Fossils, Plastics, & Petrochemical Feedstocks

The report details how over 99% of plastics are derived from fossil fuels, specifically through the production of ethylene and propylene. It highlights the geographic concentration of production near fossil fuel sources, such as the US Gulf Coast, and the high degree of vertical integration between major oil and gas companies and plastics producers. The document also analyzes the shift in feedstocks, noting the US preference for natural gas liquids (NGL) and the dominance of naphtha in China, Europe, and Japan, while projecting that oil consumption by the plastics sector could reach 20% of total consumption by 2050.

• Over 99% of plastics are produced from chemicals sourced from fossil fuels, with five specific types of plastic—polyethylene (34.4%), polypropylene (24.2%), polyvinyl chloride (16.5%), polyethylene terephthalate (7.7%), and polystyrene (7.3%)—constituting more than 90% of all plastic produced by weight.
• The vast majority of plastics are derived from just two industrial chemicals: ethylene and propylene. Ethylene is used for polyethylene, PVC, PET, and polystyrene (roughly 65% of global production), while propylene is the platform for polypropylene.
• Plastic production is geographically concentrated near fossil fuel sources due to the difficulty of transporting natural gas liquids (NGL). In the United States, the shale gas boom has led to a massive expansion of plastics infrastructure in the Gulf region, with nearly 90% of US ethylene production sourced from ethane-rich NGL.
• Naphtha, a crude oil refining product, is the primary feedstock for ethylene in China, Europe, South-east Asia, and Japan. The naphtha market is highly concentrated, with five companies—BP, Chevron, ExxonMobil, Shell, and China National Petroleum Corporation—accounting for over 50% of industry revenue share as of 2014.
• There is significant vertical integration between the fossil fuel and plastics industries. Major integrated companies include DowDuPont, ExxonMobil, Shell, Chevron, and BP. For ExxonMobil, the Chemicals segment accounted for roughly 10% of revenues but more than 25% of overall profits in 2015.
• Global oil consumption by the plastics sector is projected to increase significantly, potentially accounting for 20% of total oil consumption by 2050 if current trends continue.
• China is the world's leading propylene producer, and its production is expected to grow faster than in any other region, potentially exceeding half of the global market by 2025, with most production controlled by state-owned enterprises.

APA

Center for International Environmental Law (n.d.). Fossils, Plastics, & Petrochemical Feedstocks. https://www.ciel.org/wp-content/uploads/2017/09/Fueling-Plastics-Fossils-Plastics-Petrochemical-Feedstocks.pdf

Chicago

Center for International Environmental Law. Fossils, Plastics, & Petrochemical Feedstocks. n.d. https://www.ciel.org/wp-content/uploads/2017/09/Fueling-Plastics-Fossils-Plastics-Petrochemical-Feedstocks.pdf.

Wikipedia

{{cite report |author=Center for International Environmental Law |title=Fossils, Plastics, & Petrochemical Feedstocks |url=https://www.ciel.org/wp-content/uploads/2017/09/Fueling-Plastics-Fossils-Plastics-Petrochemical-Feedstocks.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{centerforinternationalenvironmentallawndfossils, author = {{Center for International Environmental Law}}, title = {{Fossils, Plastics, \& Petrochemical Feedstocks}}, institution = {Center for International Environmental Law}, url = {https://www.ciel.org/wp-content/uploads/2017/09/Fueling-Plastics-Fossils-Plastics-Petrochemical-Feedstocks.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }