Commodities
Cellulose Fiber Market Size to Grow by USD 15,353.68 million from 2022 to 2027; the growing demand for cellulose fiber products drives the market – Technavio
NEW YORK, June 25, 2023 /PRNewswire/ — The cellulose fiber market size is forecast to increase by USD 15,353.68 million from 2022 to 2027, at a CAGR of 9.18%, according to the recent market study by Technavio. The growth of the market will be driven by the growing demand from the textile industry, the environment-friendly properties of cellulose fibers, and rising disposable income coupled with rapidly changing fashion trends. Charts & data tables about market and segment sizes for a historic period of five (2017-2021) years have been covered in this report. Download The Sample Report
Technavio has extensively analyzed 15 major vendors, including Aditya Birla Management Corp. Pvt. Ltd., Celanese Corp., Celotech Chemical Co. Ltd., CFF GmbH and Co. KG, Daicel Corp., Eastman Chemical Co., Formosa Plastics Corp., Fulida Group Holding Co. Ltd., Indorama Ventures Public Co. Ltd., International Paper Co., JELU WERK J. Ehrler GmbH and Co. KG, Kelheim Fibers GmbH, Lenzing AG, Mitsubishi Chemical Corp., Rayonier Advanced Materials Inc., RGE Pte Ltd., Sappi Ltd., Sateri Shanghai Ltd., and Tangshan Sanyou Group Xingda Chemical Fibre Co. Ltd.Get a holistic overview of the Cellulose Fiber Market from industry experts to evaluate and develop growth strategies. Download the SampleKey Benefits for Industry Players & Stakeholders – The report offers information on the criticality of vendor inputs, including R&D, CAPEX, and technology.It also provides detailed analyses of the market’s competitive landscape and vendors’ product offerings.The report also provides a qualitative and quantitative analysis of vendors to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize vendors as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize vendors as dominant, leading, strong, tentative, and weak.Expand operations in the future – To get requisite details, ask for a custom report.Cellulose Fiber Market- Segment OverviewThis report extensively covers market segmentation by application (apparel, industrial, hygiene, and others), type (synthetic and natural), and geography (APAC, Europe, North America, Middle East and Africa, and South America).The market share growth by the apparel segment will be significant during the forecast period. Cellulose fibers used in the textile industry incorporate natural (cotton, hemp, and linen) and manufactured (viscose, rayon, Tencel, lyocell, and modal) materials. Cellulose-fiber-based textiles have special properties, such as moisture-absorbing features. The capacity of cellulose fibers to absorb water is far better than that of traditional cotton. Dresses made from cellulose fiber are soft and smooth. The industry is majorly focusing on a sustainable strategy to lower its impact on the environment. For instance, nitrocellulose, which is an innovative technology for the production and processing of cellulose extracted from algae, fungi, invertebrates, and bacteria, has the potential to lead to changes in the global cellulose industry and offer an environmentally sustainable alternative to plant-based cellulose materials. Therefore, such factors will improve the adoption of cellulose fiber in the textile industry during the forecast period.To get detailed insights about inclusions and exclusions, buy the report Cellulose Fiber Market – Market dynamicsLeading drivers – The increasing demand for cellulose fiber products is the major factor notably driving the global cellulose fiber market growth. Due to their excellent comfort and strength and silky luster, they are used to produce textiles. Further, cellulose fiber delivers heat resistance and hygroscopicity to textiles. Clothes made with cellulose fiber are soft and smooth. However, they are used in the production of garments, apparel, and medical dressings. Generally, natural fibers are used in garments, apparel, construction fabrics, medical dressings, and automotive interiors. The growing use of natural fibers, such as cotton, hemp, and linen will boost demand for textiles during the forecast period.Key trends -Growing environmental awareness and social concerns are key trends influencing the Cellulose Fiber Market. The adverse impact on the environment has increased the need to develop green and sustainable approaches in the textile industry. Due to the rapid growth in population and the increase in the consumption of textile fibers, new sustainable raw materials and processes must be found. Thus, cellulose fibers are being used to replace petrochemical fibers owing to their environment-friendly and universal nature. However, due to their environment-friendly nature, sustainable cellulose sources, such as bacterial nanocellulose, will witness high adoption in the textile industry. Therefore, such factors will drive market growth during the forecast period.Major Challenges The stringent standards and guidelines imposed by regulatory bodies are a major challenge that may impede the global cellulose fiber market growth. The Environmental Protection Agency (EPA) and the Registration, Evaluation, Authorization, and Restriction of Chemicals (REACH) Regulation in the EU impose strict regulations on the use of cellulose fibers. Sustainable biodegradation of cellulose fibers is crucial for composting after the end of a product’s lifecycle. The rigid guidelines and standards on the use of cellulose acetate, including in food packaging applications, will hinder market growth during the forecast period.What are the key data covered in this Cellulose Fiber Market report?CAGR of the market during the forecast periodDetailed information on factors that will drive the growth of the cellulose fiber market between 2023 and 2027Precise estimation of the cellulose fiber market size and its contribution to the market in focus on the parent marketAccurate predictions about upcoming trends and changes in consumer behaviourGrowth of the cellulose fiber market across APAC, Europe, North America, Middle East and Africa, and South AmericaA thorough analysis of the market’s competitive landscape and detailed information about vendorsComprehensive analysis of factors that will challenge the growth of cellulose fiber market vendorsGain instant access to 17,000+ market research reports. Technavio’s SUBSCRIPTION platformRelated Reports: The global carboxymethyl cellulose (CMC) Market size is estimated to grow by USD 509.15 million and the size of the market is forecast to increase at a CAGR of 5.62% between 2022 and 2027. This report extensively covers market segmentation by application (food & beverages, pharmaceutical, and cosmetics, oil, and gas, paper, and others) and geography (APAC, North America, Europe, Middle East and Africa, and South America). The new product launches in the carboxymethyl cellulose market will notably drive market growth.The aramid fiber market size is estimated to grow at a CAGR of 3.85% between 2022 and 2027. The market size is forecast to increase by USD 1,191.78 million. report extensively covers market segmentation by product (para-aramid and meta-aramid), end-user (automotive, aerospace and defence, electrical and electronics, and others), and geography (Europe, North America, APAC, South America, and Middle East and Africa). The miniaturization of electronic components is notably driving market growth.Cellulose Fiber Market Scope
Report Coverage
Details
Base year
2022
Historic period
2017-2021
Forecast period
2023-2027
Growth momentum & CAGR
Accelerate at a CAGR of 9.18%
Market growth 2023-2027
USD15,353.68 million
Market structure
Fragmented
YoY growth 2022-2023 (%)
8.53
Regional analysis
APAC, Europe, North America, Middle East and Africa, and South America
Performing market contribution
APAC at 40%
Key countries
US, Canada, China, Germany, and France
Competitive landscape
Leading Vendors, Market Positioning of Vendors, Competitive Strategies, and Industry Risks
Key companies profiled
Aditya Birla Management Corp. Pvt. Ltd., Celanese Corp., Celotech Chemical Co. Ltd., CFF GmbH and Co. KG, Daicel Corp., Eastman Chemical Co., Formosa Plastics Corp., Fulida Group Holding Co. Ltd., Indorama Ventures Public Co. Ltd., International Paper Co., JELU WERK J. Ehrler GmbH and Co. KG, Kelheim Fibers GmbH, Lenzing AG, Mitsubishi Chemical Corp., Rayonier Advanced Materials Inc., RGE Pte Ltd., Sappi Ltd., Sateri Shanghai Ltd., and Tangshan Sanyou Group Xingda Chemical Fibre Co. Ltd.
Market dynamics
Parent market analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, Market condition analysis for the forecast period
Customization purview
If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized.
Table of contents1 Executive Summary1.1 Market overview Exhibit 01: Executive Summary – Chart on Market OverviewExhibit 02: Executive Summary – Data Table on Market OverviewExhibit 03: Executive Summary – Chart on Global Market CharacteristicsExhibit 04: Executive Summary – Chart on Market by GeographyExhibit 05: Executive Summary – Chart on Market Segmentation by ApplicationExhibit 06: Executive Summary – Chart on Market Segmentation by TypeExhibit 07: Executive Summary – Chart on Incremental GrowthExhibit 08: Executive Summary – Data Table on Incremental GrowthExhibit 09: Executive Summary – Chart on Vendor Market Positioning2 Market Landscape2.1 Market ecosystem Exhibit 10: Parent marketExhibit 11: Market Characteristics3 Market Sizing3.1 Market definition Exhibit 12: Offerings of vendors included in the market definition3.2 Market segment analysis Exhibit 13: Market segments3.4 Market outlook: Forecast for 2022-2027Exhibit 14: Chart on Global – Market size and forecast 2022-2027 ($ million)Exhibit 15: Data Table on Global – Market size and forecast 2022-2027 ($ million)Exhibit 16: Chart on Global Market: Year-over-year growth 2022-2027 (%)Exhibit 17: Data Table on Global Market: Year-over-year growth 2022-2027 (%)4 Historic Market Size4.1 Global cellulose fiber market 2017 – 2021Exhibit 18: Historic Market Size – Data Table on Global cellulose fiber market 2017 – 2021 ($ million)4.2 Application Segment Analysis 2017 – 2021Exhibit 19: Historic Market Size – Application Segment 2017 – 2021 ($ million)4.3 Type Segment Analysis 2017 – 2021 Exhibit 20: Historic Market Size – Type Segment 2017 – 2021 ($ million)4.4 Geography Segment Analysis 2017 – 2021Exhibit 21: Historic Market Size – Geography Segment 2017 – 2021 ($ million)4.5 Country Segment Analysis 2017 – 2021Exhibit 22: Historic Market Size – Country Segment 2017 – 2021 ($ million)5 Five Forces Analysis5.1 Five forces summary Exhibit 23: Five forces analysis – Comparison between2022 and 20275.2 Bargaining power of buyers Exhibit 24: Chart on Bargaining power of buyers – Impact of key factors 2022 and 20275.3 Bargaining power of suppliers Exhibit 25: Bargaining power of suppliers – Impact of key factors in 2022 and 20275.4 Threat of new entrants Exhibit 26: Threat of new entrants – Impact of key factors in 2022 and 20275.5 Threat of substitutes Exhibit 27: Threat of substitutes – Impact of key factors in 2022 and 20275.6 Threat of rivalry Exhibit 28: Threat of rivalry – Impact of key factors in 2022 and 20275.7 Market condition Exhibit 29: Chart on Market condition – Five forces 2022 and 20276 Market Segmentation by Application6.1 Market segments Exhibit 30: Chart on Application – Market share 2022-2027 (%)Exhibit 31: Data Table on Application – Market share 2022-2027 (%)6.2 Comparison by Application Exhibit 32: Chart on Comparison by ApplicationExhibit 33: Data Table on Comparison by Application6.3 Apparel – Market size and forecast 2022-2027Exhibit 34: Chart on Apparel – Market size and forecast 2022-2027 ($ million)Exhibit 35: Data Table on Apparel – Market size and forecast 2022-2027 ($ million)Exhibit 36: Chart on Apparel – Year-over-year growth 2022-2027 (%)Exhibit 37: Data Table on Apparel – Year-over-year growth 2022-2027 (%)6.4 Industrial – Market size and forecast 2022-2027Exhibit 38: Chart on Industrial – Market size and forecast 2022-2027 ($ million)Exhibit 39: Data Table on Industrial – Market size and forecast 2022-2027 ($ million)Exhibit 40: Chart on Industrial – Year-over-year growth 2022-2027 (%)Exhibit 41: Data Table on Industrial – Year-over-year growth 2022-2027 (%)6.5 Hygiene – Market size and forecast 2022-2027Exhibit 42: Chart on Hygiene – Market size and forecast 2022-2027 ($ million)Exhibit 43: Data Table on Hygiene – Market size and forecast 2022-2027 ($ million)Exhibit 44: Chart on Hygiene – Year-over-year growth 2022-2027 (%)Exhibit 45: Data Table on Hygiene – Year-over-year growth 2022-2027 (%)6.6 Others – Market size and forecast 2022-2027Exhibit 46: Chart on Others – Market size and forecast 2022-2027 ($ million)Exhibit 47: Data Table on Others – Market size and forecast 2022-2027 ($ million)Exhibit 48: Chart on Others – Year-over-year growth 2022-2027 (%)Exhibit 49: Data Table on Others – Year-over-year growth 2022-2027 (%)6.7 Market opportunity by Application Exhibit 50: Market opportunity by Application ($ million)7 Market Segmentation by Type7.1 Market segments Exhibit 51: Chart on Type – Market share 2022-2027 (%)Exhibit 52: Data Table on Type – Market share 2022-2027 (%)7.2 Comparison by Type Exhibit 53: Chart on Comparison by TypeExhibit 54: Data Table on Comparison by Type7.3 Synthetic – Market size and forecast 2022-2027Exhibit 55: Chart on Synthetic – Market size and forecast 2022-2027 ($ million)Exhibit 56: Data Table on Synthetic – Market size and forecast 2022-2027 ($ million)Exhibit 57: Chart on Synthetic – Year-over-year growth 2022-2027 (%)Exhibit 58: Data Table on Synthetic – Year-over-year growth 2022-2027 (%)7.4 Natural – Market size and forecast 2022-2027Exhibit 59: Chart on Natural – Market size and forecast 2022-2027 ($ million)Exhibit 60: Data Table on Natural – Market size and forecast 2022-2027 ($ million)Exhibit 61: Chart on Natural – Year-over-year growth 2022-2027 (%)Exhibit 62: Data Table on Natural – Year-over-year growth 2022-2027 (%)7.5 Market opportunity by Type Exhibit 63: Market opportunity by Type ($ million)8 Customer Landscape8.1 Customer landscape overview Exhibit 64: Analysis of price sensitivity, lifecycle, customer purchase basket, adoption rates, and purchase criteria9 Geographic Landscape9.1 Geographic segmentation Exhibit 65: Chart on Market share by geography 2022-2027 (%)Exhibit 66: Data Table on Market share by geography 2022-2027 (%)9.2 Geographic comparison Exhibit 67: Chart on Geographic comparisonExhibit 68: Data Table on Geographic comparison9.3 APAC – Market size and forecast 2022-2027Exhibit 69: Chart on APAC – Market size and forecast 2022-2027 ($ million)Exhibit 70: Data Table on APAC – Market size and forecast 2022-2027 ($ million)Exhibit 71: Chart on APAC – Year-over-year growth 2022-2027 (%)Exhibit 72: Data Table on APAC – Year-over-year growth 2022-2027 (%)9.4 Europe – Market size and forecast 2022-2027Exhibit 73: Chart on Europe – Market size and forecast 2022-2027 ($ million)Exhibit 74: Data Table on Europe – Market size and forecast 2022-2027 ($ million)Exhibit 75: Chart on Europe – Year-over-year growth 2022-2027 (%)Exhibit 76: Data Table on Europe – Year-over-year growth 2022-2027 (%)9.5 North America – Market size and forecast 2022-2027Exhibit 77: Chart on North America – Market size and forecast 2022-2027 ($ million)Exhibit 78: Data Table on North America – Market size and forecast 2022-2027 ($ million)Exhibit 79: Chart on North America – Year-over-year growth 2022-2027 (%)Exhibit 80: Data Table on North America – Year-over-year growth 2022-2027 (%)9.6 Middle East and Africa – Market size and forecast 2022-2027 Exhibit 81: Chart on Middle East and Africa – Market size and forecast 2022-2027 ($ million)Exhibit 82: Data Table on Middle East and Africa – Market size and forecast 2022-2027 ($ million)Exhibit 83: Chart on Middle East and Africa – Year-over-year growth 2022-2027 (%)Exhibit 84: Data Table on Middle East and Africa – Year-over-year growth 2022-2027 (%)9.7 South America – Market size and forecast 2022-2027Exhibit 85: Chart on South America – Market size and forecast 2022-2027 ($ million)Exhibit 86: Data Table on South America – Market size and forecast 2022-2027 ($ million)Exhibit 87: Chart on South America – Year-over-year growth 2022-2027 (%)Exhibit 88: Data Table on South America – Year-over-year growth 2022-2027 (%)9.8 China – Market size and forecast 2022-2027Exhibit 89: Chart on China – Market size and forecast 2022-2027 ($ million)Exhibit 90: Data Table on China – Market size and forecast 2022-2027 ($ million)Exhibit 91: Chart on China – Year-over-year growth 2022-2027 (%)Exhibit 92: Data Table on China – Year-over-year growth 2022-2027 (%)9.9 Germany – Market size and forecast 2022-2027Exhibit 93: Chart on Germany – Market size and forecast 2022-2027 ($ million)Exhibit 94: Data Table on Germany – Market size and forecast 2022-2027 ($ million)Exhibit 95: Chart on Germany – Year-over-year growth 2022-2027 (%)Exhibit 96: Data Table on Germany – Year-over-year growth 2022-2027 (%)9.10 US – Market size and forecast 2022-2027Exhibit 97: Chart on US – Market size and forecast 2022-2027 ($ million)Exhibit 98: Data Table on US – Market size and forecast 2022-2027 ($ million)Exhibit 99: Chart on US – Year-over-year growth 2022-2027 (%)Exhibit 100: Data Table on US – Year-over-year growth 2022-2027 (%)9.11 France – Market size and forecast 2022-2027Exhibit 101: Chart on France – Market size and forecast 2022-2027 ($ million)Exhibit 102: Data Table on France – Market size and forecast 2022-2027 ($ million)Exhibit 103: Chart on France – Year-over-year growth 2022-2027 (%)Exhibit 104: Data Table on France – Year-over-year growth 2022-2027 (%)9.12 Canada – Market size and forecast 2022-2027Exhibit 105: Chart on Canada – Market size and forecast 2022-2027 ($ million)Exhibit 106: Data Table on Canada – Market size and forecast 2022-2027 ($ million)Exhibit 107: Chart on Canada – Year-over-year growth 2022-2027 (%)Exhibit 108: Data Table on Canada – Year-over-year growth 2022-2027 (%)9.13 Market opportunity by geography Exhibit 109: Market opportunity by geography ($ million)10 Drivers, Challenges, and Trends10.3 Impact of drivers and challenges Exhibit 110: Impact of drivers and challenges in 2022 and 202711 Vendor Landscape11.2 Vendor landscape Exhibit 111: Overview on Criticality of inputs and Factors of differentiation11.3 Landscape disruption Exhibit 112: Overview on factors of disruption11.4 Industry risks Exhibit 113: Impact of key risks on business12 Vendor Analysis12.1 Vendors covered Exhibit 114: Vendors covered12.2 Market positioning of vendors Exhibit 115: Matrix on vendor position and classification12.3 Aditya Birla Management Corp. Pvt. Ltd.Exhibit 116: Aditya Birla Management Corp. Pvt. Ltd. – OverviewExhibit 117: Aditya Birla Management Corp. Pvt. Ltd. – Product / ServiceExhibit 118: Aditya Birla Management Corp. Pvt. Ltd. – Key offerings12.4 Celanese Corp. Exhibit 119: Celanese Corp. – OverviewExhibit 120: Celanese Corp. – Business segmentsExhibit 121: Celanese Corp. – Key offeringsExhibit 122: Celanese Corp. – Segment focus12.5 Celotech Chemical Co. Ltd. Exhibit 123: Celotech Chemical Co. Ltd. – OverviewExhibit 124: Celotech Chemical Co. Ltd. – Product / ServiceExhibit 125: Celotech Chemical Co. Ltd. – Key offerings12.6 CFF GmbH and Co. KG Exhibit 126: CFF GmbH and Co. KG – OverviewExhibit 127: CFF GmbH and Co. KG – Product / ServiceExhibit 128: CFF GmbH and Co. KG – Key offerings12.7 Daicel Corp. Exhibit 129: Daicel Corp. – OverviewExhibit 130: Daicel Corp. – Business segmentsExhibit 131: Daicel Corp. – Key newsExhibit 132: Daicel Corp. – Key offeringsExhibit 133: Daicel Corp. – Segment focus12.8 Eastman Chemical Co. Exhibit 134: Eastman Chemical Co. – OverviewExhibit 135: Eastman Chemical Co. – Business segmentsExhibit 136: Eastman Chemical Co. – Key offeringsExhibit 137: Eastman Chemical Co. – Segment focus12.9 Formosa Plastics Corp. Exhibit 138: Formosa Plastics Corp. – OverviewExhibit 139: Formosa Plastics Corp. – Product / ServiceExhibit 140: Formosa Plastics Corp. – Key offerings12.10 Fulida Group Holding Co. Ltd. Exhibit 141: Fulida Group Holding Co. Ltd. – OverviewExhibit 142: Fulida Group Holding Co. Ltd. – Product / ServiceExhibit 143: Fulida Group Holding Co. Ltd. – Key offerings12.11 Indorama Ventures Public Co. Ltd.Exhibit 144: Indorama Ventures Public Co. Ltd. – OverviewExhibit 145: Indorama Ventures Public Co. Ltd. – Business segmentsExhibit 146: Indorama Ventures Public Co. Ltd. – Key offeringsExhibit 147: Indorama Ventures Public Co. Ltd. – Segment focus12.12 JELU WERK J. Ehrler GmbH and Co. KGExhibit 148: JELU WERK J. Ehrler GmbH and Co. KG – OverviewExhibit 149: JELU WERK J. Ehrler GmbH and Co. KG – Product / ServiceExhibit 150: JELU WERK J. Ehrler GmbH and Co. KG – Key offerings12.13 Kelheim Fibers GmbH Exhibit 151: Kelheim Fibers GmbH – OverviewExhibit 152: Kelheim Fibers GmbH – Product / ServiceExhibit 153: Kelheim Fibers GmbH – Key offerings12.14 Lenzing AG Exhibit 154: Lenzing AG – OverviewExhibit 155: Lenzing AG – Business segmentsExhibit 156: Lenzing AG – Key newsExhibit 157: Lenzing AG – Key offeringsExhibit 158: Lenzing AG – Segment focus12.15 Rayonier Advanced Materials Inc. Exhibit 159: Rayonier Advanced Materials Inc. – OverviewExhibit 160: Rayonier Advanced Materials Inc. – Product / ServiceExhibit 161: Rayonier Advanced Materials Inc. – Key offerings12.16 RGE Pte Ltd. Exhibit 162: RGE Pte Ltd. – OverviewExhibit 163: RGE Pte Ltd. – Product / ServiceExhibit 164: RGE Pte Ltd. – Key offerings12.17 Tangshan Sanyou Group Xingda Chemical Fibre Co. Ltd. Exhibit 165: Tangshan Sanyou Group Xingda Chemical Fibre Co. Ltd. – OverviewExhibit 166: Tangshan Sanyou Group Xingda Chemical Fibre Co. Ltd. – Product / ServiceExhibit 167: Tangshan Sanyou Group Xingda Chemical Fibre Co. Ltd. – Key offerings13 Appendix13.1 Scope of the report 13.2 Inclusions and exclusions checklistExhibit 168: Inclusions checklistExhibit 169: Exclusions checklist13.3 Currency conversion rates for US$ Exhibit 170: Currency conversion rates for US$13.4 Research methodology Exhibit 171: Research methodologyExhibit 172: Validation techniques employed for market sizingExhibit 173: Information sources13.5 List of abbreviations Exhibit 174: List of abbreviationsAbout UsTechnavio is a leading global technology research and advisory company. Their research and analysis focus on emerging market trends and provide actionable insights to help businesses identify market opportunities and develop effective strategies to optimize their market positions. With over 500 specialized analysts, Technavio’s report library consists of more than 17,000 reports and counting, covering 800 technologies, spanning 50 countries. Their client base consists of enterprises of all sizes, including more than 100 Fortune 500 companies. This growing client base relies on Technavio’s comprehensive coverage, extensive research, and actionable market insights to identify opportunities in existing and potential markets and assess their competitive positions within changing market scenarios.ContactTechnavio ResearchJesse MaidaMedia & Marketing ExecutiveUS: +1 844 364 1100UK: +44 203 893 3200Email: media@technavio.comWebsite: www.technavio.com
View original content to download multimedia:https://www.prnewswire.com/news-releases/cellulose-fiber-market-size-to-grow-by-usd-15-353-68-million-from-2022-to-2027-the-growing-demand-for-cellulose-fiber-products-drives-the-market—technavio-301860981.htmlSOURCE Technavio
Investing.com — The outlook for prices in 2025 remains cautiously optimistic, influenced by a mix of global demand trends, supply-side constraints, and weather-driven uncertainties.
As per analysts at BofA Securities, U.S. Henry Hub prices are expected to average $3.33/MMBtu for the year, marking a rebound from the low levels seen throughout much of 2024.
Natural gas prices in 2024 were characterized by subdued trading, largely oscillating between $2 and $3/MMBtu, making it the weakest year since the pandemic-induced slump in 2020.
This price environment persisted despite record domestic demand, which averaged over 78 billion cubic feet per day (Bcf/d), buoyed by increases in power generation needs and continued industrial activity.
However, warm weather conditions during the 2023–24 winter suppressed residential and commercial heating demand, contributing to the overall price weakness.
Looking ahead, several factors are poised to tighten the natural gas market and elevate prices in 2025.
A key driver is the anticipated rise in liquefied natural gas (LNG) exports as new facilities, including the Plaquemines and Corpus Christi Stage 3 projects, come online.
These additions are expected to significantly boost U.S. feedgas demand, adding strain to domestic supply and lifting prices.
The ongoing growth in exports to Mexico via pipeline, which hit record levels in 2024, further underscores the international pull on U.S. gas.
On the domestic front, production constraints could play a pivotal role in shaping the price trajectory.
While U.S. dry gas production remains historically robust, averaging around 101 Bcf/d in 2024, capital discipline among exploration and production companies suggests a limited ability to rapidly scale output in response to higher prices.
Producers have strategically withheld volumes, awaiting a more favorable pricing environment. If supply fails to match the anticipated uptick in demand, analysts warn of potential upward repricing in the market.
Weather patterns remain a wildcard. Forecasts suggest that the 2024–25 winter could be 2°F colder than the previous year, potentially driving an additional 500 Bcf of seasonal demand.
However, should warmer-than-expected temperatures materialize, the opposite effect could dampen price gains. Historically, colder winters have correlated with significant price spikes, reflecting the market’s sensitivity to heating demand.
The structural shift in the U.S. power generation mix also supports a bullish case for natural gas. Ongoing retirements of coal-fired power plants, coupled with the rise of renewable energy, have entrenched natural gas as a critical bridge fuel.
Even as wind and solar capacity expand, natural gas is expected to fill gaps in generation during periods of low renewable output, further solidifying its role in the energy transition.
WASHINGTON (Reuters) -U.S. President-elect Donald Trump has chosen Brooke Rollins (NYSE:), president of the America First Policy Institute, to be agriculture secretary.
“As our next Secretary of Agriculture, Brooke will spearhead the effort to protect American Farmers, who are truly the backbone of our Country,” Trump said in a statement.
If confirmed by the Senate, Rollins would lead a 100,000-person agency with offices in every county in the country, whose remit includes farm and nutrition programs, forestry, home and farm lending, food safety, rural development, agricultural research, trade and more. It had a budget of $437.2 billion in 2024.
The nominee’s agenda would carry implications for American diets and wallets, both urban and rural. Department of Agriculture officials and staff negotiate trade deals, guide dietary recommendations, inspect meat, fight wildfires and support rural broadband, among other activities.
“Brooke’s commitment to support the American Farmer, defense of American Food Self-Sufficiency, and the restoration of Agriculture-dependent American Small Towns is second to none,” Trump said in the statement.
The America First Policy Institute is a right-leaning think tank whose personnel have worked closely with Trump’s campaign to help shape policy for his incoming administration. She chaired the Domestic Policy Council during Trump’s first term.
As agriculture secretary, Rollins would advise the administration on how and whether to implement clean fuel tax credits for biofuels at a time when the sector is hoping to grow through the production of sustainable aviation fuel.
The nominee would also guide next year’s renegotiation of the U.S.-Mexico-Canada trade deal, in the shadow of disputes over Mexico’s attempt to bar imports of genetically modified corn and Canada’s dairy import quotas.
Trump has said he again plans to institute sweeping tariffs that are likely to affect the farm sector.
He was considering offering the role to former U.S. Senator Kelly Loeffler, a staunch ally whom he chose to co-chair his inaugural committee, CNN reported on Friday.
Investing.cm — Citi Research has simulated the effects of a hypothetical oil price surge to $120 per barrel, a scenario reflecting potential geopolitical tensions, particularly in the Middle East.
As per Citi, such a price hike would result in a major but temporary economic disruption, with global output losses peaking at around 0.4% relative to the baseline forecast.
While the impact diminishes over time as oil prices gradually normalize, the economic ripples are uneven across regions, flagging varying levels of resilience and policy responses.
The simulated price increase triggers a contraction in global economic output, primarily driven by higher energy costs reducing disposable incomes and corporate profit margins.
The global output loss, though substantial at the onset, is projected to stabilize between 0.3% and 0.4% before fading as oil prices return to baseline forecasts.
The United States shows a more muted immediate output loss compared to the Euro Area or China.
This disparity is partly attributed to the U.S.’s status as a leading oil producer, which cushions the domestic economy through wealth effects, such as stock market boosts from energy sector gains.
However, the U.S. advantage is short-lived; tighter monetary policies to counteract inflation lead to delayed negative impacts on output.
Headline inflation globally is expected to spike by approximately two percentage points, with the U.S. experiencing a slightly more pronounced increase.
The relatively lower taxation of energy products in the U.S. amplifies the pass-through of oil price shocks to consumers compared to Europe, where higher energy taxes buffer the direct impact.
Central bank responses diverge across regions. In the U.S., where inflation impacts are more acute, the Federal Reserve’s reaction function—based on the Taylor rule—leads to an initial tightening of monetary policy. This contrasts with more subdued policy changes in the Euro Area and China, where central banks are less aggressive in responding to the transient inflation spike.
Citi’s analysts frame this scenario within the context of ongoing geopolitical volatility, particularly in the Middle East. The model assumes a supply disruption of 2-3 million barrels per day over several months, underscoring the precariousness of energy markets to geopolitical shocks.
The report flags several broader implications. For policymakers, the challenge lies in balancing short-term inflation control with the need to cushion economic output.
For businesses and consumers, a price hike of this magnitude underscores the importance of energy cost management and diversification strategies.
Finally, the analysts cautions that the simulation’s results may understate risks if structural changes, such as the U.S.’s evolving role as an energy exporter, are not fully captured in the model.
While the simulation reflects a temporary shock, its findings reinforce the need for resilience in energy policies and monetary frameworks. Whether or not such a scenario materializes, Citi’s analysis provides a window into the complex interplay of economics, energy, and geopolitics in shaping global economic outcomes.
Forex2 years agoForex Today: the dollar is gaining strength amid gloomy sentiment at the start of the Fed’s week
- Forex2 years ago
How is the Australian dollar doing today?
- Forex2 years ago
Dollar to pound sterling exchange rate today: Pound plummeted to its lowest since 1985
- Forex2 years ago
Unbiased review of Pocket Option broker
- Cryptocurrency2 years ago
What happened in the crypto market – current events today
- World2 years ago
Why are modern video games an art form?
- Commodities2 years ago
Copper continues to fall in price on expectations of lower demand in China
- Forex2 years ago
The dollar is down again against major world currencies
