Russia Liquefied Petroleum Gas Market Size, Share, and COVID-19 Impact Analysis, By Source (Refinery, Associated Gas, and Non-Associated Gas), By Application (Residential, Commercial, Chemical, Industrial, Autogas, Refinery, and Others), and Russia Liquefied Petroleum Gas Market Insights, Industry Trend, Forecasts to 2035

Russia Liquefied Petroleum Gas Market Insights Forecasts to 2035

• The Russia Liquefied Petroleum Gas Market Size Was Estimated at USD 7502.5 Million in 2024
• The Market Size is Expected to Grow at a CAGR of Around 5.64% from 2025 to 2035
• The Russia Liquefied Petroleum Gas Market Size is Expected to Reach USD 13724.2 Million by 2035

According to a research report published by Spherical Insights & Consulting, The Russia Liquefied Petroleum Gas Market Size is anticipated to reach USD 13724.2 Million by 2035, Growing at a CAGR of 5.64% from 2025 to 2035. The liquefied petroleum gas market in Russia is driven by growing demand for energy in homes and businesses, the development of LPG infrastructure, encouraging government regulations, a rise in exports, and affordable fuel options in rural and isolated areas.

Market Overview

The Russia liquefied petroleum gas (LPG) market includes activities related to the production, storage, distribution and consumption of propane and butane gases, which come from natural gas processing and crude oil refining. LPG serves multiple purposes, including residential cooking and heating, industrial manufacturing and petrochemical feedstock, automotive fuel (autogas) and agricultural applications. In Russia, LPG supports both rural energy access and export trade, which provides major benefits to the country's energy sector.

The Russian LPG market receives its support from state gasification projects and transport fuel programs. The federal energy development program has allocated between RUB 1 billion and RUB 3 billion for gas refuelling infrastructure development and vehicle conversion subsidy programs. The Industrial Development Fund offers concessionary loans to energy and petrochemical initiatives, which indirectly fund LPG production and infrastructure development.

Recent developments show Sibur doubling LPG loadings and resuming exports to India, adapting to sanctions by expanding markets. Exports to China may rise 40 % in 2026 via Gazprom’s Amur plant. The upcoming opportunities show themselves through Asian demand expansion and LPG infrastructure development, which will occur despite the geopolitical challenges and logistical problems that follow Western restrictions.

Report Coverage

This research report categorizes the market for the Russia liquefied petroleum gas market based on various segments and regions, and forecasts revenue growth and analyses trends in each submarket. The report analyses the key growth drivers, opportunities, and challenges influencing the Russia liquefied petroleum gas market. Recent market developments and competitive strategies, such as expansion, product launch, development, partnership, merger, and acquisition, have been included to draw the competitive landscape in the market. The report strategically identifies and profiles the key market players and analyses their core competencies in each sub-segment of the Russia liquefied petroleum gas market.

Driving Factors

The liquefied petroleum gas market in Russia is driven by its natural gas reserves, its developing gas processing facilities, and its increasing demand from residential, industrial and petrochemical customers. The market experiences growth because more people choose autogas as their fuel. After all, it costs less, and the government establishes gasification programs in rural areas, because export activities to Asian markets keep increasing. The market development and supply chain stabilization of the industry are enhanced through infrastructure development, which includes storage terminals and refueling stations.

Restraining Factors

The liquefied petroleum gas market in Russia is mostly constrained by the export restrictions and logistical disruptions that affect trade routes. The domestic market for LPG experiences two main obstacles, which include price fluctuations and infrastructure limitations that exist in distant areas and the rising competition from pipeline natural gas.

Market Segmentation

The Russia liquefied petroleum gas market share is classified into source and application.

• The associated gas segment accounted for the largest revenue market share in 2024 and is expected to grow at a significant CAGR during the forecast period. 

The Russia liquefied petroleum gas market is segmented by source into refinery, associated gas, and non-associated gas. Among these, the associated gas segment accounted for the largest revenue market share in 2024 and is expected to grow at a significant CAGR during the forecast period. This is a result of Russia's massive crude oil extraction activities, which generate significant amounts of associated petroleum gas (APG). The primary source of income is the cost-effective conversion of APG into LPG, which is encouraged by laws designed to prevent gas flaring.

• The industrial segment dominated the share in 2024 and is anticipated to grow at a remarkable CAGR during the forecast period. 

The Russia liquefied petroleum gas market is segmented by application into residential, commercial, chemical, industrial, autogas, refinery, and others. Among these, the industrial segment dominated the share in 2024 and is anticipated to grow at a remarkable CAGR during the forecast period. Because of the robust demand from manufacturing, metal processing, petrochemicals, and power generation, the industrial segment dominates the Russian LPG market. LPG is utilized as a chemical feedstock and for heating, cutting, and drying purposes. Bulk demand is driven by Russia's extensive industrial base and growing gas processing capacity, while LPG's affordability and cleaner combustion promote long-term industrial expansion.

Competitive Analysis:

The report offers the appropriate analysis of the key organizations/companies involved within the Russia liquefied petroleum gas market, along with a comparative evaluation primarily based on their product offering, business overviews, geographic presence, enterprise strategies, segment market share, and SWOT analysis. The report also provides an elaborate analysis focusing on the current news and developments of the companies, which includes product development, innovations, joint ventures, partnerships, mergers & acquisitions, strategic alliances, and others. This allows for the evaluation of the overall competition within the market.

List of Key Companies

• Sibur
• Gazprom
• Rosneft
• Lukoil
• Novatek
• Tatneft
• Surgutneftegas
• RusGazDobycha
• Gazprom Gazonefteprodukt Holding
• Spimex Group
• Others

Key Target Audience

• Market Players
• Investors
• End-users
• Government Authorities 
• Consulting and Research Firm
• Venture capitalists
• Value-Added Resellers (VARs)

Recent Developments:

• In December 2025, in response to EU import restrictions, Russia almost doubled its LPG exports to Central Asia and Afghanistan in 2025, reaching around 1.016 million tons.

• In December 2025, Sibur expanded its export lines by shipping LPG to China for the first time from the Baltic port of Ust-Luga.

Market Segment

This study forecasts revenue at the Russia, regional, and country levels from 2020 to 2035. Spherical Insights has segmented the Russia liquefied petroleum gas market based on the below-mentioned segments:

Russia Liquefied Petroleum Gas Market, By Source

• Refinery
• Associated Gas
• Non-Associated Gas

Russia Liquefied Petroleum Gas Market, By Application

• Residential
• Commercial
• Chemical
• Industrial
• Autogas
• Refinery
• Others