The ICIS coverage of liquefied petroleum gas (LPG) can be found in the Weekly Atlantic Basins Feedstock Report. There is also a detailed and comprehensive C1 China LPG Market Weekly report.
Our network of locally based reporters can give you access to up-to-date pricing information and market developments. These unbiased and reliable reports provide you with the intelligence needed to track the latest trends and you can use our prices for your contracts, deals and negotiations.
on the intelligence we provide to the energy markets
Liquefied Petroleum Gas Overview Transcript
Liquefied petroleum gas or LPG is a mixture of propane and butane. LPG is a by-product of crude oil refining or it can be extracted from oil or it can be synthesised as part of the process of making ethylene from light oil or light hydrocarbons.
LPG is a low carbon emitting and low polluting fossil fuel. It has a high calorific value and is easily stored. This makes LPG a good fuel for cooking or heating or as an industrial feedstock.
Residential consumption accounts for 54% of China’s domestic consumption. Industry consumes around 30% of China’s LPG. Commercial applications use around 30% and the automotive sector uses about 4%.
In China domestic LPG is mostly produced in refineries with about 14% imported, mostly into south and east China.
The Chinese LPG market is not regulated and price depend on supply and demand which means that it changes frequently.
It faces pressure in the heating market from the expanding natural gas market and it is transitioning into a feed gas for further petrochemical processing.
How we can help
Liquefied petroleum gas news and market information products from ICIS
We offer the following regional Liquefied petroleum gas analysis and news coverage to keep you informed of factors and developments affecting prices in the Liquefied petroleum gas marketplace.
Price Reporting – More information about the price reports we publish on Liquefied petroleum gas
Independent price assessments and market coverage by region
Related products – You might also be interested in the information we publish on these related products
You may also find useful
Price History – More information about the historical price data we publish on Liquefied petroleum gas
Track historical price data
News & analysis
News & Analysis - News & market analysis specifically relating to Liquefied petroleum gas
Breaking news of latest developments affecting the markets.
Insight and analysis of factors driving prices.
Liquefied petroleum gas: Market overview
Updated to mid-Jan 2014
Chinese liquefied petroleum gas (LPG) prices rose from October 2013, mainly due to steadily rising import prices and increased demand. In December a record high for import prices also caused domestic prices to increase to a high level.
On import side, importers secured relatively small volumes of cargo for October and November delivery. Although temperatures fell and domestic demand rose the fourth quarter, Chinese importers reduced their purchasing mainly because of high inventory levels and the high cost of imports.
The price of LPG in China is expected to fall in the first quarter of 2014 as demand during and after the Chinese Lunar new year holiday will be low. Because of poor domestic sales in China, interest in LPG imports is also weak, and this may lead to low import volumes in the first quarter of 2014.
News & analysis
Liquefied petroleum gas news & analysis
ICIS price assessments are based on information gathered from a wide cross-section of the market, comprising consumers, producers, traders and distributors from more than 250 reporters world-wide. Confirmed deals, verified by both buyer and seller, provide the foundation of our price assessments.
Our in-depth market knowledge drives our specialist focus, as we recognise the importance of individual market dynamics and not a one-size-fits-all approach.
Over 25 years of reporting on key chemicals markets, including Liquefied petroleum gas, has brought global recognition of our methodology as being unbiased, authoritative and rigorous in preserving our editorial integrity. Our global network of reporters in Houston, London, Singapore, Shanghai, Guangzhou, Mumbai, Perth and Moscow ensures unrivalled coverage of established and emerging markets.
About Liquefied petroleum gas
LPG is a kind of colourless, odourless gas. Varieties of LPG bought and sold include mixes that are primarily propane (C3H8), primarily butane (C4H10) and, most commonly, mixes including both propane and butane. Propylene, butylenes and various other hydrocarbons are usually also present in small concentrations. A powerful odorant, ethanethiol, is added so that leaks can be detected easily. LPG is not toxic but there are two main hazards. The first are possible explosions if there is an ignition source. The second is suffocation due to LPG displacing air, causing a decrease in oxygen concentration.
LPG is synthesised by refining petroleum or "wet" natural gas and is almost entirely derived from fossil fuel sources. It is manufactured during the refining of petroleum (crude oil), or extracted from petroleum or natural gas streams as they emerge from the ground.
LPG is mainly used as household, commercial and industrial fuel, auto gas, and petrochemical feedstock.
In 2011 most LPG in China was used as household fuel, 54.3% in total. Industrial demand comprised 31.1%, including traditional industrial use and petrochemical feedstock use. Commercial demand accounted for 12.2% while the remaining 2.4% was used for auto gas.