We take this year's review of the polyether polyol market in India as an example, and briefly show it as follows：
India's polyether polyol market is experiencing strong growth, mainly due to the continuous expansion of demand in downstream fields such as furniture, bedding, car seats, footwear and building insulation.At present, domestic production capacity is still limited, and only a few local producers supply part of the market, resulting in a high degree of dependence on imports.Imports in 2024 have reached about 500,000 tons, and are expected to increase by a further 17% in 2025 to reach 550,000 to 600,000 tons, reflecting the continuous expansion of India's downstream polyurethane (PU) industry, especially in the field of furniture and automotive foam consumption.India's local production capacity is mainly composed of Manali Petrochemicals Limited and Expanded Polymer Systems Pvt. Ltd.Provided by other companies, the total annual output is about 77,000 tons, which can only meet about 30% of the country's demand.
India's import sources are highly concentrated in Asia.In 2025, China will account for about 40% of its total imports of polyether polyols, followed by Singapore (14%), Saudi Arabia (13%), Thailand (11%) and South Korea (9%).China's dominant position in global polyol production is a key driver of this trend.By the end of 2024, China's polyol production capacity has reached 9 million tons, accounting for more than 56% of global production. It is expected to exceed 10 million tons in 2025, forming a large exportable supply surplus and continuing to flow to fast-growing markets such as India.This structural trend has been further strengthened by the US imposition of tariffs on Chinese PU intermediates and the rationalization of European supply layout.The price trend also reflects the oversupply situation: the price of polyols in China continues to be lower than that of other competing regions, forming downward pressure on regional benchmark prices, prompting European and Japanese suppliers to focus on high-performance, specialty-grade products.
From a demand perspective, India's upholstered furniture industry is still the main driving force for polyether polyol consumption.Thanks to urbanization, a growing middle class, and the increase in the penetration rate of brand mattresses, the Indian home decoration market has shown strong resilience.Product upgrading trends, including the widespread application of functional formulas such as memory foam, high-density foam, and antibacterial, have further increased the demand for polyols.PUdaily predicts that the upholstered furniture sector in India will maintain a steady growth of about 7% in 2025, providing support for the continued expansion of polyether polyol consumption.
Demand for polyols in India's automotive sector has also maintained stable growth, thanks to increased automobile production, accelerated popularity of electric vehicles, and the structural shift of the market to high-end models and SUVs.The government's support policies for electric vehicle manufacturing, active industrial policies, and the expansion of local automobile brands have jointly promoted investment in key application areas of polyether polyols such as seat foam, NVH (noise vibration and sound vibration roughness) materials, and lightweight interior parts.With the launch of new models and the increase in the penetration rate of electric vehicles, polyol consumption in the automotive sector is expected to continue to be an important growth driver for the polyurethane industry in India in the medium to long term.