Petroleum & Coal Products Manufacturing Industry Profile

Companies in this industry refine crude oil and coal into fuel, asphalt products, lubricating oils, and other products. Major companies include US-based Chevron, Exxon Mobil, Marathon, and Phillips 66, as well as Cabme (Ecuador), CPC (Taiwan), ENI (Italy), Indian Oil (India), JXTG Nippon (Japan), SK Energy (Korea), and Suncor Energy (Canada).

Worldwide, the petroleum refining industry processes about 80 million barrels of crude oil each day, according to BP's 2018 Statistical Review of World Energy. Global asphalt production is expected to grow about 4% annually through 2025, according to Transparency Market Research.

The US petroleum and coal products manufacturing industry includes about 2,000 establishments (single-location companies and units of multi-location companies) with combined annual revenue of about $500 billion.

COMPETITIVE LANDSCAPE

Demand is driven by consumption of gasoline and diesel fuel and by construction activity. The profitability of individual companies depends on efficient operations. Larger refinery and asphalt companies enjoy economies of scale, but small companies can compete by producing specialty products that are in high demand. The US industry is highly concentrated: the 50 largest companies account for about 95% of revenue.

Imports of petroleum and coal products account for about 12% of the US market. Major import sources are Canada and Russia. Exports, primarily to Mexico and Canada, account for about 20% of US production.

PRODUCTS, OPERATIONS & TECHNOLOGY

Major products include gasoline, diesel fuel, and jet fuel; as well as asphalt paving mixtures and asphalt blocks, ...