NEW YORK — Despite waning local demand, the European butadiene market will remain strong thanks to export demands from overseas, according to a new report by industry research firm GBI Research.
As the U.S. increases its use of shale gas as an energy source instead of crude oil, the country is seeing a shortage of locally produced petrochemicals, which bodes well for the European butadiene market.
Butadiene downstream segments include polybutadiene, ABS and SBR sectors. Butadiene is a raw material used in making a wide variety of synthetic rubbers and polymer resins and is most commonly used in the production of SBR, which is used to manufacture automobile tires, adhesives, sealants, coatings and other rubber articles such as shoe soles.