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.
More insights
News
Utility capital projects & 2026 energy trends
Utility capital projects are facing mounting delays and cost pressures in 2026, even as AI-driven demand fuels record capex. Meanwhile, the upstream oil and gas market is stabilizing around a normalizing shale cost curve, bulk liquid storage operators are shifting toward capability-driven growth, and the energy transition is exposing critical minerals bottlenecks that are pushing […]
Article
U.S. refining capacity is gradually consolidating into larger, more complex facilities
U.S. refining capacity shows limited overall growth, but the structure of the system is shifting. Expansions at large, complex refineries are driving changes on the supply side, while smaller plants face cost and operational constraints that are forcing exits. This is steadily concentrating capacity in fewer, more sophisticated facilities. Key drivers capacity consolidation: Geographic concentration […]
Multi-client studies
Record utility spending meets project reality
U.S. utilities are entering the largest capital deployment cycle in their history, with total spending projected to reach roughly $1.4 trillion through 2030 and annual capex growing at double-digit rates. The single biggest driver behind this surge is the rapid growth in AI and data centers. Hyperscale facilities are significantly increasing load demand, often on […]