ADI analyzed global demand for conventional and highly reactive polyisobutylene (HR-PIB) across fuel additives, lubricants, and industrial applications. The work evaluated capacity utilization and trade flows across Asia Pacific, North America, and Europe. Economic trade-offs between feedstock C4 availability and tightening margins for low-molecular-weight grades were modeled over a period of 15 years.
The client
Global petrochemical producer
The situation
Uncertainty in HR-PIB demand growth driven by evolving lubricant standards and regional feedstock constraints.
ADI’s contributions
Segmented end-use modeling
Quantified demand across 15+ sub-segments by correlating GDP multipliers with specific lubricant and additive trends.
Proprietary supply database
Leveraged a global asset database to benchmark production costs and nameplate capacities of 25+ major PIB producers.
Grade-level margin analysis
Evaluated integrated margins by modeling feedstock pricing against historical spot and contract price assessments.
Primary research insights
Conducted interviews with global operators to validate technical requirements for HR-PIB in fuel detergent packages.
Key outcomes
- Prioritized regional market entry and informed capital investment for high-viscosity industrial PIB production.
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