Dimethyl ether is also known as methoxymethane, wood ether, dimethyl oxide or methyl ether, which is a natural compound with the chemical equation CH3OCH3. DME is produced from various materials such as natural gas (NG), waste and agricultural products, coal, and biomass. It is commonly used as in the personal care industry and clean-burning alternative to LPG (liquefied petroleum gas), diesel and gasoline. DME can increase fuel mileage, efficiency, and emissions reductions.
Dimethyl ether is used for delivering energy to remote areas owing to less capital investment as compared to other sources. Impending world oil shortage and other fuels are leading to high demand for dimethyl ether for the production of economical fuel. Therefore, it is used extensively within the oil and gas sector for enhanced oil recovery as well as for drilling and fracturing fluids.
The growing automobile sector is expected to drive growth of dimethyl ether market over the forecast period. Also, the easy availability of coal reserves and certain environmental regulations set by the government is expected to offer benefits to the global market. These regulations are against the harmful emission which is estimated to drive growth of the overall market. In addition, the development of DME as a fuel substitute, several regulatory authorities are emphasizing on the novel R&D initiatives and huge investment. Furthermore, this is expected to expand growth of DME.
$ 6,738.2 Mn
- By Type
- By Region
- By Application
$ XXXX Mn
Dimethyl ether (DME) market is segmented into type and application. By type segment, the target market classified as direct synthesis and indirect synthesis. By application segment, the dimethyl ether market segmented into the LPG blending, aerosol propellant, and transportation fuel. DME is majorly used as an aerosol propellant, heating & cooking, automotive fuel, and for electric power generation, etc.
In terms of geography, Asia Pacific is projected to hold major revenue share in the global market. The growing demand from automotive, wherein the product is used in the form of lacquer and paints along with the presence of major players are some factors driving growth of the target market in the region. In April 2018, China and Indonesia signed five contracts worth US$ 23.3 Bn as a part of China’s Belt and Road Initiative. The cooperation contracts include companies from both countries and consists of US$ 2 Bn for the development of hydropower plant in North Kalimantan, US$ 700 Mn to develop facilities for the conversion of coal to dimethyl-ether along with US$ 17.8 Bn to build a hydropower plant on the Kayan river. Moreover, Countries such as Saudi Arabia and Papua New Guinea are focusing on reforming natural gas to manufacture methanol which can further be converted to DME.
Major players profiled in the report include Jiutai Group, Kaiyue, Lanhua Sci-tech, Shenhua Ningxia Coal, Biocause Pharmaceutical, Kaixiang, Yuhuang Chemical, Fuel DME Production, Henan Shell, Akzo Nobel, Oberon Fuels, Chemours(DuPont), and Grillo-Werke AG.
- In Jan 2017, In collaboration with Oberon Fuels and New York City Department of Sanitation (DSNY), US-based Mack Trucks, Inc. evaluates the performance of a Dimethyl Ether-powered Mack Pinnacle model