Part 2: Characterization of market size and segmentation

Collectively, PADD 1 states typically account for 34-36% of gasoline consumed in the United States. That share of national consumption has remained steady over the years.

From a formulation perspective, conventional grades tended to comprise 60-62% of PADD 1 consumption, but that share has increased over the past five years, reaching a new high of 66% in 2020. The remainder of the gasoline market consists of reformulated gasoline (RFG). PADD 1 features areas adopting RFG on a mandatory basis (because of non-compliance with federal air quality standards) as well as areas adopting RFG on an “opt-in” basis. Part 3 of this report provides further details on the geographical coverage of each formulation.