Republic of Korea: Ethanol Market 2024

Ethanol Market Size in Republic of Korea

The South Korean ethanol market dropped markedly to $X in 2022, waning by -25.6% against the previous year. In general, consumption, however, recorded a temperate expansion. As a result, consumption attained the peak level of $X, and then fell sharply in the following year.

Ethanol Production in Republic of Korea

In value terms, ethanol production declined rapidly to $X in 2022 estimated in export price. Over the period under review, production continues to indicate a abrupt decrease. The pace of growth was the most pronounced in 2018 with an increase of 96%. Over the period under review, production attained the maximum level at $X in 2012; however, from 2013 to 2022, production failed to regain momentum.

Ethanol Exports

Exports from Republic of Korea

In 2022, shipments abroad of ethyl alcohol decreased by -22.5% to X litres, falling for the second year in a row after four years of growth. In general, exports, however, recorded a prominent increase. The pace of growth appeared the most rapid in 2013 when exports increased by 120% against the previous year. Over the period under review, the exports reached the maximum at X litres in 2020; however, from 2021 to 2022, the exports failed to regain momentum.

In value terms, ethanol exports expanded sharply to $X in 2022. Over the period under review, exports, however, enjoyed a remarkable increase. The most prominent rate of growth was recorded in 2013 with an increase of 87% against the previous year. The exports peaked at $X in 2020; however, from 2021 to 2022, the exports failed to regain momentum.

Exports by Country

The Philippines (X litres) was the main destination for ethanol exports from South Korea, accounting for a 38% share of total exports. Moreover, ethanol exports to the Philippines exceeded the volume sent to the second major destination, Taiwan (Chinese) (X litres), twofold. The third position in this ranking was taken by India (X litres), with a 13% share.

From 2012 to 2022, the average annual growth rate of volume to the Philippines amounted to +20.6%. Exports to the other major destinations recorded the following average annual rates of exports growth: Taiwan (Chinese) (+4.5% per year) and India (+50.0% per year).

In value terms, the Philippines ($X), Australia ($X) and India ($X) constituted the largest markets for ethanol exported from South Korea worldwide, with a combined 57% share of total exports.

Australia, with a CAGR of +143.8%, recorded the highest growth rate of the value of exports, in terms of the main countries of destination over the period under review, while shipments for the other leaders experienced more modest paces of growth.

Export Prices by Country

In 2022, the average ethanol export price amounted to $X per litre, increasing by 43% against the previous year. In general, the export price recorded a relatively flat trend pattern. As a result, the export price attained the peak level and is likely to continue growth in the immediate term.

There were significant differences in the average prices for the major foreign markets. In 2022, amid the top suppliers, the country with the highest price was Australia ($X per litre), while the average price for exports to Taiwan (Chinese) ($X per litre) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was recorded for supplies to Turkey (+45.4%), while the prices for the other major destinations experienced more modest paces of growth.

Ethanol Imports

Imports into Republic of Korea

In 2022, purchases abroad of ethyl alcohol decreased by -23.7% to X litres for the first time since 2011, thus ending a ten-year rising trend. Overall, imports, however, recorded a strong increase. The most prominent rate of growth was recorded in 2021 when imports increased by 90% against the previous year. As a result, imports reached the peak of X litres, and then declined sharply in the following year.

In value terms, ethanol imports fell notably to $X in 2022. In general, imports, however, enjoyed a strong increase. The pace of growth appeared the most rapid in 2021 when imports increased by 81% against the previous year. As a result, imports reached the peak of $X, and then fell notably in the following year.

Imports by Country

In 2022, the United States (X litres) constituted the largest ethanol supplier to South Korea, with a 59% share of total imports. Moreover, ethanol imports from the United States exceeded the figures recorded by the second-largest supplier, Brazil (X litres), twofold. South Africa (X litres) ranked third in terms of total imports with a 3.2% share.

From 2012 to 2022, the average annual growth rate of volume from the United States totaled +38.9%. The remaining supplying countries recorded the following average annual rates of imports growth: Brazil (+17.8% per year) and South Africa (+23.5% per year).

In value terms, the United States ($X) constituted the largest supplier of ethyl alcohol to South Korea, comprising 64% of total imports. The second position in the ranking was taken by Brazil ($X), with a 22% share of total imports. It was followed by South Africa, with a 3% share.

From 2012 to 2022, the average annual growth rate of value from the United States amounted to +33.4%. The remaining supplying countries recorded the following average annual rates of imports growth: Brazil (+11.2% per year) and South Africa (+17.9% per year).

Import Prices by Country

The average ethanol import price stood at $X per litre in 2022, picking up by 1.7% against the previous year. Overall, the import price, however, continues to indicate a noticeable curtailment. The import price peaked at $X per litre in 2012; however, from 2013 to 2022, import prices stood at a somewhat lower figure.

There were significant differences in the average prices amongst the major supplying countries. In 2022, amid the top importers, the country with the highest price was Vietnam ($X per litre), while the price for Bolivia ($X per litre) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Vietnam (-1.4%), while the prices for the other major suppliers experienced a decline.

Source: IndexBox Platform

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